Amazon is one of the largest e-commerce platforms in the world, with over 300 million active users every month. This makes Amazon an attractive business opportunity for brands of all sizes.
Cross-border e-commerce platform
Amazon is a globally recognized online platform that facilitates the exchange of goods and services between sellers and buyers. Established in 1994, Amazon started as an online bookstore and later expanded into various industries, including electronics, fashion, home goods, toys, and many others. It provides a convenient and diverse shopping platform, connecting millions of buyers and sellers worldwide.
Amazon Global Selling is Amazon's cross-border e-commerce platform. It's a program that enables sellers worldwide to directly sell their products to international customers through Amazon stores in various countries such as the United States, Canada, Mexico, the United Kingdom, Europe, Japan, Australia, and many others. It's increasingly becoming a significant opportunity for businesses looking to expand into international markets and leverage the power of Amazon's global distribution network.
In which countries and regions does Amazon thrive?
Amazon has experienced significant growth in countries and regions with large consumer markets and well-developed internet infrastructure. Some of the countries and regions where Amazon has seen strong growth include:
- United States: Amazon's home market and the largest revenue generator.
- Europe: Including the United Kingdom, Germany, France, Italy, Spain, the Netherlands, and others, where Amazon operates through its Amazon EU websites.
- Japan: Strong presence in Japan, one of the world's largest consumer markets.
- Canada: Providing online shopping services to consumers in Canada through the Amazon.ca website.
- India: One of Amazon's fastest-growing markets, with rapid growth in recent years.
- Vietnam: A new and promising market that Amazon is targeting.
- Middle East: Presence in countries like the UAE and Saudi Arabia, where there is high consumer demand and growth potential.
Additionally, Amazon is expanding and developing in many other countries and regions worldwide.
Amazon has its eyes on the Vietnamese market
Not only does Amazon.com want to be a familiar name to most Americans, currently, Amazon is constantly growing and ambitious to dominate markets in different countries around the world. In fact, Amazon has established a number of websites in many countries around the globe such as:
- Amazon.co.uk is a site for the UK consumer market
- Amazon.co.jp is a site for users in Japan
- Amazon.de is a site for users in Germany
- Amazon.sg is a site for users in Singapore
- Amazon.com.au is intended for users in Australia
- Amazon.fr is a site for users in France
- ....
Recently, Amazon has launched its website Amazon Vietnam (Amazon.vn), catering to the shopping needs of Vietnamese consumers on this platform. The introduction of this website not only addresses the issues that Vietnamese consumers often encounter when shopping on Amazon but also brings many customer protection policies, thereby enhancing the reputation and positive evaluation of the website.
With the emergence of Amazon Vietnam, many businesses and individuals see Amazon as a new opportunity to reach customers. However, the process of registering to sell on Amazon may face many challenges, making it difficult to participate in this e-commerce platform.
Amazon Global Selling has collaborated with reputable and rapidly developing entities in the e-commerce field such as UpBase Ecommerce Enabler, Aglobal, to become Service Providers that help businesses overcome challenges when listing products on Amazon. UpBase provides Amazon sales execution services, assisting businesses in listing products on Amazon US, opening up opportunities to reach global customers and increase revenue effectively. This simplifies and streamlines the process of exporting products, making it more efficient than ever before.
In summary, with the success achieved in the US market, Amazon continues to expand and develop, creating many dedicated online shopping websites in various countries and regions worldwide. Among these, Amazon Vietnam (Amazon VN) cannot be overlooked.
Products with potential for development on Amazon for Vietnamese businesses
Furniture & Home Decoration
In 2019, the value of export turnover of wood products to the US market accounted for 50% of Vietnam's global export turnover value. As one of the best-selling product groups of Vietnamese sellers on Amazon for 2 consecutive years, the Furniture & Home Decoration industry is expected to continue to grow in the near future.
Kitchen utensils
The number of people buying products in the Household and kitchen industry on Amazon is up to 89%. Selling kitchen products brings huge profits to sellers, second only to the Beauty & Personal Care industry. This is a testament to the potential that selling kitchen products brings.
Textile products and accessories
The keyword "shirt" on Amazon had more than 36 thousand searches in 1 month, the total revenue with this keyword reached more than 15 million USD. In particular, the revenue of this product tends to increase by 29% compared to the same 3 months of 2020. The product "jeans", has 152 thousand searches, the monthly revenue on Amazon of this brand reaches over 36 million USD, an increase of 86% compared to the same 3 months last year. As for the "revival" jean brand, the monthly revenue reached more than 1 million USD, with over 46 thousand products sold in 30 days. The "jacket" product also attracted 56 thousand searches in the month, with more than 7 million sales. million dollars.
Cosmetics and Beauty Care
Among the best-selling product categories on Amazon today, cosmetics cannot be overlooked. With the rapid development of society, the demand for beauty and aesthetics is increasing significantly. According to Statista's report, Amazon is the leading online retailer for purchasing beauty care items, with over 70% of consumers stating that Amazon is the first place they consider when buying cosmetics. The Jungle Scout consumer trend report in the first quarter of 2023 shows that up to 93% of consumers purchase cosmetics on Amazon, and the number of those deciding to purchase a larger quantity than the previous year has increased by 18%.
Steps to register to sell on Amazon
To register your business to sell on Amazon, you need to follow these steps:
Step 1: Enter account information
4 items of information need to be provided during the account registration step:
Step 2: 1st identity verification (SIV)
In this step, businesses need to prepare 2 types of documents to conduct the first identity verification
Step 3: Log in to your Seller Central account
Enable 2x verification before accessing Seller Central:
- 1st time: 1st confirmation via phone number
- 2nd time: Confirm a second time via the application
Step 4: Second identity verification (SPR)
A second identity verification is required upon receiving a notification on the Seller Central account.
Businesses need to prepare 2 types of documents to conduct the second identity verification
Step 5: Confirm information:
Review the information you have provided and confirm that it is all correct before submitting your application.
Step 6: Complete the registration process:
Complete the registration process according to Amazon's instructions. You may need to wait a short time for Amazon to confirm your information and accept your application.
Step 7: Start listing products:
After successfully registering, you can begin listing your products on Amazon by creating product listings, setting prices, and providing shipping information.
Please note that specific steps may vary depending on Amazon's regulations and the country you are doing business in. Please refer to detailed instructions on Amazon's website or contact UpBase for advice.
Cost of selling on Amazon
The types of selling fees on Amazon include:
- Account maintenance fee: The maintenance fee is a monthly fee that businesses need to pay to sell on Amazon. Registration fees range from $39.99 per month (individual plan) to $399.99 per month (professional plan).
- Fixed commission fee: The commission fee is the fee that businesses must pay to Amazon for each item sold. Commission fees range from 8% to 15%, depending on the type and category of the product.
- Storage fees: Storage fees are the fees that businesses must pay to Amazon for storing goods in Amazon's warehouses. Storage fees range from $0.68 per cubic foot per month to $2.40 per cubic foot per month, depending on the size and location of the warehouse.
- Fulfillment by Amazon (FBA) order fulfillment fees: This is the fee that businesses must pay to Amazon to handle all aspects of the order. FBA order fulfillment fees are calculated based on the size and weight of the product, as well as the location of the Amazon warehouse where the product is stored. FBA order fulfillment fees range from $2.35 per unit to $17.00 per unit.
Incentives for businesses when registering to sell on Amazon
The amount that businesses need to pay for account maintenance fees is 1 USD in the first month and 0 USD for the remaining 5 months upon completing the account registration from October 4th, 2024, to April 3rd, 2024:
- Account maintenance fee for 6 months is only 1 USD when registering an account.
- Support for market research, products
- Support for KAM 1:1 (Handling arising issues)
If you are a business in Vietnam wishing to bring Vietnamese products to the world, contact UpBase now!
