Are you looking to understand Amazon's conversion rate? If so, you've come to the right place. In this comprehensive guide, we'll explain what the average conversion rate is for Amazon listings, how to calculate it, and how to optimize it. The average conversion rate for Amazon listings is 10 to 15 percent. Prime members have an even higher rate of 74%.
This is because many people who visit Amazon are already determined to buy something, if not that day, then in the near future. Prime members are your best buyers, as they generally convert at 74%, while repeat buyers convert at 13%. The conversion rate formula can be calculated by dividing the number of orders by the number of views. According to a study conducted by Millward Brown Digital, Amazon's conversion rate among Prime members is 74%, compared to 13% for non-prime numbers.
By comparison, research shows that when Prime members shop at other major online retailers in the industry, such as Target and Walmart, the average conversion rate is 6%. For the rest of the merchants listed in the Top 500, the conversion rate drops to 3.32%. The average conversion rate on Amazon is 9.87%. Of course, like all metrics, these averages are very different depending on the niche.
This percentage is the most up-to-date number, taken from the Ad Badger app, which serves hundreds of different niches. At Pattern, we have design, advertising and SEO experts ready to help you increase the conversion rate of your ad. In addition, sites that use videos have a conversion rate of 4.8%, which is a 65% increase in conversions compared to those that don't use videos. A high conversion rate gives your brand a better organic ranking and a better ROI from your paid ads, which means more sales and more money in your pockets.
Calculating your conversion rates is important to see how your company is performing in terms of sales. You want to optimize your conversion rate and reduce the cost per conversion by getting the maximum percentage of potential customers to make that conversion. Just seeing a low conversion rate when analyzing a particular keyword or term means that that keyword or term isn't very relevant to your ad, so customers don't buy it when they appear on your product. As a seller, it's good to focus on the benefits of selling online, but there are valid reasons to pay attention to Amazon's conversion rates for the products you sell on the marketplace. For example, if you get 20 views to your page resulting in just two purchases, the conversion is 10%, which means that only 10 out of every 100 visitors would buy from you. Another way to increase your conversion rates is to channel sales from other channels such as Facebook or Instagram to a landing page that then redirects that traffic to your Amazon listing. In simple words, the reason their conversion rates are above average is due to their deeply consumer-focused convenience program. When it comes to Amazon's A9 algorithm, the 26% conversion rate of sales velocity are vital factors for your business to succeed. If you think that your CVR or total number of conversions are particularly low for your category, you can try to improve the number in several ways.
You can segment conversion rate data by device to understand your audience and optimize Amazon listings accordingly. Next, I'll try to answer some of the questions I often hear people ask about Amazon's conversion rate.