Feb 18, 2023 12:00AM
Marketplace Pulse research shows that successful Amazon sellers now pay over 50% of their revenue to Amazon in fees. Learn how to launch on multiple marketplaces, build your brand, use multichannel technologies, and outsource tedious tasks to make your business profitable. Thanks, Tim.
Tim Davies
When is selling on a marketplace no longer 'good business'?
Maybe when the marketplace is keeping more than half your revenue?
#Research by Marketplace Pulse has revealed the true costs of #selling on Amazon. Amazon third party #sellers following 'winning strategies' are now paying more than 50% of their #revenue to #Amazon in selling fees, #FBA and #advertising.
Let that sink in.
More than half your #money already gone before other business expenses such as:
- Cost of goods
- Import and freight charges
- Staff
- Rent
- Electricity
- Insurance
- Taxes (sales and consumption #taxes are payable on all sales whether you're making a profit or not).
Read the report: https://lnkd.in/gQkuhxBq
Marketplaces are great for instantly reaching a big #audience, but sales-at-any-cost is not a sound #business #strategy.
So how does you make your business #profitable when faced with such high #costs on a single marketplace?
✅ Launch on multiple #marketplaces. Each marketplace has it's own fee structure, services and niche.
✅ Build your own #brand. Marketplaces are not good for building a brand, but they will take full advantage of any brand that is already well established.
✅ Research and deploy #multichannel #technologies such as ZELLIS Connect, Maropost and ChannelEngine that will save you time and effort, and sync #stock across all #channels at once.
✅ #Outsource the things you're not great at, or the tedious #tasks that are keeping you away from what's most impactful to your business #growth. Properly structuring and optimising your #product #data is super critical to succeeding on marketplaces as much as it is through #Google, #Bing and other #search #engines.
We are ZELLIS. This is what we do.
