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Originally published on October 23, 2017, updated May 19, 2022
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So, this whole Amazon thing is really starting to take off for your eCommerce startup. Time to celebrate — and get to work!
Orders are now rolling in, which is super exciting. After only a few weeks of experimentation, you're already starting to see how the Amazon marketplace could become a serious revenue source.
By now, you've probably received several emails from the Amazon team encouraging you to upgrade to a Professional seller account. Are the fees worth it? What are the benefits of an Amazon Professional seller account? Should you upgrade?
While I can't answer these questions for your specific store, I can share a few good reasons that you should at least consider upgrading. Here are four of the main differences between Amazon Individual seller accounts vs. Professional seller accounts.
Simple math is one of the most common catalysts for upgrading to a Pro selling account. You may be nervous about the price jump for Amazon Professional seller fees (plans are $39.99 per month + additional selling fees) but for many businesses it just makes more sense.
By subscribing, you qualify for a waiver of the $0.99 fee that you're accustomed to paying for every item sold. Therefore, if you sell more than 40 items each month, upgrading to a Pro plan is kind of a no-brainer: 40 orders x $0.99 = $39.60 in fixed closing fees.
If you sell only seasonal items (or if your order volume is highly unpredictable), you might extend the math out for the entire year. Will your "busy season" be enough to offset the monthly fee? It's worth considering.
Amazon announced in late July that starting August 1, 2021, Professional sellers who have active listings in more than one country or region with merged accounts will begin to see changes in how subscription fees are billed to their accounts — the total amount will not increase. If you have merged global accounts, your subscription fee will be divided across the accounts and charged in the currency of each Amazon store.
Subscription fees will be charged only where you have active listings for the current month and will be billed on the same day rather than the monthly anniversary of your registration in each country. If you sell in the US, Canada, Mexico, or Brazil, you will be charged in each country where you have active listings on the billing day. However, if you sell in Europe, you will continue to be charged a subscription fee in just one European country.
More information can be found on the Selling on Amazon Fee Schedule in Seller Central as well as the merging accounts and monthly subscription fee pages.
Amazon Individual sellers can list products in more than 20 categories. Professional Sellers can apply to sell in several more. Which categories are you missing out on? Categories that currently require a Professional selling plan include:
By upgrading to Pro status, you'll at least have the opportunity to participate in these categories.
Note: Amazon will still require you to submit an application to sell in these categories. Learn more about categories and products requiring approval and how to get it.
Professional sellers also gain access to the Amazon Marketplace Web Service API, which can create countless efficiencies for your eCommerce business. Amazon built the MWS platform to enable "...high levels of selling automation, which can help sellers grow their business." By tapping into the MWS API, you can put your inventory, order data, and other Seller Central information to work for you. Pretty cool, huh?
Take, for example, Amazon feedback. Perhaps you've been trying to figure out why your competitors have so much of it. Here's a little secret — your competitors are probably using our FeedbackFive tool, which automates the solicitation, tracking, and reporting of your Amazon seller reputation.
Merchants who use FeedbackFive tend to collect more reviews and feedback than those who don't. And, FeedbackFive customers are also better equipped to deal with the occasional negative rating.
Here's the kicker — you can't use FeedbackFive unless you're an Amazon Professional seller. Why? Well, it goes back to Amazon MWS access. Amazon won't let you connect your seller account to FeedbackFive as an Individual seller. You must first upgrade to Pro-level seller status if you wish to enjoy the benefits of FeedbackFive.
Feedback isn't the only thing that's impacted by your Amazon selling plan level. In fact, many other mission-critical aspects of your Amazon workflow can be streamlined simply by upgrading to Professional status.
For example, the Individual selling plan limits your listing capabilities (no promotions, gifts services, or Featured Offer eligibility), whereas Professional sellers can create bulk listings via spreadsheets and uploads and have access to in-depth inventory and order reporting. What might take hours with an Amazon Individual seller account could take a Pro seller a few minutes. Oh, and there's also Buy Box eligibility on the line and the ability to grant access rights to other users, something that's only afforded to Professional plan holders. This might become essential as you scale your business.
When it comes to inventory management, third-party FBA restocking platforms, such as our RestockPro tool, only become a possibility when you're on the Amazon Professional seller plan.
RestockPro takes your inventory management to a whole new level by automating the following activities:
Sadly, unless you upgrade to Pro-level seller status, you'll be missing out on our power-packed RestockPro platform.
Only you can truly know if a Professional Amazon seller plan is right for your eCommerce business. Adding another $39.99 monthly expense can be daunting. However, the benefits can often outweigh the costs as your business grows.
Need help getting started? Learn how to create and set up both Amazon Individual seller accounts and Professional seller accounts.
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