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20 Tips for Selling on Amazon – Tip #1

December 12th, 2013 by Skip McGrath

I just finished an article called Twenty Tips for Selling on Amazon.com.  Since not everyone visits my articles page, I decided to blog one tip a day for the next 20 days.

Amazon is the world’s largest online retail selling site.  When most people buy something on Amazon they think they are buying from Amazon.  But, third party sellers sell over 33% of all items sold on Amazon.

I started my online selling career on eBay in 1999.  In 2006 I became a seller on Amazon.  Our Amazon business never really took off until 2010 when I joined the Amazon FBA program (I will explain this below).  Now our Amazon business dwarfs our eBay business.  We are selling approximately 6 to 7 items on Amazon for each one sold on eBay.

It is very easy to register on Amazon.  Scroll to the bottom of the Amazon home page and you will see a list of Amazon services.  One of them says Sell on Amazon.  Click on that link and follow the prompts and you will be set to start selling within about 5 minutes.

Lets start with Tip #1

1.  Register as a professional seller – There are three big reasons to do this

  1. As an individual seller Amazon charges you 15% Selling commission plus 99¢ per sale.  The fee to become a professional seller is $39.95 per month, but as a pro seller you are only charged 15% –and not the extra 99¢.  So if you sell 40 items per month or more, you will actually save money on fees.
  2. As a professional seller you are allowed to create listings for products that are not currently being sold on Amazon.  You can also create product bundles which we will show you how to do later as they are a great way to increase your profits.
  3. Amazon has several categories that are restricted and you must apply to sell in these (Clothing, shoes, jewelry and Auto Accessories are just a few).  You must be a pro seller to apply to sell in these categories.

 

If you want to learn how to sell on Amazon professionally, take a look at my latest training course – The Complete Amazon Marketing System

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