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The answer to this question is simple: A formula that guarantees getting the BuyBox on Amazon does not exist. In fact, the algorithm of merchant selection is one of the best kept secrets by Amazon and with what the obtaining the optimised balance between sales and client satisfaction. By giving the BuyBox to the cheapest merchant would definitely cause more sales but on the other hand it would create a margin loss (and Amazon charges a percentage of that margin) and probably even a lesser client satisfaction by only finding sellers whose only value is a low price.
Amazon´s objective therefore is that the sales are recurrent and for this they use the following variables to decide on the idea merchant:
- Price: a competitive price will be better positioned than a dearer one.
- Availability: it seems logic, but to obtain the selected vendor condition we should have this product in stock.
- Merchant rating: one of the most important variables, the higher the rating that the users have given a merchant, the more possibilities they have on being the winner.
- Seniority: those merchants with a long history are considered to be more stable and therefore will be awarded with more points.
As we can see there are a lot of variables to bear in mind and although it could seem like a complicated system, it´s objective is quite simple, award the seller with the best quality – price ratio.
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