There is no doubt that Amazon is one of the most reliable platforms when it comes to buying and selling stuff. Each day Amazon has millions of buyers and sellers indulging in various products online. This is probably why Amazon marketing agency records about thousand of new sellers registering on the platform on daily basis. Due to the high traffic and addition features of Amazon small and large business register themselves as a seller on Amazon to maximize their visibility in the early stage of their business. The reason why a lot of startups come to Amazon is the startup theme-based options provide by the platform. The FBA feature is a very popular feature designed especially for entrepreneurs.
This provides a certain shield and freedom for the young entrepreneurs on a financial level, provides extra exposure as well as a high-profit margin for their sold products. Amazon provides high-profit opportunities for every vendor on their commercial path hence helping them make a prominently known business in the market. According to Amazon PPC guide, even brick and motor companies come to take assistance from amazon. In addition to that, there is plenty of other main reasons why people come to sell on Amazon however a huge chunk of it also tends to quit in a specific given time. This makes the market dynamics of the amazon a little bit complex. If you want to learn more about this topic then this is the right place as we have collected top reasons why people sell on amazon and why they quit.
Reasons Why People Sell on Amazon
Following are some of the top reasons why people start selling on Amazon
To Have a More Paying Job:
The majority of the sellers, vendors, and influencers tend to come on Amazon to gain are a substantial amount of money and have a more secure future. The other majority of people that come on Amazon are interested in gaining new experience in the selling market to become high-paying entrepreneurs.
To Have a Flexible Job:
One of the basic benefits of selling on Amazon is the flexibility of jobs you get as compared to a basic nine to five jobs. More than 40% of sellers switch to Amazon only to have a flexible schedule to manage Work as well as personal life and have time for this family and other important thing in life.
Due to Keen interest in E-commerce:
This strictly applies to those people who are new to the concept of entrepreneurship and have curiosity regarding the topic. The main reason for coming to Amazon and selling their products is to entertain their curiosity about how the commerce field works. The other main reason is to gain information while gaining profits through the FBA Amazon service. As the average cost of the annual Amazon seller market is always more than one trillion dollars.
To Extend Their Already Existing Grand:
In contrast, new and curious vendors on Amazon some other brands and vendors come to Amazon to extend their already existing brand. As everyone knows Amazon gives multiple features regarding the promotion of your brand while providing a high rate of profits and enhanced visibility. Amazon sales, discount, and live stream options provide massive revenue for the sellers. Due to more viability, their brand grows faster with buyers all around the globe.
For Gaining Extra Money on the Side:
Few vendors come to Amazon just to gain some extra money on the side. These types of vendors do not indulge in cooperate behavior or seller wars. This total more than twenty percent of the sellers on Amazon who just comes for extra profit and is most home charted or brick and motor small businesses by housewives and college students. Amazon provides them the about forty-three percent of profit annually.
For Future Investments:
A lot of vendors come to Amazon to save up money through increased profits so they can invest that saved money into their business and take it to a bigger level. The main purpose is to collect customers as well as save money for bigger plans and needed tools.
To Switch Profession:
This is for the people who want to change their career and go to something that can provide then me more profits and is flexible as well. Most nine to five jobs tend to underpay and are not fruitful to many people which is why they turn to Amazon to gain a new profession to sustain them in life.
The Reason Why Sellers Quit Amazon
Following are some of the top reasons why people start selling on Amazon:
The Cost Regarding FBA is Expensive:
Even though the high majority of Amazon sellers end up getting huge profit margins and more than one thousand US dollars on monthly product revenue, the cost regarding FBA is very expensive. You need to pay one thousand dollars on internal fees and taxes. FBA also means you need to manage your product by yourself leading to other costs of shipping and maintenance issues. Not to forget the additional pitches that the sellers need to deal with per sale revenue.
Online Selling Consumes a lot of Time:
While selling stuff people want to get instant payment to sustain them however if you sell stuff on Amazon there is a very tedious system of receive and fulfilling the orders then responding to them. This takes a lot of time and the money only reached you then the product is in the hands of the buyer. A lot of new buyers come to Amazon in desperation to gain money that could sustain them however the time it takes is just not suitable for every type of vendor which is why they end up quitting Amazon.
Too Much Information to Process:
To switch to Amazon or survive on Amazon there is tons of information and expertise you need to gain, which is a lot of work. In addition to that, you also don’t have a clear idea of whether your hard work will be worth it or not. This also the reason why people tend to quit Amazon.