How is Amazon Vendor Central Different to Amazon Seller Central

How is Amazon Vendor Central Different to Amazon Seller Central

This is a challenging issue because a complicated answer is needed. Both options are difficult to judge because the first step using Amazon Vendor Central is by invitation only. If there's no invitation, you'll not have the chance to evaluate which option will be the best fit for your company.

Seller Central is, of course, available to all. If, however, you're receiving an invitation for membership Amazon Vendor Central you will be required to consider which one you would like to join and that will depend in part on how you've placed your brand's name on the market.

1. Amazon Vendor Central vs Amazon Seller Central: The Basic Differences Amazon Vendor Central is the term used to describe you're a first party seller (1P) This means that you will sell your goods to Amazon in large quantities and Amazon will market products under its brand name. It's only available to those who have invited you, that is why it's exclusive and highly sought-after!

Amazon Seller Central means you are a third-party seller (3P) You will sell your own products as an Amazon Merchant Fulfilled seller or Fulfillment through an Amazon seller. Anyone can sign up to the program.

2. Amazon Vendor Central vs Amazon Seller Central: Pricing Since you are an Amazon Vendor, it is not possible to determine the price of your products, however Amazon states that it will honor the Minimum Advertised Price (MAP) demand. The wholesale price you offer your goods to Amazon for will probably be quite low.

In Amazon Seller Central, you have complete control over your pricing at all times and are able to revise your offerings anytime you want or even automatically by using repricing software.

3. Amazon Vendor Central vs Amazon Seller Central: Costs As we've mentioned before, Amazon will negotiate hard to lower its prices to a minimum in order to generate an impressive profit margin. Simply because you're an official supplier to Amazon doesn't mean that you won't be charged fees.

If you sign up for Seller Central you'll pay a monthly cost of $39.99 together with a cost of 8-20% when your product is sold. If you choose FBA you'll have to pay a slightly higher amount.

What does this mean is that your margin of profit for you as the Amazon Vendor will be lower than if you were a third-party seller using Amazon Seller Central.

4. Amazon Vendor Central vs Amazon Seller Central: Stock Availability Being one of Amazon Vendors, you may suddenly discover, without notice, that your item is no longer available. Amazon decides when and what it will offer, and you don't have any control over this.

Through Seller Central, you have greater in-control of the inventory you have even if it's at an Amazon warehouse, and then being processed via FBA.

5. Amazon Vendor Central vs Amazon Seller Central: Payments Amazon's terms for payment for customers who are Amazon Vendor are 30-60 or 90 days. This could create cash flow issues. Also, you should know that if you're on 30 days of conditions, Amazon gives themselves a generous discount of 2.

Amazon Seller Central makes payments every 7-14 days , minus fees and commissions. This gives you quicker, more frequent payments.

6. Amazon Vendor Central Vs Amazon Seller Central: Customer Service Amazon Vendor Central does offer outstanding customer service, which includes any issues related to fraudulent products or counterfeit items.

Seller Central partners are provided with support for customers through FBA (Fulfillment through Amazon) However you remain responsible to handle any issues with fraud and counterfeit.

7. Amazon Vendor Central Vs Amazon Seller Central: Selling Internationally Amazon Vendor Central partners can only sell their items on Amazon.com. If you want to sell your products on Amazon Canada or Mexico, you could join an integrated North American account to sell your products in both countries. Beyond that you have no other alternatives.

Amazon Seller Central allows you to expand into foreign markets much simpler and is accessible via the use of your Amazon account.

Summary It seems that Amazon Vendor Central doesn't come out very well in this comparison. It's possible to ask what's particular about receiving an invitation to join the program, specifically in the event that you lose control over your brand and be obliged to follow extremely strict guidelines and rules.

But there is one believed benefit of joining as an Amazon Vendor, and that is that you believe they'll sell more products than you would on your own.

Customers prefer buying from a reliable source So, Amazon may have an advantage over other retailers. It's also much easier for Amazon to be the winner of this prize called the Buy Box as they control the Buy Box! When you become an Amazon Vendor, you will immediately be awarded the Prime badge, which is an enormous benefit. Customers will seek out Prime items and faith with Amazon's Prime service.