Amazon is a well-reputed selling platform, constantly expanding its services and making it an easy approach for people to buy goods. Who doesn’t want their products delivered to your home in one piece and in ultra-high quality? Yes, you do. But to enter this huge platform as a seller there are some barriers you might face. Amazon has a strict guideline on who can sell and what you can sell, because of the sellers not following the regulation the rules have been becoming strict and Amazon keeps an eagle eye on the new sellers and never takes a moment to suspend the seller account in case of any violation even the smallest one.
Here are the few major problems that you might face.
You can only get your payments in 14 days unless you are lucky enough to have a legacy account that can allow the access of money every 24 hours, which does not happen so often. Amazon does not accept PayPal which is another problem that you have to face if you are want to buy more inventory. For this to work out for you, you need to send application and wait for approval from Amazon initially.
Being an Amazon seller you will have to face brutal competition. The sellers buy products in wholesale or in bulk and resell it on Amazon, which adds in some more price and results in a hike in price. That is where the competition begins. The buyers go to that seller who offers the lowest price but still, the sellers generate a profit because of their strategy of bottom line profit, each year.
It is difficult to get feedback and build a positive one on Amazon. Feedback doesn’t really carry much weight on Amazon but what buyers look for is feedback and it is important yet difficult to get one from Amazon customers. This will take time and up to the mark service to convince the buyers to leave good feedback.
Amazon is a large platform and works closely with many other well-reputed manufacturers and if they decide they don’t want any third party sellers, amazons restrict their products from any other seller straight away and the buyers can only get the product form that particular manufacturer.
If you decide to sell your products through the FBA process, your products will stay in the warehouse until anybody buys them. the preparation process of sending the products to buyers is not easy at all, and in case of damaged and lost goods Amazon never really compensate. Amazon fees are nearly one-third of the sales price which is very expensive.
Being an Amazon seller you need to attain that performance target set by Amazon, and in case you can’t reach that targets your account is terminated and suspended immediately. Whereas this rule is set to provide a safe environment for buyers and to maintain the reputation of Amazon. Being an Amazon seller is difficult but once you fit in there you will definitely generate profit.