Selling on Amazon is one of the best ways to make money without having to take responsibility and maintenance charges of a shopfront and physical dealing with customers. This is a great way to make money, which anyone can use. Students looking for some part time earnings, and individuals looking for earnings from the home can use this. You can also become a full time dedicated seller on Amazon, and take on your ecommerce based business to the next level by associating with this world’s top ranked online shopping store.
To start with this, and become an online seller, you have to understand how to sell products on Amazon, which is described here in an easy to understand way.
The selling programs on Amazon
Before registering yourself as a seller, you will have to know the two main programs available here for sellers.
Amazon Vendor Central
The Amazon Vendor Central is that program where Amazon buys your products at a whole sale rate, and you get paid for them at once. After this it’s the job of Amazon to sell it at whatever price or condition they like at their whim. Your only job is to sell the products at wholesale to Amazon and grab your profits.
The advantage of this program is that, once the product is sold at bulk to Amazon, you have no other responsibility. The advertising, marketing, and display of products, selling and all is handled by Amazon. Hence you get relieved from the responsibilities and hassles of direct selling.
Amazon Seller Central
This is the most popular program where you as the seller are in total control of the inventory, and sell it through Amazon, by being referred to as the third party seller. Here the sale is made through your seller name or brand name, and your identity is disclosed. You have the discretion and control here on pricing, shipping, and also on fulfillment optionally.
In this program you have the option to choose to fulfill the product on your own by handling shipping, packaging and all, or else, you may leave the total to Amazon to handle. Fulfillment by Amazon (FBA) and Fulfillment by Own (FBM) are the two options before you.
How much Amazon charges you
You would be charged by Amazon for selling through them. The charge depends on the percent of profit you make. There are slabs for this. Other than this commission from profit which Amazon charges, you are also charged for the following:
• Item handling fees
• Item weight
• Storage cost for the item based on area occupied and size
• Picking and packaging of the item
The fixed charges which you have to pay to Amazon depends on whether you enroll as a professional seller or individual seller.
There are three types of fees charged by Amazon. They are the referral fee, closing fee, and shipping fee. The referral fee starts from 2% and then varies as per product category. The closing fee varies as per price range of product. Then there is the shipping fee, which is 38 INR per item. These fees are for FBM sellers. For FBA sellers the fees are lower.
How to sell on Amazon
The overall step by step guide to sell on Amazon as a third party seller as Amazon fulfilled are here:
• You will have to settle on what you want to sell on Amazon. It may be one or more products.
• You will have to list your product on Amazon. For this you need to declare a price for it, and write product description, a suitable title etc.
• The product must be boxed and prepared for shipping to the nearby Amazon warehouse.
• FBA products need to be sent by you to the assigned Amazon warehouse, and then their packaging and shipping gets handled by Amazon.
• Amazon will verify that you have sent the right item in right quantity. Once this is checked and the item gets stored in the warehouse with seller details, the listing on the website would get activated.
• The item stays stored till any customer places an order.
• When the item is ordered, Amazon sends the item to the customer address.
• After this your share of the sales would be deposited in your account by Amazon. This amount is determined when Amazon deducts its fees and charges from the final selling price.
• The payment gets deposited in your bank account every 2 weeks.
The overall process of selling through Amazon is quite easy and profitable. Being an Amazon Certified Seller you will have to do proper advertising and marketing for your products through various digital marketing methods. Also, use revexpo.com to review and certify your products to gain more customer trust. However, care should be taken that you don’t disclose or discuss your Amazon product price on any other website as per the rules of Amazon. One who can follow these simple steps can easily sell any product on Amazon.
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