Amazon Conversion Rate Explained: Benchmarks, Formula & How to Improve It

Many Amazon sellers say that they need more traffic when asked what their biggest problem is. Traffic, however, simply generates costs, mostly because of ads, and does not always equate to sales unless a conversion occurs from the clicked ad.

The conversion rate of an Amazon seller reflects how many visitors to that seller’s page turn into buyers for that seller’s products. The conversion rate measures both organic visitors and those who come to that seller’s page from an advertisement or other paid traffic source. A high conversion rate means the seller can effectively convert more visitors into customers, while a low conversion rate typically indicates one or more reasons why potential customers chose not to purchase, even if the product is appealing or attractive to the visitor.

While customers already have a high level of trust in Amazon, making Amazon’s conversion rates higher than most eCommerce sites, there is still very high competition among sellers on Amazon. Buyers compare a number of factors, including price, reviews, images, delivery time, and brand credibility before deciding to purchase. Even the smallest issues can cause buyers to abandon an Amazon listing and purchase from a competitor.

The conversion of product rate from Amazon is a very important factor to consider as nearly every aspect of your overall performance on the Amazon marketplace is directly related to the conversion of product rate. An increase in your conversion of product rate indicates to Amazon that you have a desirable product for customers. By having this desirable product, Amazon has a greater opportunity to improve your organic ranking, adding to your market share of business through the buy box, and lowering your advertising cost.

From a business standpoint, maximising your conversion of product rates means that you will be able to expand your business without the continual investment in advertising. You will be able to create additional sales through the same amount of traffic, rather than spending additional money for more clicks to generate additional sales. Based on these reasons and as a general rule of thumb, a seller with experience will generally optimise the listing of their products before they start aggressively scaling their advertising efforts.

On the other hand, a poor conversion rate can damage performance across the board. Ads become expensive, organic rankings stall, and inventory moves slowly. In many cases, sellers blame ads or competition when the real issue is the listing itself.

The Amazon Conversion Rate Formula

The formula for calculating the conversion rate for Amazon is easy to perform:

The Amazon Conversion Rate Formula is: (Total Orders ÷ Total Sessions) × 100

Orders are actual purchases, while sessions are actually visits to your product’s detail page. The formula measures how well your listing converts visitors into purchasers.

Example of Using this Formula

To illustrate, let’s say your product has been viewed 5,000 times during the last month and you received 600 total orders during that same time frame. Based on these two numbers, you can determine your conversion rate by dividing the number of orders (600) by the number of sessions (5,000), and multiplying this figure by 100. This gives you a conversion rate of 12 percent.

The interpretation of what constitutes a “good” or “bad” conversion rate will vary depending on a number of variables, including the category of the item being sold, the price point of that item, as well as how much competition exists in the market for similar products at similar price points. It is therefore important to establish benchmarks.

How to Find Conversion Rate on Amazon in Seller Central

Many sellers ask how to find conversion rate on Amazon using official data. Amazon provides this information directly inside Seller Central. By going to Business Reports and opening the “Detail Page Sales and Traffic” report, you can see a metric called Unit Session Percentage. This is Amazon’s official name for conversion rate.

You can view this data at the parent ASIN level or drill down to individual child ASINs. This makes it easier to identify which variations perform well and which ones need improvement.

How to Find Conversion Rate on Amazon for Advertising

If you are running ads, learning how to find conversion rate on Amazon within the advertising console is equally important. In Sponsored Ads reports, the PPC conversion rate shows how many ad clicks turn into orders. This helps you evaluate keyword quality, targeting accuracy, and listing effectiveness.

Average Amazon Conversion Rate

The average Amazon conversion rate is much higher than that of most independent eCommerce stores. While many online stores convert between two and three percent, Amazon listings often convert between ten and fifteen percent. This is largely due to Amazon’s trusted checkout, Prime shipping, and customer familiarity.

However, this average does not apply equally to all sellers or products. Price, honest reviews, and category behavior play a big role.

Amazon Conversion Rate by Category

The Amazon conversion rate varies significantly by product category. Consumables like groceries and health and beauty supplies generally convert at a higher rate due to their repeat purchase behavior. The Home and Kitchen product categories generally fall into the middle range. Low conversion rates are common across Electronics and Fashion as shoppers tend to compare more products before deciding which one to buy and they tend to take longer to complete their decision.

Having an average conversion rate for any given category allows you to compare your product’s performance against others selling in that same category. If your conversion rate is extremely low, then you have the opportunity to improve your listing and improve it relative to similar listings on Amazon.

PPC Conversion Rate (the percentage of people who click on the ad and then make a purchase) helps assess how well the businesses that run PPC campaigns are able to draw in interested visitors and convert them into actual paying customers. A PPC Conversion Rate that is above average indicates that the company’s targeting marketing strategy was successful at enabling visitors to view a product listing and make an informed decision about the items they wanted to buy after clicking on the ad. Conversely, if a customer has a low PPC Conversion Rate, it implies that there may be some problems with the product listing, rather than any substantial complaints about the advertisement itself.

While many sellers an eye on their impressions (total views) and clicks (total fellow we) stats but those who continually improve their PPC conversion rates can expect a lower ACoS and be able to scale their PPC campaigns with much more confidence.

Improving your listing’s issues first will usually allow you to gather more PPC sales at an even greater rate than bidding on the PPC ads without fixing the listing issues.

Understanding Keyword Conversion Rate

Keyword conversion rate measures how well individual keywords turn clicks into sales. Some keywords bring a lot of traffic but very few orders. Others bring fewer clicks but convert extremely well. Both types are useful, but they should be managed differently.

How to Improve Keyword Conversion Rate

To improve keyword conversion rate, sellers should:

• Focus more on buyer-intent keywords
• Reduce bids on low-converting search terms
• Align listing content closely with keyword intent
• Use long-tail keywords for more precise targeting

Over time, this approach improves overall account efficiency.

What Amazon Conversion Rate Optimization Involves

Amazon Conversion Rate Optimization means improving everything about your listing that impacts a buyer’s decision to purchase a product. This includes optimizing all of the above components (title/image/bullet point/description/A+ Content/pricing/reviews/fulfillment method).

The process of optimizing your listing is ongoing. The way real buyers behave will continue to evolve over time, competitors will continue to enhance their product lines, and the market will continue to change. By regularly optimizing your listings, sellers tend to achieve better sales than sellers who do not optimize their listings periodically.

Improve Listing Content for Clarity

Instead of having to spend additional funds to attract more traffic to your website, optimizing Amazon’s conversion rates will enable the continued use of existing traffic by improving the way they convert into paying customers. This is considered a better long-term strategy to grow your business profitably.

Use High-Quality Images and Visuals

Images play a huge role in conversion. Strong listings usually include:

• Clear main images on a white background
• Lifestyle images showing real use
• Infographics that explain features visually
  

Good visuals reduce doubt and build confidence.

Competitors and Smart Pricing

Pricing has a direct relationship to whether a consumer will choose to buy something or not. Large price differences can greatly impact conversion rate (i.e. the amount of a certain type of sale) and thus sellers need to find a way to be competitive without lowering their worth. As such, many Sellers will run special promotions with a discount coupon; or slightly adjust their prices to stay competitive with other sellers.

Amazon Currency Exchange Rate

The currency rates on Amazon have been affected by the volatility of international currencies over the past several years. Volatility in the currency values will change consumers’ perceptions of the value of their products being sold. Sellers should regularly check for currency fluctuations and adjust their prices on all of their international sales accordingly.

The way Reviews Impact on the Consumers’ Decision to Buy

Reviews are a key contributor to Buyer Trust on Amazon. Buyers tend to choose a product with a higher star rating and consistently positive feedback over a product with a lower star rating and negative feedback, even if the price is higher. When sellers assist their customers in getting the most out of a product by professionally managing their reviews and monitoring and improving their products, it will lead to increased conversion rates for that seller.

Consumers feel confident about purchasing a product when sellers have shipped it quickly and/or have prime eligibility. Selecting to have Fulfilled by Amazon will provide a significant boost to sellers’ conversion rates, as consumers have confidence in Amazon’s ability to deliver the product quickly and provide excellent customer service.

Due to the minimal use of mobile browsing by customers, it is imperative for Sellers to optimize their product listings for mobile to increase ecommerce conversion rates. Product listings viewed on Mobile must be visually attractive (clean) to be successful when converting. Connections to customers from product images on Mobile devices should be more attractive and functional than product images that appear cluttered or improperly formatted.

Monitoring the Amazon conversion rate, PPC conversion rates, and keyword level conversion rates frequently allows sellers to be aware of their performance patterns and help improve performance through testing. Sellers can anticipate steady-state growth based upon making data-driven decisions.

Some common mistakes that can result in lower conversion rates include using poor quality images, using irrelevant keywords, using deceptive titles for products, offering prices that do not provide sufficient value, shipping plans too slowly, and having weak ratings/reviews profiles. Correcting any of these issues will typically result in a fairly quick increase in conversions.

The success of a seller on Amazon can be measured by the Amazon Conversion Rate, and since it is calculated using several different criteria/benchmarks, it is not necessarily important for sellers to consistently increase their overall volume of traffic to their Amazon listings in order to achieve continuous growth and sustainable success on Amazon. Sellers who are aware of and can utilize the various criteria/benchmarks to calculate their Amazon Conversion Rate will be at a significant advantage compared to their competitors in the Amazon marketplace.

There are a number of methods available to sellers for enhancing their overall Amazon Conversion Rate thus allowing for an increase in sales and/or revenue, including building trust and credibility, eliminating friction in the purchase process, and delivering on or surpassing the expectations of the consumer who arrives at the seller’s product page.