Competition to appear on the first page of Amazon search is intense, as 81% of clicks go to first page results and the top three receive 64%. Top sellers on Amazon are different than top-sellers in stores, as brand investments vary on each platform. For example, Bob’s Red Mill Gluten-Free Whole Grain Rolled Oats is the top-selling breakfast cereal on Amazon, while General Mills’ Honey Nut Cheerios is the top sellers in stores.
L2’s Insight Report: Amazon CPG finds that Seventh Generation and Dove are winning the search war in home and personal care, appearing in the top three results for 7% and 8% of long-tail search terms.
Amazon’s search algorithm works with the variables of sales volume, reviews, price, availability, and keywords, making it difficult for brands to completely control their appearance order. Some of the variables even create a self-perpetuating advantage. For example those who appear in first page results will have a higher sales volume, which will in turn secure their top spot. However, brands can focus on other variables such as encouraging consumer reviews, ensuring availability, and the competitiveness of their price listings.
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