How to Set Up an Amazon Seller Account

January 22, 2022March 2, 2023 Sono

Did you know that 89% of consumers are more likely to buy from Amazon than any other online store? It’s not hard to see why with Amazon’s customer service, prompt delivery, and huge selection.

If you’ve been considering opening an Amazon seller account, now’s the best time to do so. You will be able to reach millions of shoppers with Amazon’s simple to use selling platform.

Keep reading to learn how to set up an Amazon seller account.

Table of Contents

1. Determine Your Business Model

The steps to set up an Amazon seller account are the same regardless of your business model. It is still important to define your model before setting up your store, though.

Private label is when you’ll rebrand an already existing product with your logo. The Wholesale model is when sellers buy products in bulk and sell them as individual units. Online or Retail Arbitrage is used when you find bargain items online or in store to re-sell on Amazon.

The Dropshipping model is when sellers don’t keep what they’re selling in stock in a warehouse. Instead, the seller collects the customer’s payment and shipping address and arranges for their items to be delivered from their supplier.

The Handmade model is as it sounds â€” selling items that you make by hand.

2. Choose a Fulfillment Method

Once you know what you’re selling and how you’re selling it, you must decide how to fulfill your orders.

Fulfillment by Amazon (FBA) is the most hands-off way to handle your online shop. Amazon handles every step of the fulfillment process with FBA. They will also take care of customer service requests and dispatching.

You might consider FBA if your items sell fast and if the cost to store and ship yourself is high.

The second option is Fulfillment by Merchant (FBM). FBM is great for businesses that have logistics in place to ship and store their products. When you fulfill orders yourself, you have greater control over the customer service experience.

We recommend investing in Amazon store software regardless of the fulfillment method you choose.

3. Determine Your Seller Type

Will you be selling your products as an Individual or as a Professional?

Individual sellers typically sell fewer than 35 items every month. An Individual seller might be testing the waters and aren’t quite sure what they want to sell yet. Individuals do not have a monthly fee to pay but they also won’t have access to advanced selling tools.

Individual sellers will pay $0.99 per item for every product they sell.

Professional sellers will make more than 35 sales per month. They want access to essential reports and data to ensure the success of their business. Professional sellers pay $39.99 every month to keep their business active.

Professionals do not have the per-item fee as Individual sellers do. They can determine their own shipping rate and can sell on Amazon’s “gated” categories.