The “Buy Box” feature on Amazon appears on product detail pages and is where shoppers click before adding items to their cart. Generally only one seller at a time “wins” the Buy Box and so competition to own and maintain ownership of this space can be fierce as it ultimately decides which seller gets the sale. An algorithm calculates who is awarded the Buy Box, several factors are involved in this but one we’ll focus on is stock availability.

If stock is low or worse, out of stock, the Buy Box will be impacted and most likely lost to another seller, but it may also become more challenging to win back which in turn will jeopardise the seller’s visibility. Amazon’s algorithm prioritises sellers who consistently have stock as it provides a more reliable experience for a customer. In the worst case scenario if stock consistently runs low or entirely out of stock the algorithm may remove the seller from the Buy Box rotation altogether – even if they eventually replenish stock.

At Acorn-i we understand the significance of winning and retaining the Buy Box, our expertise lies in monitoring stock levels and supporting brands to accurately manage their inventory by using our proprietary tool Ignite to offer stock management solutions.

We faced stock challenges with a partner, and the example below demonstrates a decline in available units starting in early February 2023. From May, competitor sellers gradually started winning the product’s buy box, and this trend persisted even after stock replenishment in June, highlighting the long-term impact. The inevitable consequence of insufficient stock is a significant reduction in sales, which, in turn, negatively impacts the product’s category ranking. Initially ranked at a healthy number 4 in its category in February, this product plummeted to 92 in May and eventually lost its ranking entirely. Unfortunately, more time is needed for these performance metrics to fully recover, despite the stock being replenished – it may extend for several weeks or even months.

Want to know more? Get in touch via info@acorn-i.com