Small Business on Amazon

Did you know that about 50% of the products sold on Amazon are by small to medium-sized businesses? The Amazon Marketplace is the perfect place to present your products to the world in a pretty low-risk way. The basis for Amazon is a flat monthly rate and commission ONLY on the items you sell. While this is a pretty standard set-up for most eCommerce sales platforms, Amazon takes extra steps to provide small businesses with a leg-up over the competition.

Small Business Opportunities

Amazon Handmade

This program allows for sellers to present their beautifully crafted handmade articles to the eCommerce world with a click of a button. Products range from jewelry to toys, baby products to furniture, and anything else you at-home artisans can think of!

Support Artisans

A search feature that is a direct link where customers can shop only on Storefronts for small and medium-sized businesses. It brings “shop local” to a whole new level! You can still support your local businesses, but someone in Texas can enjoy your handcrafted Illinois products too.

Prime Pantry and Grocery & Gourmet Food

These categories allow for your small family run business to help present your delicious products in a bright and welcoming environment, without having to worry about potential spoilage in a store. Food allergies and sensitivities are unfortunately becoming more and more common, however, Amazon can help drive those customers in need to your products with specialized categories and keywords.

Drawings, Paintings & Photographs

Are you a photographer, the next Elisabeth Sonrel or Jackson Pollock, or maybe you just love to sketch with traditional paper and ink? Amazon has one of the most refineable art searches available on any eCommerce site. You can search by original works, reproductions, or even limited edition releases. Amazon also allows for searches by art medium, size, subject, color scheme and style.

But how much does it cost???

One of the most common questions we hear is “Isn’t it expensive to sell on Amazon?” The answer: Not at all! Amazon offers two plans to best suit your selling needs:

Individual Plans

FREE and allow for sales of up to 40 items per month. You will only pay $0.99 per item sold plus a commission rate, which will vary by category but ranges from 6-15%. (Choose your category carefully to ensure your product is best represented to potential customers and to also avoid any unnecessary referral fees!)

Professional Plans

$39.99 per month subscription plus the category commission rate per item. The professional plan also allows you to access order reports and adds 10+ additional category options to sell in.

Can I cancel my Professional account if I am not selling enough or want to go on a vacation?

Yes! You can make the switch to an individual account whenever you want. Your account will still remain open and can keep selling at a slower rate.

Or, if you are just going on vacation for a week or two, there is also a “vacation mode” setting in Amazon’s Seller Central dashboard where you can temporarily pause your listings.

What do I need to sell on Amazon?

Getting started on Amazon is easier than you think. Beyond your products themselves, this quick checklist will get you up and running:

  1. Your business name, address and contact information including a valid email address
    • Note: If your don’t already have a separate email address for your business, we suggest making one so orders, customer questions, and account details don’t get lost in your inbox
  2. An internationally chargeable credit card with valid business billing address
    • The business billing address can be your own home
    • Most major credit cards are internationally chargeable but debit cards are not!
  3. A phone number you can be reached by Amazon during the registration process and afterwards in case they need to contact you immediately
  4. Your tax identity information
    • If you have a registered business tax number, use that one!

Interested in learning how Digital BrandWorks can help grow your small business on Amazon? Click here to contact us and we would be happy to answer any additional questions you may have.

Andrea Gertsen

Andrea Gertsen is the Creative Lead at Digital Brandworks, a digital consultancy that provides customized solutions for improving marketplace performance on Amazon and beyond.

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