What Sellers Need to Know About the Evolution of Amazon’s Algorithm

Ranking well on Amazon is getting harder, right? If that thought has ever crossed your mind, you’re not alone, and it could well be the trickery of Amazon’s algorithm at play.

First off, we don’t claim to have any special insider information into the inner workings of Amazon’s algorithms. All the wizardry that goes on behind the scenes at Amazon HQ is closely guarded and shrouded in secrecy.

But, what we can do is follow certain patterns and uncover key details on what makes these algorithms tick. Armed with these observations and documented evidence of the algorithm’s evolution over the last few years, we’re able to draw conclusions and predict behaviours which can likely benefit sellers. 

Obviously, the more we understand the mysteries of Amazon’s algorithms, the better we can perform in our online stores. But that’s easier said than done. Over the years, Amazon’s algorithm has shifted from simple keyword matching to a sophisticated model that prioritises customer satisfaction, product relevance, and external engagement above all else.

Despite the complexity of all this, we’ll do our level best to break down what we do know and what you can do to enhance your success on the platform.

The Evolution of Amazon’s Algorithm

The first thing to know about Amazon’s algorithm is that it’s constantly evolving, perhaps even on a daily basis. What used to be a straightforward system focusing on keyword placement has turned into a complex engine driven by machine learning and data surrounding customers. 

In its early days, Amazon’s algorithm, known as A9, mostly looked at basic keyword matching and sales velocity. The idea was simple. Products with more sales and relevant keywords were likely to rank higher.

In 2021, there was a big transition to the A10 model which really started to stir things up. A10 brought in a bigger focus on the customer experience as Amazon began looking beyond keywords, weighing factors like customer engagement, product relevance, and even traffic from outside sources. The goal? To make sure buyers find products they love and to keep them coming back to Amazon time and time again.

Now, fast forward to 2024, we’re seeing the algorithm shift yet again. It hasn’t changed its name, but it has been given a significant update. Yes, you guessed it, AI. 

With advancements in artificial intelligence, Amazon’s latest models are now learning how to predict buyer needs and adapt in real time. Instead of just matching search terms, the algorithm is now smart enough to consider the intent behind each search and the preferences of individual buyers. Its also able to sniff out fake profiles and, shall we say, less than authentic customer reviews, so be warned if you think you can manipulate the system and pull the wool over their eyes. You can’t.

But what does this ultimately mean for you? As a seller, you now have to be more strategic than ever, not just in terms of keywords, but in creating listings that resonate with your customer base. You need to get inside the heads of your buyers.

Relevance and SEO Best Practices

When it comes to ranking on Amazon, relevance seems to be the common denominator. While keywords still matter, the algorithm now favours listings that are clear and genuinely helpful to customers. If you’re still stuffing keywords into your product descriptions, you’re in trouble. 

Start with a strong product title that naturally includes your most important keywords. Don’t cram them in, but make sure they’re prominent enough to signal relevance.

Your bullet points and descriptions should then reinforce this relevance. Use these sections to expand on key features and benefits and integrate additional keywords in a natural way. Your aim here is not only to improve rankings, but also improve your buyer’s experience by providing them with clear, useful information. Remember, the algorithm places a large emphasis on customer behaviour.

Lastly, don’t overlook backend keywords. These hidden terms allow you to target alternative phrases without cluttering your listing. Think of them as a safety net for capturing more searches and covering different ways people might search for your product.

Customer-Centric Factors

Amazon’s algorithm is now more customer focused than ever before. That we do know for sure. This means that metrics tied to customer satisfaction now play a huge role in determining where your product ranks. Positive reviews, low return rates, and fast delivery options are all factors that can boost your visibility in search results. Why? Because Amazon wants to make sure customers have a great experience with each purchase. So naturally, the sellers who consistently provide this are the ones that get rewarded.

To leverage this, focus on providing a smooth buying experience. Encourage satisfied customers to leave reviews and address any issues quickly to avoid negative feedback. A higher review score and good customer service record can make all the difference in where your products rank. Additionally, going down the FBA route (Fulfilment by Amazon) can give you an extra edge, as Amazon’s algorithm tends to favour products it knows can be delivered promptly and reliably.

External Traffic and Engagement

We know an algorithm has got to an advanced stage when it starts using external signals to rank its internal ones. In recent years, Amazon’s algorithm has started rewarding listings that attract traffic from outside the platform. Simply put, driving potential buyers from social media, blogs, or even search engines to your Amazon listings can improve your product’s visibility on the platform. This is Amazon’s way of encouraging sellers to bring in fresh customers and boost the platform’s reach. Those that are able to crack this are rewarded with more prominent listings.

To take advantage of this, consider promoting your products beyond Amazon. Social media marketing, influencer partnerships, and content marketing can help drive traffic to your listings.

The more high-quality traffic you bring in, the better your product’s chances of ranking higher in Amazon’s search results. Just remember to keep engagement genuine; Amazon’s algorithm can detect artificial boosts and prioritise real customer interest. You have been warned, again.

Performance Metrics and Conversion

Let’s talk metrics. How you perform in general is certainly going to set the algorithm into overdrive. Metrics such as conversion rates and sales play a pivotal role in determining how well your product ranks. High conversion rates obviously indicate that a product listing is engaging and relevant, which WILL increase its visibility in search results. We know this.

So, to improve your conversions, make sure your listing is optimised with quality images, clear titles, and bullet points that highlight important benefits. Think back to the stuff we covered on sustainability and the like. 

Competitive pricing and occasional promotions can also enhance the appeal, but I’m yet to find any concrete evidence that this moves the needle as far as the algo is concerned. But do it anyway. It makes sure customers will choose your product over others. Simple.

Long-Term Strategy Focus

Let’s be real. Success on Amazon isn’t just about quick wins. You actually have to work pretty hard at it. What we do know for sure is you need to focus on your brand, and you need a sustainable, long-term strategy. 

With all the frequent algorithm updates and changing buyer behaviours, you guys need to stay adaptable. Monitoring trends and remaining flexible in your approach ensures you will respond to shifts in ranking factors and customer expectations. Building a solid foundation through consistent listing optimisation, customer engagement, and external traffic will pay off over time as the algorithm continues to evolve. We’ve come a long way from keyword stuffing titles. If you don’t change your mindset, you’ll never change your approach. Get in line with the times and as always, contact Ecommerce Intelligence for strategic help on your Amazon Marking. It’s what we do, and we do it well.