With £23.6 billion in sales (in the UK only) and around 500 million visits monthly, Amazon is the go-to e-commerce marketplace for budding entrepreneurs.
Whether you’re trying to test out a new product or grow your business online, here’s how to sell on Amazon UK.
Before joining Amazon’s marketplace as a seller, there are a few things you need to consider and requirements you have to meet.
Here are the essentials for a successful start on Amazon.
Think about shopping habits as well. Did you know that a third of all online shopping in the UK is done on mobile devices? With this in mind, it’s important to think about how the image will look on both desktop and mobile.
Potential Amazon sellers can choose between two plans, including:
All sellers on Amazon, regardless of their selling plan, pay a referral fee on every sale they make. The amount of the referral fee usually depends on what category the products belong in and can be anywhere between 8% and 15% of the total transaction.
Furthermore, Amazon charges sellers who use its FBA services a flat fee per unit (based on the type of product, its weight, and dimensions) and a monthly storage fee. Sellers might have to pay extra if their products sit in storage for a long period of time.
Other costs for Amazon UK sellers include:
One of the largest benefits of selling products on Amazon is the ability to market your products to a wider audience, including places from all over the world.
If you’re selling in other places than the UK, such as other European countries, you’ll either need to open a bank account in the country of that Amazon marketplace or use the Amazon Currency Converter, which will send the money directly to your local account in your local currency. Amazon also offers sellers the option to get paid via Hyperwallet, a third-party payment service provider.
Is it still profitable to sell on Amazon?
In short, yes. The UK has a very strong online purchase penetration rate that has gone up to an incredible 87% in 2020. And as the number one online retailer in the country, Amazon UK gives you access to bigger markets than any other site right now.
Fulfilment by Amazon is a service provided by the company that helps businesses handle logistics. In other words, businesses that can’t manage their own inventory and shipping can use FBA in the UK and let Amazon handle the packing, labelling, and shipping of a business’ orders.
As part of the package, Amazon also takes care of customer service and returns the orders when necessary.
Selling on Amazon is one of the best ways to grow your business and boost your sales. Amazon offers a competitive marketplace and plenty of benefits, from detailed business reports to services like FBA.
You don’t need to own a company to sell on Amazon UK, but if you sell more than £1.000 per year, then you have to register a self-employed business and pay taxes.
You can use the Amazon Seller app to monitor sales, fulfil orders, create listings and answer customer questions while out and about. If you are wondering how to sell on Amazon UK more quickly and efficiently, using the app is a great place to start.
In the UK there are more than 14.000 sellers that collectively make around 2.5 billion pounds per month.
Bojana is my name and writing is my game. I am a content writer from Bitola who is always interested in the latest research in almost all areas of life. I have a Bachelor’s degree in English literature and a perfectionist character, both of which help me find the most accurate data and information available. Although I have my head stuck in studies and reports most of the time, I still have a bit of free time during which I enjoy knitting and watching classic 90’s Disney movies.