How to sell on Amazon for beginners?
At Amazon, sellers are obsessed with customers. The below snippet from Amazon proves that it’s no mystery to hide. The customers at Amazon want a trusted destination where they can purchase a wide variety of goods. As an Amazon seller, you take part in the river of better selection, better prices, and top-notch customer experience. So, to sell on Amazon as beginners possess a challenge and an opportunity at the same time.
Why Amazon for beginners?
The day you start selling on Amazon, you become a part of a business destination, that is a haven to sellers of all kinds. From fortune 500 to self-sufficient artists, who handcraft their goods, they all sell on Amazon. The reason being, “300 million active customers in more than 180 countries”.
Amazon reports say, following the third party joining Amazon in 1999, it has grown to 58% of Amazon sales. And, these are growing at 52% a year. Imagine being a part of a shop that large, doesn’t it astonish you!
How to sell on Amazon?: Quick beginners guide
Selling on Amazon is but an easy task. With so many options available one ought to sell much from one’s warehouse. The joining plans are as follows:
- Individual or standard plan: It costs $ 0.99 per sale. It requires no registration fees. There is the flexibility of selling any amount of goods or products.
- Professional or premium plan: It costs you $ 39.99 per month. If you want to sell more than 40 items a month, this plan is most fitting for you.
How much money do you need to kickstart your sale on Amazon?: Beginner essentials
E-commerce is the selling platform that gives you great potential in the visibility of your online portfolio shop. It gives you millions of customers to experiment upon. If you build your business with the appropriate strategy, sales partner, selling floods, and reliable product.
Hither money required as investment totally depends upon the type of business model you follow and the type of product you want to sell.
Amazon offers the plasticity of doing business without many optimum requirements. Below are some types of business models to adopt while kick-starting your online portfolio shop on Amazon:
- Dropshipping Warehouse Model: The business model includes buying from a second party and selling the product to the third party. This model requires no warehouse to operate. You just need the apt collaborators to operate.
- Vendor Collaboration Model: In this model, a vendor can sell using endorsement from a third party. A smaller seller gets the option of selling his or her products through a more popular or established business. The established party sells on behalf of the seller and he gets his freedom of doing business with some charges to apply for both sides.
- Feature Rich Warehouse Model: Hither the seller itself has a feature-rich warehouse and quality products. He sells on Amazon in a free manner.
How to create Amazon’s FBA account?
Below are some steps to create Amazon’s FBA (Fulfillment By Amazon) account:
- Step One: Create your Amazon seller account, then login to seller central to set up FBA.
- Step Two: Create your product catalog and specify Fulfillment By Amazon.
- Level Three: Prepare your products to ship to Amazon’s fulfillment center as per Amazon packing guidelines and shipping or routine requirements.
- Tread Four: Transmit your products to Amazon. Create your shipping strategy, print Amazon shipments ID labels, and convey your shipment to Amazon fulfillment centers.
What to sell?: Narrowing the beginners’ research
Starting an eCommerce business can make you feel dismal about it. While there are a lot of options to cover it doesn’t have to be complex or baffling. Some of the most popular brands and businesses like Anker started out in a meager manner, but they are big brands now with Amazon.
In order to excel on Amazon, you have to be very experimental and researchful on what to sell. There are products with a large customer base like mobile phones or electronics. Then there are products with a very little customer base. It means there is plenty of competition at some end while fewer at the other end.
Peculiar research gives you the following:
- A view of the customer base and market to focus upon.
- The list of products you should focus on as a beginner.
- The amount of money you need to kickstart the beginner’s module.
- The documentation you need to begin the process.
- The business partner you need as per your research optimization.
- The banned or restricted categories.
How do I deal with taxes?: Beginners’ tax guide for Amazon seller account
Tax registration is one of the most important things to do first in your checklist. Your personal tax information ( say Social Security Number) is precise to start with as you can claim any earning as personal income to start with.
Selling on Amazon as a beginner requires much more assistance if you are a newbie businessman. We would suggest hiring a professional Chartered Accountant (CA) to help you with the taxes.
As far as Amazon is concerned, beginners need to have a tax registration number to start with.
Selling on Amazon: The fee catalog
Let us discuss the whole fee catalog to sell on Amazon for beginners. The whole fee fabrication includes the following important things to include:
- The warehouse fee: The warehouse to keep your ‘ready for sale’ products is very much necessary if you are a solo beginner.
- Tax registration and documentation fee: As a beginner, to sell on Amazon you need to complete tax and other formalities as we discussed earlier. This too requires a prominent sum of the money if it is done with the help of salubrious profile professionals.
- Third-party costs: If you are selling your products endorsed by a third party, you need to have the extra money in the pocket for endorsements.
- For the dropshipping business module: You don’t need much money for this type except for the conventionalities section.
- Manufacturing costs: As a beginner, if you are selling a new homemade product you need to have a manufacturing unit and respective money in the bank for it.
- Transportation costs: You need a shipping partner to ship your products. Pick the top partner as per your needs. The one who delivers the product as per guidelines for delivery by Amazon. To choose a perfect delivery partner is the most essential part of the business on Amazon.
- Product advertisement costs: To make your product preferably visible in a particular market you need to advertise the product. Amazon offers numerous packages for product advertisement.
- The seller profile fee: As a beginner, you have to pay an amount as discussed earlier to kickstart for premium services being offered.
- Social media Advertisements: Social media advertisements should be done through the pay-per-click module (PPC) to optimize the costs.
Frequently Asked Questions: Amazon for beginners
Let us do some questionnaires for the sake of beginners on Amazon.
1- How do I bring traffic into my seller account?
For bringing traffic you need to add keywords in your product listing as well as in the seller profile. Learn how to add keywords from us at Sellers Attorneys.
2- How to remove negative feedback on Amazon’s seller account?
As a beginner, you need to take an expert’s advice. Since negative feedback might ruin your profile’s health. Take the expert’s advice from us. Please visit https://sellersattorneys.com/ for more information on it.
3- How to keep cool profile health, as a beginner?
Firstly, you need to focus on the appropriate kind of products to sell. Never list a banned or socially abusing product. For expert advice, we are there for you.
4- How to stay away from delivery failures?
Keep your delivery partners in check. Fancy an internationally recognized shipping service you are selling internationally and likewise. Keep the customer updated about the delivery details from your end as soon as you get them.
5- How to adhere to the seller’s guidelines by Amazon?
Read each and every line of it. Don’t hurry while taking notes for the same. Learn the guidelines by practicing them while selling the products.
For more information please visit the FAQs section on Amazon.
Conclusion: Success stories
As a beginner, selling on Amazon has been an aspiration for many. But only a few succeeded due to a sound strategy, an appropriate consultancy, and the choice of the right partners for the business. To sell on Amazon as a beginner is nowadays a tough task as there is a lot of competition.
Below are snippets of success stories on Amazon.