Why Selling on Amazon is Crucial for Retailers in 2023

18 May 2023 • 6 min read

You could be forgiven for thinking that most product searches begin on Google, but a recent study shows Amazon as the most popular starting point. While optimizing for Google is still vital (and check out our Complete Guide to SEO to see why), e-commerce businesses should also be selling on Amazon to increase visibility, traffic, and revenue.

As we approach the 2023 holiday season, it’s essential for retailers to understand the importance of selling on Amazon and how to determine if their business is a perfect fit for this thriving platform.

So, why should you sell on Amazon in 2023?

Unparalleled reach and customer base:

With over 2.5 billion monthly visits, Amazon provides an unparalleled platform to reach customers worldwide. It boasts an extensive customer base that spans across diverse demographics and geographic regions. By leveraging Amazon’s immense traffic, retailers can tap into a vast pool of potential customers, ultimately boosting sales and brand visibility.

Trust and credibility:

Amazon’s reputation for reliability and customer trust is unmatched. With millions of customer reviews and a robust rating system, the platform builds credibility for both established and new businesses. Selling on Amazon allows retailers to piggyback on this reputation, fostering trust among potential customers and minimizing the hurdles associated with building brand recognition from scratch.

Seamless fulfillment options:

Amazon’s fulfillment services, primarily through its Fulfillment by Amazon (FBA) program, provide a seamless and efficient way to handle logistics. By utilizing FBA, retailers can outsource inventory management, shipping, and customer service, allowing them to focus on core business activities. This streamlined approach not only enhances customer satisfaction but also enables businesses to scale and expand without the need for extensive infrastructure investments.

Enhanced discoverability and marketing tools:

Amazon offers a suite of powerful marketing tools and features designed to boost product discoverability. With sponsored product ads, brand stores, and enhanced content options, retailers can showcase their products in a visually appealing and engaging manner. Additionally, Amazon’s algorithm-driven recommendations and personalized product suggestions help drive organic traffic to retailers’ listings, increasing the chances of conversions.

Determining if your business is right for selling on Amazon

While Amazon presents numerous benefits, it’s crucial to assess if your business aligns with the platform’s requirements. Consider the following factors when determining if selling on Amazon is right for you:

Product Suitability: Evaluate whether your products align with Amazon’s categories and meet its guidelines. Conduct thorough market research to determine if there is demand for your products on the platform.

Competitive Landscape: Analyze the level of competition within your product niche on Amazon. Evaluate the market saturation and identify unique selling propositions that can set your products apart.

Profit Margins: Assess whether your business can sustain the fees and commission structure set by Amazon. Consider factors such as shipping costs, inventory management, and pricing strategies to ensure profitability.

Branding and Customer Engagement: Determine if selling on Amazon aligns with your branding strategy and customer engagement goals. Consider how your brand image will be perceived in the Amazon ecosystem and how it fits within your overall marketing strategy.

You should also look at which categories perform best overall on Amazon to see if your business is a good fit. Broadly speaking, the best performing categories on Amazon are:

  • Electronics
  • Video Games
  • Clothing, Shoes, & Jewelry
  • Toys & Games
  • Camera & Photo
  • Books

If your store specializes in any of the above categories, then you’re a prime (pardon the pun) candidate for selling products on Amazon.

How WebSell’s Amazon integration works

WebSell’s Amazon integration allows you to seamlessly synchronize your POS with Amazon. This means that you can automatically upload products from your POS to Amazon, then download orders and inform Amazon of order tracking numbers. This allows you to ship orders with no fuss and minimal management.

To start selling on Amazon you would typically have to add items and products individually to your Amazon store, and fill out thousands of lines of spreadsheets to cover your inventory. With WebSell, you can manipulate your existing information so that you don’t have to manually enter each product on Amazon.

No longer will you have to push items individually to Amazon, or maintain stock/price levels on Amazon Seller Central; now you simply make the changes in your POS and find the values updated on Amazon automatically.

When you make a sale on Amazon, it is passed down to your POS in the same way that a webstore sale is passed to your POS, allowing you to tender the sale in the same way as you would a sale in your store. To further simplify the process, when you tender an Amazon sale in your POS, the transaction is automatically marked as shipped in Amazon Seller Central, releasing the funds to your Amazon account.

Our POS integration for Amazon remains the best way for brick-and-mortar retailers to start selling their products on Amazon. You don’t even need to have a WebSell e-commerce store to use our integration. It works as long as you use a Point of Sale system in your store.

How to get started

Getting started on Amazon is simple. Simply contact our sales team, or if you’re a WebSell customer, open a ticket via the portal and our specialist will discuss your integration.

Wrapping up

In 2023, embracing Amazon as an integral part of your e-commerce strategy is no longer an option; it’s a necessity. With its unparalleled reach, customer trust, and fulfillment capabilities, Amazon offers a tremendous opportunity for retailers to expand their businesses and thrive in the competitive online marketplace.

Connecting your store to Amazon can benefit your business in a number of tangible ways:

  • Expose your products on the world’s largest online shopping destination
  • Automatically upload your products from your point of sale to Amazon.com
  • Have your stock levels automatically synchronize between your POS, webstore, and Amazon
  • Have any orders made on Amazon download directly to your Point of Sale
  • Automatically inform Amazon of order tracking numbers for shipping

Ready to connect your store to Amazon? Get in touch to discuss your integration today.

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