- Amazon’s Buy with Prime sees mixed results from sellers.
- Some merchants report success, while others face challenges.
- Amazon remains optimistic about the program’s future.
Nearly a year and a half after its launch, Amazon’s Buy with Prime has received mixed reviews from sellers.
Some have seen promising early results, while others have not experienced the anticipated boost in conversion rates.
Craig Leslie, who sells coffee beans through The Bean Coffee Company, reported that Buy with Prime accounts for only 3% to 5% of his sales, although he expects it to grow as more customers become familiar with the tool.
A tale of dissatisfaction and optimism internal
Amazon emails from last year discussed “dissatisfaction” with unit sales being off target “by a wide margin.” However, executives, including CEO Andy Jassy, expressed confidence in the initiative’s long-term outlook.
Peter Larsen, the vice president in charge of Buy with Prime, acknowledged the need to increase average order value and reduce operational friction to improve the program’s performance.
Sellers have reported varying levels of success with Buy with Prime. Anders Piiparinen, a senior e-commerce manager at Pattern, noted that the program accounts for 7% to 11% of direct-to-consumer sales for some brands.
However, profit margins can be thin for lower-priced items due to Amazon’s fulfillment fees.
Merchants also expressed concerns about added customer friction and the need for customers to be logged into their Amazon accounts to use Buy with Prime.
Amazon’s glass half-full approach
Despite the challenges, Amazon remains optimistic about Buy with Prime’s future. Larsen stated that his team is seeing “strong adoption” from merchants and positive feedback from Prime members.
The company has introduced integrations with Shopify and Salesforce to provide a more seamless experience for shoppers and help increase sales for merchants.
Amazon also provided case studies showcasing the success of some brands using Buy with Prime, such as Wyze and HydraLyte.