Transform Your Amazon Conversion Rate With Two Simple Words

So you ran reverse ASIN searches to find the best keywords or hired an Amazon optimization service to make sure you’re checking all of the SEO boxes. Your Amazon listing title, feature bullets, and HTML or EBC/A+ descriptions are top-notch. Clever. Creative. Informative. Is there anything more you can do to tip buyers teetering on the edge of uncertainty and land your product in their cart?

Research shows that sellers can positively affect potential buyer’s purchasing decisions with two words: “warranty” and “guarantee.”  And the results are compelling.

  • A warranty is a protection against defects, malfunctions, etc. Should the product not work the way that it's supposed to, the company will fix or replace the item. 
  • A guarantee is a promised satisfaction not dependent upon malfunction. The company ensures the customer will be happy, whether that means sending a replacement or offering a refund.

Keep in mind that Amazon’s guidelines restrict where within a listing Amazon sellers may mention warranties and guarantees. Sellers may place these promises in their Amazon bullet points or HTML description but are prohibited from referencing a warranty or guarantee in EBC/A+ content or titles. 

A lot of sellers may assume that if they have the Prime badge, mentioning Amazon’s automatic 30-day guarantee is a waste of space. But not so fast! Not all customers know that their purchase is automatically protected. Clearly communicating your commitment to their happiness can help to add that extra bit of trust, so they can feel confident clicking “Add to Cart.”

The Positive Effects of Professing Your Warranty/Guarantee

1. Addressing and Appeasing Risk Aversion

Let’s say you’re buying an item of clothing on Amazon. It’s economically priced and just your style but despite the sizing chart, you’re not certain it will fit. This one factor makes you leary of commitment. You’re about to close your laptop when you see – aha! – you can return the item if all goes wonky, so you press “Add to Cart.”

And this, ladies and gentlemen, is one of the ways warranties and guarantees work, by diffusing risk aversion. Risk aversion stipulates that a person, when faced with uncertainty, will attempt to lower that uncertainty. People don’t like risks, especially financial risks. Warranties and guarantees act like a safety net for online consumers, allowing them to take a risk with the knowledge that it won’t harm their checkbook. 

2. Setting Your Brand and Product Apart From Other Sellers

Did you know people’s #1 reason for shopping online on sites like Amazon is to compare products? Perhaps you have done this yourself, surfed through multiple brands of the same or similar products comparing prices, capabilities, and aesthetics. So how can you make your brand and product shine more brightly than others on the Amazon landing page? One way is through a warranty or guarantee additional to Amazon’s. 

While still potentially beneficial, 30-day guarantees like Amazon’s are so commonplace that most customers find them insignificant. Offering your own warranty or guarantee can greatly influence your Amazon success by putting your product above others and persuading a potential buyer with extra benefits.

3. Displaying Confidence in Your Product (and Passing That Confidence Along)

If generous warranties and guarantees were interviewees, they’d be the chins up, shoulders back, firm handshake kind. They’d look you in the eye and tell you they’re qualified, and nine times out of ten, they’d get the job. 

This is the kind of attitude your brand can express with a warranty or guarantee additional to Amazon’s. Your promise’s confidence becomes a lense through which customers view your brand and product. Because of the confidence it infuses and the validation it infers, your warranty or guarantee can make a marked difference on your Amazon conversion rate.

4. Showing You Care about Your Customer's Experience

One of the biggest pitfalls of an e-commerce business is that it can seem impersonal. All interactions and transactions happen through a screen and lack the face-to-face (not to mention touch and feel) component of brick and mortar stores. 

Because of these factors, your Amazon listings require intentional social and personal touches to become five star listings. One of the most noticeable ways to show you care and glean returning customers is through your warranty and guarantee. Especially if worded warmly and with a focus on benefits, your warranty or guarantee presents a powerful message of caring. (And if you’re not sure your wording is optimal, we’d be happy to take a look!)

The Negative Effects of an Additional Warranty/Guarantee

I know, I know. But it wouldn’t be a well-rounded examination of warranties and guarantees without also mentioning potential costs. Thankfully, you can bypass most of these negative outcomes with a little extra care and some adept copy (discover more on that in the next section).

One potential cost of a warranty or guarantee comes from making your promises greater than your product. What I mean by this is if you know your product only functions at its highest quality for a couple years and you offer a lifetime warranty, you’re going to run into trouble. Makes sense, right? Thankfully, this potential pitfall may be easily avoided by giving a shorter warranty.

Another potential cost is mostly unavoidable, no matter your policy: fraudulent activity. Accenture, a professional services company, conducted a survey analyzing reasons for customer returns and found that “only 5% of the products [electronics] returned were truly defective." Interestingly, the majority of survey responses stated that there was “no trouble found” or the items were returned because of “buyer’s remorse.” Satisfaction is a fickle concept, and some customers may take advantage of generosity.

The Takeaway

As you can see, the pros of having your own warranty or guarantee far outweigh the cons. Warranties and guarantees offer buyer security and showcase your brand’s uniqueness, confidence, and personality. Though a couple risks rear their ugly heads, there are ways to keep them from biting. To lessen the chances of negative repercussions and maximize the positive benefits of having a warranty or guarantee, we recommend following these tips:

  • Make your offer specific and present it in a clear, non-confusing manner.
  • If applicable, consider adding conditions to your warranty or guarantee. This may help squash fraudulent activity. 
  • If you know your product lasts for a specific amount of time, form your warranty or guarantee in accordance with that knowledge.
  • Ask e-commerce marketing professionals like Marketing by Emma for their expertise!

Emma Gooch

Emma is a copywriter, ballet instructor, and word enthusiast. When not working or focusing on her master's homework, you can find her in the kitchen baking sweets or cocooned in a blanket reading books.

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