In 2017, when Wyze was founded, its founders wanted to revolutionize the smart home sector by launching a high-quality camera at an affordable price. As soon as the Wyze Cam was introduced, it was a big hit. Over the past five years, Wyze has expanded into multiple product categories, launched 52 products, shipped 25 million units, and established a customer base of 8.5 million households in North America.
Wyze initially sold products on the Amazon platform, but as the business expanded, order fulfillment on other e-commerce channels (including its own website) became increasingly complicated. With more than one-third of its revenue coming from Wyze.com, the company decided to start using Amazon's Multi-Channel Fulfilment (MCF) service in 2021 to streamline fulfillment processes and reduce delivery times.
In 2022, Wyze introduced the “Buy with Prime” feature on its e-commerce site to provide Prime members with the familiar Amazon shopping experience, including convenient checkout and fast free delivery. Since “Buy with Prime” uses MCF, Wyze's e-commerce orders can be completed from the Amazon fulfillment center's unified inventory.
Wyze's Chief E-Commerce Officer Rob Johnson said, “We already trust MCF to complete orders quickly, so it only made sense for us to try 'Buy with Prime'. “After A/B testing, the team found that “Buy with Prime” helped increase shopper conversion rates by 25%. In the first five months of 2023, Wyze received 50,000 “Buy with Prime” orders, accounting for about 20% of the website's orders.
Rob Johnson emphasized, “From a merchant perspective, the most exciting thing about 'Buy with Prime' is increasing customer trust, attracting new customers, and increasing conversion rates. "
Delivery capacity, increasing as needed
As demand for the company's innovative and affordable smart home devices grows rapidly, Wyze faces the challenge of maintaining sufficient inventory and meeting consumer expectations for fast delivery. To shorten delivery times without increasing costs, Wyze introduced MCF to fulfill orders on its e-commerce site.
Rob emphasized, “Not only have we cut the time from order completion to delivery in half, but we've also reduced the resources needed to manage order fulfillment. As a result, we simultaneously reaped the benefits of increased speed and reduced costs. “The company is also consolidating inventory to fewer locations and reducing split shipments, thereby reducing transportation costs. Currently, MCF has completed 75% of orders on the Wyze website.
It was these strategies that helped Wyze achieve a lower price. Rob explained, “We made the most of every penny. To this end, we are pursuing operational efficiency from the manufacturing side to the fulfillment side. "
“Buy with Prime” orders are shipped quickly through MCF — as fast as 1 day. Rob said, “'Buy with Prime' offers a Prime delivery promise directly on our website, so Prime members know their orders will be delivered fast and free of charge. This had a huge impact at a critical moment in shoppers' decision making, as customers clearly understood the benefits they were receiving. "
He added: “We heard it from our customers and it made them happy. They trust us to complete their orders because they trust Amazon's fulfillment so much, which makes Wyze more valuable to our customers. "
Shopping experience, promoting conversion
Conversion-boosting experience Rob attributes the increase in shopper conversion rates Wyze has experienced since adding “Buy with Prime” to trust in Amazon. Prime members are familiar with and trust the Prime shopping experience. Their payment and shipping information is saved in their Amazon account, orders are shipped fast and free, and eligible items can be returned free of charge. So when Prime members see “Buy with Prime” on wyze.com, they know they can expect a familiar Amazon shopping experience.
Rob explained, “Being able to provide this experience on my own website is a huge advantage. Prime is the leading experience in the e-commerce industry. Shoppers have a lot of trust in it, which has helped us significantly increase our conversion rate. "
After adding “Buy with Prime” to some popular products, Wyze partnered with the “Buy with Prime” team to conduct an A/B test to evaluate shopper conversion rates before and after the addition. In three phases, the team tested product pages with a “Buy with Prime” button and the same product pages without the button, with randomly selected shoppers.
The results are exciting: 25% increase in conversion rates.
Rob said, “As an e-commerce merchant, it's already exciting to get a 2-3% boost. The 25% increase in shopper conversion rate is disruptive for merchants, especially at our size, which could mean a huge increase in revenue. "
Brand reputation to win new customers
More importantly, Wyze also saw a 12.5% increase in first-time buyers. Approximately 45% of “Buy with Prime” orders come from new customers on the site, compared to 40% of new customers using its native checkout method. Rob said, “For merchants, getting new customers and making sure they convert them are the lifeblood of the brand, so the new customer growth we've seen through 'Buy with Prime' is a significant benefit. "
In these customer acquisition efforts, the team is using the “Buy with Prime” marketing kit to promote the site's new checkout options. Wyze can display its brand along with a “Buy with Prime” badge in marketing campaigns, such as in emails, ads, and social media posts, to help raise awareness — and ultimately increase traffic.
Rob notes that trust is especially important for shoppers new to the brand. “They can trust us and believe the product will be excellent. They can also trust that 'Buy with Prime' will get the product to them quickly and for free. All of these are critical to gaining customer trust. "
Once trusted, Wyze can cultivate customer relationships because when shoppers check out using “Buy with Prime,” the company receives order and customer information such as name and email address. This is important for Wyze to develop and cultivate direct relationships, particularly as it builds a diverse product ecosystem that customers can benefit from on a wider scale. From new customers to a loyal fan base, Wyze continues to be customer-centric, constantly looking for ways to improve the shopping experience and build trust on its e-commerce site
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