Amazon Marketplace
The world's largest commerce platform — 300M active customers. Offers Seller Central (selling directly to consumers) and Vendor Central (selling to Amazon). Fees: 8-15% referral plus FBA fees.
In practice
Amazon is the 'big network' that can double your sales — but it can also eat your margin. Revenue from Amazon isn't equivalent to revenue from your own store: Amazon takes a bigger cut, you can't build a brand there, and you're bound by their rules. Use Amazon to scale volume; use your own store to build a brand.
Common misconception
'Amazon means easy sales.' Amazon is highly competitive — many products compete for the same Buy Box. Without PPC, optimization, and reviews, a new product won't be found. It's a marketplace with rules very different from an independent store.
How to fix it
Low Amazon sales? (1) Check the Buy Box — are you winning it? (2) check reviews — fewer than 15 means low visibility, (3) run Amazon PPC — a basic Sponsored Products campaign, (4) optimize the listing: title, bullets, images.
Example
A local manufacturer had $0 in US Amazon sales. They invested $2,200 in FBA setup, 10 review requests, and basic PPC. Month 3: $9,000 in sales. Month 6: $22,000. FBA made the difference — the Prime badge doubled visibility.
Priority
Amazon is a channel for products with existing demand — not for creating demand. Use Jungle Scout/Helium 10 to check if there's demand for your product. If yes, go FBA plus PPC plus reviews. If not, don't rely on Amazon to discover your product.
Related terms
Keep learning. Metrics that touch the same area:
- Buy Box (Amazon)MarketplacesThe box on Amazon that displays 'Add to Cart.' The seller who wins the Buy Box gets 80-82% of sales on that ASIN. Other sellers appear under 'Other Sellers' — with almost no clicks.
- Etsy MarketplaceMarketplacesA marketplace for handmade, vintage, and unique design items. 95M active customers. Fees: $0.20 listing + 6.5% transaction + 3% payment processing. Suited to artistic and unique products.
- Marketplace CommissionMarketplacesThe percentage of a sale a marketplace charges on every successful transaction. Amazon: 8-15%. Etsy: 6.5%. eBay: 12.9%. Local marketplaces vary. Directly impacts gross margin.
Jimmy tracks your Amazon Marketplace, automatically
WhatsApp alerts when something important changes. No dashboards, no hassle.