Introduction

If you've ever shopped on Amazon, you've likely come across the term "Featured Offer" or, as it was formerly known, the "Amazon Buy Box." This prominent feature plays a crucial role in the e-commerce ecosystem, affecting the buying decisions of millions of customers and the success of countless sellers.

Understanding the Featured Offer

The Featured Offer, previously known as the Amazon Buy Box, is the highlighted and default product listing on an Amazon product detail page. It appears prominently on the right-hand side of the page, showcasing a specific seller's offer for a product when multiple sellers are offering the same item.

Key elements of the Featured Offer box include:

• Seller Name: The name of the seller offering the product.
• Price: The current selling price for the item.
• Shipping Information: Details about shipping options, such as Prime eligibility and delivery times.
• Add to Cart/Buy Now Button: A call-to-action button that allows customers to quickly add the product to their cart or make a purchase.

Why the Featured Offer Matters

• Visibility and Trust: The Featured Offer is the default choice presented to Amazon shoppers. Customers often trust and prefer the seller in the Featured Offer box, as Amazon has vetted them for reliability, customer service, and fulfillment capabilities.
• Convenience: Amazon's seamless shopping experience encourages customers to make quick purchases, and the Featured Offer facilitates this by providing an easy "Add to Cart" or "Buy Now" option.
• Mobile Shopping: On mobile devices, the Featured Offer is especially critical, as it is often the only offer visible without scrolling, making it the go-to choice for mobile shoppers.
• Prime Eligibility: Products listed in the Featured Offer box often include Prime eligibility, attracting Amazon Prime members who expect fast and free shipping.

Factors Influencing the Featured Offer

Amazon's algorithm determines which seller's offer appears in the Featured Offer box. While the exact details are proprietary, several factors influence this decision:

• Price: Competitive pricing is a significant factor. Sellers offering the lowest price typically have a better chance of winning the Featured Offer.
• Fulfillment Method: Products fulfilled by Amazon (FBA) are more likely to win the Featured Offer, as they are associated with faster and reliable shipping.
• Seller Performance: A seller's track record in delivering high-quality customer service, low order defect rates, and quick shipping times can influence their eligibility for the Featured Offer.
• Shipping Cost: Lower shipping costs can increase a seller's chances of winning the Featured Offer, as it keeps the overall price competitive.
• Inventory Availability: Sellers with sufficient inventory and the ability to meet customer demand are more likely to win the Featured Offer.

Amazon Featured Offer eligibility

Some items, like books, aren’t eligible for the Featured Offer. For qualifying product categories, items can make it into the Featured Offer based on criteria that can vary from category to category. Here are some examples of factors that can influence Featured Offer eligibility:

• Amazon account: You'll need an active Professional selling plan and an account in good standing.
• Competitive prices: Featured Offer prices are typically lower than or equal to comparable options.
• Stocked inventory: Running out of stock can knock an item out of the running for the Featured Offer.
• Fast delivery: Quick delivery times can appeal to customers. Products should also arrive within expected timeframes.
• Product condition: The Featured Offer is for new or like-new goods.

How to become the Featured Offer

Landing products in the prized Featured Offer (formerly Buy Box) position can dramatically increase sales and profits. But how do you get there in the first place? Here are several best practices you can try.

1. Offer fast and free shipping

If you choose to fulfill orders yourself through Amazon’s Merchant Fulfilled Network, then you’re responsible for shipping rates and delivery times. You can adjust shipping fees and details by visiting Shipping Settings in your seller dashboard. Note that standard shipping is required for all products, so make sure that’s an option for customers.

Another option is to sign up for Fulfillment by Amazon in order to offer fast, free shipping to Prime members. FBA is an opportunity to leverage Amazon’s global fulfillment networks and get orders to customers within two days—or even provide next-day or same-day delivery.

2. Price products competitively

Featured Offer prices are commonly at or below the lowest priced alternatives. To help with adjusting prices, you have a few options when it comes to ecommerce tools.

• Pricing Dashboard : Visit this price tracking tool in your seller dashboard to see real-time data on prices for Amazon sellers competing for the Featured Offer.
• Selling Coach Pricing Report: See price recommendations for products and get alerts for adjusting prices to remain competitive options.
• Automate Pricing: Use Amazon’s automated pricing tool to adjust prices for select products or across your entire catalog. Choose “Predefined Automated Pricing” rules to have Amazon set prices for you, or use “Customized Automated Pricing” rules to set your own parameters
• When pricing products, be sure to take into account the total price for the product (including shipping costs).

3. Provide excellent customer service

Several metrics can play into evaluating customer service:

• Order Defect Rate : ODR measures account activity components such as negative feedback rate, A-to-Z Guarantee Claim Rate, and credit card chargeback rate.
• Pre-Fulfillment Cancellation Rate: CR calculates frequency of seller-canceled orders (not including customer-canceled orders and refunds).
• Late Shipment Rate: LSR tracks orders that ship after the expected ship date.
• Valid Tracking Rate : VTR is based on tracking information (such as incorrect tracking numbers, which can disrupt the buying experience).

4. Keep stock levels up

Maintain adequate levels of inventory to meet customer demand at all times. For instance, if you expect an uptick in orders, order a surplus to avoid a shortfall. Monitor stock levels in Seller Central by going to Inventory and then Inventory Planning.

If you won’t be able to manage an Amazon storefront for a period of time, then set your account to inactive to avoid out-of-stocks and unhappy customers. You can also set up notifications of dwindling inventory levels using the Amazon Selling Coach page.

How to monitor your Featured Offer presence

• From the top left-hand menu in Seller Central, go to “Inventory” and click “Manage All Inventory”
• Competitive prices: Featured Offer prices are typically lower than or equal to comparable options.
• Click “Preferences” button on the top right-hand side
• Select “Featured Offer Eligible”
• Click “Save Changes” at the bottom of the page

How Sellers Can Win the Featured Offer

Winning the Featured Offer is a coveted position for Amazon sellers, as it can significantly boost sales. Here are some strategies to improve your chances:

• Competitive Pricing: Continuously monitor and adjust your prices to stay competitive.
• Fulfillment by Amazon (FBA): Utilize FBA to benefit from Amazon's efficient shipping and customer service.
• Excellent Seller Metrics: Maintain high-quality seller metrics, including order defect rates, shipping times, and customer feedback.
• Inventory Management: Ensure you have enough inventory to meet demand and avoid running out of stock.
• Optimized Product Listings: Create informative, attractive, and detailed product listings to attract customers.
• Use Amazon Advertising: Invest in Amazon Advertising to increase visibility and attract more customers.

Conclusion

The Featured Offer (formerly known as the Amazon Buy Box) is a critical element of the Amazon shopping experience. Winning the Featured Offer can substantially boost a seller's sales and revenue.