Like eBay, Amazon Marketplace lets small outfits get noticed by millions of users. There’s also different levels of service when it comes to setting up shop.
As with eBay, you can ‘sell one like this’ as a private trader or you can set up a Pro account and get a better deal for selling more items.
If you’re reading this blog, you’re probably already familiar with how to sell the odd item on Amazon as a private seller – namely you ‘sell one like this’, Amazon takes a fee for each item sold, and it processes the payment for you. It even collects the postage costs and credits these for you to post the item on. So far so good (if you’re selling physical items that can be sent via post).
For a business looking to sell higher volumes than the odd AC/DC Deluxe singles CD Box Set (no idea if this is a real thing), it may pay to look at an Amazon Professional account which charges a monthly fee (around £25 + VAT) instead of per item. Because you’re benefitting from the passing traffic of Amazon’s millions of users (so to speak), you’ll also be charged a ‘referral fee’ depending on what you sell. For example, if you sell computers, you’ll be charged 7% while jewellery is 25%. There’s often a minimum referal fee of 40p. On top of that there’s something called a ‘Variable Closing fee’ but only for high volume stuff like books, DVDs (remember them?), music and video.
Amazon provides the following example:
Book sold: £10
Domestic shipping cost: £2.80
Amazon Referal fee: -£1.50
Amazon Closing Fee: -£0.43
Total fees: -£1.93
Total credited to your account: £10.87
Granted, the referal fees might be more than you expected but – and it’s a big but – sell via Amazon and you’ll be visible / able to sell your goods via five of Amazon stores including www.amazon.co.uk, www.amazon.fr, www.amazon.de, www.amazon.it and www.amazon.es.
Find out more at https://services.amazon.co.uk