The secret to selling on Amazon actually starts with a program offered by Amazon.com called Amazon Prime. Amazon Prime offers free 2-day shipping on millions of products along with free music, video (TV and moves) and Kindle book rentals for $99/yr.
The 20 million+ Amazon Prime members spend an average of $1,224 per year versus $505 non-prime customers and these high spending members are always looking for products that are part of free shipping program.
But the secret (and huge opportunity) is that it’s not just Amazon selling products under the Amazon Prime umbrella.
You can actually sell products through Amazon Prime by using the Amazon FBA program.
FBA or Fulfilled By Amazon, allows sellers to send inventory to Amazon warehouses across the country and then Amazon takes it from there. Once the inventory hits the warehouse, they are available for purchase on Amazon. Higher priced items (over $35) qualify for free super saver shipping and all items qualify for free 2 day prime shipping.
This all leads to higher prices because buyers want their products quickly and there is a certain level of trust provided when they see that Amazon Prime logo.
Products sell at a higher priced when they are listed on Prime (Amazon FBA) versus the same product fulfilled by merchant.
Think about it, Amazon has a certain level of trust and reputation as an online retailer and you have an opportunity utilize that reputation to build your own e-commerce business.
At this point, you have 2 choices…well 3 actually.
- You can ignore all of the facts about the growth of e-commerce and Amazon and go about your business leaving a huge opportunity on the table. (Not really recommended, but it’s your choice…no judging here)
- You can try to learn about Amazon FBA through trial and error. (Spending lots of money and time.)
- Learn about Amazon FBA (including how to source products) and practically guarantee your success through DS Domination.
My friend, Ann Sieg is doing a special webinar on getting started with E-Commerce on Thursday, July 17th.
Here’s the registration link:
This will be an introductory webinar to making money with eBay and Amazon….it’s the place to get started.