How To Create An Amazon Seller Account In 5 Steps

It has become nearly impossible to remember a time before Amazon. Today, Amazon ships out roughly 1.6m packages every single day. As such, many are naturally interested in trying to get a piece of the business opportunities this offers.

An Amazon Seller Central account is the way independent sellers approach Amazon. As Amazon itself reports, over half the units sold on Amazon are from these suppliers. Understanding how to start selling on Amazon begins here.

If you’re wondering how to create a selling account on Amazon, we’re here to help. Seller Central Account creation comes down to a five-step process:

Step #1: Choose Your Products

Before you can begin selling, the first step is to know what you’ll have on sale. It’s important to pick something you’re passionate about without many current options. Very few products are off-limits today, and it’s generally possible to start a business with any product you enjoy.

After picking a product you want, browse through the listings on Amazon and get to know the competition. If too many products are already on the market and yours doesn’t offer something new, it might be best to pick something else.

Step #2: Pick a Business Model

There are several models of business on Amazon. The five main business models to choose from on Amazon are:

Arbitrage – The retailer finds underpriced or on sale items and resells them for a profit. Depending on the product, this may mean a large amount of profit on the item, but their sourcing can be unreliable.
Private Label – With a private label, businesses take on existing products and rebrand them with their logo. The products are then produced elsewhere for you before applying your label. The downside of this is that they are not often very customizable.
Dropshipping – The seller doesn’t have to worry about keeping or mailing any inventory with dropshipping. Instead, they collect payment and arrange for the product’s shipping from a third party.
Wholesale – involves buying items in bulk to get a better price and then reselling them for a profit.
Handmade – Selling items that are handmade by the seller.

Each of these methods has its own advantages and disadvantages. What makes one the best option for you depends on your specific needs and desires.

Step #3: Choosing Your Fulfillment Method

Once you have decided on your product and how you will sell it, the next step is to determine fulfillment. When selling on amazon, this comes down to two main choices: fulfillment by Amazon or the merchant.

Both options are great for different crowds, and the right one for you depends on a host of factors. Here is more on the main options to choose from:

Fulfillment by Amazon (FBA)

With FBA, Amazon handles fulfillment, customer service, and logistics. This method is for packages that are small-to-medium in size and lightweight. Depending on your product and situation, this may be a less expensive option to store and ship your products.

Fulfillment by Merchant (FBM)

If you’d prefer controlling your interactions with customers and inventories, FBM might be the right option. With this form of fulfillment, merchants handle their customer service, storage, and shipping. They also are in charge of finding a storage solution for their back stock.

Step #4: What Type of Seller Are you?

After starting your account, you will need to choose between the two different options for sellers. These two choices are:

Professional

Apply for this when you plan to sell more than 35 products per month. Professional also offers access to data and reports and allows the use of other programs like Handmade or Launchpad.

Individual

The individual is a better option for smaller sellers that are not interested in reporting tools or external programs.

Step #5: Hire Outside Help

Setting up and managing your Amazon Seller Central account can be complicated. It is imperative that it is set up correctly and utilized appropriately, but best practices aren’t always easy to do.

That is why many seek help from professionals like the ones at Anata. Our dedicated team of experts is here to set up and manage your Amazon Seller Central Account. Once you’re up and running, we will provide you with market analysis, keyword research, ranking strategy, etc.

Using a blend of marketing innovation and network collaboration, Anata is here to help you shine in the marketplace. The amount of competition on Amazon can make standing out seem impossible, but we’ve got the tools to get your products seen.

Call us today at (801) 901 0620 or contact us online to see how our team can help grow your business into what you’ve always wanted it to be!

September 3, 2020September 1, 2020

A Complete Guide of Amazon Brand Registry

With so many sellers flooding Amazon’s platform on a daily basis, it can be easy for some brands to become nervous about their reputation and products getting entangled with counterfeits, dishonest sellers, and misrepresented customer brand experiences. Amazon understands these fears. That is why Amazon launched Brand Registry which is a program that gives verified brands more control over their branding and storefront across Amazon’s platform.

Since its inception, Amazon has continuously improved upon their original concept and created a suite of tools that help businesses on Amazon grow and build their presence. This is a highly recommended feature to enroll in for sellers on Amazon that are interested in protecting their intellectual property.

What is Amazon Brand Registry?

Amazon’s Brand Registry is a program that helps brands protect their ideas and products by utilizing trademark, copyright, and patent protection. It allows verified brands to quickly identify violations and misuse while also providing resources for expanding customer reach and relationships.

Purpose

Before Amazon’s Brand Registry was created, Amazon was facing multiple lawsuits from brands who were upset with their inaction in preventing the distribution of counterfeit products as well as not protecting them from other violations regarding intellectual property. Amazon created a Brand Registry to remediate these issues and place more control into the hands of brand owners.

How Does Amazon Brand Registry Work?

This process works through an enrollment period which helps identify brand owners to Amazon. This program is staffed by a team of dedicated Amazon employees and experts that handle cases regarding stolen intellectual property, policy violations, and listing or technical issues.

The original version of Brand Registry came with multiple problems especially as product and brand hijackers abused the program. Since then, Amazon has worked to improve this experience for its sellers and customers that shows their dedication towards their sellers who are serious about creating brands. A few of the measures they implemented include:

Separate and dedicated user login and interface that does not tie back to Seller Central.
Advanced reporting tools for brands to submit counterfeit products or listings.
Search capabilities that allow brands to seek out products that may be violating copyrights, policies, or trademarks.
Agent adding capabilities which allow designated users access to tools in the Brand Registry.
A distinct team at Amazon who solely handles reported violations.

Benefits of Amazon Brand Registry

The benefits of utilizing Amazon’s Brand Registry is that sellers will be able to keep a comprehensive eye over their listings and their brands. This allows brands to easily track any product, trademark or copyright misuse or violation while focusing on what is important to them-growing their brand. Brand Registry comes with many features that help sellers optimize their products and listings and build a solid customer base.

Additional Benefits That Come with Brand Registry

There are a variety of additional programs that sellers can access alongside proactive brand protection. These include powerful advertising tools and store monitoring capabilities.

A+ Content

A+ Content allows brand owners to tell stories about their products in an enhanced way. This tool allows sellers to describe product features using unique stories, images, and text placements. Utilizing this tool has been shown to result in higher conversion rates, anywhere from a 7-11% increase. Reference this Amazon resource to get started with configuring your modules.

Amazon Vine

Amazon Vine gives participating vendors an opportunity to gather honest reviews from a community of Amazon’s most trusted reviewers. These reviewers are chosen based on their reviewer rank and offer valuable benefits to vendors who are looking for opinions that may help boost their product and brand experience. Bear in mind that these reviews come directly from the Amazon Vine community and cannot be influenced or edited by the brand.

Improved Amazon Store

There are a couple of nice features that Amazon Brand Registry supplies those that are successfully enrolled into the program. Among them include ways of boosting a brand’s virtual storefront and providing customers with more extensive overviews of products and services.This is accomplished through the option to add videos to Amazon listings alongside images. Vendors are also able to build store pages that showcase all of the products being offered and create a more cohesive storytelling experience for their brand. Live streams have also become an available feature which allows brands to interact with their customers in real-time and give live demonstrations of their products.

SEO and Advertising

Putting in the work for advertising is an obvious aspect of running a business. But, Amazon’s Brand Registry helps its vendors out with key aspects of this process. With search term optimization capabilities and a larger variety of ad displays, Brand Registry participants can more easily expand their customer base. Vendors will have the opportunity to utilize sponsored brand banners as well as sponsored displays to attract attention to their brands. Both of these options will give businesses some added level of creative control when it comes to advertising.

Tracking and Analytics

Enrolling in Amazon’s Brand Registry also opens up analytics and tracking tools within Seller Central and Vendor Central. This includes a customized Brand Dashboard that allows vendors to see how competitive their prices are, Amazon Prime eligibility of products, and an in-stock rate. On top of these features within the dashboard, brands will have access to data insights that show them information from products that are being browsed most often to conversion rates.

Virtual Bundles

This tool allows brands to create product bundles by combining complementary Amazon Standard Identification Numbers (ASINs). These unique numbers identify items and products and allow for brand owners to offer bundles which can be purchased together without requiring the brand to pre-package them together for Amazon.

Requirements for Enrollment

Enrolling for Amazon’s Brand Registry is simple and comes at no cost to the vendor. This can be done by any entity that has a registered active text or image-based trademark. This trademark is something that must appear on all products or packaging that is sold by the brand. Because every country is different, make sure to double check that you are meeting your country’s eligibility requirements. Amazon makes it easy for vendors with a specific link that addresses eligibility requirements by country.

Those that do not have an active registered trademark can submit a pending trademark application through Amazon IP Accelerator. This tool helps businesses obtain intellectual property rights to their brand by connecting them to law firms who specialize in intellectual property. Read this Amazon blog post for more information about the IP Accelerator.

In addition to providing a trademark, brands must be able to verify that they are the rightful owner of the business. This can be done through the public contact listed on the brand’s trademark registration.

How to Sign Up

After reviewing the preliminary eligibility requirements, brands can begin the process of signing up for Amazon Brand Registry. Remember that these applications can only be submitted by trademark owners who are verified through the brand’s trademark registration.

Once the requirements are met, brands can sign into their existing Seller Central or Vendor Central accounts. It is extremely important that brands do this on behalf of themselves rather than letting agencies or third-party sellers register their brand for them. These entities can be added as “agents” or “sub-users” at a later time.

The last step is to enroll the brand or brands into Amazon’s Brand Registry. To do so, vendors will need to be able to provide Amazon with the following information:

Brand name with active registered trademark that shows on products and packaging
Trademark registration number
List of product categories where brand should be listed
List of countries where the products are made and distributed

Once these materials are submitted, Amazon will review each application and grant enrollment status to those they believe have met the criteria. This approval process varies but most people can be approved within 24 hours if the teams at Amazon aren’t too busy. For a more extensive look into how to get started, visit Amazon’s easy three step list for how to get enrolled in their Brand Registry.

Product Distribution Control Tactics

Remember that enrolling in Amazon’s Brand Registry does not prevent other vendors from selling products from a certain brand. While Amazon does play a large role in helping brands automatically flag infringements, they do not enforce or stop many distribution issues. It is the responsibility of the brand to control their own distribution and enforce things such as Minimum Advertised Price (MAP) or stop gray imports. Amazon’s Brand Registry only works to protect listing content. Those looking for strategies to control distribution to utilize some of these tactics.

Transparency by Amazon

Those that experience consistent counterfeit product issues can also look into Transparency. This is a proactive counterfeit protection service that works through implementing product serialization. This process gives customers the ability to authenticate any product that has been “Transparency-enabled” as well as access product information like manufacturing dates, locations, or ingredients. Customers can easily find this information when they scan Transparency codes of the product through the app.

Transparency works in a few simple steps. First, brand products need to be enrolled into Transparency. Then, item specific Transparency codes need to be applied to each product. Lastly, these products can be authenticated on Amazon’s end before items are shipped and also on the customer end, regardless of where the product was purchased.

Brand Gating

Also known as restricted branding, this is where third-party sellers need to be approved before being allowed to sell a brand or its products. This allows brands to retain control over their distribution and labels. Sellers usually need to have invoices or letters of approval from brands to prove their background as well as paying a potential fee. Brand gating limits counterfeit products and prevents unauthorized resellers from selling a brand’s merchandise.

To get a brand gated, companies need to enroll in Amazon’s Brand Registry and then contact the local seller support with information about the brand. Using an IP lawyer can help with this process and you can use Amazon’s IP Accelerator to get in touch with IP experts. Make sure to forward a list of any authorized third party sellers as well as a priority list of ASINs if you are trying to take immediate action. Ultimately, Amazon will brand gate everything within a brand once everything is submitted and reviewed.

Amazon Project Zero

This anti-counterfeit program works to reduce the amount of counterfeiting through three main components. Project Zero was originally available to ten countries but has recently expanded to include seven additional countries and is eligible for Brand Registry enrolled brands that meet a certain criteria. Besides holding the rights to the trademark, brands must have had 90% of their potential infringement reports approved by Amazon within a six month period.

Amazon Project Zero targets these areas to decrease the amount of counterfeit products.

Automated protections. This works by using the information that brands provide as key data points to use in automated, daily scans of the billions of listings on Amazon’s platform. This
Self-service counterfeit removal. This allows brands to personally remove counterfeit listings from stores without needing to go through Amazon. This information is also reutilized by the machine learning, automated potections process.
Product serialization. Unique codes are applied to items to verify authenticity of every product before it reaches the customer.

Brands that are qualified for Brand Registry enrollment can reap plenty of benefits from its programs and features. And, as Amazon continues to grow as a leader in the e-commerce industry, it will only continue to improve upon what they offer their brands in terms of maximizing sales and autonomy over brands. There are plenty of areas and tools to explore when it comes to Amazon’s Brand Registry, all of which will only go towards building your brand. You can visit seller forums on Amazon’s Seller Central to find more advice on the brand registry and ask any additional questions you may have.

Screenshots taken by author, August 2020.

August 27, 2020August 24, 2020

Walmart Doubles Marketplace Size 12 Months

Amazon is one of the biggest retailers that comes to mind when thinking about e-commerce marketplaces and has been a go-to spot for sellers and buyers alike. However, many other retail giants are making a play for Amazon’s spot in this space and are succeeding in attempts at eventually surpassing Amazon in the online retail industry.

Walmart Doubles Marketplace Growth

Walmart’s recent partnership with Canadian based commerce platform plays a large role in the retailer’s growth. After expanding their online marketplace presence to include many of Shopify’s small businesses, Walmart has added thousands of merchants to their online retail store. The growth of new sellers accelerated at quick speeds with the addition of 3,000 sellers in June alone, triple the number of sellers Walmart began 2020 with. Overall, this year has shown an addition of more than 15,000 new sellers to Walmart’s marketplace portfolio. With goals to grow the marketplace as a core priority in the company’s strategic plan, Walmart has exceeded its original target of onboarding 1,200 new sellers by the end of the year.

Walmart Outperforms Amazon in Sales

While Amazon and Seller Central have made their names as a convenient online marketplace for customers, Walmart is quickly becoming a bigger player in the e-commerce world. Statistics from earlier this spring show a 55% increase in web traffic on Walmart’s site compared to only a 15% growth on Amazon’s. Many third-party vendors on Walmart’s marketplace noted massive increases in sales, with some stating a 100% growth when compared to sales of previous years and others mentioning they were closing in on Black Friday sales volumes.

Factors for Growth

Shopify’s partnership announcement with Walmart is not the only contributor to this retailer’s online growth. Since the beginning of the pandemic, online grocery sales have also surged. The company’s strategy to streamline this by combining their grocery app and their main, flagship app in the midst of COVID-19 has expanded much of their reach. This merge informs many of the company’s regular customers of the availability of online grocery. Since this transition, the Walmart app is trending as the number one shopping app on the iPhone

With continued plans for growth, Walmart has become a powerful contender to those looking to diversify their selling strategies to multiple e-commerce platforms. It was mentioned in Forbes as having the “better handle” on meeting needs and expectations for online shopping. Walmart’s focus and plans on making online shopping profitable will strongly benefit those that join it on its journey to becoming one of the biggest players in the e-commerce marketplace.

August 24, 2020August 18, 2020

Amazon is Rolling Out More Bots for Contactless Delivery

Amazon has been introducing a fleet of autonomous robot delivery vehicles in the delivery system since 2019. This online e-commerce platform has been trialing their robot delivery system in many major cities throughout the United States. But, with the increased need for forms contactless delivery since the outbreak of the coronavirus pandemic, Amazon has expanded the test markets for these robots-on-wheels.

Amazon Scout

Known as Amazon Scout, these cooler sized delivery vehicles that move at a walking pace deliver packages to customers without the need for human-to-human contact. While this was another step in improving upon the expansive delivery system that Amazon Prime has created, these robot delivery methods have proven to be extremely beneficial in times like this. In a recent blog post by vice president, Sean Scott, Amazon’s Scout has been named as one of the strategies Amazon has used to ensure safe deliveries while providing essential services to the public during COVID-19 and continuing to meet the increasing customer demands.

Initial Trial Areas and Results

Amazon’s “adora-bots” have not only brought joy to the communities they have served so far but have also shown to be effective forms of delivery. Limited initial testing took place in two locations-Irvine, California and residential areas of Seattle, Washington. These self-driving delivery robots will make their trial deliveries under the supervision of Scout Ambassadors, human workers that monitor their progress and ensure the robots are functioning properly.

Over a year of observation has shown that Amazon’s Scout can endure many of Mother Nature’s surprises, including the largest snowstorm in the Pacific Northwest in the past decade, and easily as well as safely navigate your average neighborhood obstructions such as trash cans, pedestrians, pets, or lawn furniture. While Scout can’t climb staircases just yet, the future of robot delivery is being studied extensively in Amazon’s hardware and software labs

Future of Scout

In recent weeks, Amazon has decided to expand their testing sites by adding the cities of Atlanta, Georgia and Franklin, Tennessee to their mini robot’s portfolio of delivery locations. This was an easy decision for executive teams at Amazon especially because of their significant presence in these areas through Amazon’s corporate offices and warehouses. These all-electric vehicles have supplemented the company’s transportation network and hopes are that this method of contactless delivery will continue to provide a sense of security to customers throughout the pandemic

August 20, 2020August 18, 2020

Successful Upselling Techniques Sellers Can Learn From Amazon

Upselling is a valuable technique to learn for companies who are interested in increasing revenue. This method of marketing placements persuades customers to spend more money on products or services that pair with the original products the customer was interested in. Upselling has been shown to increase revenue by 10-30% on average and it has been shown that a majority of sales for a company usually comes from upsells. Upselling uses the knowledge of fundamental behavioral economics to understand how human behavior plats into generating additional revenue.

Amazon is an example of one company that has successfully implemented upselling tactics. This e-commerce giant effectively uses different methods of upselling to promote the purchase of a variety of products and convince their customers to spend more. They have mastered these marketing tactics by targeting the customers’ needs and there is a lot that sellers can learn from Amazon to bolster their own upselling techniques.

Reasons Why Upselling Works

Upselling is not trying to convince customers to buy products they do not need. Instead it is persuading customers to make purchases that add value to their original product. For example, a screen protector or case for their new phone purchase, a warranty plan for their expensive appliance, or even things as simple as a new set of sheets or pillows to go with a comforter or mattress purchase.

Including a “Also Bought This Section”

Amazon’s Seller Central is well known for the variety and number of third party merchants and marketplaces. Product pages on Amazon’s platform always contain a “customers who bought this item, also bought these” section which is basically used to introduce customers to additional, relevant items that others have purchased. Having these sections pique a customer’s curiosity because it presents them with a related product that others have acted on without making it seem like an obvious sale attempt.

Deliver Relevant Product Options

Relevance is all about meeting your customers at a midpoint of what you are trying to sell and what they want. Amazon is great about delivering relevant product options to their customers in a general search. For example, a search for a laptop will also show customers additional products that are deemed necessary for example a computer mouse, a laptop case, or headphones. This strategic placement of products recommended by Amazon makes the customer think they need to make additional purchases without even having to search for the specific item.

Create a Sense of Scarcity and Exclusivity

Including an element of scarcity and exclusivity can cause people to act quickly and follow through on their purchases faster than they normally would. When searching for items on Amazon, it is very obvious when there are only a few items left in stock or if it is a limited edition which has small available stock to begin with. Letting the customer know when there is only a certain number of items left creates a sense of urgency as well as demand for the product. This also guides the customer to that final order submission especially if it was an item relevant to them because there was already less buying resistance involved with the purchase and online retailer.

Build Trust

These days, customers need reviews to feel confident in their purchases. Amazon implements a rating system as well as allows for customer reviews to help persuade people on their original purchases and any additional upsells. Anyone that sees a product with 40,000 majority positive ratings is going to choose it over a product that has not been reviewed at all. This form of upselling lets your customers speak for you and can sway potential customers into making a purchase.

Put Emphasis On What People Want

Many times, it is easy to attract customers but difficult to encourage them to make that final purchase click. Amazon understands this by adding value to purchases through bonuses such as percentage discounts at checkout or free shipping. Those with Amazon Prime membership can easily make purchases knowing there is no additional cost and others will be quick to search for additional desired products that will fulfill the minimum order amount to receive free shipping.

Utilize the Add to Cart and Wishlist Options

Making cart space and wish lists available to customers encourages them to revisit their desired products long after they’ve walked away initially. These spaces work as reminders to customers for future purchases and can also work to positively impact sales since they allow customers to save their products and review them all at once. This also ends up better reflecting shipping costs which can prepare them to spend more on products.

Amazon has done extensive work to guarantee the products on their marketplace are getting the best exposure possible and positioned well for sales. When implementing these strategies, remember to keep the customer in mind and soon the profits will come rolling in.

August 20, 2020August 14, 2020

Amazon Has Just Launched a Helpful Face Mask Store

Since the Coronavirus (COVID-19) pandemic spread across the world earlier this year, masks have become one of the most sought after personal protection equipment. With so many countries implementing mandatory mask regulations, the public has been rushing to get their hands on this precious product. Since this massive increase in demand, many companies have begun stocking wide-varieties of masks for sale and Amazon is no different. Many third-party sellers have flooded to Amazon’s online platform and overwhelmed Seller Central with different styles of masks. With so many types of products available, Amazon has created The Face Mask Store to help customers navigate their way through mask varieties.

The Face Mask Store

The Face Mask Store was launched recently by Amazon as a means to help customers filter through third-party sellers to find masks that suit their needs. There are many masks available for purchase and Amazon has split these options into four categories.

Cloth masks: Fabric masks that can be washed and reused.
General use masks: Disposable masks for single use.
Medical masks: Certified medical grade masks for single use.
Personal protective equipment: Masks and respirators.

Masks are available for all ages from smaller sizes to children to adult-sized masks and there are a variety of design options for those that choose to go with cloth masks. There is also an option to sort masks individually or in multipacks.

These filters make it easy for customers to narrow down options for masks. What is an additional benefit for customers who utilize The Face Mask Store is that many of the masks available on Amazon’s platform are eligible for Amazon Prime which means free and quick delivery.

The Future of Personal Protective Equipment

The global market size for masks and other personal protective equipment has grown immensely since the beginning of 2020. With uncertainties over when vaccinations will be available and a global realization of the severity of virus spread, masks will become a common sight for years to come. Not only will these be in demand for those concerned with personal safety, they are also used extensively in the medical field. In fact, the market size for masks exceeded almost 75 billion in the first quarter of 2020 and is expected to grow at a compound annual growth rate of 53% until 2027. Amazon’s online store will cater to all types of mask seeking customers as the demand continues to grow.

August 17, 2020August 14, 2020

Shopify Overtakes eBay

Shopify is a subscription platform where anyone can set up an online store and sell their products as professional merchants. These products can be sold through e-commerce or through traditional, in-person meetings. This site is one of the leading platforms used to carry out business and caters to sellers of all types and businesses of all sizes. Shopify is currently home to hundreds of thousands of entrepreneurs and billions of customers. With helpful additional features such as inventory management and sales analytics, Shopify has drawn worldwide attention capable of becoming as popular as e-commerce sites such as Amazon and eBay.

Amazon versus Shopify versus eBay

While Amazon, Shopify, and eBay all tend to the needs of business owners, there are differences in the approach and shop models that are offered to their subscribers and marketplace users. Amazon provides a ready to use marketplace for sellers while Shopify requires users to design and build their own online stores from the ground up.

When it comes to profiting from each site, business owners can expect a variation in what they need to provide upfront. Amazon has a wide customer base which comes at a price for FBA sellers and other Amazon merchants. Amazon’s Seller Central also provides extensive information on how to get started. This access is given to sellers in exchange for a percentage of every sale that is made on Amazon.

Shopify and eBay differ in market targets. With eBay, sellers can list a variety of items that have no commonalities. Shopify was created for brand building. This platform is geared towards forming a loyal customer base and selling products that are centered around building a retail store. Merchants have much more control over their online stores with Shopify with plenty of customizations and “storefront” design options.

Gross Merchandise Volume

Gross merchandise value (GMV) measures the total value of merchandise that is sold by a company over a certain period of time. This measurement specifically measures the value of merchandise sold through customer-to-customer (C2C) exchange sites. Shopify and eBay reported high gross merchandise volume for their second quarter reports. These numbers came in at $30.1 billion in GMV and $27.1 billion in GMV, respectively. When these figures are calculated out, Shopify has shown a gross merchandise growth of 119% while eBay records a gross merchandise growth of 26%, which is the highest quarterly growth rate that eBay has shown in over 15 years. The chart below (figure 1) provides an overview of gross merchandise volume growth for Shopify and eBay each quarter over the past five years. It shows that Shopify has steadily increased in GMV since 2015. While eBay has shown an overall upward trend, their overall GMV growth has wavered around $20-25 billion each quarter.

Figure 1. Shopify, eBay GMV. (Source: Marketplace Pulse)

Throughout the pandemic lockdown, Shopify has proven that it is capable of holding its own by delivering a nearly 100% increase in revenue. Many companies have moved their physical inventories online through platforms such as Shopify to make up for lost revenue through in-store sales.

Previous Predictions

Shopify has seen plenty of traffic in the last few years. This commerce platform proves that it can compete with online marketplace giants like Amazon and eBay. It had been reported that Shopify would be on track to outgrow eBay in worldwide sales according to a Marketplace Pulse article written just last year. This source noted Shopify’s slowing rate of growth but insisted that it would be long before Shopify’s gross merchandise value growth rates would be trending as low as eBay’s each quarter. Even with so many options for online retail markets and the slower growth rate, it was estimated that Shopify would overtake eBay in sales by 2021.

Shopify’s Future

With such an astronomical growth in Shopify’s revenue, leading to soaring stocks and popularity, Shopify has solidified itself as the second most used shopping destination behind Amazon. Since going public in 2004, Shopify’s platform has grown to powering over 500,000 businesses in 175 countries around the world and servicing over 1.2 million active users.

Just last year, this e-commerce platform has continued scaling its business with plans to diversify and build teams experienced in fulfillment software, infrastructure, and robotics through acquisition of the startup, 6 River Systems, which specializes in shipping fulfilment. This platform is quickly rivaling Amazon with the launch of their own warehouses and delivery networks.

Recent partnerships with major US physical and online retail giant, Walmart, has also bolstered Shopify’s expansive reach. This deal will allow some of the small businesses on Shopify to advertise their products on Walmart’s e-commerce platform. Shopify has become Canada’s most valuable publicly traded company since launching and shows no signs of slowing down its growth, proving there can be more than one competitor in the e-commerce space.

August 13, 2020August 10, 2020

How to Choose Wholesale Products to Sell on Amazon

There are a plethora of challenges that are rarely talked about when you start the process of creating your very own Amazon business. Sure, there are hundreds of articles guiding you through Seller Central, Amazon’s specific guidelines, and ways to make profits. Starter tasks, however, oftentimes get forgotten about or swept under the rug.

Choosing which wholesale product to sell is one of these requirements that does not get enough attention. When it comes down to it, though, this choice is one of the essential steps for any successful business.

With over 4,000 items being sold on Amazon per minute, each and every seller must make the call on what product will make an impact on buyers––yes, each of the 2.5 million sellers on Amazon, including you, should take this step extremely seriously.

In this article, we will guide you through the process of choosing which wholesale products to sell on Amazon. Though we cannot explicitly tell you which products will be the most profitable, we will help you through your research process and provide a few insider tips and tricks. By the end, you’ll be bursting with ideas to research.

Determine your Amazon Business Model

Before you get into deciding the individual products to sell, you need to have a basic understanding of what you are hoping your Amazon business model will be. When it comes down to it, there are two ways to sell wholesale products on Amazon: the private label model and the reseller model (also known as the white label).

Your business model plays a vital role in everything your business does, from working with suppliers to choosing products. Therefore, while both private and resale are viable options to make an income on Amazon, it is essential to choose the right path for you.

Private Label Model

The process of selling as a private label includes purchasing generic products wholesale and then repackage in your own branding. It is a good way to get your foot in the heavy Amazon door. Therefore, if you are looking to build your own business and brand loyalty while selling a niche product, chances are you will pursue a private label model.

The private label model has many other benefits as well, including being easily customizable and scalable.

There are a handful of challenges that come with private label model selling. Unfortunately, it is not all sunshine and rainbows. The most common challenge private sellers will face happens when interacting with suppliers. Since Amazon partners with businesspeople across the globe, communication and cultural differences can lead to catastrophic relationships.

On top of this, private label selling requires more guesswork and behind-the-scenes review building. Since you are not directly creating these products, it is also likely that there may be a lack of demand over time. Of course, this won’t be an issue if you can find a niche product. However, with Amazon owning 5.1% of the total US retail market, this can be quite difficult.

If done correctly, though, all of these challenges can lead to an extremely profitable product. The most common private label product types include:

Personal Care
Cleaning Products
Beverages

Note: There is no need to worry about intellectual property infringements even though you are technically selling a product that is not your own creation. However, it is always a good idea to triple-check with suppliers and freshen up on Amazon guidelines.

Reseller Model

As the name suggests, the reselling model includes buying products and then “re-selling” them. As an Amazon wholesaler, you will typically buy products at a lower price from a distributor and sell them on your Amazon store. The most profitable resellers have a flourishing relationship with their exclusive brand––which entails an increase in the amount of time and effort put into the communication between parties.

This model works best for individuals with smaller businesses who are looking for short-term profit. Since the market is driven by low prices, it is essential to choose a product that can maintain a reduced price and return profits. Another important element of reselling is the Buy Box. If you are looking to resell products on Amazon, you will need to become an expert about Buy Box optimization.

Just like with the private label model, there are plenty of things to be wary about when reselling. Because you are selling at a lower price, you will likely make a smaller profit margin. You may also have problems with quality control, including expiration issues, broken items, or missing parts––meaning low product reviews. As we are all aware, these reviews are the lifeblood of Amazon. In fact, product reviews affect the decisions of 93% of consumers. Therefore, reselling is a riskier game and can potentially result in fewer returns. However, you will be making a passive income and have the potential to scale your business astronomically.

At the end of the day, you truly can resale anything you desire. As long as you can take care of your own inventory (Amazon recommends using Filled by Amazon) and never claim the product as your own creation, you are good to go! Of course, there are some products that are more profitable than others. The most popular items bought by resellers include:

Clothing
Pet Supplies
Car Accessories

Note: Yes, it is completely legal to sell products you have bought at a lower price. Once you have purchased a product, it is yours to do whatever you please with it. Since you are reselling it, however, you cannot list the item as brand new, even if it has never been opened. Instead, opt for Used/Very good condition. Each site has its own regulations regarding reselling; make sure you are following the correct guidelines to avoid any legal trouble!

Do Your Research

Now that you have a clear idea of the types of wholesale business models you can choose from, it is time to research your specific Amazon product. Whether you are selling technology, clothing, pet supplies, or an assortment of products, there are a few integral questions to ask yourself before choosing: is there a demand, what is the competition, and can you make a profit.

By asking yourself these questions and doing thorough research to find the answer, you can avoid making the mistakes hundreds of Amazon sellers make when they first start out. Now, let’s dive into how to do the proper research for each question.

Is there a Demand?

First and foremost, are there people out there who want to buy your product? Is there a market for what you want to sell? Is this demand sustainable, or is this only a temporary want? At the end of the day, the best product you can list on Amazon is one that will fly off the shelves.

A good indicator of this is if it fits into Amazon’s bestselling categories. These include Electronics, Clothing, Shoes and Accessories, Toys and Games, Books, and Jewelry. This is obviously a very wide array of products; so, to go a step further, you will want to do some keyword research.

We recommend using Jungle Scout to assess how popular your product is on Amazon. The ideal keyword has low competition but trigger product ads on Google. You can also examine current Amazon bestselling products. By taking note of what sells the best on the platform, you can gain insight into what products consumers want and how they want their information presented.

We know that doing this research by hand can be tedious and time-consuming. Fortunately, there are a handful of tools available to make this process easier for you. Our favorites include Unicorn Smasher, Helium 10, and AMZScout.

What’s the Competition?

In addition to looking at the available market, you will want to look at what companies are already filling customer demand. It can be extremely difficult to turn a profit in markets that are already extremely saturated. On the other hand, if there is no competition, there is likely also not a huge market. Therefore, striking this balance is key for a successful Amazon product.

Ideally, you will want to enter into a market that is filled with other small businesses like yours. This way, you can undercut your competitors with your (hopefully) high reviews and exceptional products. Another way to bypass the competition is to find a significant gap in the market. Take a close look at what color, style, or type of product is missing from your desired niche. You might also find an area that is largely unsatisfied with what is being offered. This is the perfect area for you to jump in.

To quickly analyze the competition, we recommend using SEMScoop or Jungle Scout. Both of these options can seem relatively pricey for those of you who are just starting out in the selling world; however, the right research tools can go a long way.

Can you make a Profit?

Last but not least, you need to look at what type of profit margin that is available with your desired product. This is especially important if you are using the reseller model. It is vital to find items that you can buy wholesale for a cheaper price than what you will list on Amazon––and don’t forget all those extra costs (shopping, inventory management, taxes)!

While this is one of the most important aspects of a successful Amazon product, it can also put you on a trail of misfortune. Make sure you do not get wrapped up in a race to the bottom. While lower prices might turn more conversions, it is not always the best pricing strategy.

One way to avoid this is by choosing products that are smaller. This frees up more space in inventory and is typically easier to ship. Therefore, you can keep product prices relatively low and save money on outside fees, resulting in an overall profit.

You can get a good sense of what extra costs you will by paying by looking through Amazon’s FBA fee schedule. Jungle Scout can also assist with this confusing process. Ultimately, you will want to plan to spend more money on selling products on Amazon than you initially expect. At the end of the day, though, you’ve got to spend money to make money!

Insider Tips and Tricks

Before you head off and do your research on your products, take a few more moments to listen to what we have learned about how to choose your product on Amazon. These tips are especially useful for those just hopping into the Amazon game.

Make it Simple

It is worth stating the obvious that your first Amazon product should be one that is not too complex. Choosing a simple product will make it easier to communicate with suppliers and ensure quality after shipping. Therefore, avoid products that are easy to break, heavy, or licensed.

Trust Logic

When it comes to selling on Amazon, logic always wins. If you are someone who likes to trust their guy, this may be a big change for you. However, when dealing with potential scammers and greedy business people, you will always want to go with the facts and figures. It is time to put passion aside and make some money.

Make it Year-Round

Try to avoid products that are only popular during a specific time of the year. While shorts with flags on them and rainbow popsicles may be the desirable item of your town at the moment, or though you may have a deep love for Christmas Lights or spooky pumpkins, these items will go through a dry spell 70% of the year.

A good way to avoid this is by checking the search volume on Google. If there is one high spike and the rest is minimal, it is best practice to avoid the product altogether.

Final Thoughts

So there you have it–all there is to know about choosing a wholesale product on Amazon. We know that this is not always the easiest choice to make; however, by following these guidelines and getting that research done, you’ll be making a profit in no time.

And remember, you always have us at Anata to help you out.

August 10, 2020August 1, 2020

How to take advantage of Amazon’s New Sponsored Display Beta Campaign Type

There is simply no getting around it: more and more businesses are competing for ad space and targeting the same broad group of online shoppers. Fortunately, there is a solution. With Amazon’s new display beta campaign advertising, you can gain a competitive edge in advertising, and even use your competitors’ ads to help boost your own.

Remember: Because of the pandemic, lockdowns are still a reality for many. For this reason, online shopping is more popular than ever before. If you’re looking for a way to attract a more specific audience to your online sales page, Amazon’s new sponsored display beta campaign is just what you’ve been looking for.

What is the new sponsored display beta campaign?

This new marketing offer from Amazon, the world’s largest online sales platform, is a self-service advertisement method that offers access to key performance measures for your ads. This allows you to target a specific audience, one that is more likely to spend their money on your product.

This tool offers display advertising options that can match any budget or experience level. Its fast and user-friendly creative models will help you kick off your advertising campaign, even if it’s your first time working with this type of software. It also offers detailed campaign insights; you can adjust your campaign in real time.

Performance metrics can help you understand which audiences to target and when, based on product type, availability, price, and customer type. It will help you engage audiences that are browsing or discovering products, or those that are ready to buy. Your choice of target audience can depend on whether you want to move a product quickly, or just further spread brand and product awareness.

Audience targeting can be based on a customer’s previous searches, views, and purchases, whereas product targeting is divided into two categories:

How is this different from other Amazon advertising formats?

Amazon’s New Sponsored Display Beta Campaign Type advertising is similar to other types of AMazon advertising, but has some key differences as well. With the beta campaign, you’d still be able to take advantage of the exposure and audience specificity of Amazon advertising.

One key upgrade with the new Amazon sponsored beta display campaign is that it allows you to create your advertising content and use it outside of Amazon’s web pages. This feature has never been offered with Amazon’s advertising campaigns and will let you take full advantage of other parts of the internet for advertising.

This is a great way to start experimenting with DSP for your online business, if you haven’t already. Demand-side platforms allow online advertising purchasers to manage ad space in real time, as a consumer is browsing. This allows specific product advertisements to be seen as a shopper is searching for that product, if the advertiser so desires.

Another advantage is that the ads can target specific ASINs through amazon. This means that your ad can be posted directly underneath other product listings that are very similar to yours.

This type of advertising also runs true re-marketing because it can target shoppers who have made similar or other specific purchases in the past. For example, your advert for patio umbrellas could be targeted specifically at consumers who’ve recently purchased outdoor furniture or deck staining materials, by ASIN.

Is it for you?

If your online business or FBA sponsored display could use a boost in sales, there’s never been a better time than right now to dive deep into advertising. If you want the ability to track and analyze consumer metrics in real time, make changes to your advertisements as shoppers are seeking your products, and extend your marketing campaign beyond Amazon, this sponsored display beta campaign is fit for your business. This campaign is the widest-reaching campaign Amazon has ever offered, at a time when more shopping is happening online than ever in history.

August 6, 2020July 30, 2020

Keeping Your Personal Information Safe Amidst Amazon’s Latest Policy Change

On July 8th, Amazon made an announcement that both intrigued and concerned many, particularly frequent Amazon sellers. That announcement? Sellers’ addresses will now be shown on their own page, as well as their business name. Amazon’s reasoning sounds innocent enough: “These features help customers learn more about the businesses of a seller and the products that they are selling”.

Buyers can now benefit from having a physical location and name in the event that they need to take legal action against a seller for counterfeit goods or products that cause harm, and sellers will no longer be able to create secondary accounts after being suspended.

This is fine for larger brands that sell through Amazon but problematic for people who work from their homes, as this means that their home addresses will be listed. This is especially true for many artisans on Amazon Handmade.

In an attempt to assuage any fears sellers may have, Amazon mentioned in their announcement that this practice is already used in Japan, Mexico, and Europe. This change is to take effect September 1st of 2020.

Responses have been mixed, with many sellers expressing concern over their personal information becoming so easily accessible. Luckily, they have alternatives if they wish to keep their personal information from being abused. Read on to learn more.

1. Get a P.O. Box or a Private Mailbox

Instead of using their home address, sellers can switch to a P.O. Box or rent a private mailbox at their local UPS store. Both will keep your mail and your mailing address secure. Small business owners will likely benefit more from a mailbox through UPS, especially if they live in a state that requires them to have a registered agent for their business. That is because these mailboxes provide a physical address, whereas a P.O. Box does not.

Sellers who don’t already have their business registered as an LLC might want to consider doing so. This will remove their name from their profile and list their new business name instead. UPS also has the added benefit of accepting shipments from other carriers, such as FedEx or German based DHL, which P.O. Boxes don’t offer.

2. Invest in An Office Space.

Even sellers who work out of their homes can create a business address. There are two methods small businesses can use for creating physical office space. Renting office space helps small businesses get their foot in the door. Having a separate address and space improves a business’ image. Before signing a lease sellers need to, first and foremost, examine their budget. If it doesn’t break the bank some of the next things to consider is how much space is needed, if their location is ideal, and what sort of amenities will be needed to complete the space.

Sellers could also look into coworking, which means using communal space with other businesses. Aside from providing a physical address they will have access to standard office equipment such as fax machines and printers, a receptionist, and most importantly coffee. Utilizing these spaces does not require a lease; the expenses scale according to the size of the business. Sellers will be provided with a unique opportunity to meet with other entrepreneurs and freelancers, which allows many professionals to come together to network and pool their knowledge. When you surround yourself with hard-working people, you too are likely to stay motivated.

So, if the coffee isn’t enough to keep you going, the ambiance will.

3. Try a Virtual Office

Another popular option is to open a virtual office. Virtual offices provide small businesses with a physical address as well as other benefits a traditional office setting offers such as videoconferencing, a virtual assistant, and provide remote work. Virtual offices remove the travel obligations that physical offices impose, which is likely to be especially appealing to those business owners looking to expand their reach. Videoconferencing allows for global communication, so a small business isn’t restricted to local companies for meetings and potential partnerships.

However, virtual offices can be costly to open and maintain, which may not be feasible for newer small businesses. That said, you may be able to negotiate a month-to-month leasing option for greater flexibility. Virtual offices are quickly gaining popularity, with some predicting that most if not all business will be conducted through virtual offices.

Conclusion

What steps sellers should take next depends on the size of their business, what type of goods they sell, and whether or not they wish to expand. There are some who are in favor of this change, but many are understandably skeptical. Fortunately there are ways to keep your information safe without sacrificing your business.