2. 50+ Amazon Acronyms and Key Definitions
GLOSSARY OF TERMS:
• 1P Seller: A 1P relationship means Amazon acts as the retailer, and manufacturers operate as a
wholesale supplier to Amazon.
• 3P – Third-party seller: A business that sells a product that is not their own brand or product.
• A9 Search Engine: Amazon’s proprietary search engine and search advertising technology. A9 powers
Amazon’s product search pages.
• Abandoned Cart: This happens when a shopper adds an item to the cart but leaves without making a
purchase.
• Above The Fold: The space on a web page that users see without having to scroll. Brands should strive
to catch the shopper’s attention by presenting a unique brand story.
• Amazon A+ Content: The A+ Content helps the brand stand out by including a unique brand story, hi-
fidelity video, images, and enhanced UX.
• Livestream: Amazon Live is a Home Shopping Network styled Livestream video that allows sellers and
brand owners to host a video on the Amazon marketplace promoting product ‘Discovery’ and
engagement.
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3. 50+ Amazon Acronyms and Key Definitions
GLOSSARY OF TERMS:
• Ad Impression: Impressions tell you how many times a product’s ad is displayed.
• Advertising cost of sales – ACoS: is the ratio of ad spend to targeted sales.
• ASIN– AMAZON STANDARD IDENTIFICATION NUMBER: Amazon gives a 10 digit alphanumeric
unique ASIN (e.g., X123456789) to all products. Simply put, this is Amazon’s way of distinguishing
the products – similar to a UPC. This allows Amazon to determine and separate products.
• Andon Cord – Based on significant issues like quality, safety or misleading info, etc., an Amazon
support agent can immediately pull a product from buyable status. Andon Cord is a quality term
that originates from the Toyota factories in Japan.
• Average CTR: The percentage of users on a page who click on a link.
• Best Seller Badge: A small, orange mark showing the best selling product within a category. Helps
generate more clicks and conversions.
• Bounce Rate: The bounce rate tells you how many users exit your site after viewing only one
page.
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4. 50+ Amazon Acronyms and Key Definitions
GLOSSARY OF TERMS:
• Best Sellers Rank – This is the Amazon category rank for a product based on how well it sells.
• Bundling: It is a concept of selling two or more products together instead of a single one.
• Buy Box: Amazon’s Buy Box incorporates the large “Add to Cart” and “Buy Now” buttons on the
product details page. Winning Buy Box is significant for sellers, as it is responsible for most sales
(fact: 82% of sales on Amazon go through the Buy Box).
• Churn Rate: The % of shoppers who cut ties with the company or unsubscribe at the selected time.
• CTR– Click Through Rate: The percent of shoppers who see your ad and click on it. You can calculate
CTR when you divide total clicks by total impressions.
• Conversion Rate: it is the percentage rate at which shoppers are purchasing a product.
• COGS– Cost of Goods Sold: The accumulated total of all costs used to create a product (or service)
sold.
• CPC– Cost Per Click: An advertising method that refers to the actual price you pay each time a
customer clicks on your ad.
• CRAP – Can’t Realize a Profit. Amazon algorithms might deem a product as CRAP- meaning the
product will not realize into a profit from sale: Shipping costs, inventory, pricing, etc., can be the root
cause.
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5. 50+ Amazon Acronyms and Key Definitions
GLOSSARY OF TERMS:
• Cross-Selling: Cross-selling is a technique to make your customers spend more by making them
buy a product that’s complementary to what he has bought already. E.g., Shoppers buying Butter
can be nudged to buy milk or bread as they are complementary products.
• Drop-shipping: It is a way of selling goods without keeping physical inventory. Shoppers can
order the product from an online store or store kiosks, and upon receipt of the order, a drop
shipper will fulfill the order by sending the products to the customer directly.
• Early Reviewer Program – An Amazon program that incentivizes customers who have purchased a
product to leave an honest review.
• FBM: Fulfilled by Merchant refers to shipping products directly to the end customer yourself.
• FBA: Fulfillment by Amazon means manufacturers send their product into the Amazon warehouse, and
they pack and ship the product when a sale is made.
• Goldbox – It is Amazon’s landing page containing Deal of the Day, Lightning Deals, and a selection of
best promotions and savings by categories.
• Lightning Deals: Time-sensitive Amazon deals are available for shoppers. Sellers decide the discounts
and time duration.
• Livestream: Amazon Live allows sellers and brand owners to host a Livestream video on the Amazon
marketplace.
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6. 50+ Amazon Acronyms and Key Definitions
GLOSSARY OF TERMS:
• Longtail Keywords: Keywords that are used to target niche demographics rather than mass
audiences.
• Negative Keywords: Negative keywords are the search terms that you don’t want your listing or ad
to appear on when running a PPC advertising campaign.
• PPC- PAY-PER-CLICK: This term is applied to Amazon Advertising. Brands are charged each time
their Sponsored Product, Sponsored Brand, or Product Display ad is clicked.
• Display Ads: These ads are shown on the top, sides, and bottom of the search results page.
• Ratings: On Amazon, each product is rated by customers out of five stars. Typically rating of 4+
stars sells the best!
• RoAS – Return On Ad Spend. Used to determine the effectiveness of an ad campaign. Helps to
understand how many dollars are earned for each dollar of ad spend.
• SERP: Search Engine Result Pages, pages displayed by any search engine in response to a
keyword search.
• Seller Central: Seller Central is Amazon’s home base for its selling community.
• Site traffic: Site traffic refers to the total number of visits to your eCommerce site.
• Sponsored Brands: Previously called as Headline Search Ads, this Amazon Advertising option is
currently only available to sellers enrolled in Amazon Brand Registry.
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7. 50+ Amazon Acronyms and Key Definitions
GLOSSARY OF TERMS:
• Sponsored Products: This is the most popular type of Amazon Advertising. Brands’ product listing
appears on the product search results page before non-sponsored listings.
• Top of the funnel Keywords: These short keywords are broad searches for primary products. These
terms receive large search volume estimates; however, they are highly competitive and pull in many
products. Eg: A generic search for ‘Hair Shampoo’ will result in many products.
• Traffic source: This performance indicator tells where the shoppers are coming from or how they
found the site via organic search, paid ads, or even social media.
• Unverified Review – A product review from someone who may or may not has actually purchased the
item.
• Up-Selling: A technique to convince a customer to buy something more expensive, i.e., an upgraded
type of what’s being purchased. E.g., Upgrade to a 4K Television instead of an HD version
• Verified Review – A review obtained from a genuine purchaser of the product in question.
• Vine – An Amazon program in which vendors or sellers can enroll their products to obtain verified,
legitimate reviews.
• Warehouse Deals – Sold by Amazon Warehouse, a business of Amazon that sells quality “used”
products.
• White Labeling: a product involves purchasing the item from a manufacturer but applying your own
brand.
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