The Truth about Selling on Amazon - Helpful Pros and Cons

1. The Truth about Selling on Amazon - Helpful Pros and Cons Before you dive in head first, there are a few things to know about selling on amazon. Selling on Amazon is not always as easy and straightforward as it seems. You'll need to take into account the pros and cons of selling on Amazon before diving in head first. There's no one size fits all approach when it comes to selling online and this is especially true with Amazon since they have so many different rules for sellers depending how much inventory you sell or what type of products you sell. It's important that sellers understand these types of details before deciding if selling on Amazon is right for them, because once they do decide, there may be some serious consequences should they break any rule- even unintentional ones that come up over time due to lack of awareness. It's different than eBay because getting access to the Amazon marketplace can mean more sales for your products and higher visibility to the world, but it also means you are now held responsible for following many rules that were previously Google's fault or PayPal's fault or your customer's individual responsibility. Some see this as a convenience, others may see it as an unnecessary hassle. The Pros of Selling on Amazon When sellers sell on Amazon here are some of the pros that come along with it: You will be seen by millions of Prime users- which gives you access to millions of potential customers who want their orders yesterday, not tomorrow like other marketplaces. This is especially true if you have Prime eligibility for your product which means they offer free shipping to Prime customers on your products. You

2. have access to Fulfillment by Amazon services so you can give yourself a break on storage fees or shipping costs- which is perfect for private label sellers who are looking to create their own brands. Third party sellers do not pay the same hefty fees of eBay and Etsy of 20 cents per listing or sale fee of 3% + $0.20 per item, whereas with Amazon's platform there are various types of seller accounts that vary in fees depending if you use professional account manager service (fees starting at $39.99/mo) or sell over 40 items a month ($1-$2per item). You also want to be sure understand what categories you will be allowed to sell in, since there are some categories that you would not want to have your items listed under. You can check out the Amazon seller fee structure here for more information on selling fees. The Cons of Selling on Amazon There are also many cons of selling on Amazon which include: Amazon is stricter than eBay when it comes to rule enforcement so sellers need to be careful about their listings, descriptions and use of trademarks or copyrighted material. It's easier said then done especially if you are managing multiple accounts, shipping different products into amazon's warehouses, working with manufacturers overseas and trying to meet all the requirements. They don't make it easy even if you're new- they do give leniency for new sellers but remember this only lasts 90 days and if you violate any policy during that time it can be shut down immediately without warning. It's not just Rule enforcement to consider. There are also other disadvantages: Paying Fees: Amazon charges fees to sellers, and these fees vary by item and seller account type (Professional or Individual), but this fee structure is higher than eBay or Etsy who charge a flat rate for selling items on their platform without an added transaction fee.

3. Competitio Competition n This is especially true when it comes to private label brands where there can be hundreds if not thousands of competitors in each category. It's important to add unique value through your branded product page in order to stand out from the crowd; otherwise, you'll continuously lose out on sales against competitors who do. Additional Cost Additional Costs s Amazon wants to make sure they are getting a portion of your profits, so there is also monthly fee for using their fulfillment service and this may be an additional cost you would incur as a third party seller. What about Amazon's 'Fulfilled by Amazon' Program? One of the most popular services that Amazon created was by taking on some of the responsibility of managing the backend tasks such as relabeling, packaging and shipping out products so sellers didn't need to do it themselves. They referred to this as FBA (fulfilled by amazon) where sellers can send in their inventory and Amazon will take care of everything from storage fees, order handling and shipping- all you have to do is ship them product that is already packaged and labeled ready for sale. Amazon's FBA program has been a huge hit and one of the main reasons for its growth as it has given sellers confidence to sell more products on Amazon, but this can also be a double-edged sword which you need to be aware of before sending your inventory into amazon's warehouses..

4. First off, you are not in control of when amazon chooses to fulfill orders since they have their own warehouse staff that handle all incoming inventory. Sellers need to understand that they are not responsible for customer service or order management, so if there is an issue with shipping times or order mistakes amazon will always side with the customers protection first which doesn't really benefit sellers. Next up, you also need to consider the fees that Amazon charges in addition to your normal selling fees when it comes to using their fulfillment service. Sellers are charged by the cubic foot for storage plus a pick, pack and weight handling fee which can get expensive for large bulky items. For these reasons, it's good practice to look at all options before shipping product into Amazon, especially if you are trying to scale your business quickly since larger storage fees may not be worth the convenience of having Amazon do all the work. Amazon Handmade Basics Made Easy Just like eBay there are many advantages of selling on Amazon including global exposure , an intuitive user interface and popularity among customers looking for products online. Although, just like eBay where there was limited category restrictions- Amazon has created their own rules and policies when it comes to selling handmade goods which you need to be aware of before jumping in. The good news is that workarounds exist, so if you want to sell on Amazon but your product doesn't exactly fit the mold of what's allowed- there are still ways that you can get around this restriction and sell successfully on Amazon. Here we will go through some strategies for how you can go about buying or crafting a unique item that customers would be interested in buying and also detour from eBay's restrictions when it comes to listing handmade items.

5. How To Determine What Is And Isn't Allowed On Amazon Although there is no straightforward list detailing all guidelines for handmade goods, there are certain attributes that you need to consider when it comes to crafting or sourcing products that can be sold on Amazon. This includes: ▪ ▪ ▪ Is the product handmade? Does your product fall under a prohibited category? How many items are being made and/or shipped out each day? Determining what category your craft falls under is one of the first steps for if you want to sell it on Amazon, so let's have a look at some examples from eBay which will give sellers an idea about what type of things get removed from store fronts. First off, here are several categories that do not allow handmade goods: ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Beauty & Grooming Supplies Books & Magazines CDs, DVDs & VHS tapes Clothing Dresses Collect ible Coins Computer & Video Games Consumer Electronics Coins & Paper Money Collectible coins include all coins that are graded by a third-party grading service. What is considered "coin-like", is determined by the fact that it has the characteristics of coins, such as size shape and weight. Coins sold in protective plastic cases are an exception to this rule. Covers for cell phones or other electronic devices are also not allowed . You can find further details on eBay's Coin policy here . However, most crafty products do fall under these guidelines so there is no easy way around them unless you have your quality control set up properly which is outside the scope of this article.

6. Conclusion paragraph We take pride in helping you find the best way to sell your products online. If you're considering Amazon marketing services, we can help you navigate that process and determine if it's a good fit for your product or business. Let us know how we can be of service!