Advantages of selling on Amazon
Posted: Mon Jan 06, 2025 10:12 am
Selling through the marketplace has its advantages. Below we share some of them with you.
You have a great exhibition
You can expand your customer base
Selling is a really simple process
We explain each of these in depth.
1. You have great exposure
Selling on this platform ensures great exposure for your items and likely an increase in your sales.
According to data from Statista , Amazon receives phone leads around 152 million visits annually, making it one of the most visited sites in the world. In addition, it gives you the possibility of having your items available not only in Mexico or Argentina but also in the United States and other countries.
2. You can expand your customer base
This advantage is related to the previous point, since marketplaces are characterized by capitalizing on this exposure by getting you more potential customers. In addition to being a site with a wide audience, your products can be advertised in different spaces on the page.
3. Selling is a really simple process
Since it is intended to make it easier and faster for entrepreneurs to sell, the platform is quite user-friendly , facilitating the uploading of products, as well as the sale, the shipping process and post-sale follow-up, supporting users to leave ratings on the items.
Read more: What is Amazon Affiliates? A tool to multiply your income
Disadvantages of selling on Amazon
Although it can be a great channel to increase your number of sales, it also has certain disadvantages that you should consider and that can work against you, such as:
Subscription and sales charges;
A great competition between sellers;
Your customers are not really yours, they are Amazon's.
Let's look at them in depth
1. Subscription and sales charges
Sure, the exposure and increased customer base are great, but you need to consider that selling on Amazon means you have to pay a monthly fee in addition to the commission per sale.
If you want to use Amazon's logistics service, you will need to consider an additional amount for this service, as well as the storage of your items in their warehouses. This can represent a significant charge that you need to take into account before selling on Amazon.
2. Great competition between sellers
Selling on Amazon is attractive to many sellers besides yourself, so the suggestion is to search the platform for the products you are selling, that way you can see if the sales model proposed by Amazon is attractive for your business.
3. Your customers are not really yours, but Amazon's
Although you can expand your customer base, something that often happens is that the buyer does not fully remember who they are buying from, so when they talk about their purchase, it is common for them to mention “Oh, I bought it on Amazon” or “I bought X item on Amazon” without remembering your brand.
You have a great exhibition
You can expand your customer base
Selling is a really simple process
We explain each of these in depth.
1. You have great exposure
Selling on this platform ensures great exposure for your items and likely an increase in your sales.
According to data from Statista , Amazon receives phone leads around 152 million visits annually, making it one of the most visited sites in the world. In addition, it gives you the possibility of having your items available not only in Mexico or Argentina but also in the United States and other countries.
2. You can expand your customer base
This advantage is related to the previous point, since marketplaces are characterized by capitalizing on this exposure by getting you more potential customers. In addition to being a site with a wide audience, your products can be advertised in different spaces on the page.
3. Selling is a really simple process
Since it is intended to make it easier and faster for entrepreneurs to sell, the platform is quite user-friendly , facilitating the uploading of products, as well as the sale, the shipping process and post-sale follow-up, supporting users to leave ratings on the items.
Read more: What is Amazon Affiliates? A tool to multiply your income
Disadvantages of selling on Amazon
Although it can be a great channel to increase your number of sales, it also has certain disadvantages that you should consider and that can work against you, such as:
Subscription and sales charges;
A great competition between sellers;
Your customers are not really yours, they are Amazon's.
Let's look at them in depth
1. Subscription and sales charges
Sure, the exposure and increased customer base are great, but you need to consider that selling on Amazon means you have to pay a monthly fee in addition to the commission per sale.
If you want to use Amazon's logistics service, you will need to consider an additional amount for this service, as well as the storage of your items in their warehouses. This can represent a significant charge that you need to take into account before selling on Amazon.
2. Great competition between sellers
Selling on Amazon is attractive to many sellers besides yourself, so the suggestion is to search the platform for the products you are selling, that way you can see if the sales model proposed by Amazon is attractive for your business.
3. Your customers are not really yours, but Amazon's
Although you can expand your customer base, something that often happens is that the buyer does not fully remember who they are buying from, so when they talk about their purchase, it is common for them to mention “Oh, I bought it on Amazon” or “I bought X item on Amazon” without remembering your brand.