Table of Content
1. Introduction
2. Registration Process of Amazon
– Step 1: Start Amazon Seller Registration
– Step 2: Enter GST Number
– Step 3: Verify GST number
– Step 4: Enter Store Name
– Step 5: Enter Pick Up Address
– Step 6: Choose the Shipping Method
– Step 7: Select Bank Account
– Step 8: Select Default Tax Rate
– Step 9: List Your Product
3. Amazon Shipping Models
– Self-ship
– Easyship
– Amazon FBA
4. Which Brands Prefer What Selling Model
5. Things Require to Become a Successful Seller on Amazon
– Product Listing
– Pricing Strategy
– Manual Inventory Management
– Avoiding Shipping-Related Issues
6. Amazon Success Story
7. Amazon Payment Cycle & Reconciliation Process
– Three-Step Verification Process
– Payment Verification
– Amazon Fees Verification
– Bank Settlement Reconciliation
8. Build a Strong Festive Marketing Strategy
– Make your Products Visible
– Use Amazon Ads
– Stay Updated With Inventories
9. Maximize Growth and Visibility on Amazon India
Amazon is the most streamlined marketplace, where every process is well-defined, data-driven, automated, and strategic. Amazon’s root identity lies in operational efficiency. While Myntra and Flipkart jointly processed 2.5 million orders per day, Amazon closed to 3 million as of the fourth quarter of 2020. Under such a result-oriented environment, businesses can pace up their business growth. And it doesn’t end here! Amazon’s revenue potential is 43% higher than that of Myntra. It implies that sellers are more likely to generate revenue from Amazon from each transaction as compared to Myntra.
While Amazon’s root identity lies in operational efficiency, its DNA revolves around global scalability. It is the most visited online shopping destination where you can expand your reach to 180+ countries with 310 million active users worldwide.
Sell on Amazon India – Amazon Seller Registration Process
Step 1: Start Amazon Seller Registration
Register as an Amazon seller by clicking on this link https://sell.amazon.in/ and click on Start Selling.
If you already have a customer account, you can use the login details to verify your phone number via OTP verification. If you don’t have the consumer login details, click on ‘Create Your Amazon Account’. Enter the details: Name, mobile no., Email Address, etc. Click to continue.
Step 2: Enter GST Number
After signing in, you’ll need to enter your GST number. If you’re selling GST-exempt items (like books), select the option indicating you only sell tax-exempt products.
Step 3: Verify GST number
After entering your GST number, click ‘Continue to Verify’ and upload your GSTIN certificate (Form Reg-06 with Annexure A and B) in PDF, JPG, or DOC format (under 10MB). Then, click ‘Submit GST document’. Verification may take up to 72 hours, and you’ll receive an email with the result. While awaiting verification, you can proceed with other registration steps.
Step 4: Enter Store Name
Give your Amazon.in store a unique name to represent your business. You can either pick a name yourself or choose one of Amazon’s suggested options.
Step 5: Enter Pick Up Address
Enter the pickup address where Amazon will collect products for your orders. You can use the GST-registered address or add a new one under Account Settings in Seller Central. Make sure the pickup address is in the same state as your GST registration.
Step 6: Choose the Shipping Method
If you opt for Easy Ship, you’ll need to decide how shipping charges are handled. You can either include them in the product price to offer free delivery or list delivery charges separately.
Step 7: Select Bank Account
Enter the details of your active bank account, which will be used to transfer earnings from your Amazon.in sales. This account must be linked to your business transactions.
Step 8: Select Default Tax Rate
The Default GST rate or Product Tax Code (PTC) defines the applicable tax rate for product categories as per government regulations. This rate is automatically applied to your product listings unless you choose a different tax code for a specific product.
Step 9: List Your Product
Click ‘Add products and start selling’ to begin listing your products. This step is essential for launching your store on Amazon.in. Enter product details such as images, descriptions, and prices, which will help customers evaluate your offerings. At least one product listing must be completed to launch your store.
Sell on Amazon – Amazon Shipping Models
1. Self-ship
If you choose self-ship, you will store, pack, and ship your products on your own. This is a flexible option, as sellers can choose their delivery associates and set their own shipping price.
2. Easy Ship
Easy ship allows sellers to transfer shipping responsibilities to Amazon. If you choose this fulfillment option, you will store and pack the products and hand over the package to an Amazon delivery agent. This fulfillment model is ideal for sellers who sell a variety of products and store them in their warehouse but want hassle-free shipping.
3. Amazon FBA
Amazon FBA is an all-in-one solution where sellers can hand over complete responsibility to Amazon. Everything from storing, packing, shipping, and delivery is taken care of by Amazon. Sellers who want to save time and scale their business by selling a large volume of products can use Amazon FBA. This will save them time for product development, marketing, and sales.
Which Brands Prefer What Selling Model
FBA is generally preferred by brands that sell a large volume of products and sell with high margins or brands that want to save time and scale their business and lack the proper setup to fulfill their orders. However, it may not be suitable for brands that sell heavy and bulky items.
Self Shipping model is ideal for sellers who have large-scale warehousing facilities and delivery networks, such as Kirana stores that sell to nearby pin codes and can deliver on the same day/ next day using local delivery associates.
Brands that have their own warehouse but want hassle-free delivery work prefer easy ship. It is a good fit for sellers who have a variety of products with low margins and want to leverage Amazon’s delivery expertise.
Sell on Amazon – Things Require to Become a Successful Seller on Amazon
1. Product Listing
To sell products on Amazon, you first need to list them on Amazon.in. Here, you need to provide complete product information such as category, brand name, features, specifications, image, and price of the product. After completing this step, sellers often don’t maintain and update their product listings. This step is crucial to maintain your ranking on the top page, as Amazon may suppress the listing or deactivate the seller account if the listing doesn’t meet the required standard.
If the product you want to sell already exists on Amazon.in, you can simply search it with ASIN (Amazon Standard Identification Number) and add your price and quantity to these ASINs to list and start selling. You can use UPC (Universal Product Code), EAN (European Article Number), or ISBN (International Standard Book Number) to search for product names, brand names, model numbers, etc. But if the product is not available, you will need to create a new list where all the relevant details of the products are provided.
- Title – 200 characters max; capitalize the first letter of every word
- Image – 500 x 500 pixels or 1,000 x 1,000 to increase listing quality
- Variations – Such as different colors, scents, or sizes
- Bullet points – Short, descriptive sentences highlighting key features and benefits
- Description – Optimize using keywords to improve listing discoverability.
2. Pricing Strategy
It’s imperative to comply with Amazon pricing policies to maintain the performance of your selling account. Setting a misleading price or charging excessive shipping fees can harm your selling account. Amazon monitors the prices across stores and compares them to other prices; if it finds that pricing practices can damage customer trust, it takes stringent actions against sellers, like removing the featured button ‘Buy Now’.
3. Smart Inventory Management
Manual inventory management has a lot of constraints– you can’t put 100% inventory live as it will be too risky. As your sales channel increases, distributing inventories will become complex. Every time the order arrives, you need to manually update inventory across all sales channels. Now, imagine doing this a hundred times a day! On top of that, you’ll constantly need to switch between different sales channel panels throughout the day.
Using advanced inventory management system, you can put 100% inventory live across all sales channels. For instance, you have 100 units of inventory and want to sell on five different channels. You can show all 100 units of inventory on all sales channels. Advanced IMS solutions provide a centralized view where you can track inventory levels across different channels in one place and don’t need to visit different panels, thus reducing hassle and time. Moreover, you can put inventory formulas to block inventory on a particular sales channel.
4. Avoiding Shipping – Related Issues
In today’s scenario, consumers want their order as soon as possible. They may make their purchasing decisions based on the delivery date of the product. But, on the seller’s end, it becomes a huge responsibility to ensure that the order reaches the right location and at the right time. But, factors like rising shipping costs, lost shipments, and environmental factors can cause delays. Issues in shipment can cause a ripple effect as they increase the SLA breaches and return rate, ultimately adding to the seller’s cost.
Now that you are aware of potential mistakes, let’s see what can be done if you get stuck in any of the above-mentioned scenarios.
Amazon Success Story
Pankaj Bhatia, founder of Protecta’s, who sells laptop bags, faced significant challenges that nearly forced him to shut down his business due to payment issues with another e-commerce platform. After two difficult years, he decided to explore online selling once more, this time with Amazon. The decision proved transformative, as their business achieved 200% business growth. Today, he runs a thriving business, offering high-quality laptop bags and tech gear to customers nationwide.
Sell on Amazon – Amazon Payment Cycle & Reconciliation Process
While Myntra settles payment in 10-15 days and Flipkart in 10 days, Amazon settles payment in 7 days. The first time settlement will be within 14 days, but subsequently, it will be after every 7 days. Amazon has an easy three-step reconciliation verification process. But before we understand the process, let’s see the important data required for the reconciliation process.
- All orders report – A comprehensive report of all your Amazon orders with invoice specifics.
- Disbursement report – it contains all information regarding Amazon payment to your account.
- All Returns – A report with all the data regarding returns.
- FBA Return – It contains order-level reimbursement information.
- SKU Master – it is a master list of SKU or products
- Bank Statement – All data regarding bank transactions, including disbursement from Amazon.
Three – Step Verification Process
1. Payment Verification
The payment verification can be done by breaking down the expected & received sales. This section reveals any difference between the amount you anticipated or received and the amount actually disbursed from Amazon. It also contains the reconciled and unreconciled orders, underpayments, and overpayments from Amazon.
2. Amazon Fees Verification
Amazon levies various fees on each category-shipping fee, including closing fees, referral fees & more. Here, sellers can identify if there is any discrepancy in the fee applied by Amazon.
3. Bank Settlement Reconciliation
This step includes a complete overview of the bank settlement process. This analysis highlights settlement discrepancies like the settlement received from Amazon Amazon settlement received but missing from the settlement report.
Sell on Amazon – Build a Strong Festive Marketing Strategy
1. Make your Products Visible
Consumers are unlikely to buy your product unless they find it. In physical stores, your employees may help them find the product, but on the online marketplace, consumers search for the product via keywords. Sellers must ensure that their catalog has all the relevant keywords to your product. Another way to make your product visible is through Sponsored product campaigns. Let’s understand this further.
2. Use Amazon Ads
The festive season is the time when you can strategize your ad campaigns to make the most use of marketplaces. Amazon Ads could be the best way to reach out to a wider audience during the festive season. The seller can optimize their advertising strategy before, during, and after the festive season. You can learn more about it through Amazon video lectures.
3. Stay Updated With Inventories
Real-time inventory updates can help you remain updated during festive sales. The festive season is a time when you can quickly run out of stock, but when you have the idea of fluctuating inventory updates, it will be easy to restock your inventory according to the estimated upcoming orders.
Maximize Growth and Visibility on Amazon
Amazon holds an identity for efficient operations and ample scope for scalability by expanding its reach over 180+ countries. Amazon’s data-driven ecosystem enables sellers to optimize product listings, pricing, and inventory. It provides streamlined processes, advanced shipping models, and faster payment cycles, empowering sellers to thrive in a demanding yet rewarding marketplace. Start selling on Amazon now and scale your business like never before!
FAQs on How to Sell on Amazon India
1. Is selling on Amazon India free?
Selling on Amazon is not free, but you can create a seller account for free. There are fees such as referral fees on each sale and optional professional account subscription costs. Additional expenses may include shipping, storage, and advertising fees.
2. Do I need GST to sell on Amazon?
To sell on Amazon, you need to provide your GST number during registration. If you plan to sell GST-exempt products, you can select the option: “I only sell tax-exempted products such as books.” This allows you to proceed without a GST number for eligible categories.
3. Is there a minimum quantity to sell on Amazon?
There is no minimum quantity to sell on Amazon. You can list and sell even a single product on the platform. However, maintaining inventory levels can help improve customer satisfaction and sales.
4. How do I start selling on Amazon?
There is a simple process to start selling on Amazon. Create a seller account, provide your business details, and list your products. Once listed, you can start receiving orders and managing sales through Amazon’s platform.
5. What are the different selling plans on Amazon?
Different selling plans on Amazon are the Individual Plan and the Professional Plan. The Individual Plan costs $0.99 per sale, making it ideal for occasional sellers. The Professional Plan costs $39.99 per month, offering unlimited sales and advanced tools for businesses.
6. What fees are associated with selling on Amazon?
Fees associated with selling on Amazon include referral fees, which are a percentage of each sale, and subscription fees for professional accounts. Additionally, sellers may incur fees for shipping, storage, and optional advertising services. These costs vary based on the product category and services used.
7. What is Fulfillment by Amazon (FBA)?
Fulfillment by Amazon (FBA) is a service where Amazon stores, packs, and ships your products for you. It also handles customer service and returns on your behalf. This allows sellers to focus on growing their business while Amazon manages logistics.
8. How do I list my products on Amazon?
To list your products on Amazon, you need to create a seller account and choose the right product category. Then, you can either add products manually or upload them in bulk using a spreadsheet. After listing, you can set your price, inventory, and shipping options.
9. What are the best practices for creating product listings?
The best practices for creating product listings include using clear, high-quality images and writing detailed, accurate descriptions. Make sure to use relevant keywords for better search visibility and provide competitive pricing. Additionally, include product specifications, customer reviews, and clear return policies.
10. How can I manage my inventory effectively?
To manage your inventory effectively, use Amazon’s inventory management tools to track stock levels and set up alerts for low stock. Regularly update product listings to reflect current availability and optimize your shipping strategy. Consider using Fulfillment by Amazon (FBA) to streamline storage and shipping.
11. What are Amazon’s policies and guidelines for sellers?
Amazon’s policies and guidelines for sellers include adhering to product listing requirements, maintaining accurate inventory, and following shipping and fulfillment standards. Sellers must comply with Amazon’s code of conduct, customer service expectations, and rules regarding prohibited products. Violations may lead to penalties or account suspension.
12. How do I handle customer service and returns?
To handle customer service and returns, respond promptly to customer inquiries, and address issues professionally. Amazon provides a standard return policy, and sellers are required to follow it, offering refunds or replacements when necessary. Using Fulfillment by Amazon (FBA) can simplify the process by handling returns on your behalf.
13. How can I grow my business on Amazon?
You can grow your business on Amazon by optimizing your product listings with relevant keywords and compelling images. Utilize Amazon’s advertising tools, such as Sponsored Products, to boost visibility and attract more customers. Focus on providing excellent customer service and maintaining positive reviews to build trust and drive sales.
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