Selling on Amazon opens doors to new opportunities for business owners; however, one of the key factors affecting the success of your business is the right seller plan. Whether you are a beginner or an experienced seller wanting to scale more, you might want to look deeper into Amazon’s seller plans to choose the best for your business’s needs.
In this article, we’ll overview Amaozn’s individual and professional seller plans from main features, pros & cons to primary differences. We will also help you pick the right plan by guiding you toward the factors to consider before making the final choice. So, let’s dive into it.
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What is the Amazon Individual Seller Plan
The Amazon Individual Seller Plan is a selling plan designed for individuals or small-scale sellers who list and sell fewer than 40 items per month on Amazon.
Pros
Amazon’s individual seller plans come in handy with multiple benefits, such as:
– No monthly subscription fee, making it cost-effective for low-volume sellers.
– Simple setup process, ideal for beginners or occasional sellers.
– A pay-as-you-sell structure ensures that fees are only incurred when items are sold.
Cons
While it has many advantages, there are also certain drawbacks you should consider before moving forward:
– A $0.99 fee per item sold can add up for higher sales volumes.
-Limited access to tools like bulk listing, detailed reports, and advertising.
– Uneligible to win the Buy Box can impact visibility and sales potential.
What is Amazon’s Professional Seller Plan
The Amazon Professional Seller Plan is a subscription-based plan tailored for sellers with higher sales volumes. It provides sellers access to advanced selling tools and features and is designed for those wanting to scale their business on Amazon.
Pros
Amazon’s professional seller plan equips sellers with benefits such as:
– No per-item fee, making it cost-effective for higher sales volumes.
– Access to advanced tools like bulk listing, analytics, and advertising.
– Increased chances to win the Buy Box, boosting visibility and sales.
Cons
The downsides of this plan are:
– A monthly subscription fee of $39.99, regardless of sales performance.
– Requires more time and effort to manage advanced features effectively.
– It’s not ideal for sellers with low sales volumes or occasional listings.
Differences Between Amazon’s Individual Vs Professional Seller Plans
As far as we are clear on the plans, let’s overview the differences in more detail.
Monthly Vs. Per-Item Fees
The Individual Seller Plan charges no monthly subscription fee but includes a $0.99 fee for every item sold. In contrast, the Professional Seller Plan has a fixed monthly fee of $39.99, regardless of sales volume, and no per-item fee.
Access to Advanced Tools
The Professional Seller Plan offers advanced features such as bulk listing tools, detailed sales analytics, and access to Amazon’s API, making it ideal for scaling businesses. The Individual Seller Plan, however, is limited to basic tools suitable for occasional sellers.
Eligibility to win the Buy Box
Only sellers on the Professional Seller Plan are eligible to win the Buy Box. This is a critical feature that can significantly increase visibility and sales. Individual sellers cannot access this benefit, which limits their competitive edge.
Which Amazon Seller Plan is the Right Choice for Your Business
In order to understand which seller plan is the best choice for your business, it is essential to take into account a variety of factors.
Consider How Many Items You Want to Sell
Before proceeding with any plans, consider how many items you plan to sell. If your expected sale volume is less than 40 items per month, then the individual seller plan is a more cost-effective solution. However, if you anticipate high volumes of sales, then the professional seller plan becomes the better choice because per-item fees are eliminated.
Are You Going to Sell Items in Restricted Categories
Certain product categories require approval from Amazon, which is only available with the Professional Seller Plan. Thus, this is yet another factor to consider before proceeding with one of the available plans. If you want to sell in these restricted categories, the Professional Plan is the right choice. However, if your item does not fall under the restricted category, individual plans can work fine.
Do You Plan to Advertise Your Products on Amazon
The professional seller plan gives you access to Amazon’s advertising tools. For instance, you can use sponsored Products and Brands for crucial campaigns to drive sales and visibility. On the other hand, individual plans do not provide access to these. So, if you plan to scale your business and utilize advanced PPC campaigns, targeting, and analytics capabilities, then the professional plan is the right choice for you.
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