For Business

Case study: Wyze

Tapping Amazon’s vast ecommerce solutions has helped Wyze scale its flourishing smart home device business.

Image of a man installing a Wyze camera
Company snapshot:
50%
reduction in click-to-delivery time
25%
increase in shopper conversions
12.5%
increase in first-time Wyze customers

When Wyze launched in 2017, the founders wanted to transform the smart home space with a high-quality camera that was affordable for the average consumer. The Wyze Cam became an instant hit and over the past five years, Wyze has expanded into multiple product categories, launched 52 products, shipped 25 million units, and built a customer base of 8.5 million homes in North America.

Wyze has been selling its products on Amazon.com since the beginning, but as the business expanded, the complexity of its fulfillment operations grew for its other ecommerce channels, including its own website. With more than one-third of its revenue coming from Wyze.com, the company decided to start using Amazon Multi-Channel Fulfillment (MCF) in 2021 to streamline fulfillment and reduce delivery times.

And then in 2022, Wyze added Buy with Prime to its ecommerce site, offering Prime members a shopping experience that they love from Amazon, including seamless checkout and fast, free delivery. Because Buy with Prime leverages MCF, Wyze’s ecommerce orders are fulfilled from one pool of inventory at Amazon fulfillment centers.

“We already knew that we could trust MCF to fulfill orders quickly, so it made perfect sense for us to try Buy with Prime,” says Rob Johnson, Principal Ecommerce Leader at Wyze.

After an A/B test, the team learned that Buy with Prime has helped increase shopper conversion 25%. Wyze has received 50,000 Buy with Prime orders in the first five months of 2023, comprising about 20% of website orders.

“The most exciting things about Buy with Prime from a merchant perspective are increasing trust with customers, getting new customers, and increasing conversion rate.”
Rob Johnson, Principal Ecommerce Leader, Wyze

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Fulfillment that scales

In the beginning, as demand for the company’s innovative, yet affordable smart home devices expanded rapidly, Wyze was challenged with keeping inventory in stock and keeping up with consumers’ expectations of fast shipping. Wyze wanted to improve delivery times without increasing costs, so it brought on MCF to fulfill its ecommerce site orders.

“We were able to not only cut the time between order completion and delivery by half, but also use less resources to manage the fulfillment of our orders,” Rob emphasizes. “So we got the benefits of both speed and reduction in costs.” The company also consolidated its inventory into fewer locations, which means fewer split shipments and, thus, lower shipment costs. Today, MCF fulfills 75% of Wyze’s site orders.

It’s strategies like these that help Wyze achieve its low price points “We make use of every single penny that we’re charging,” Rob explains. “With that, we have operational efficiencies that we drive toward from the manufacturing side all the way to the fulfillment side.”

Buy with Prime orders are fulfilled using MCF’s expedited shipping—as fast as one day. “Buy with Prime offers the Prime delivery promise directly on our site, so Prime members know that they’re going to get their orders shipped fast and free,” Rob says. “At this moment of consideration in the shopper journey, this conversion moment, that makes a big difference because the customer understands the benefit that they get.”

He adds, “We hear from our customers that it delights them. They trust us to fulfill their orders because they have a lot of trust in Amazon fulfillment, which then makes Wyze more valuable to our customers.”

“With Buy with Prime, our customers can see the benefit that they’re going to get—fast, free delivery. That makes a huge difference in the conversion rate and in the level of trust that they have with our brand.”
Rob Johnson, Principal Ecommerce Leader, Wyze

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An experience that converts

Rob also credits that trust in Amazon for the increase in shopper conversion that Wyze has experienced since adding Buy with Prime to its site. Prime members know that they can trust the Prime shopping experience. Their payment and shipping details are already saved in their Amazon accounts, orders are shipped fast and free, and they get free returns on eligible items. So when Prime members see Buy with Prime on Wyze.com, they know to expect the shopping experience that they love from Amazon.

“Being able to offer that on your website can be a really big benefit,” Rob explains. “Prime is a leading experience in the ecommerce industry. There’s a lot of trust that shoppers have in it, which has helped increase our conversion rate significantly.”

After adding Buy with Prime to some of its popular products, Wyze worked with the Buy with Prime team to conduct an A/B test to evaluate shopper conversion before and after adding Buy with Prime. Over three phases, the teams tested product pages with the Buy with Prime button and the same product pages without the button among randomly selected shoppers.

The data spoke for itself: 25% conversion uplift.

Says Rob, “As an ecommerce merchant, you’re happy to get 2–3%. A 25% increase in shopper conversion is life changing for a merchant, especially at our scale because it can mean a lot in revenue.”

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A name that new shoppers trust

What’s more, Wyze has also seen a 12.5% increase in first-time customers. About 45% of Buy with Prime orders are customers new to the site, compared to 40% through its native checkout. “For merchants, acquiring new customers and ensuring that you’re converting them is the lifeblood of the brand, so that increase in new customers is a significant benefit that we see with Buy with Prime,” says Rob.

Among those acquisition efforts, the team is using the Buy with Prime marketing toolkit to promote the site’s new checkout option. Wyze can feature its brand alongside the Buy with Prime badge in marketing efforts, such as emails, ads, and social posts, to help increase awareness—and ultimately traffic.

The trust piece is particularly important for shoppers who are new to the brand, Rob points out. “They can trust us, that the products are going to be excellent. And they can trust that Buy with Prime will get the products to them quickly with free shipping. All of that is very critical to gaining trust with the customer.”

After gaining that trust, Wyze can then nurture customer relationships because it receives order and customer information, like name and email address, when shoppers check out using Buy with Prime. This is an important piece for Wyze to develop and nurture direct relationships, especially as it builds an ecosystem of different products that its customers can benefit from on a broader scale. From its new customers to its pool of loyal followers, Wyze continues to be customer obsessed, looking for ways to improve the shopper experience on its ecommerce site and build trust.

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Conversions Spotlight Fulfillment & logistics
Lindsay Holloway