Why should you sell on Amazon?
Everybody will be looking for a passive income. However, only a few can do a side business to generate passive income. Selling products on Amazon is one of the best ways of generating passive income. There is a lot to know before you jump on to the marketplace. Having its reach around the globe, Amazon is a great platform for a seller from one corner of the nation to sell his product to the customer at the other end easily. All you have to do is to know the basics and sales techniques to succeed as a seller. You can become an Amazon seller by knowing the following prerequisites, processes, and benefits of it.
Table of content
- Benefits of Selling on Amazon
- Prerequisites to become a seller on Amazon
- Processes in Amazon
Benefits of selling on Amazon
As said earlier, selling on the world’s biggest marketplace will be a very good way of generating passive income. Some of the benefits of the Amazon trade are listed below.
- World’s biggest market – Since it has millions of customers all over the world, there is a great opportunity to sell a varied range of products easily.
- No need for physical business setup – The cost of setting up a physical business place to sell items will be way higher and it will be limited to the local customers. Amazon’s shipping facility makes it easier to sell a product to anyone present anywhere in the country.
- No time limit – You can receive orders from customers throughout the day without any time limits.
- Reliability and Trust – Amazon is the brand that can make the customer have trust in your product.
Prerequisites to become an Amazon seller
Before setting up your seller account, you have to do the necessary steps and documentation. Some of the information you should provide before registering as seller are as follows.
- Business information – You should provide the business name, location, and contact details
- Mobile and Email – You should have a mobile number and an Email address
- Tax Information – You should submit your tax information since you would have registered your business before. Registered business with tax number is a must to sell on Amazon.
- Product details and pricing – You should know what product you are going to sell. You should have calculated all the costs of production, the charges levied by Amazon, and the taxes. You should provide your final price of the product along with the product details such as the features, materials, and images, etc. Your profit should be covered in this price.
Processes in Amazon
The processes involved in selling a product on Amazon are listed below.
Finding your product
The very first process is to find out what product are you going to sell. The product selected should be less competitive and high in demand. Choosing a common product will put you in competition with a lot of highly potent sellers. So, market research and keyword research should be done to find out what will be the best product to be sold in your niche.
Finding the source
Once you have selected the product you are going to sell, you should select the supplier or the manufacturer of that product. You can either go for a retail supplier or a wholesaler. This decision depends on the scale you are planning to do the business.
Open an Amazon account
Once you have selected the product and the supplier, you are ready to open a seller account on Amazon. With all the required documents for your business and personal identity, you can easily open an Amazon account. You can either choose an individual account or a pro account based on the sales you are expecting to make.
Listing your product
After opening an Amazon account, you have to list your product for customers to see it. You should provide all the product details genuinely with perfection. The inclusion of images increases the reach. This listing should be optimized with keywords and search terms to make your listing visible for the customers when they type in the keywords.
Shipping the product
The next process is the shipping of the product to the location of the customer. If you wish Amazon to do the packaging and shipping of your product, you can go for the “Fulfilled by Amazon” option. In that case, the complete shipping process will be done by Amazon with a small fee for it. You can also manage the shipping and delivery by yourself.
Customer support is as important as production and delivery. In case of issues after the purchase, you should be available to respond to the queries raised by the customer and able to fix them as soon as possible. This customer service and responsiveness will prevent you from getting negative reviews.