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IMPORTANCE AND DISADVANTAGES OF AMAZON SALES RANK.

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Ranking on Amazon has various importance and advantages; I will expose you to some of this importance in this article.  Talking about the Amazon Sales Rank, it is mainly used to determine a product’s reputation within its category. It is primarily referred to as the best sellers rank and help to reflect recent and historical sales of every item sold throughout the platform. 


What’s the Amazon’s Sales Rank Number?  

This number is ranked from 1 to 1 million or more depending on the product category. It describes how best your product is selling among other products in your class. The lower the number, the better the product is selling. The Amazon Sales Rank can be found on the product page; under the product information section, the sales rank will be displayed, and you can check for the best-ranked product.  

There’s a list that shows the ranking of products overall that not just in its category. Items are listed in the category and subcategory units, and then the best-selling item will be ranked as the best. A product’s eligibility for ranking is determined by the number of recent and relative sales compared to other products. If your product is carrying the sales rank#1, it means it’s the most purchased product in that category.  

However, the Bestsellers rank list is based on recent and past sales or performance, and it is vital to know if products on the Bestsellers rank list are not necessarily highly ranked. Also, driving sales velocity can be focused on, but the best seller rank list does not have. Direct access to helping you generate actual sales. 

The sales rank is updated hourly and can range from.1 to over 1 million. If your product is ranked as #20, I’m on the Amazon bestseller list, which means that there is other 19 products in the same category with higher sales volume. 


How is The Amazon Sales Rank Calculated?  

Amazon has never exposed the way it thinks its sales to anyone because they do not want sellers to figure out their algorithm and gaming system. This is why there are a lot of ideas surrounding the method. Though it’s inevitable, the Sales volume alone is considered when ranking instead of other features such as numbers of reviews or retail prices. 

Also, the time frame for ranking isn’t clear, although some say it lasts for 12 hours while others say 24 hours or more. But looking at this method, if the ranking should last for 24 hours, products not purchased within 24hours will have the same order, which isn’t the case.  This means Amazon takes a more extended period for the Amazon Bestseller ranking.  

After several studies and research, I’ve concluded that products purchased recently are weighted more heavily than those purchased a long time ago. A sale made 5 days ago is highly ranked compared to a deal made about 1 month ago, and it continues that way. 

For example, product A was sold two days ago, and Product B was sold a minute ago. Even though they both have the same number of sales at the end of the week, Product B will have a better sales rank because the sales were recent. In this way, a seller can know how well other products are selling on Amazon.  

The question now is how to do all these ranking benefits sellers and buyers. As I proceed, you will get to know some of the importance of sales ranking on Amazon. Please read the article ahead to learn more about it. 


Importance of Amazon Sales Rank to Sellers and Buyers  


  1. Research Products with High demand 

As a buyer or a seller on Amazon, the Amazon Sales Ranking will help you find out products with High demands and new products you can invest in with low risk on Investments. If you want to find out if a new product can have huge Sales on many, just search for the product, and it will show the statistics; this will determine whether the product can create high demand on Amazon or otherwise. A product with a high sales demand will be among the better sales rank list. 


  1. Enhance knowledge about Competition 

Amazon sellers can also make use of the Amazon Sales rank to improve themselves among their competitors. If you observe that a product is ranked over your product, then you can improve your product to improve its sales. You can improve your keywords by using Amazon SEO; improving your keywords will also make your product more visible to buyers.  


  1. Improving your Amazon Sales rank 

After seeing your product is on the Amazon Sales rank, this same Rank will help you get better so that your product can be ranked. Check out the differences between your product and other sellers in your category and improve all critical areas. 


Disadvantages of Amazon Sales Rank 

There are over a million products sold on Amazon, and Amazon’s sales rank won’t benefit both sellers and buyers in some aspects. 


  1. High level of Competition 

The Competition among sellers will become very high because the weak sellers are exposed to their Shortcomings and will most likely improve on their weak areas, thereby increasing Competition. This Competition will, however, affect the rare product. products that are not used often and sellers of products like this are likely to face stiff competition all the time 


  1. Lack of control on Profit 

To rank above other products in your category, you might decide to reduce the price of your product to attract buyers. This, in return, will reduce your profit rate, which is not too good. You will have to accept giving up a large amount of money to sell well. 


Final Thoughts 

The Best sales rank is significant for a few reasons; for beginners, it shows you how well your product is selling compared to other sellers in your category.  And this gives you an idea of your position in the marketplace and how you can improve yourself. It also opens your eyes to products most likely to have a high demand from the Bestsellers rank list.  

For Buyers or consumers, the Amazon Sales Rank is a medium for them to search for new products or a particular product they are interested in. They get to know the product’s availability through this medium, showing that the product is quality and reliable.  

The Best Sellers rank calculation on Amazon is another means to make an excellent decision for your Amazon operation. The ranking will help you get the best product to sell, provide ideas on keyword optimization, enhance knowledge about Competition among other sellers, be a better seller, outpace others in your category, and many more. Although the algorithm changes, you can still understand your rival domain and other importance of sales ranking in categories and subcategories. 

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