Main Differences!
Nowadays, Amazon is leading the pack in e-commerce by providing high-quality services all over the world. We can hardly find a person who is not aware of this online giant. Currently, Amazon has more than 2.5 million active sellers who are successfully running their businesses on this platform. Therefore, it is not surprising that more and more people want to start their business on this platform.
However, before jumping into this sphere, you have to understand who you are and what you do!
For example, there are lots of people who are not aware of differences between the definitions of an Amazon vendor and an Amazon seller; however, there are lots of differences between these two terms. Once you figure out what they both are about, you can easily choose the best option which suits you more.
Who is an Amazon Vendor?
As a rule, the main function of a Vendor is to sell goods to Amazon as a wholesaler, while Amazon in its turn sells these goods to the final seller. In other words, the Vendor provides Amazon warehouses with products. Here, Amazon can keep the inventory in its fulfilment centers or ask the Vendor to ship them directly to the buyers.
As an Amazon Vendor, you are provided with two main ways for running your business:
- Vendor Express
- Vendor Central
Vendor Express
This system provides you with tons of opportunities, such as free handling of your merchandise. In some cases, this method has lots of similarities with the drop shipping business model.
Vendor Central
By using this method, you are provided with opportunities to collect orders, control the shipping process and monitor your business’s marketing strategies.
If a retail team is interested in your products, they will send you an invitation through email. Additionally, you can also contact Amazon by yourself and ask to cooperate with your brand.
However, if Amazon agrees to cooperate with you, you have to play by Amazon’s rules by accepting its terms of trading and provide Amazon with your banking details.
Once you find common ground with Amazon, you will gain access to your account and can launch the process of setting up your products. Keep in mind that you should wait some time, since the catalog team must review your products in order to make a final decision.
Once your products have been approved, you should be ready that Amazon can send you purchase orders at any time. So, you have to be prepared to fulfil them at any time. In that case, if you want to encourage Amazon to increase its interest in your brand, you can offer them the option to ship orders directly to the customers by yourself. Believe us that it will help you boost your business drastically. In this case, you take the role of Amazon’s FBA service, by taking responsibility for the entire process of shipping products to customers.
Keep reading Oceanic Zoo’s blogs in order to not miss the second part of this blog where we are going to talk about the main role of Amazon sellers.
It doesn’t matter whether you intend to start your business on Amazon as a Vendor or as a Seller. One thing is true that Amazon provides brand owners with lots of opportunities for running a successful business on its platform. Oceanic Zoo’s team is always open to assist you in launching your e-commerce business on Amazon. There are hundreds of brands who have started to sell on Amazon with the help of our team and now, they are successfully running their online businesses on this platform. Want to join them? Then reach out to us, and we will provide you with a full guideline on how to succeed on Amazon within a few months.