Marketplaces / Amazon

The three models for selling items on Amazon

Aug 14, 2020

For retailers and manufacturers who want to sell their products on Amazon's platform, there are three alternatives.

1. Amazon Vendor: Amazon buys products from the retailer or manufacturer and sells them on their own.

2. Fulfillment By Amazon: The retailer or manufacturer sells their products on Amazon's platform, using Amazon's warehouses and logistics for delivery. For this they are either paying commission or a flat fee.

3. Fulfillment By Merchant: The retailer or manufacturer sells their products on Amazon's platform, but are using their own warehouses and logistics for delivery. For this they are either paying commission or a flat fee.

5 hands-on tips

Before you start selling on online marketplaces

Many factors need to be considered if or when you start selling on an online marketplace. You need to have your product information, product images and prices in order, your product range needs to be revised, you need a strategy for your brand identity and you might see a need for organizational changes.