7 tips for those considering Amazon as a sales channel

This fall, Amazon finally swung open the doors to its Swedish site after years of speculation and intense anticipation. Many companies have already made the leap and are now using the marketplace as a sales channel for their products, but for those of you who are still on the fence, here are our top seven tips!

1. Register so that you regularly receive up-to-date information

Even before the launch date, Amazon sent out information to well-known Swedish brands and Swedish sellers who were already selling on Amazon informing them how to add Sweden as a market for sales. If you have not already registered on Amazon –  do it now. This way you can keep up to date with the latest information Amazon puts out and use it to your advantage.

2. Evaluate your starting position

All businesses selling products in Sweden will be affected by Amazon’s presence. It is therefore important that all businesses familiarize themselves with the opportunities and threats that this will entail before Amazon launches. Consider exactly how you want to relate to the e-commerce giant, which means evaluating your existing business model and how it may be affected.

3. Find the right interest group and consider offering private-label products

If price is your competitive advantage, you will likely need to adjust your position and work to build a unique product range. For example, identify a targeted interest group where your products are highly relevant or consider the options for adding your own private-label products.

4. Try a number of approaches and learn what works and what does not

If you choose to join forces with Amazon, do not immediately start with your full product range. Select a few products and see how it goes. Test the waters, learn lessons, repeat the process and see what works and what does not. Based on the lessons learned, you can then decide whether it is time to bring in a larger part of your range.

5. Ask yourself what your motivation is for selling on Amazon

Are you the only one offering what you do on your home market and selling your own brand? Then you should consider what your motivation is for selling on Amazon. Remember that by teaming up with Amazon, you create a competitor to your own sales channels and you also “give away” between 8 and 20 percent of your sales.

6. Do a comprehensive risk assessment

The higher the brand status, the more difficult it is to copy what you do. But if what makes your product unique is the design alone, it is likely only a matter of time before someone copies it – if you are successful selling on the marketplace. In this case, carry out a comprehensive risk assessment before choosing to use Amazon as a sales channel. This is especially true if you plan to go into international markets.

7. Strengthen internal competence to keep up with the pace

It can be difficult to understand how Amazon works, and optimizing sales requires a level of knowledge that always needs to be updated. Therefore, be sure to strengthen your internal digital marketing and sales expertise if you plan to use Amazon as a sales channel. The amount of energy and resources you need to dedicate to this will depend on how many products you try to optimize sales for at the same time.

Would you like to read more about Amazon and what their launch in Sweden will mean, both in terms of the positives and negatives? Download our guide “Is Amazon for everyone?” In the guide, you will find more useful tips to help you succeed – whether you choose to use Amazon as a sales channel or not. Do you have any questions? Don’t hesitate to contact us directly!


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