Is it reliable to open a store on Amazon? What are the misunderstandings?

There are many cross-border e-commerce platforms, such as Amazon, Shopee, and Wish. Different platforms have their own advantages and disadvantages. Some friends are more interested in Amazon. I want to ask if you know whether it is reliable to open a store on Amazon!

First point: Amazon's e-commerce platform is very fair. No matter whether your store is an old store or a new store, as long as you violate their rules, they will not show any mercy. This is the strictness of Amazon. Second, Amazon does not have store levels. Their principle is that as long as your products are good, they will give you traffic. If your products are not good, they will not waste their traffic. This is their special feature, focusing on products rather than stores.

Second: There are many active users but few sellers. Unlike domestic e-commerce, where the number of sellers is almost catching up with the number of sellers, there is no competitiveness at all. Therefore, domestic e-commerce is gradually becoming difficult to do. However, Amazon stores are different. They have more than 3 million sellers and 400 million active users worldwide. They can provide users with a good experience and let merchants make money. This is the power of their platform.

Third: Amazon has relatively high requirements for registering a store, and not everyone can enter. Generally, if you want to do business on Amazon, most people will adopt the distribution model in the early stages. However, there is a prerequisite for the distribution model, which is that a business license is required. Therefore, relatively few people do it, but Amazon's average order value is the highest among all cross-border platforms.

Fourth: It can save a lot of labor costs. Why do I say that? Because Amazon stores do not need manual customer service because they do not have timely communication. Generally, customers communicate by email. This is one of the reasons why many people are willing to do business on Amazon. The second is that the return cost is relatively low. Generally, they face middle-class people. As long as your product is not very bad, they generally will not give you a return directly. This is also the reason why many people want to do business on Amazon.

When choosing an operating company, don't just listen to the salesperson's advice. After all, he is not responsible for operations. It is recommended that you conduct an on-site inspection or have a specific interview with the other party.

Recommended reading:

What qualifications are needed to open a store on Amazon Europe?

What does the registration information for Amazon Europe include?

Which countries does Amazon Europe have a presence in? Is it easy to do business?