Amazon has grown to become the largest e-commerce platform globally since it first started in 1994, and it has seen many changes over the years. Always striving to move forward and embracing change is one of the reasons it has grown into the behemoth we all know today. There have been many changes over the years which have seen an increase in accuracy and relevance, massively benefitting consumers. Below are some highlights of how the Amazon Algorithm has changed over the years to help the platform become the number one e-commerce platform in the world.
The Early Years
In the early years of Amazon, the algorithm was much simpler than it is today, and the primary focus was on price and availability of products. Amazon initially sold books, so the algorithm would look for exact matches in stock if a consumer searched for a specific book title or author. Sellers who added keywords to their product titles and descriptions had a significant advantage over other sellers, but this led to keyword stuffing. As the platform grew, the evolution of Amazon’s algorithm became more complex and led to more accurate search results for consumers.
The Rise Of A9
In the mid-2000s, Amazon changed its algorithm when it implemented the A9 version, making a significant leap forward in search technology. The A9 algorithm worked on more than just keywords, including relevance, sales history, customer reviews, fulfilment method, and other factors. This sophisticated method marked a significant shift in the search experience, and customer intent played a much larger role in determining the search results. The introduction of the A9 algorithm helped to eliminate keyword stuffing and reduce irrelevant search results, making for a much better experience for consumers.
Fulfilment & Prime
Another significant evolution of Amazon was when Amazon Prime and Fulfilment by Amazon (FBA) were introduced. Amazon Prime allows customers to pay a subscription fee and receive their orders quickly and without a delivery charge, giving Amazon a competitive edge in the marketplace. When they introduced FBA, it also allowed sellers of products to store them in Amazon warehouses and have orders dispatched the same day, ensuring quick and easy delivery of their products. The algorithm was updated and included factors such as delivery speed, customer satisfaction, and return rates in the search results displayed on the platform.
A10 & Beyond
The next update to the Amazon algorithm was the A10 update, which was rolled out around 2020 and increased the complexity of the factors included in the search results. The update emphasised the customer journey and recognised each customer’s unique journey. Relevance was still vital, but customer engagement, dwell time on product pages, click-through rate (CTR), and conversion rates also became important. Visits powered by external sites such as social media platforms also became relevant to search results, with visitors embracing multiple sales funnels being rewarded by the platform with better search results.
Amazon’s search algorithm will continue to be enhanced and improved, which will help to improve consumers’ shopping experiences. The platform will focus on delivering a personalised shopping experience, and there is no doubt AI will be incorporated into it to help Amazon remain the largest and most successful e-commerce platform globally.