Amazon is one of the leading ecommerce platforms with millions of products on its platform. Starting your own business in the ecommerce industry can be a huge money making opportunity. However there are some things to consider before becoming an Amazon seller on Amazon. In this article we will discuss some of the things to consider before becoming an Amazon seller as well as how to sell on Amazon and be successful at it. So let’s begin…
How to Sell on Amazon for Beginners
If you’re looking to start selling on Amazon, here are some things you should know. Become an FBA Seller: If you want more control over your shipments but don’t have the time or resources to manage shipping and customer service. Then becoming an FBA (Fulfilled by Amazon) seller may be for you. With this option, your items will be stored in an Amazon fulfillment center. Until they sell and then shipped directly from the warehouse to your customers when they order.
To become an FBA seller, you’ll need to meet certain criteria and pay monthly fees of around $40 – $50 per month. In addition, there’s a one-time setup fee that ranges from $1 – $5 per product depending on the type of products being sold.
Another consideration is that while it doesn’t take long to list products as an individual seller. It can take up to two days for these items to become available as an FBA seller. There are also storage costs associated with sending items to an Amazon warehouse. Which vary based on what types of products you’re selling and how many units you’ve agreed to store with them. However, the biggest difference between the two options is that FBA sellers have the ability to provide free returns. Whereas if you list as an individual seller, you’ll need to set up your own return system outside of Amazon
List of Restricted Categories
As an FBA seller, you’re not able to list restricted categories like:
Alcohol.
Animals & Animal-Related Products.
Art – Fine Art.
Art – Home Decor.
Automotive and Powersports.
Composite Wood Products.
Cosmetics & Skin/Hair Care.
CPAP Cleaning and Disinfecting Devices.
Dietary Supplements
Drugs & drug paraphernalia
Explosives, Weapons, and Related Items
Tobacco & Tobacco-Related Products or hazardous materials such as flammable liquids.
List of products on Amazon
An additional consideration for those who would like to list their products on Amazon is what category they’d like to specialize in. Currently, there are over 70+ categories that differentiates themselves by specific topics such as Clothing & Accessories > Men’s Clothing > Apparel & Accessories > Ties & Neckwear. Once you choose a category to focus on, it’s important to keep your listings updated. Because Amazon changes their algorithms every so often and changes what gets shown where.
The last thing you want is for someone to click on your listing only to find out it has gone out of stock or the price has changed since they clicked on it. When setting up a new listing, it’s best to add inventory details right away. So shoppers know right away whether something is in stock. Give yourself at least 24 hours before adding any new listings. So people aren’t disappointed when they try to purchase something that isn’t available anymore. Likewise, make sure prices stay consistent across all listings so people don’t think they’re getting a bargain when ordering from you.
Overall, Amazon has become an increasingly popular platform to market products due to its expansive reach and increased competition amongst sellers. But before jumping in without considering all of the pros and cons first. It’s best to do plenty of research first!
Finding Good Products to Sell
When looking for products to sell, you want to find something that people are buying. But not necessarily just the most popular items. There may be some lesser-known products that have much better margins and less competition. You can do this by looking at the list of trending searches in your category. And keeping an eye out for Hot New Releases or Amazon Best Sellers in your product listing.
In order to research your potential buyers’ interests and behavior, take advantage of tools like Jungle Scout and Keyword Inspector. Once you have found some good options with high demand (and low competition). Set up a Shopify store using Fulfillment by Amazon (FBA). To get started!
Set up Amazon Account:
- Sign into your Amazon Seller account
- Choose Inventory from the menu
- Select Create Inventory Listing
- Click Add Product, search for the product you want to sell on Amazon, then fill out all the relevant information including title, description, price, condition and whether or not it is eligible for Prime Shipping.
- Fill in all of the necessary information about your item
- Save the inventory item
- Approve fulfillment
- Select Shipments
- Add shipment
- on the ship from tab select: Use Fulfillment by Amazon
- To make sure you don’t have any issues with fulfilling orders, pay close attention to how many units are in stock
- Make sure you fulfill orders as they come in
- Always check reviews and respond accordingly.
- If someone leaves a negative review, politely ask them to contact customer service instead of contacting them yourself.
- Keep track of feedback rating and try to maintain a 4-star rating.
If you don’t have time to handle all your customer service needs. Hire someone else to help out so that you’re still able to work on other parts of running your business.
Free Marketing Strategies
In terms of marketing, there are several free marketing strategies that sellers can use to boost their sales. For example, the Sponsored Products Campaign will allow you to promote your products through social media channels. Such as Facebook and Instagram without paying anything upfront.
Finally, if you need assistance with launching your online store, look into hiring a Shopify expert. Who will walk you through each step in setting up your eCommerce site. They can help you design your site, manage your inventory, automate shipping processes, and more.
They will even build custom apps for specific needs like MailChimp integration to collect leads or Slackbot integration to chat with customers. Once you’ve followed these tips on finding the right product to sell, getting started on Amazon won’t be difficult at all!
What Can I Sell on Amazon as a New Seller?
Sellers can list new or used items for sale on Amazon. Items must be listed in the condition specified by the listing format, such as New or Used. Sellers can also opt to offer their items in other conditions, such as Like New or Very Good. What Categories Can I List In As A Seller? : Most sellers will want to focus on either one category or a small number of categories that cover their products, but this is not required.
Some people find it advantageous to diversify and sell in many different categories that are relevant for the product type they’re listing. For example, someone who’s listing women’s clothing might decide to also list in Women’s Shoes, Purses & Accessories, Jewelry & Watches, Beauty & Personal Care. It can take some time to build up your inventory and get reviews from customers. So if you’re looking for quick sales it might be better to choose just a couple of categories. If you need help deciding what categories to sell in. Try browsing Amazon Best Sellers lists for an idea of what sells well.
Think about Your Own Preferences
You should also think about your own preferences: do you prefer to work at home or travel with your business? Do you like the idea of dealing with customer service inquiries? How much money are you willing to invest into the business upfront (Amazon charges an initial fee when listing items)? Are there any costs associated with printing or shipping your items?
Do you have enough storage space available to store all of the products that may come back unsold after a holiday season? How important is customer support to you, and how good are you at handling it? Have you looked into using third party services for fulfilling orders, returns, etc.? When starting out, you’ll likely end up doing a lot yourself because of the prohibitive cost of outsourcing these tasks. But these companies are essential for scaling once your business has grown.
The Advantages of Selling on Amazon
- The platform is very user-friendly. It’s easy for sellers to find the information they need to make their business successful, and it has been designed with them in mind.
- There is also no shortage of traffic, as Amazon attracts more than 150 million active shoppers every month.
- Sellers can use Fulfillment by Amazon (FBA) and store their inventory in one of the company’s fulfillment centers around the world. FBA means that when a customer orders an item from Amazon. It will be fulfilled by the seller and shipped from an Amazon warehouse to the customer’s home.
With this option, sellers save time and energy because all packing, sorting, picking and shipping is done for them by Amazon.
Sellers can also take advantage of other features like Vendor Express which allows them to sell new items quickly without having to deal with stocking inventory or shipping products themselves.
Another great feature of selling on Amazon is that there are also opportunities for arbitrage. Where you can buy an item at a lower price point and then resell it at a higher price point to earn extra money.
Benefits to Selling on Amazon
There are many benefits to selling on Amazon but it is important to do your research first. So you know what your risks might be if you decide to go through with this endeavor. One thing to think about is how much room you have in your house. If you don’t have enough space, consider renting out storage space near you or using Amazon’s warehousing services.
You should also be aware of all fees involved with selling on Amazon and keep up to date with any changes in policies. Fees may vary depending on whether you’re an individual seller or registered as a professional seller. There are limits to the amount of products that can be listed for sale at any given time. As an example, if you’re an individual seller, there is a limit of 40 product listings.
Once this limit is reached, sellers must either wait until slots open up or upgrade to Professional Seller status. When upgrading to Professional Seller status. Your monthly fee increases and the number of product listings goes up accordingly. For example, someone who sells 40 items per month would pay $40 per month. While someone who sells 10,000 items per month would pay $100 per month. Sellers should also note that if they become inactive for six months or more. Their listing privileges could be revoked by Amazon.
How Long Does It Take to Become an Amazon Seller?
Registering as an Amazon Seller is an easy process and will take about 15 minutes. Once you’re registered, it can take up to 7 days for the company to review your account. Once approved, you’ll be able to list items for sale in the marketplace. To start listing your products, go to Create Your Listing page and enter the product information.
If you have questions during this process, you can reach out to Amazon’s 24/7 customer service team via phone or chat. You should also create your own brand with a logo and slogan so people know who they’re buying from. Now that you know what needs to be done to sell on Amazon. How do you know if this is the right move for your business? That’s something only you can answer but I think that all entrepreneurs should give themselves the opportunity at least once in their lives!
Are There Any Amazon Seller Fees?
One of the first questions you should ask yourself is whether or not you will be shipping your products from home. Or have them shipped from an outside warehouse. If you choose to ship products from your home. There will be no additional fees for this service. However, if you choose to use an outside warehouse for storing and shipping. Then you will have to pay monthly storage fees in addition to any other costs incurred during the process.
You may also need to factor in rental costs as well as transportation fees when transporting goods between warehouses. These fees can vary depending on where your product is being stored. So it’s best to consult with a professional. Before deciding what method would work best for you.
Two Types of Selling Platforms
Once you’ve decided how many items you want to sell on Amazon, get ready to set up shop. There are two types of selling platforms available for sellers. Individual Selling Plan (ISP) and Professional Selling Plan (PSP). The difference between these two plans is based on how much you plan to sell. With ISP, the fee is $0.99 per sale, plus variable closing fees that depend on size and weight of your item(s).
PSP requires a subscription that ranges from $39-$99 per month but includes unlimited listings and reduced variable closing fees at just $0.20 per sale. For example, small items cost $1.00 to ship whereas large items cost $2.00 to ship through USPS Priority Mail Express. It’s important to know that every time you make a sale, you’re obligated by law to collect state sales tax (unless the buyer lives out of state).
Which means gathering customer information such as their full name and address along with filling out appropriate forms at all times while completing transactions. Something that can become quite complicated depending on how many transactions are made within a given period of time. Finally, remember that the Amazon Seller Fees will apply to anything sold on the site regardless of who fulfills the order.
How to Increase Sales on Amazon
Amazon ranks in the top five most visited websites on the internet. With so many people shopping online and purchasing from Amazon. It’s no wonder that there are so many sellers looking for ways to increase their sales.
There is always room for improvement as long as you have a plan. Let’s take a look at some of the best strategies available to help you sell more items on Amazon -Increase your customer reviews: According to an analysis done by e-commerce insights company Feedvisor, products with more than four stars see 38% higher conversion rates.
Provide detailed product descriptions:
Customers want to know what they’re buying before they buy it. Provide as much detail about your product as possible in your product description. Be sure to include information such as weight, size, color, style and care instructions. Include pictures or video if applicable.
The more details you provide about your product the better chance it has of being found among all the other listings on Amazon. Having high-quality photos will also make your listing stand out from others. A picture can be worth 1,000 words! If you have compelling images of your product, then customers will have a clear idea of what they are purchasing before clicking Add to Cart.
You should also think about adding keywords to your images (such as shoes) which allows shoppers who might not search for women’s dress shoes but rather dress shoes the opportunity to find them on Amazon. If customers don’t find the photo appealing enough or feel like it isn’t showing enough detail, they may go elsewhere in search of another item. You want to use these aspects wisely when creating your listing to give yourself the best shot of converting customers into buyers.
Create multiple listings:
One option is to create two separate listings. One would be just one size, while the other would offer various sizes and colors. Another option is splitting up your inventory into categories like clothing, jewelry, electronics and toys making it easier for buyers to find exactly what they’re looking for in order to make a purchase decision faster. It also makes it easier for you to manage your inventory.
For example, if you have five dresses in stock but only three come in red and two come in black, simply change your listing so it includes this detail. You could add (3/5 dresses available) after the red dresses category title to let potential buyers know that only three dresses come in this color or include 2/3 Dresses Available under black dresses letting potential customers know that only 2 of these items are still available for purchase. These small changes can lead to significant increases in sales.
Offer special deals:
Offering discounts or deals on certain days of the week, during certain holidays. Even just randomly through social media channels is a great way to drive traffic back to your Amazon page. Social media posts should ideally be posted periodically but not too often.
Once every couple of weeks is sufficient. Be sure to post the same message on your Facebook, Twitter and Instagram accounts. So that your followers on each platform are receiving the same content. Check in with your followers on a regular basis to find out how they are liking your new product or service and ask for feedback, questions or concerns they have.
Customer’s Feedback
This interaction provides you with feedback that you otherwise might not have had access to. In addition, you are able to create a dialog with your customers. Listening to what they have to say and responding accordingly shows that you are committed to giving them the best experience possible.
You’ll also want to be sure that your website is optimized for mobile devices and easy to navigate on any device, as well. And remember, it is always important to respond to negative reviews in a timely manner.
Asking for the customer’s contact information and resolving the issue as soon as you are aware of it goes a long way in terms of customer satisfaction. Remember that Amazon is merely an extension of your brick and mortar business. Building strong relationships and building trust are key components to success on Amazon. Happy Selling!