Whether you love it or hate it, you can’t count on Amazon being a big deal. With more than 300 million active users and more than 197 million city visitors, it is the largest retail market in the world.
This makes the sales channel very attractive to companies of all sizes, and it is logical that most retailers will consider whether or not to sell on the platform.
But is it a good idea?
There are certainly some reasons that are valid for sale on Amazon.
below, we will look at the advantages and disadvantages of using Amazon for your business, so you can determine if this is the right step for you and your business.
Advantages of selling on Amazon
Let’s start by looking at some of the reasons that might make your business benefit from selling goods on Amazon and why you should consider this as an option.
Open your business to a bigger refrigerator
You can create an Amazon account to open your account to a wider audience. After all, Amazon works as a search engine and any person who visits the site searches for specific products that can be directed to your store.
Once you get them through the default door, you increase your chances of securing repeat customers. That’s not all, but in order to use Amazon on a global scale, you can open it to international audiences if you’re ready to ship to other countries.
By following the lesson, you can reach this audience and increase sales. After all, you will increase the number of visits to your products and your online store to increase your chances of making a sale.
And as we said, with the millions of consumers who visit Amazon every month, it is likely that you will convert the visitors to more sales than the smaller platforms.
targeting customers where they want to shop
Markets such as Amazon, eBay, and Etsy have become the preferred method of shopping for many consumers. These platforms provide shoppers with an easy way to find what they’re looking for and shop to get the best product at the best price.
Therefore, joining the market like this means that you can target consumers where they want to shop, thereby increasing your chances of making another sale.
reduce marketing costs
There are several ways you can advertise on Amazon, and this method is affordable to reach more customers. First, you can take advantage of the fact that Amazon already attracts millions of visitors, but more than that, since the visitors find your individual products, you can also direct them to your store to look at your entire collection of goods.
Then there is search engine optimization and the use of keywords for your benefit. By improving your product carefully, you can help more customers find you. You can also pay to display your products and show the results higher in the search results.
You can start selling immediately
In most cases, once you set up your Amazon commercial account, as long as everything is fine, you must be approved within 24 hours. This means that you can set up your store and run it quickly and start selling immediately.
Remove the need to keep your home
Finally, you can ship goods in large quantities to Amazon, and you will pay for your orders in advance. This means that you don’t have to take care of this warehouse yourself, and every time a customer asks for it from your store, Amazon will pack and ship the goods directly from these shipping centers.
There are fees that must be paid against this option, but this is relatively small in comparison. This can help you save the time, money, and resources needed to store your goods and pack them and pay for shipping.
Disadvantages of selling on Amazon
While it is clear that there are some wonderful benefits of selling on Amazon, there are also some negative aspects that you need to consider before setting up your store.
pay the price
It opens the sale on Amazon in front of a much wider audience and can increase your sales significantly, but it will be expensive. You will need to pay market fees to use the platform, especially if you depend on the implementation centers.
The amount you pay depends on what you sell and its quantity. Prices usually start at 25 pounds per month to use the basic system, plus additional sales fees that are discounted as a percentage of the entire sales process, so you’ll need to take that into account.
This is especially important if you sell products for which you already have a lower profit.
compete with thousands of others
Amazon may attract millions of visitors every month, but it also attracts millions of sellers. This can make the competition extremely fierce, especially if you sell famous products or in a famous place.
Although you can use keywords to try to boost your rankings if several sellers have the same product, Amazon will select who they think is the most relevant and display those products at the top of the page. this