Are you ready to leverage a vast Customer base and potential profits from selling on Amazon? Whether you’re an established company looking to expand your reach or a beginner entrepreneur starting from scratch, selling on Amazon can change the game.
But where do you start? How do you begin selling on Amazon? How do you navigate the intricacies of the Amazon platform and stand out among millions of other sellers? Don’t worry, we’ve got you covered.
In this article, we’ll guide you through five fundamental steps to help you start selling on Amazon. From setting up a Seller account to optimizing product listings, we’ll provide you with the knowledge and strategies needed for success in the competitive Amazon marketplace. So let’s dive in and unlock the keys to success in selling on Amazon! Read more 3 tips for Sellers who want to increase sales on Amazon.
Step 1: Create a competitive product offering 🏷️
Choosing a competitive product offering is crucial for success on Amazon. Before starting to sell, it’s essential to understand the limitations and fees associated with the platform. Amazon has specific requirements and restrictions for selling products, such as prohibitions on certain categories, restrictions on used products, marketing requirements, and more.
➡️ Conduct market research to identify profitable products: Various tools, such as Jungle Scout, can assist in analyzing the popularity and profitability of products on Amazon. Priority should be given to products that are small, lightweight, and easy to rebrand. A smaller and lighter product may have lower shipping and storage costs, contributing to higher profitability.
➡️ Be competitive: Selling popular products with high competition can be challenging, especially for novice Sellers. Therefore, consider looking for products in less competitive categories or with unique features that can stand out in the market.
➡️ Consider your skills and interests: Choose products related to your experience or passion. This makes marketing and selling easier as you can better understand the needs of your target Customers.
➡️ Check restrictions on selling specific products on Amazon: Some products may require special authorization or meeting specific criteria. For example, food products, dietary supplements, and cosmetics may be subject to special regulations.
➡️ Check fees associated with selling on Amazon: Amazon has various types of fees, such as a product listing fee, storage fees in Amazon warehouses, and order fulfillment fees. Before starting to sell, it’s essential to understand these fees and factor them into profit margin estimates.
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Step 2: Register for an Amazon Seller Account ✅
After analyzing the market and selecting a competitive product offering, it’s time to move on to the next step – registering for an Amazon Seller Account. This is a necessary step that allows you to sell your products on the Amazon platform.
Choose a Seller plan 🗂️
Choosing the right Seller plan is a crucial step in starting to sell on the Amazon platform. Amazon offers two main Seller plan options: Individual and Professional. Depending on your needs and expectations, one of these plans may be more suitable for you.
The Individual plan is designed for Sellers who sell fewer than 40 products per month. It’s a good solution for new Sellers who are just starting their journey with Amazon. The Individual plan does not require a monthly fee but charges a per-item selling fee of $0.99, plus additional fees related to sales commission.
The Professional plan is dedicated to Sellers planning to sell a larger number of products. In this plan, the monthly fee is $39.99, but there are no additional per-item selling fees or sales commission. The Professional plan also offers many additional benefits and tools, such as access to sales reports, the ability to advertise your products, and the option to use promotions.
It’s worth noting that there is also a third type of selling plan called Amazon Vendor. This plan is available only to invited Sellers and involves direct selling of products to Amazon, which then resells them. Sellers with an Amazon Vendor plan are not directly involved in the sales and Customer service process but receive payment for their products from Amazon. Amazon is not responsible for delivering the product to its warehouses – that is the Seller’s responsibility.
There are two types of selling plans on Amazon: Individual and Professional. If you are just starting and plan to sell a small number of products, the Individual plan may be more cost-effective. However, if you plan to sell intensively and utilize additional tools and features offered in the Professional plan, it’s worth considering investing in it.
Seller Account Registration on Amazon ☑️
If you are considering starting to sell on Amazon, begin by registering a Seller account. Creating an account is simple and easy to accomplish. Here are a few steps to help you register on Amazon and start selling.
✔️ Go to the Amazon Seller Central website:
To initiate the registration process, visit the Amazon Seller Central website. At the end of the page, you’ll find the “Sign Up” option, which you should click to continue.
✔️ Choose the account type:
During registration, you will need to choose between two types of plans: Individual and Professional. The Individual plan is ideal for new Sellers who sell fewer than 40 products per month. The Professional plan is for Sellers planning to sell a larger quantity of products. The previous section provides guidance on selecting a plan.
✔️ Fill out the registration form:
After choosing the appropriate plan, you will be prompted to fill out the registration form. This form requires basic information such as email, first name, last name, and password.
✔️ Prepare necessary documents and information:
During registration, you will need to provide certain documents and information, such as a bank account number, credit card number, government-issued ID, and tax information. Ensure you have these documents and information prepared before starting the registration process.
✔️ Verify your account:
After completing the registration form and providing the necessary information, you will need to verify your account. Verification requires providing data such as a payment card, business email address, company registration details, phone number, bank account number for payment settlement, and a passport or other document for identity verification.
Once registered on the Seller Account, you will have access to various tools and features that will help you manage and grow your business on Amazon. You can create and manage your product listings, monitor orders, and handle Customer inquiries.
It’s important to note that regardless of the chosen plan, there are fees associated with selling on Amazon. The Individual plan does not require a monthly fee but charges a per-item selling fee of $0.99, plus additional fees related to sales commission. The Professional plan costs $39.99 per month but does not have additional per-item selling fees or sales commission. The Professional plan also offers many additional benefits and tools, such as access to sales reports, the ability to advertise your products, and the option to use promotions.
Step 3: Creating product listings 📃
This process is crucial for presenting your products to Amazon Customers. It’s important to be accurate and careful when creating product listings, as this will impact how products are displayed in search results and the ease with which Customers can find them.
Manually adding a product to an existing listing ✍️
To add your products to an existing listing on Amazon, you need to follow a few simple steps. Here’s a step-by-step guide on how to do it:
✏️ Searching for the product
Start by logging into your Seller account on the Amazon Seller Central website. Then select “Inventories” from the top toolbar, and click on “Manage Inventory.” On the “Manage Inventory” page, enter the name or code of the product in the search field. Amazon will display a list of matching products.
✏️ Adding the product to the list
Once you find the appropriate product, you’ll see the option “Sell yours.” Click this button to start the process of adding your product to the existing listing.
✏️ Completing necessary fields
After clicking “Sell yours,” you’ll be redirected to the product listing creation page. Fill in all the necessary information visible to Customers. Enter the price, quantity of available products, condition (new, used, etc.), and other relevant details. Also, ensure the quality of the product images. Then click the “Save and finish” button to continue.
✏️ Waiting for approval
After filling in all the required fields, your product will be reviewed by Amazon to verify compliance with guidelines and policies. You must wait for approval before your product becomes a “live listing.”
✏️ Managing product listings
Once your product is accepted and appears as a “live listing,” you can manage it from your Seller Central account. You can track the number of units sold, check reviews, update product availability information, and more.
Remember, attention to detail and accuracy in creating a product listing are key to success on Amazon. Make sure you enter all the necessary information and meet quality standards to gain Customer trust and achieve sales success.
Manually creating a new product listing 🖐️
Amazon is one of the largest and most popular e-commerce platforms globally. Therefore, if you have a business or want to start selling online, it’s worth considering selling your products on this platform. Keep in mind that to start selling on Amazon, you need to manually create a new product listing. How can you do that?
It’s essential to understand that this process is for Sellers with Amazon Professional accounts. If you have an individual account, you won’t have access to this feature. To use the manual product listing creation feature, you must have a paid account plan.
👉 Keyword research
Before starting the process of creating a new product listing on Amazon, it’s advisable to conduct keyword research. Use keyword research tools such as Amazon Seller Central, Jungle Scout, or other external tools to find appropriate and relevant keywords for your product. Keywords will help your product be more visible in Amazon search results.
👉 Choosing a category
Another step in creating a manual product listing is choosing the appropriate category. The product category is crucial for consumers browsing Amazon product pages. Make sure you select the right category for your product to reach the target audience. If you’re unsure which category to choose, Amazon has an extensive list of available categories to help you identify the right one for your product.
👉 Providing product information
When manually creating product listings on Amazon, it’s essential to provide all necessary product information. For each product you want to sell on Amazon, you must provide relevant product images. The images should be clear, high-quality, and have a white background. Remember that images are one of the most important factors that attract Customers’ attention and influence their purchasing decisions.
Another crucial piece of information to provide is an accurate product description. The description should be thoughtful, contain essential product information, and be optimized for keywords. Optimizing keywords in the product description helps your product be more visible in Amazon search results. It’s advisable to include product descriptions in the language of the country where you are selling, especially for items like supplements, to avoid allegations of allergy to its ingredients and lack of knowledge of its name in another language. It is obligatory to assign GTIN (Global Trade Number), such as ISBN or EAN, to the products.
👉 Checking and submitting the application
After filling in all product information, carefully check whether all data is correct and there are no errors. Then click the “Submit” button to send the application to create a new product listing on Amazon. After submitting the application, you will receive confirmation that your application has been accepted and is awaiting review by Amazon. Some products may require special approval from Amazon before they can be allowed for sale, such as high-proof alcohol or food products.
👉 Acceptance and managing the product listing
After submitting the application, you will wait for acceptance from Amazon. The waiting time for approval may vary depending on the load on the Amazon site and the type of product. Once accepted, your product listing will appear on the Amazon page as an active offer. You will be able to manage the product listing, monitor sales, update product information, and respond to Customer reviews.
Managing product listings: Use bulk upload tools or a product channel 🏟️
Using bulk upload tools or product data channels is recommended for professional Sellers who have a large number of products to manage on Amazon. This allows you to add and update product listings in bulk, which is much more efficient than adding each listing individually. Sellers can use these tools to manage their product listings, add new products, update existing data, and maintain consistency between their website and product listings on Amazon. This enables effective management of multiple product listings and influences sales success on Amazon.
Step 4: Managing Inventory on Amazon 🧺
Managing inventory on Amazon is crucial for the success of your store. It’s essential to maintain accurate stock levels as it affects your Seller rating. By accurately managing inventory, you increase your chances of getting a high Seller rating, which can attract more Customers.
➰ Maintain accurate inventory levels
Amazon automatically reduces inventory levels after product sales, avoiding the sale of unavailable products. However, if you also sell on other platforms, you may need to find a solution to synchronize your inventory levels across different platforms.
➰ Use high-quality images
Well-crafted and professionally looking product images attract Customers’ attention and increase the chances of making a purchase. Ensure that you have product images both on a white background and in use to show different perspectives and features of the product.
➰ Keywords
Conducting keyword research can help optimize your product listings. Focus on words that are most relevant to your product and popular Customer searches. Add these keywords to the product title and description to help Customers find your product.
➰ Show social proof
Product reviews and Customer opinions can help build trust among other potential Customers. Track and respond to reviews, be open to Customer feedback, and create a positive experience for Customers.
➰ Drive external traffic
You can use various marketing strategies, such as advertising campaigns, social media, blogs, and affiliate links, to drive external traffic to your product page on Amazon. Increasing traffic to the product page can enhance the chances of converting Customers into purchases.
➰Utilize Amazon’s analytical tools
Amazon offers various analytical tools that can help monitor the performance of your store. Analyze sales data, traffic, product ratings, and other indicators to better understand your Customers and make strategic decisions.
Step 5: Configure order fulfillment and shipping 📦
Once your products are ready for sale, the next step is to configure the order fulfillment and shipping process. In this step, you need to decide how your products will be delivered to Customers, set delivery costs, and establish other shipping preferences.
Self-fulfillment of orders on Amazon (FBM) 🚶
If you are an individual Seller on Amazon and prefer to handle the packaging and shipping of your products yourself, you can use the Fulfillment by Merchant (FBM) option and use Amazon fulfillment centers. This method assumes that as a Seller, you are responsible for handling the delivery process and shipping to the Customer. It is a good option for those who want to maintain full control over the entire process. However, it’s essential to keep in mind that with this delivery method, the Seller bears full responsibility for delivery and Customer satisfaction.
The process of self-shipping orders on Amazon (FBM) consists of several steps:
💥 Pack your products properly before shipping – Ensure you have suitable packaging materials, such as boxes, fillers, tapes, and address labels. You can personalize the packaging by adding your promotional materials or a thank-you note for the purchase.
💥 Generate shipping labels – Amazon provides the Buy Shipping tool, allowing Sellers to generate shipping labels directly from the Seller Central platform. This tool provides an easy and convenient way to create labels, saving time and effort. Make sure you use the correct delivery and tracking options to ensure proper order handling.
💥 Send products to a local post office or use courier services to send the package to the Customer. Ensure you track the package after sending it to ensure it is delivered on time and in good condition.
For self-shipping orders (FBM), the primary rule is fast and reliable delivery. Customers appreciate prompt service and access to up-to-date delivery status information. Therefore, it’s crucial to prepare and dispatch the package as quickly as possible to ensure a positive Customer experience.
Let Amazon handle and ship orders (FBA) 👤
One popular method that Sellers use on Amazon is the Let Amazon Fill & Ship Your Orders (FBA) option. With this option, Sellers send their products to Amazon’s warehouses, where they are stored, packed, and shipped to Customers, shifting the burden of handling the end Customer to Amazon. FBA offers many benefits that can significantly impact sales. Additionally, Sellers can learn how to advertise their products on Amazon through Seller Central. It’s worth noting that there is an option to freely switch between the FBA and FBM selling models.
Benefits of FBA 💲
✳️ Increased sales potential – Thanks to Amazon Prime, Customers are offered free two-day delivery, which encourages purchases. By using FBA, your products will be marked as available to Prime Customers, increasing their attractiveness. Moreover, Amazon has extensive experience in shipping and handling returns, contributing to Customer satisfaction.
✳️ Ease of order handling and access to a wide Customer base – Amazon takes care of the packing and shipping process, allowing Sellers to save time and effort. Sellers do not have to worry about logistics and shipping procedures. Amazon also has a massive Customer base, resulting in greater visibility and higher chances of making a sale.
⚠️ How to advertise? ⚠️
Learning how to advertise products on Amazon can bring significant benefits to Sellers. Amazon offers various advertising options to help reach Customers and capture their interest in products. Below are 12 advertising options available to Sellers on Amazon:
🚧 Amazon Attribution (Beta): This option allows tracking the effectiveness of ads on and off Amazon. Conversion tracking can be set up to learn which ads yield the best results.
🚧 Amazon DSP: Amazon Demand Side Platform (DSP) enables advertising products on websites and apps affiliated with Amazon. This helps reach a larger number of potential Customers.
🚧 Amazon Live: This option allows live streaming of content, providing Sellers an opportunity to showcase their products in real-time and answer Customer questions.
🚧 Audio Ads: Amazon offers the option to advertise products using audio ads. This is particularly effective for users utilizing voice assistants like Alexa.
🚧 Custom advertising solutions: Amazon also offers flexible advertising solutions tailored to individual Seller needs. This provides greater control over the advertising process and customization to fit the brand’s specifics.
🚧 Posts (Beta): This new option allows Sellers to share inspirational and informative content about their products. It’s an excellent opportunity to build engagement and Customer loyalty.
🚧 Sizmek Ad Suite: This advertising platform available on Amazon allows the creation, management, and monitoring of ad campaigns across various channels and devices.
🚧 Sponsored Brands: This option allows Sellers to promote their brand and selected products on Amazon. These ads appear on search result pages and attract the attention of potential Customers.
🚧 Sponsored Display: This form of advertising allows reaching Customers who are browsing products similar to yours. This increases the chances of attracting
🚧 Sponsored Products: This option allows advertising specific products on Amazon. Ads appear on search results pages, increasing the chances of making a sale.
🚧 Stores: Sellers on Amazon can create their own stores, personalized websites where they can showcase their products and brand.
🚧 Video Ads: Amazon also offers the option to advertise products using video ads. This is an effective tool for capturing the attention of Customers and showcasing products in action.
All these various advertising options on Amazon provide Sellers with different ways to reach Customers and promote their products. Utilizing these options can effectively increase visibility and sales, contributing to the success of a business on Amazon. Well-crafted and strategically planned advertising campaigns can help engage Customers and boost sales. It’s worthwhile to explore and experiment with different advertising options to find the ones that best fit your business and products.
Summary
Selling on Amazon can be profitable if done correctly. It is similar to an online store, but adherence to platform rules and a good understanding of it are crucial. Amazon offers broad reach and a Customer base, making it an opportunity for both new and established Sellers. Key factors include precise product selection, inventory investments, advertising, and strategic planning. Customer satisfaction, optimized product offerings, and leveraging Amazon’s order fulfillment services are important for achieving success. It’s essential to remember that careful consideration and planning are crucial for development in a competitive market.