What is Amazon Marketplace?
Perhaps one of the most popular e-commerce platforms, Amazon Marketplace allows you to sell your goods alongside Amazon’s staple offering. As a marketplace seller, you’ll benefit from access to Amazon’s customer base as well as the strong reputation of the brand. Many people use Amazon Marketplace to sell their goods – in 2018 alone, 1,000,000,000 sellers joined the platform with third party sellers accounting for 31% of Amazon’s annual sales.
There’s two ways you can sell on Amazon. With fulfilment by merchant (FBM), you handle the distribution and customer service yourself. You only pay a referral fee when you sell an item which is a small percentage of the total sale price.
Alternatively, you can use fulfilment by Amazon (FBA). In this scenario, Amazon stores and ships items on your behalf, as well as handles customer service. As you'd expect, there is a larger fee for using this service. .