Business

How to Sell on Amazon for Beginners?

June 14, 2023

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How to Sell on Amazon for Beginners? Compared to the local market, today, everyone prefers to shop online, and you also want to take your shop online on platforms like Amazon. Learn know how to sell on Amazon as a beginner.

If you know, it is good, but for those who do not know, there is nothing to worry about. This article will guide how to sell on Amazon for Beginners.

The article will help you understand it. So, let’s explore this more and learn how to sell on Amazon for beginners.

We all know that Amazon is famous and very popular among sellers and buyers. To cope with the seller’s rising demands, Amazon has developed its FBA service. This allows them to strengthen Amazon’s power distribution channel and make their dream of selling on Amazon come true.

Table of Contents

What is FBA?

FBA refers to Fulfillment By Amazon. It is a service in which Amazon stores your inventories and fulfills your orders. Also, it provides customer service. If you wish to use the FBA service of Amazon, you need to add this service to your Amazon seller account.

How To Sell on Amazon For Beginners?

The following steps will guide how to sell on Amazon for beginners. If you also want to become a successful seller on Amazon, you must follow the steps below. The steps are:

Choose The Product you Want To Sell

The first step for the guide to how to sell on Amazon for beginners is to decide which competitive product you want to sell on Amazon, keeping in mind the seller fees and product restrictions of Amazon. You can research the products and figure out the winning products there.

Keep in mind the additional cost, as some products may be in-demand and profitable but can incur additional costs.

Sign Up For the Amazon’s Seller Account

Once you decide which product to sell, you must sign up for Amazon’s seller account. The registration includes 2 plans, among which you must choose one, and the 2 plans are professional and individual.

The individual plan costs you $0.99 per unit sold and an additional referral fee. On the other hand, the professional plan gives you more benefits than the individual plan but will cost you a $39.99 monthly fee and an additional referral fee. The referral fee may vary from category to category.

Once you are clear with the plan and which plan you want to choose, register for Amazon’s seller account. You can choose your customer account as the seller account or create a new one with your business mail.

Make Your Products Listings

You can create your product listing in 2 ways: creating a new listing or adding the products to the existing listing. However, most beginners prefer adding product items to the existing product listing.

If you want to add the items to the existing listing manually, you can do so from the dashboard of your Seller Central. Also, you can add the bulk product listing at once by uploading it using a spreadsheet.

Manage Your Inventory

Managing your inventory is essential. If your items are showing in stock, but in actuality, you do not have the stocks of those items and fail to deliver them. In that case, Amazon will dock your seller rating, and managing your inventories accurately is the key to success as an Amazon seller.

You have several inventory management methods, and you can choose any method. But you do not need to worry more about it if you sell your items only on Amazon, not on other platforms or your websites. Amazon automatically decreases the count of your inventory as you sell your items. But if you also sell the items outside Amazon, you must manage it yourself.

Setting Up Shipping and Fulfillment

The next step to how to sell on Amazon for beginners is setting up shipping and fulfillment. At Amazon, you can deliver your products to your customers in 3 ways. The first way is

Shipping the orders by yourself

It is known as FBM, i.e., Fulfillment By Merchant, where you ship and fulfill your orders personally. You must pack the item, mention the address, ship it and fulfill it.

However, Amazon makes it easy to print shipping labels from your dashboard easily. Although it is difficult, most sellers do not prefer it.

Letting Amazon fulfill and ship your orders

This is the second way, known as FBA, i.e., Fulfillment by Amazon. You ship your order to Amazon, and the faculty packs and ships your product.

When the products are delivered, Amazon collects the payment and pays the remaining funds to you every 2nd week. Even though it comes with additional fees, it has much more benefits also.

Using a fulfilling third-party partner

The 3rd way is using the third-party fulfillment partner where you choose any other outsourcing company. These companies pack, ship, and deliver your orders like FBA.

Managing Your Store Performance

This is the final step of the guide on selling on Amazon for beginners and is the most critical one. Once you have set up your store on Amazon, it is essential to monitor and analyze your store’s performance to make it more successful. There are several ways to manage your store’s performance and make it successful. The steps are:

Monitoring the critical metrics of your store. The key metrics include the following rates- pre-fulfillment cancel, order defect, and late shipment rates.
Earning quality customer reviews and customer feedback.
Learning how to advertise your products and choosing the right advertising strategy.
Offering promotions and coupons occasionally to attract more customers and increase sales.

How Much Does It Cost To Sell Products on Amazon?

Different fees are associated with selling on Amazon, including referral, shipping, closing, and other fees. The referral fees include the fees Amazon charges as a sales percentage, depending on the product category.

The closing fee includes the fees that Amazon charges in addition to the referral fee, depending on the price of your product. Shipping fees include the fees incurred for delivering your products by FBA or easy shipping.

Other fees include the fee of FBA for picking up, packing up, and storing up your orders.

FAQs

What is the most profitable way to sell on Amazon?

Private Label Sales using the FBA (Fulfilled by Amazon) network is the best and the most profitable way to sell on Amazon.

What products are best to sell on Amazon?

You can choose any product category to sell on Amazon. But the best-selling product categories are electronics, shoes, gaming, clothing, beauty, and jewelry.

Is Amazon free for sellers?

No, Amazon is not accessible to sellers. You have to choose one selling plan among the two. If you choose an individual plan, you must pay $0.99 per sold unit and an additional referral fee depending on the category. And if you choose a professional, you must pay $39.99 per month plus an additional referral fee.

Conclusion

To grow your business and take your store online, you can choose Amazon. It is the best platform that welcomes all sellers, whether they are low-level or high-level.

It does not matter whether you sell only a few products per month or you sell thousands. If you put your efforts and establish yourself as a successful seller on Amazon, you will find more ways to succeed and grow with Amazon.