Nozama Wines
Wine, Beer & Spirits Distributor Digital Market
How to sell Wines on Amazon
The Baco Wines from Spain Project on Amazon
What is the BACO project ?
This project aims to incorporate the wines of Spanish wineries in the Amazon Wines section, managed by the winery itself. Each wine will be exhibited according to the winemaker’s philosophy.
It will initially be launched on the Spanish portal and later on in the rest of Amazon’s European markets (France, Italy, Germany and the UK).
This incorporation will be done with Baco as a distributor and Amazon as a customer, so the wines will be published on the website as «Sold and Shipped by Amazon». Therefore they can be shipped free of charge for Amazon prime customers and with same day delivery.
In this format, the producer (winery or representative) will ensure that the chosen references reach millions of Amazon customers throughout Europe, without having to worry about the management of web publications, logistics, packaging and coordination of different European markets. While it will continue to set the commercial strategy for selling to Amazon. Selling wines on Amazon is possible thanks to the Baco Project.
How does the BACO project work?
Once you have decided to participate in the project, Baco will be your distributor to sell wines on Amazon, so we will register as your customer and agree to the conditions of purchase, payment and shipping. Baco will place the orders in the agreed format and you will send them to our logistics centre. Afterwards, Baco will be in charge of sending it to Amazon to the warehouse that you require (inside or outside Spain). Amazon will be in charge of the sale to the end customer, including the management of returns and dealing with the end customer.
Who will define the comercial policy on Amazon?
We will work with you to define the commercial policy for sales on Amazon:
What content to display (tasting notes, food and wine pairings, information on harvests, etc.) in short, everything you want to show about your product.
We will define the recommended retail price (note that by free trade it is not possible to prohibit sales at certain prices, but by setting a RRP we will ensure that there is at least a reference for the digital market).
We will define what the selling price to Baco will be, so you will always have control over the sales revenue that will be collected.
How do product shipments work?
You will send your products to our logistics centre Baco, we will send them to Amazon and Amazon will send them to the end customer.
By sending us your products we ensure more efficiency and convenience for you as Amazon has hundreds of logistics centres in Europe and has its own conditions of reception and preparation. For this purpose Baco will take care of:
1. Send your products to Amazon’s logistics centres to sell them to the end customer.
2. Packaging the products in the format required for sale on Amazon. Not only in pallet or box format, but also in the final package that the end customer will receive.
3. Performing vintage differentiation when the vintage changes for a given reference.
4. Creating «packs» you consider necessary (packs of 1, 3, 6 initially and later 2, 4 and 12). It will also be possible to create mixed packs with assortments from the warehouse.
5. This will prevent you from having to send single units and there will be no product returns (except for product defects).
>How will Baco carry out ordering and warehousing?
In order for the products to be in Amazon’s logistics centres ready for sale, it is necessary to be very efficient in the delivery to Amazon, for which we have two options for the producing warehouses:
OPTION 1
“THE PRODUCER SENDS ORDERS UPON BACO’S REQUEST”
- If the producer can ship orders in less than 24-48h to Baco’s logistics centres. Orders will be placed every day of the week as the product is sold to end customers.
OPTION 2
“BACO STORES THE PRODUCER’S REFERENCES ON CONSIGNMENTS”
- Baco will store the producer’s references in one of its logistics centres and will place restock orders once a month or as soon as it runs out. Aiming for monthly restock orders.
We recommend option 2, it facilitates the operation and reduces the number of orders, invoices and shipments. Baco offers you our logistics centre, where we will store the products in suitable conditions and they will be ready to be delivered without delay to Amazon at any time. In this case Baco will only charge storage costs per «Layer» 5€ per month or per Pallet 20€ per month.
How will my products be published?
Amazon’s product page allows the essential information to be incorporated so that the wine is correctly catalogued and faithfully displayed when customers search by denomination of origin, grape type, year, etc. It is therefore necessary that all this information is incorporated into the product publication «card».
Baco will ask you for the basic information required for the correct publication.
In addition, it will be possible to incorporate in the extended description the information you want to convey to customers about the wine: tasting notes, origin of the grapes, type of cultivation, history of the winery, etc. Baco will compile all this information with you, as well as adding the product photographs, so that the publication is as accurate and in line with your wine philosophy as possible.
Is this the same as being registered and selling as a Seller or 3p?
No, this project intends for the products to be «Sold and shipped by Amazon«, so that you benefit from the Prime selling possibilities and other commercial tools available directly from Amazon. In this project you will not have to manage end customers, individual shipments or returns, nor will you handle single unit sales or invoices to end customers.
Advantages of participating in the BACO Amazon Project
I already have a shop and I sell as a Seller, can I participate in the project?
Yes, it is not exclusive. You can choose to incorporate on this project either parts or all the references.
Baco has a specialized team on the creation and management of Seller Accounts, this is why they can count on us to manage their Seller in addition to this project (please check prices for the management of Seller accounts) or plan, if possible a migration. In any case, you can always keep your Seller Account and participate in the project with the same or other references.
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Does the publication of my products cost money?
No, up to 100 references. Baco takes care of the publication of this products in Spain.
Will I have to invoice the end customer?
No, invoices will be only issued to Baco.
Can I enhance this publication with product pages containing videos and other multimedia content that stand out from other pages?
Yes, this type of content is called A+ pages. Baco can create this kind of pages for you and it costs 95€ (*) each one of them. (It does not need maintenance and it will remain active all the time the product is available).
Wineries that have their products on consignment with Baco will have 2 A+ pages free of charge.
Can I create a personal Store/Shop specific to my winery?
Yes, Baco can design and create a Store or personal shop on Amazon for your winery.
The cost is 395€ (*) for its creation and 29.95€ for maintenance. This is a great tool to make your winery more visible beyond a single wine or reference.
(*) Price not including VAT
How can I get more visitors to my products on Amazon to increase sales?
Amazon has different «pay-per-click» services to promote products and create product or brand ads, which redirect traffic to your product pages or shops.
These tools range from pay-per-visit to product page visits, to one-off discounts you may want to make for campaigns.
Baco has a team of marketing specialists who can create these marketing campaigns for you. We will analyse your products and recommend the campaign and marketing investment that will give you the best results in terms of sales or brand visibility.
To know more about the price of these services (depending on the scope of the campaign, number of products to promote, duration of the campaign, etc.) please contact us.
Are there any other costs for participating in this project?
In the basic option, in which the winery leaves the product on consignment and less than 100 wine references are published for sale. NO (consignment storage only). Baco will pay the winery the stipulated cost per product and will receive the commercial margin from Amazon when it sends the wine to the winery.
Yes, there will be an additional cost if you wish to purchase value added services and marketing to give more visibility to the products, such as A+ pages, Stores, or CPC campaigns (the cost is as set out in this document).
