Amazon Frequently Bought Together is an upsell tool that Amazon uses to increase sales per order by making it easy for customers to add more items to their shopping carts with one click. These items are most often complementary, nice-to-haves, or simply have been purchased at the same time by a large percentage of previous customers.
This works to greatly increase sales for that product, both by enabling customers to reach minimum order value to qualify for free Prime shipping and by suggesting products that the customer wants or needs, but may not have thought of or may not have gotten around to shopping for instead.
Here's an example of Amazon Frequently Bought Together items on a listing page
Suggestive selling or upselling is a widely recognized tactic that has been used to greatly boost sales in traditional retail as well as eCommerce. Amazon's simple algorithm allows you to do this, but leveraging it yourself (rather than allowing any other seller’s product to fill the spot) requires a great deal of work, time, and effort.
Here’s how you can get started using Amazon Frequently Bought Together to your advantage.
What is Amazon Frequently Bought Together?
Amazon Frequently Bought Together highlights similar or complementary products below the product and sometimes at checkout, leveraging the power of suggestive selling. Unfortunately, Amazon sellers cannot select or modify which products get shown here.
Sometimes Frequently Bought Together groups items together so customers
can conveniently add multiple items to their cart with one click.
Frequently Bought Together greatly increases sales on Amazon because it influences shoppers to add additional products to their carts when buying something else. This can be a powerful tool, not just because of suggestive selling, but also because of increased credibility and exposure through an Amazon recommendation.
Not to mention the fact that shoppers may forget that they actually need to purchase the products that are being suggested in addition to the products they already added to their carts.
What influences which products get shown in Amazon Frequently Bought Together?
The largest influencing factor is simply the percentage of shoppers who purchased 2 or more items at once who purchased Item A with Item B. However, Amazon also seems to consider other factors such as:
• Stock or availability
• Seller account health
• Prime eligibility
• Shipping speed
How many products have to sell to get Amazon Frequently Bought Together status?
This depends a great deal on the sales velocity of the product and how many customers purchase two or more items. In some cases, you will see products with relatively unrelated items in the "Frequently Bought Together" box, suggesting that only a few sales have prompted the feature.
Products that are frequently purchased alone will skew data and allow one or two purchases to be the 'majority'. Similarly, a product with a low sales velocity is much more likely to be paired with a random item, because Amazon's algorithm has less data to pair something that matches well.
You'll also see several products offered together, which is likely because some customers buy multiple products and return most.
Tactics for winning Frequently Bought Together placement with your own products
Working to build "Frequently Bought Together" placements for your own products is a relatively easy way to increase sales of your own products and reduce costs. You can do so using several sales tactics provided by Amazon.
Basic Tips for Winning Frequently Bought Together:
• Keep your account health up: All products should be shipped quickly, your return rate should be low, and you should reply to customers quickly to maintain a good score
• Keep products in stock: Use an inventory management solution like Skubana to automate reorder points and inventory management to prevent stock-outs, which will lose you Frequently Bought Together, the Buy Box, etc.
• Stock complementary products: If you have accessories and complementary parts for products you sell, you can work to get the "Frequently Bought Together" for your own products. This is significantly easier than working with other sellers to do so.
In addition, you can also boost your chances of attaining Amazon Frequently Bought Together placement by using the following strategies:
Coupons – Offering new and returning customers Amazon coupons for complementary products in your inventory will boost sales. For example, if you sell a coffee machine, you can offer a pack of filters for free with the purchase (Amazon still sees this as bought together) to leverage an increase in sales for the product. You can also offer a discount for the second product purchased.
Shipping – Make sure that customers can take advantage of free or discounted shipping on second and third products purchased at your store. Shipping costs for multiple products will be one of the largest decision influencers for many potential customers. Amazon also offers a free shipping coupon option, which you can set up based on quantity of items purchased. So, "Buyer Gets Free Shipping with Purchase of 2 or More Qualifying Items" can be a major sales driver that simultaneously helps increase your chances of earning Frequently Bought Together placement for those products.
Add-on Products – Add-on products with FBA make great Frequently Bought Together products, simply because you can stock small and light items with FBA, and then promote their sale with a larger product. Your earnings per sale will be low, but so will your costs.
Promote Products – Amazon's Sponsored Products is a valuable tool you can use to drive sales for specific products, offer coupons, and increase product sales together. Utilize it to boost sales for products to earn Frequently Bought Together.
In short, optimizing your own product listings for Frequently Bought Together is mostly a matter of stocking complementary products, offering them to customers in a way that seems advantageous to the customer (free shipping, discounts, coupons, etc.) and driving sales. If you've paired the products well, the customer likely wants or needs the product anyway, and you will make additional sales.
Once you win the Frequently Bought Together box, your total costs per group sale will drop. And, chances are that even running promotions for products together to increase your average order value won't cost you as much as you think. After all, you'll likely be saving on shipping and handling and packaging, which can be pricey on their own.
Building Relationships to Drive Frequently Bought Together for Other Products
While it's not always possible, you can always attempt to reach out to other sellers to build relationships and drive Frequently Bought Together. This involves finding and connecting to other brands, identifying specific products you want yours to be paired with, and build affiliate or cross-channel sales.
This process is considerably more time-consuming than working to boost Frequently Bought Together for your own Amazon products, but can allow you to leverage sales from much larger stores to drive affiliate commissions and earn promotion from Amazon. For example, if another store is selling a vacuum cleaner but not bags, you can offer them a package insert with a 10% off coupon for their customers and an affiliate commission for them.
The bottom line on Amazon Frequently Bought Together
Amazon Frequently Bought Together helps you to leverage suggestive selling, which can be an extremely powerful tool for increasing sales.
Whether you're working to build it for your own products to increase order value per customer or want to build relationships with other stores, it is something that can pay off.
The most important factors are that your account be in good standing, that you do not sell out of products, and that you have relevant and complementary products.
We hope you to try to tap into this potentially lucrative part of the Amazon seller experience to drive more sales of complementary items in your inventory, and we wish you the best on your selling journey!
This is a guest post by the Skubana team. Skubana is an all-in-one ERP system and operations platform designed for high volume sellers to run and automate their business. By unifying point solutions in one place, sellers can now diagnose what used to take weeks in seconds. It integrates with most eCommerce marketplaces, 3PLs, and warehouses, provides profitability and multi-channel inventory management, and compiles all of your marketplaces on a single convenient dashboard. Reach them at email@example.com with any questions, or sign up for a 14-day trial.