Selling products through Amazon
Your products will get potentially huge amounts of exposure - although your brand won't.
Everything sold at Amazon is sold on an Amazon branded page and very much feels like you are buying from Amazon, even though behind the scenes you are the seller. But in some ways this is a good thing - the Amazon brand is synonomous with online shopping and has very high credibility among consumers. This means you never have to face the question of trust when someone is about to place an order for your products.
The tools that Amazon have are very extensive and if you use them well your product will be recommended when other similar products are displayed on the site.
Amazon even have a logistics system (FDA -'Fulfillment by Amazon') that allows you to store your products in their warehouse and they will even arrange the packaging and dispatch for you.
This all sounds amazing right? Well Amazon's fees are many and possibly suffocating. If you are small business with a small amount of product and relatively low margins it will be difficult to make a decent profit, especially if you choose the FBA option. Additionally if you are selling products that are also available from other sellers you will be competing with them on their established star rating and price.
So the ideal Amazon re-seller will have a good number of relatively unique products with good profit margins and of course some public demand. If you fit this profile then it could be the only sales channel you need.
- Huge potential audience
- High credibility platform
- Potential to remove your logistics responsibility
- Lots of fees
- Your brand won't be featured
- Will only suit a certain type of seller