There is no doubt that Amazon provides a stellar system for merchants to reach out to their customers and fulfill orders in an efficient manner. That is the reason why over 300 million people globally buy on the Amazon marketplace each year and over 2.5M third-party sellers (FBA and FBM) are active on the platform.
However, selling on Amazon comes with its own set of challenges and drawbacks. What makes matters more complicated is the fulfillment process carried out by Amazon and the exorbitant fees that take away control from the original merchant and make fulfillment a costly affair.
As an Amazon seller, you may face the following issues:
Increased competition: Amazon is competitive nowadays, with millions of sellers from all over the world vying for the same customers. As a seller, you’ll need to find ways to stand out from the crowd and differentiate your products.
Changing rules and policies: Amazon updates its policies and rules, which can be difficult to keep up with. Sellers must be aware of these changes and ensure that they comply with them to avoid account suspension.
Pricing pressure: Amazon’s focus on low prices means that sellers may need to lower their prices to remain competitive, which means low profit margins.
Negative reviews: Negative customer reviews can have a significant impact on sales
Counterfeit products: Amazon has struggled to eliminate counterfeit products from its platform, which can be frustrating for sellers.
High fees FBA: Amazon charges fees for its services, which can add up quickly, particularly if you use Amazon’s FBA (Fulfillment by Amazon).
Product returns: Amazon has a customer-friendly return policy, which means that sellers must be prepared to handle returns and refunds.
Limited customer data: Amazon controls most of the customer data, so it can be challenging to properly run your business.
I hope you found this article helpful. Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!
Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.
If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic
In case you are an Amazon Seller who needs help with Seller Identity Verification on Amazon, please feel free to watch my most detailed video on the subject, addressing all common questions:
Leave a Reply
You must be logged in to post a comment.