What is the difference between a Seller account and a Vendor account on Amazon?

If your plans include starting to be a seller on the largest marketplace in the world, you should know how Amazon works from the inside. That’s why it’s good for you to know how an Amazon Seller Account and an Amazon Vendor Account work.

It is essential so that you are not caught by surprise and know what position you are in, what your direct competition could be and what you should focus your sales strategies on… Whether you’re a salesperson or not, don’t panic, this just means that sometimes you’ll have to play your cards better than everyone else to increase your sales.

How does an Amazon Seller account work?

All sellers in the world can be part of Amazon Seller Central. You can already be a private marketer, a small, medium or large company, and if your goal is to evolve and grow as a business, this is the place for you.

It is very easy to use, you just have to enter the platform (in the start of Amazon you can find the steps), create your account as a seller and pay a fee of €39 per month.

Amazon FBM

If you have space to store your products and you are the one who is going to take care of everything related to your business, you will have to know that among the tasks you have to perform are:

  • Product management within Amazon.
  • Inventory control.
  • Customer Support.
  • Order management (shipments and returns).
  • Cancellations.

Amazon FBA

But what if you don’t have a logistics centre or space to store all your products? Amazon makes it easy for you.

Amazon knows that when it comes to selling, the whole process can be complicated: storage, receiving products, shipping products, customer service… There may also be returns or cancellations of orders.

That is why he decided to contribute to his community, the Amazon FBA (Fulfillment By Amazon) program, with which all of the above is his responsibility and work 24 hours a day.

In return, Amazon keeps a very low percentage for each item sold; If you are a person with more business or who simply does not want to dedicate many hours a day, this is undoubtedly the best option.

How does an Amazon Vendor account work?

We start from the premise that this part is totally forbidden to those sellers who do not have the corresponding invitation from Amazon.

To become a Vendor, you need to meet a series of requirements:

  • When your sales from Amazon Seller grow exponentially.
  • You’re a well-known brand (Adidas, Nike…).
  • You are a supplier that they have found in their Sellers.
  • Or they count on you as a manufacturer of products of their brand (Amazon Basics, Alkove…) these are called Vendor Manufacturers. It is fully compatible with regular Vendor.

Benefits of being a Vendor account

  • Your products are now sold on Amazon and not by a third party, which will give your customers more confidence and reliability when it comes to buying.
  • You can remarket to Amazon customers thanks to the access you’ll have to Amazon Media Group (AMG) campaigns.
  • You now sell to Amazon, you send your product to their warehouses, so forget about the price you want to define on your product, Amazon will take care of it.