Ok, we have all seen that YouTube video, or Facebook ad, about someone who claims to be able to “get the sales while lying on the beach”, because they have built a business on the Amazon platform.
While this is possible and requires planning, many of us can easily mistake building up a business on Amazon as just opening an account and selling products. While I don’t claim to be an Amazon expert, I have had a “love/hate” relationship with Amazon since 2017 when it first launched in Australia.
Below are 3 mistakes that I have made along that journey.
- Not doing enough product research on Amazon’s requirements
You can open an account with Amazon AU, but it does not mean you can sell anything. Amazon requires each seller to ensure their products adhere to host country requirements and compliances. As sellers, we need to have the most updated knowledge and information, because when regulations change, you will be required to provide additional documentation. Failure to do so will result in your account being shut down temporarily.
- Not using Amazon services
Efficient fulfilment is crucial for customer satisfaction and can impact your Amazon seller ranking. To ensure that happens, Amazon offers seller fulfilment by Amazon (FBA). You can send products to one of its warehouses in Australia and Amazon will handle all customer service duties such as product shipment and returns.
- Ordering too many products in the first shipment
As sellers, we all want to find that initial product where there is no competition and every buyer wants to buy it; yes, you can use an app or software to predict that “next” hit product, but at the end of the day, Amazon Australia is still a relatively new market compared to the rest of the world. For this reason, rather than ordering a large quantity of your first product, it might be a better alternative to have a variety of items but a lower quantity of products to test the market and find out what works best.
Selling on Amazon Australia is full of opportunities, but you need to do your homework to find out what people want, select the best way to ship products, and make sure you are following the rules.