How Reviews Can Impact Your Revenue on Amazon

How Reviews Can Impact Your Revenue on Amazon

Think back on a time when you placed an order on Amazon and were disappointed once the package finally arrived at your door. The final product simply did not live up to your expectations or did not perform as designed. It might have been the incorrect item altogether. 

Regardless of the reason for your disappointment, the entire experience diminished your opinion of the company that you ordered from.

In order to avoid repeating this experience, you likely turned to reviews and ratings that were submitted by other consumers. Amazon’s millions of users rely on this exact same tactic before they make online purchases. 

If your product has hundreds or thousands of great ratings, prospective customers will be more likely to make a purchase. On the other hand, negative or middle-of-the-road ratings can drastically impact sales revenue.

As part of our efforts to help brands grow their online presence, Insights ABM has created this guide to Amazon reviews. We are a Dallas-based digital strategy firm that also provides Amazon store marketing services

Below, we’ll discuss some of the key tenets of Amazon reviews and outline why customer feedback is so important to the success of your business.

What is Retail Readiness?

When the company is assessing your products, Amazon’s algorithms will determine whether they are considered to be “retail ready.” In order to score highly in the retail readiness category, a product needs to have a minimum rating of 3.5 and have 15 reviews or more.

Your product pages should also include all of the necessary information to allow consumers to make an informed purchasing decision. 

Each product page must have SEO content, bulleted lists, quality imagery, and the requisite number of customer reviews. By optimizing your product detail pages, you can improve the visibility of your items and increase conversion rates.

Importance of Having a Highly Rated Product

Product reviews and ratings not only impact an item’s “retail readiness.” Highly rated products will also provide several other benefits, such as:

Better Sponsored Placement Opportunities

Amazon launched a new sponsored ad placement opportunity on the “Product Detail Pages.” Sponsored ads in this section are listed as being “4 stars and above.” 

In addition to having an average rating of 4 stars, your product must have a minimum of 100 reviews. This is a highly visible advertising location that can help you to boost sales and improve brand awareness.

Reviews Offer Consumer Insights

Reviews offer valuable insights into your consumer base. You can analyze consumer reviews of the latest products in your industry. This information will help you understand exactly what buyers want, which you can use when you are designing your own products.

Enhanced Consumer Trust

Buyers are naturally distrusting of traditional advertising materials. On the other hand, they are much more open to feedback from other consumers. If the majority of buyers are raving about your products, prospective clients will be more confident when purchasing items from your company.

Fostering consumer trust is essential for building your brand and achieving consistent growth in the online marketplace. However, this trust-building process is only a small part of your user-focused conversion rate optimization strategy.

Can Amazon Store Marketing Services Help Me Earn More Reviews?

As you can see, Amazon reviews and ratings will have a tremendous impact on the overall success of your business. Great reviews and high product ratings are strongly correlated with high total revenue. 

But building your brand’s reputation on Amazon can be a challenging task. That is why many businesses seek out professional Amazon store marketing services.

If you are unsure about the best ways to grow your brand, you should consider partnering with a digital strategy agency that specializes in Amazon marketing. These firms can help you boost Amazon revenue, acquire consumer reviews, and build your brand! 

Joe Cantu

Joe is a digital marketing strategist and media buying/planning leader with 13+ years of expertise in marketing strategy and program management, omnichannel campaign delivery, brand building, data analytics, and customer experience/UX optimization. He has helped drive growth for industry-leading clients, including F500/F100 firms.