Benefits of Becoming an Amazon Prime Seller
Over the past few years, Amazon India has rapidly grown to become one of the country's leading e-commerce marketplaces. Today Amazon India has more than 600,000 sellers. Amazon India marketplace provides a platform for small and medium businesses that helps them grow their business. The sellers may also benefit from the wide customer and customer service to gain trust and build a customer base. One such attempt to a better customer experience includes Amazon Prime membership.
What is Amazon Prime?
Prime membership is a special program run by Amazon for the customers. Through this program, the customers get various benefits like unlimited free and fast order deliveries on eligible items and early access to sales, while buying as a Prime member. Since its launch in 2016, Amazon Prime in India has grown its member base faster than any other country. The special superior services they receive as Prime members attract more people to become Amazon Prime members.
How do you as a seller benefit from this program? Prime customers tend to search more for prime products. Showing your products as Prime products may get you higher chances of converting them into sales. As an Amazon Prime Seller, you get a Prime Badge which helps the customers in finding your products faster and easier. This way, it may help you in getting more product visibility and sales.
But why is Amazon Prime such a huge success? What are these benefits that are associated with it? Let’s have a look.
Benefits of Amazon Prime
Getting Prime not only gives you a badge but it brings a whole lot of opportunities for the sellers like you.
1. One-day or Two-day delivery
The biggest advantage of joining Amazon Prime is that you get unlimited access to 1-day and 2-day order delivery. Today people want everything to be delivered immediately. So providing instant service will potentially help attract more customers and repeated purchases to your products.
2. More visibility to the customers
With more prime customers growing on Amazon, they now tend to filter and search for prime products more than the non-prime ones. So having access to prime membership will help your products get more visible & accessible to customers and increase chances of getting more sales. It is a profitable way to be discoverable to Prime members and drive more value for your business.
3. Early access during sales
any sale period like Great Indian Sale, or other festive sales, Amazon gives early access to the Prime members. As a Prime seller, you may get a one day or a few hours head start for such events. This means that you can approach the customers before other sellers. Reaching out to them during these early hours helps in getting more customers due to the sale rush and may increase your chances of getting more sales.
4. Prime Day
Adding some more advantages to the Prime sellers, Amazon launched Prime Day. It has been a huge hit and includes great deals and product launches. Being a part of such a massive event is profitable for you as it helps in gaining access to more customers and deals.
Here are some stats from the Prime Day 2019:
● Top selling products from SMBs included Power Gummies Hair Vitamin, Anti-Theft Backpack with USB Charging Port and Ayurvedic products from Kapiva
● Sales volumes increased 67% over last Prime Day
● Amazon Launchpad
sellers experienced a 65% jump in sales over last Prime Day
5. Boost in Sales
All these factors mentioned above increase the chances of getting higher sales. Prime selling can increase chances of your sales up to 3X. More visibility leads to customers dropping in on your product page, and ultimately more chances of sales. Quick delivery is a great boost in driving sales as customers seek products with faster and free delivery.
How to become an Amazon Prime Seller?
Taking advantage of discounts and deals is one of the best ways to potentially boost your sales. Seasonal sales and frequent sale weeks on Amazon will give you a chance to offer different attractive deals to tempt customers to buy your product. Discounted prices increase the chances of bringing in a high volume of sales and also help in attracting customers.
Customers tend to buy more when there are special promotions. You can set up limited time promotions on your products via coupons & lightning deals. Or you can automate merchandising to show your coupons in search results, product pages, offer listing pages, and even in carts and delight customers.
1. Fulfillment by Amazon (FBA)
The Prime services are offered on all products on Amazon that are fulfilled by Amazon
. Being an FBA seller, your products will be eligible for Prime and the Prime badge will appear for all such products on the Amazon India marketplace. All you have to do is sign up for FBA. To register for FBA, you can visit your seller account and navigate to Settings > Account Info > My Service and then register for FBA.
Benefits of FBA:
● Send your inventory to Amazon Fulfillment Centers and Amazon takes care of everything from there on, so you can save time and focus on your core business.
● Build trust among customers by offering world-class packaging, shipping, and customer services.
● Scale your business in a hassle-free way without worrying about new investments for capital and employees. Amazon Fulfilled Network handles a wide range of products and large volumes as you expand your business.FBA Fees:
FBA fee is broadly divided into three categories:
a. Referral Fee: This is the amount charged by Amazon from the sale of each product. Starting from 2% of the sale, it varies for different product categories.
b. Closing Fee: This is a fixed price and depends on the item price. This fee is reduced for FBA sellers.
c. Fulfillment Fee: Starting at just Rs. 28, this is the cost of picking, packing, storing, and shipping your product. This price is also reduced for FBA sellers.
2. Local Shops on Amazon
Local shops on Amazon
is a program that allows you to register your physical store on Amazon and serve more customers from the local area. With this program, you get access to the ‘Prime Badge’ that helps customers around you discover you faster on Amazon.
Criteria to apply for Local Shops:
You must have
1. A physical store/retail store/Kirana shop.
2. Ability to deliver orders the same day or next day in your area.
3. Ability to provide additional services such as demo or installation (if applicable for your products).
3. Seller Fulfilled Prime (SFP)
Also known as Easy Ship Prime, it allows you to provide Prime experience to customers for your Easy Ship products from your own facility without any additional cost. This is an Invite Only Program for our Easy Ship Sellers. Under the Easy Ship program, you store and pack your inventory at your facility and then Amazon delivers them within 2-4 days when you receive an order. It reduces the cost of shipping for you.
4. Seller Flex
To save the cost and efforts of shipping inventory from seller premises to Amazon’s fulfilment centre, Amazon offers FBA services to your own storage facility. This program is called Seller Flex. This means you get all the benefits of FBA, including Prime Badge, now at your doorstep.
Criteria to apply for Seller Flex:
You must have
1. A Flex site where you can store your inventory.
2. Proper IT hardware and infrastructure system in the Flex site to carry out the smooth operation.
3. Sufficient manpower and packaging supplies.
Amazon Prime has been a great help for all the sellers. The services and facilities unleash multiple benefits for you. Give your customers what they want and become one of their favorite sellers. Get a Prime Badge for your products today and avail all the benefits to grow your business