Customer Experience Optimisation is all about customer behaviour. In order to make an impact with your experimentation program it is important to be where your customers are. Marketplaces in general and Amazon in specific are becoming more important and are for many customers nowadays the starting point of their customer journeys. If customers move increasingly on third party channels instead of our own website and app, how can you still optimise their experience? Should you be A/B testing on Amazon?
First some numbers, why is Amazon relevant? There are three important reasons:
1 – Amazon is (by far) the largest e-tailer in Europe
2 – Product search is shifting from Google to Amazon
3 – Amazon has a loyal customer base
40% – 60% of Amazon customers have an Amazon prime membership.This catalyses number 1 and 2.
What is it that you optimise for?
Your website or app can have multiple objectives. It serves to answer questions for customers and investors. It might be an important tool for recruitment. It is your store front, service portal and so on. So in general you optimise for the best possible customer experience. And the customer or user can have different goals like buying a product, uploading a resume, finding information etcetera. In all these different journeys, you optimise for the best possible user experience.
For Amazon there is only 1 focus: sales: which boils down to the question: what product is the customer most likely to buy.
Amazon mission statement:
“Be the Earth’s most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices.”
In other words on Amazon you optimise for sales velocity, not the customer experience. The customer experience is, in large part, already taken care of by Amazon itself. Especially when fulfillment is done by Amazon, the whole process is the result of many years of optimisation. So if Amazon already has optimised, and still is optimising the process, what else can we do to increase our sales volume on Amazon?
The sales velocity on Amazon is based on three pillars that will be discussed below:
1 – Conversion rate
What is the conversion rate for a specific product and how can you improve this? There are a lot of opportunities to use A/B testing to improve the conversion rate. Variables that you can experiment with are product titles, price, images and product descriptions. Ask yourself what sets your product apart from the competition and make sure this is reflected in the images and text on the product page.
2 – Keyword relevance
People can buy your product if they can’t find it. So it is very important to have a solid keyword strategy for your product on Amazon. Check with your Google and Bing campaigns to see what works and try if this works for the Amazon audience as well.
3 – Customer satisfaction
This is all about building reviews. Positive customer reviews are rewarded by Amazon with higher rankings which leads to more volume ergo a higher sales velocity.
Of the three pillars mentioned above, conversion rate is the one where you can jump in and use your digital experimentation skills in order to drive volume and increase sales velocity. In the next post we’ll dive a little deeper and discuss some of the tools that you can use to run your A/B tests in Amazon.