Pros and cons of an Amazon Business Account
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An Amazon business account has numerous features that cater to the needs of businesses, regardless of their size and type. With its analytical tools and management tools, itâ€™s the account that you need to scale your activities on Amazon. Just like most things, an Amazon business account has its pros and cons. Below is everything you need to know about the pros and cons of Amazon business account. Letâ€™s kick-start with the benefits.
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Pros to Amazon Business
1. Access to millions of customers
Over 2 million transactions take place on Amazon in a day. Amazon can boast of over 150 million visits in a year, which means there is many users that you can sell to. As a user of Amazon business account, you have access to this large number of Amazon users. Your goods reach more audience than a regular Amazon seller account. When you have access to the largest audience of online buyers, you have a high chance of selling big on the platform.
2. Repeating orders
If your business deals with items that are purchased regularly on Amazon, Amazon business account will let the stream of buyersâ€™ orders come to you. So, if you sell PPE equipment, spare parts and consumables, Amazon business prime has its way of directing buyers to you. So, you donâ€™t need to market your goods, the business account is doing that for you already.
3. Easy to use
The layout and functions are easy to use. If you open a sellerâ€™s account with Amazon Business, you can easily design an eCommerce platform for your business in a few hours. This eliminates the need for a website and thereby, save you money and time. You can also easily contact the Amazon support team if you have any issue with the setup of the platform.
4. Supportive materials from Amazon
To help you understand the needs of the Amazon ecosystem, there are tools that you can use to scale your business. These tools include:
â€¢ Jungle scout: This tool provides data that you need to grow your business. You can search for winning products or qualified international suppliers and many more.
â€¢ Helium 10: This tool helps sellers to identify trends, optimize their contents, and search for keywords.
5. Amazing support from Amazon communities
You arenâ€™t the only one using Amazon business account, so you will get to meet other users. In the communities, many ideas and advice are always flying around the place for free.
Cons to Amazon Business
1. Amazon Business is not for everyone
Amazon business is mainly for businesses. Mind you, not every business can operate efficiently on this platform. Before opening a seller account with Amazon business, know that Amazon is not good for a commodity or low-margin products. The shipping service of Amazon favor businesses with smaller products and in the end, filter out businesses with bulky products.
2. Unpredictability of Amazon
Demand and supply are two great factors that affect the market generally. But in the case of Amazon, the algorithm is the major cause of the unpredictability. Your business can be making excellent profits and suddenly there will be a drop in the sales with the same strategy you are deploying. Mostly, this happens as a result of internal decisions made in Amazon meetings. Thatâ€™s not all. There have been numerous instances where the failure of businesses on the platform are attributed to outrageous Amazon policies. There have been stories of how Amazon suspended or terminated peopleâ€™s accounts.
3. Fierce competition
Remember that you arenâ€™t the only one that is on the platform, so there are countless people like you with Amazon business account. Some even raise the stake by subscribing to Amazon business prime account. Data is equally distributed to thousands of people who subscribe to a particular business data. Everything is about how you use the data provided to you. Recently, it was gathered that the giant eCommerce platform has been using usersâ€™ data to further their strategic goals. The competition between you, your fellow in your business space, and Amazon. There have been reports of numerous attacks by competitors to sabotage others in the same business fields. Attacks like a large campaign of writing fake negative reviews on your account or reporting false violations of your account to Amazon. This often leads to damage of reputation and you may end closing your account or Amazon terminates your membership. Most times, Amazon doesnâ€™t investigate such matter, and the business is always at the receiving end.
4. Little control over your brand
This is a big headache for manufacturers as they lose control of their products once it enters the marketplace. Other users can alter the image or description of your products. This is usually the case when you sell your products through distributors that are on Amazon business.
There you have the pros and cons of Amazon Business account, now you can decide on your next step.