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If you have a dropshipping business, you are bound to have considered selling on Amazon and, given the popularity and success of this renowned marketplace, it is undoubtedly one of the preferred options. If you are thinking of doing dropshipping on Amazon, keep reading! In this post we will explain everything you need to know before venturing onto selling on this platform.
You can be highly successful selling on Amazon if you do it well. Here are some tips that we recommend following so your experience on Amazon is a smooth one:
- Use a European supplier: As suppliers of stock in Europe, we know the importance of this point. Having a supplier with warehousing in Europe is an excellent idea, because this means that transit times for deliveries start from 24h as opposed to dropshipping shipments that come from China can take an average of 20 days to reach their destination.
- Stock in real time: It is essential that stock is updated in real time and not manually. This way, the ratio of cancellations will be considerably reduced since the error margin is lower and customers will see the actual stock of products at all times.
- Synchronised tracking: Keeping the customer informed about the status of their order avoids incidents and guarantees a complete and highly satisfactory user experience, and Amazon requires it. The benefits of synchronised tracking include: a reduction of costs, improvement of logistics processes and performance, minimisation of delays and improvement in the customer experience.
- Sell quality products with Certification from the European Union: A product with CE generates much more trust in the buyer. You need to bear in mind that it is compulsory for products that are sold in the EU. This mark guarantees the product meets the safety, health and protection requirements demanded by the EU.
- Sell original products: All the products that are sold on Amazon must be genuine. In fact, Amazon has an anti-counterfeit policy through which it reserves the right to remove any account or product if it detects the sale of counterfeit products.
Complying with everything mentioned above is important, but also, some of these are essential requirements, so that Amazon does not close down your account. Moreover, you will gain positive ratings and a better positioning of your products. This translates into an improved conversion and an increase in sales. It is a complete feedback cycle which makes it clear that the most important thing is to give the customer the best service possible.
That said, let’s look at the part that you are likely to be most interested in reading: The advantages of doing dropshipping with Amazon.
- There is no need to store stock: By doing dropshipping, you don’t need to have stock, so you won’t need a warehouse. Thanks to this, the costs are notably reduced, which is a huge advantage for anyone setting up a business and who doesn’t want to make a large initial investment.
- You reach a much bigger market: By selling on a platform like Amazon, your impact and reach will be much greater since the market is very large. Amazon is a giant, with over 244 million active users, so the visibility of your store is more than guaranteed.
- You don’t need to make a big investment on advertising: Thanks to selling on Amazon, you will be able to sell your product all over the world, because Amazon has no borders. By selling on this marketplace, you will have a presence in the different international markets. On the other hand, the traffic and positioning that Amazon has will help you to increase your sales. However, if you need a little push at the beginning, Amazon Ads is an available option.
- You sell under the name of Amazon: You will gain credibility and trust thanks to selling your products under the Amazon name. The popularity of this marketplace makes many users choose to buy on Amazon before any other site.
In conclusion: It is advisable to keep other channels open, for example, having your own online store operational. Amazon won’t make you a millionaire by magic, but it is a very good tool to keep in mind within your sales strategy. The ideal is to get it right, to find that perfect formula that will help you to maximise your sales.
1 Comment
Sandra Johnson
This information is really informative!
However, once you apply a strategy you’ll get to know what is best for you and what you can change in your strategy.