Your Seller’s Reputation Affects Conversion Rate

Did you know that your seller’s reputation affects conversion rate? Every seller has to contend with a dog-eat-dog world, even if you sell with Amazon, the biggest online retailer in the world. Amazon sees 3,700 new sellers join its platform every day, and most analysts foresee a positive growth for the e-commerce market for 2023. Resellers who want a bigger slice of the potential growth have to make the most of any asset that can differentiate them from the pack as well as maximize their conversion rates.

Your reputation as a seller has a significant impact on your conversion rate. If you have a good reputation, potential customers are liable to trust you and likely make a purchase. On the other hand, if a seller has a poor reputation, it can likely drive potential customers away.

What is a Conversion Rate?

A conversion rate is the percentage of readers or website visitors that was persuaded to perform a specific action. This action could be adding to cart, making a purchase, filling out a form, clicking the like button, subscribing to a newsletter or page updates. Conversion rates can be used to measure the effectiveness of marketing campaigns or the overall success of a website in achieving its goals. For example, let’s say you have 10,000 weekly visitors to your webpage where your call to action is to sign up for your weekly newsletter. If 1,000 people signed up directly from that page, your conversion rate is 10%. Conversion rates are an important metric for any reseller because they can help identify pain points and help shape your future marketing efforts.

For most retailers, the conversion rate that matters most is when visitors are persuaded to buy a product or several products from your seller site. What then persuades these visitors to buy?

The Marketing Funnel, Your Seller’s Reputation, and How it Affects Conversion Rates

The simplest marketing funnel (and the original one) was proposed by Elias St. Elmo Lewis in which a customer goes through several steps in their journey towards purchasing a product or service. It is called a funnel because it starts with a bigger number of potential customers and narrows down little by little until you get to the smaller number of individuals who actually make a purchase. Ideally, you want to preserve the original number as much as possible.Seller's Reputation Affects Conversion Rate

The stages of a marketing funnel:

  • Awareness
  • Interest
  • Desire
  • Action

Subsequent iterations of the marketing funnel includes consideration/evaluation, brand loyalty, and advocacy.

While sellers might want to look at conversion rates as the number of people who buy versus the site visitors, you might also want to consider each click that a customer does as a conversion rate metric. When a customer visits your sellers’ page, they don’t automatically get to the page where they already have a product added to cart and they just need to click the purchase button. And even if they’ve gone through all those clicks, there are a number of people who abandon their carts and never bother to make a purchase. This is when each click as a conversion rate metric gives you the opportunity to scrutinize the areas where you can improve the customer journey and speed them along to purchasing (the final boss conversion rate) what you offer.

Your Seller’s Reputation Affects Each Stage of the Marketing Funnel

Your sellers’ reputation affects each stage of the marketing funnel, and in turn, affects your conversion rate. In an ideal world, the number of visitors to your site equals the number of people who purchase your products or services. But many fall by the wayside, and not everyone falls at the same stage.

Awareness Stage. This is the stage where you make an individual or group of individuals aware of your products or services. A seller’s reputation can have a significant impact on this stage because it can influence a potential customers’ initial impression of your e-commerce business. They may be more likely to trust the product or service and be open to learning more about it if you have a good reputation. A poor reputation makes potential customers less likely to trust the product or service and they may not be as interested in learning more about it. A good sellers’ reputation can direct buyers towards the next step of the funnel.

Interest Stage. Not every person aware of your existence finds it necessary to even take a second look. There has to be something in it for them: what do you have that will make them evaluate what you offer in a positive light? A great testimonial from a buyer’s feedback can influence a customer into taking a deeper look into what you’re offering. Consider highlighting a particularly favorable feedback on your seller page to tweak the interest of a potential customer.

Desire Stage. This is the stage where a seller is able to persuade the buyer that deciding to get the product or service that you offer results in satisfaction. Why is it worth buying? Why is it worth buying from you? Your positive sellers’ reputation will allay any fears that a customer might not be satisfied with their purchase. Having a number of good to great feedback from your customers will result in a favorable social bias and heavily influence a potential buyer in getting your goods or services.

Action Stage. Most purchasing funnels for sellers finish at this stage, when the buyer not just adds to cart, but pays for it. For Amazon resellers, you also have to include the customer receiving the product and not returning it. Your reputation as a merchant and how you handle after-sales service will never be far from a customers’ mind when they click the purchase button. There is always the fear that once you have a customers’ money, they might not be getting what they wanted. Delivery might get delayed, customer service might not be satisfactory, or worse, they might not receive what they paid for. Testimonials from satisfied customers go a long way towards gaining potential buyers’ trust.

Brand Loyalty and Advocacy Stage. Amazon Sellers who have a great reputation create repeat customers and will make them your advocates. It circles back to the creating awareness stage where other customers advocate for a seller to their social circle because of how satisfied they were in their customer journey. This directs new customers on their journey through your marketing funnel.Seller's Reputation Affects Conversion Rate

Create a Great Seller’s Reputation with Seller Maven

Our specialization is removing negative feedback and improving your sellers’ reputation. We have over 10 years of experience working with sellers and are experts in Amazon Seller Support. Our years of Amazon Feedback Management ensures that you get the assurance that having us with you will result in a higher positive seller feedback score – guaranteed!

Schedule a call with us to get a better seller’s reputation!

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