The Benefits of Selling on Amazon

December 15, 2017

Some of you may have seen my previous blogs about optimizations and ppc management, which focus on the technical side of selling on Amazon. For today’s blog, I will be focusing on a general yet very important question – Why selling on Amazon at the first place? In fact, there are tons of benefits of selling on Amazon, and to be honest Amazon is a gold mine that no e-commerce sellers should ever miss. No only that, for people who are passionate about entrepreneurship yet without prior experience, Amazon is a hands-on platform for you to pursue your entrepreneurial dreams with small amount of capital needed. So now let’s jump right in to the benefits of selling on Amazon.





#1 Enormous Traffics



According to eMarketers, Amazon takes up 45% of the e-commerce market share in the US in 2017, meaning that nearly one out of two Americans who buy online will be using the Amazon platform. In the U.S. alone, Amazon has over 150 million monthly unique visitors, and it is obvious that the sales opportunities on Amazon is just too big to miss! Moreover, if you compare the market share of Amazon to Ebay’s in 2017, Amazon is almost 7 times bigger than Ebay. Furthermore, Amazon’s market share is growing super-fast at the rate of 5.5% (2016 - 2017), while some other competitors experienced shrink in their pie.


Amazon surely attracts millions of potential customers, and more importantly these potential customers have high intention to make purchase decisions. Also, by comparing Amazon to other e-commerce sites, Amazon is more attractive because you can literally buy anything on that instead of just browsing on one product niche. Therefore, if you are a newcomer of e-commerce, Amazon should be the platform to work on.



#2 Excellent logistic solution

When starting up an e-commerce business, one of the biggest hassle will be the inventory management and the delivery solution. There are just too many steps involved, ranging from big tasks such as warehouse management, to trivial matters such as refunds from customers. However, by using Amazon’s FBA service (Fulfill by Amazon), all these hassles can be done with just a few clicks! To use FBA service, you first have to ship your inventory to designated Amazon warehouse, and after that Amazon will take care of the rest. Amazon will manage your inventory and informing you the number of inventory available day by day, and when there are orders from your customers, Amazon warehouse will schedule and ship the product for you. In addition, Amazon will manage refunds from customers and collected the refunded product on your behalf. As you can tell, using Amazon FBA service can greatly reduce your time and effort, and you can put your focus on how to optimize your product listing and rankings, instead of sticking shipment labels all day long!




#3 Well-established landing page


Amazon has well-established landing pages for your products, and your product page will be automatically created once you have entered all the required information in the seller account. Comparing to creating your own website, using existing Amazon website infrastructure can save you a lot of time, because there is no need for you to design the site layout and to optimize the website’s speed. Amazon make it very easy for sellers to focus on the things that matters, which is promotion and creating good products for customers.




#4 Small amount of initial capital needed

A lot of people have the dream to start their own business, and a lot of times the initial cost can be very huge. Selling Amazon comparatively requires less upfront cost such as physical store rental cost and labor cost, and the major cost of selling on Amazon is the inventory cost. The inventory cost is variable cost that in fact can be covered by the sales you made in the long-term basis. Therefore, Amazon is a place for entrepreneurial minds to start their business from scratch with a lower capital requirement.


Thanks to Amazon, millions of people are empowered to become sellers, and even make a living from it. However, good thing comes with a price. The landscape in Amazon is getting very competitive, and it is getting harder to rank the products and optimize the paid per click advertisement nowadays. Therefore, our agency, RWN-Solutions is here to help! We are experienced in Amazon selling and our staffs have been selling a wide range of products on Amazon for years! We use effective methods to manage your product listings and PPC, and to increase your sales ranking proven with successful cases! As I said before, the best practice to do a task is to let the experienced guy to do it for you. No matter you are an existing merchant on Amazon or a newcomer, you are always welcomed to reach out to us to talk about your plan!


Happy Amazon Selling!




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