How to sell on Amazon Prime - Proven Methods
If you've ever visited Amazon's marketplace, odds are you've noticed an Amazon Prime badge on various products' listings. In the context of a shopper, the significance is obvious. In the case of a Prime member When you purchase the product , you'll get 2 days of free shipping. If you're a seller selling on eBay, the advantages that come with being able to display the Prime badge prominently displayed on your listing may not be obvious, but don't make a mistake, having that Prime badge is mandatory for virtually all sellers selling on Amazon.
What is Amazon Prime? Amazon Prime is an annual subscription service that is available to everyone Amazon consumers. Subscribers on an year-long plan will pay $119 for the year, and Prime students pay $59 annually. Monthly subscriptions are priced at $12.99 and $6.49. the cost is $12.99 and $6.49 per month , respectively.
If you're signing up to Amazon Prime, shoppers do not just get exclusive streaming features, benefits with reading and shopping (eg. access to lightning deals 30 minutes before non-Prime members, and exclusive-to-Prime-member deals like Prime Day), they also receive shipping perks. Based on the area where buyers live being a Prime member is qualified to: ● ● ● ●
Free 2-hour shipping One-day, same-day and two-day shipping Saturday shipping Release-date delivery
How to sell on Amazon Prime If you want to sell Amazon Prime as a third-party seller, there are two choices: Seller Fulfilled Prime or Fulfillment through Amazon.
Seller Fulfilled Prime (SFP) Sellers who can fulfill all of their orders (FBM) can now be allowed to sell Amazon Prime, there is a waitlist. But, it doesn't mean that you cannot complete your order as you wait for acceptance to the program. Alongside ensuring that you have the right inventory in order to process your Prime orders in a timely manner, it's the ideal time to study Amazon's official shipping partners to identify the one that is right for you and your company. Then, when you've been moved from the Seller-Fulfilled-Prime waiting list to its mandatory trial period, you'll be better equipped to meet SFP's requirements. To finish the SFP trial successfully To be successful, you must: ● ● ● ● ● ● ● ●
Provide premium shipping options to your customers Send over 90% of your orders by the deadline Have a cancellation rate for orders lower than 0.5 0.5% Make use of the Amazon Buy Shipping Services for at the very least 99percent of your purchases Delivery orders using Amazon-approved couriers Accept and adhere to Amazon return policy. Let Amazon to manage customer service queries Demonstrate that you can meet orders by delivering them with "zero-day" handling time
Amazon does not provide an exact date or time frame to their SFP trial, and it is possible that the Prime badge won't be unable to show during trial. However, once Amazon decides that
you've completed your trial successfully then the ASINs you registered for will show this badge when they update their listing.
Fulfillment by Amazon (FBA) The most efficient way to market your product on Amazon Prime is to use FBA as your fulfillment method. Whatever your company's model, by joining Amazon to become an FBA seller, your product will be automatically considered as eligible for Amazon Prime. No waiting lists. No trial period for the official trial. For an FBA seller the only thing you need to do in order to earn the Prime label on the listings you have is get and keep good metrics for performance of sellers. Although Amazon does not provide specifics on what's required by FBA sellers to obtain and maintain to keep the Prime mark, they seem to be focusing on the following aspects: ● ● ●
With a defect rate of less than one percent In compliance with Amazon's listing guidelines and policy on products Respecting Amazon storage limits for inventory
Why should you sell Amazon Prime? From a buyer-ready customer base to a higher likelihood to win in the Buy Box, there are many advantages to making a sale on Amazon Prime.
Amazon Prime members are loyal Because Prime subscribers pay a fee each month to get their items delivered quickly instead of letting their Prime subscription lapse, Prime members will be more inclined to buy through Amazon. According to an earlier survey* of over 1,000 people 65 percent of Amazon Prime members said they considered themselves to be "brand loyal." Only 44% of people who were not Prime members expressed the same sentiment. In addition when asked about where they would shop when they could only buy items from one retailer 75 percent of Prime members stated that they would go to Amazon. For those who are not Prime members the number falls to 38%.
Amazon Prime messaging markets your product for you Making past customers buy with you on a regular basis can be difficult. But it's vital to your business's success to convert those customers into regular customers.
In addition to being more costly for you to find new customers, returning customers pay on average 20 percent more than first-time customers. Their conversion rate is higher too (60-70 percent). Over three-quarters (87 percent) of Prime users believe Amazon is a great business for shoppers. 84% of them appreciate the ability to shop on Amazon. Non-Prime members: While the numbers aren't as quite high, they drop significantly in comparison to the other members: 61 percent and 53%, respectively.
Amazon Prime members are ready to buy Prime members don't only visit Amazon first, before exploring other stores online; they also make purchases on the site frequently as well as during major holidays, such as Black Friday and Prime Day. About two-thirds (60 percent) Of Prime participants are planning to take part at Prime Day 2020, while an additional 33% indicated they would. For "regular" shopping, a large percentage (95 percent) of Prime members said that they make purchases through Amazon more than once per month. 64% of Prime members reported that they shop on Amazon every week, at least. However, more than one-third (29 percent) of those who do not belong to Prime said they browse Amazon just occasionally, less than once per month.
Amazon Prime members are willing to pay more As opposed to other Prime members, those with a Prime membership don't need to reach an amount that is minimum to receive free shipping. No matter what cost, if a is listed with that Prime badge, Prime members receive free (and at the very least) 2-day delivery. Although the price of the product doesn't play a role in Prime members getting faster shipping with no cost, they're more than ready to shell out more for the same service. More than half (61 percent) of Prime members are prepared to spend more on a product when it is shipped faster. Just 41% of customers who are not Prime members would be willing to pay the same.
Amazon Prime increases your chances to win the Buy Box Although it is true that the Amazon Prime badge may be a key element in turning buyers into customers as well, the Buy Box (the "Add to Cart button found on the listing of a product) plays an important role too.
In reality 83% of all Amazon's sales are made through the Buy Box. This is why having a Buy Box is extremely important. According to Amazon If your product is sold on Amazon Prime then the chance of having your product be a buyer are more likely to choose Amazon Prime as their default option.