Frequently Asked Questions about How to Sell on Amazon
I get numerous questions related to selling on Amazon. These range from seller account registration, to prep and shipping, asking for info about training, courses, resources, services. and everything you could imagine!
I am not exaggerating when I say that I have received up to 21 Facebook private messages in 5 minutes! As you can imagine, with that volume of questions, it is practically impossible to answer every single person.
Many of the questions are similar, so in order to help as many people as possible, I will upload the common questions and my responses here, so everyone can benefit.
Click on each question to see my reply.
I am not exaggerating when I say that I have received up to 21 Facebook private messages in 5 minutes! As you can imagine, with that volume of questions, it is practically impossible to answer every single person.
Many of the questions are similar, so in order to help as many people as possible, I will upload the common questions and my responses here, so everyone can benefit.
Click on each question to see my reply.
Selling on Amazon FAQ
Can I Sell on Amazon if I am from "XYZ" Country?
You must be a resident of one of the 100+ countries that Amazon accepts for seller account registration. You can check Amazon's list of countries that are accepted (eligible, allowed, approved) to register for selling on Amazon.com here: https://www.amazon.com/gp/help/customer/display.html?nodeId=200417280
Do I Need a USA Address and phone number to sell on amazon.com?
No, you do not need a US address or number. You should register your Amazon seller account using a phone number and mailing address that you actually use. This is because Amazon will use the phone number to send a onetime PIN during registration and it is also used for 2-Factor Authentication. The address should be the same as what is shown on your utility bill and bank statement. Amazon often asks for one or both these documents to be uploaded for account verification - they use these documents check that the name and address match what you use to register your seller account.
I came across the issue of sales tax for FBA. Do you need to register for sales tax nexus? Do you need to do anything for income tax?
Please read my post on Amazon and Taxes where I explain Income Tax, Sales Tax and VAT for Amazon FBA sellers.
Proven Amazon Course FAQ
1) Hi Jason,
I am based in Singapore and had tried online arbitrage with not much success. My Amazon account was suspended several times due to inauthenticity (although i bought all products from Amazon). It has been reinstated but I have lost confidence in online business. How do you think the Proven Amazon Course (PAC) can help me?
Thank you.
I am based in Singapore and had tried online arbitrage with not much success. My Amazon account was suspended several times due to inauthenticity (although i bought all products from Amazon). It has been reinstated but I have lost confidence in online business. How do you think the Proven Amazon Course (PAC) can help me?
Thank you.
PAC is a collection of many different proven strategies. It is like a reference library of carefully curated proven, real world methods - hence the "Proven" in the name and all the things that Jim Cockrum puts out.
I think there are something like 20-30 modules in PAC (the number is always changing as it is constantly being improved and updated) and here is how each module gets into the course content.
Each module is created/written by a trustworthy person who has proven business success from using a certain strategy/method. Their strategy is then tested by about 20 of our moderators/leadership team for several weeks to validate if it works well or not. Our testing is extremely strict and we probably reject more than 90% of what we get as we only approve strategies that work well in real life and that we would 100% use in our own Amazon businesses.
Having said all the above, PAC is a treasure trove of practical business strategies that has helped numerous people from homeless widows, to handicapped grandmas and young entrepreneurs succeed.
Do you need to go through everything in PAC? Absolutely not. I only went through the first 2-3 modules before taking action to apply the knowledge gained and had my first sale within a month (it was wholesale). My first private label product started making sales the next month.
After 3 years, I have only gone through 4 more modules:
1. Proven Product Partnering
2. Proven Wholesale Sourcing
3. Proven Performance Inventory (PPI)
4. Proven Private Label 2.0 (aka Private Label The Easy Way) - which is currently standalone and will be added to PAC around Oct-Dec 2017. (FYI, most major new modules launch as standalone courses and then if they are related to Amazon, are added to PAC for free after about 6 months).
How can PAC help you?
PPI is probably the keystone module in PAC. I think understanding PPI is fundamental to success on any online sales platform as it teaches how to test the market to identify what buyers are looking for and find gaps in supply that you can fill. This is the foundation of all online business and if understood well and applied, can be key to any online business. It's not about the product, it's first about:
1. Identifying what search terms customers are using to search for products
2. Analyzing if there is an opportunity (no relevant supply to meet demand, ie. low competition)
3. Sending in small quantities of a relevant product to test and get data.
4. If the test validates there is opportunity, then slowly increase the quantities.
PPI goes through how to do that in detail.
The newly updated Proven Private Label module works hand in hand with PPI. Personally, I have just applied these 2 strategies to create 12 new listings in the past week which I will be testing.
For people who still feel lost or prefer some live training, I am thinking of holding a 10-12 hours training in Singapore. The rates will be reasonable (comparable to private tuition fees), not like those scammy multi-thousand dollar get-rich-quick "courses" that I stay far away from. If you're interested, let me know here as I will only do it if we can get a small class of 10+/- people. https://www.jasontayonline.com/singapore-training
I think there are something like 20-30 modules in PAC (the number is always changing as it is constantly being improved and updated) and here is how each module gets into the course content.
Each module is created/written by a trustworthy person who has proven business success from using a certain strategy/method. Their strategy is then tested by about 20 of our moderators/leadership team for several weeks to validate if it works well or not. Our testing is extremely strict and we probably reject more than 90% of what we get as we only approve strategies that work well in real life and that we would 100% use in our own Amazon businesses.
Having said all the above, PAC is a treasure trove of practical business strategies that has helped numerous people from homeless widows, to handicapped grandmas and young entrepreneurs succeed.
Do you need to go through everything in PAC? Absolutely not. I only went through the first 2-3 modules before taking action to apply the knowledge gained and had my first sale within a month (it was wholesale). My first private label product started making sales the next month.
After 3 years, I have only gone through 4 more modules:
1. Proven Product Partnering
2. Proven Wholesale Sourcing
3. Proven Performance Inventory (PPI)
4. Proven Private Label 2.0 (aka Private Label The Easy Way) - which is currently standalone and will be added to PAC around Oct-Dec 2017. (FYI, most major new modules launch as standalone courses and then if they are related to Amazon, are added to PAC for free after about 6 months).
How can PAC help you?
PPI is probably the keystone module in PAC. I think understanding PPI is fundamental to success on any online sales platform as it teaches how to test the market to identify what buyers are looking for and find gaps in supply that you can fill. This is the foundation of all online business and if understood well and applied, can be key to any online business. It's not about the product, it's first about:
1. Identifying what search terms customers are using to search for products
2. Analyzing if there is an opportunity (no relevant supply to meet demand, ie. low competition)
3. Sending in small quantities of a relevant product to test and get data.
4. If the test validates there is opportunity, then slowly increase the quantities.
PPI goes through how to do that in detail.
The newly updated Proven Private Label module works hand in hand with PPI. Personally, I have just applied these 2 strategies to create 12 new listings in the past week which I will be testing.
For people who still feel lost or prefer some live training, I am thinking of holding a 10-12 hours training in Singapore. The rates will be reasonable (comparable to private tuition fees), not like those scammy multi-thousand dollar get-rich-quick "courses" that I stay far away from. If you're interested, let me know here as I will only do it if we can get a small class of 10+/- people. https://www.jasontayonline.com/singapore-training
Prep Company FAQ
1) YOU RECOMMENDED THE PREP SERVICE COMPANY, MAY I ASK WHY DID U SELECT THEM?
I have used 7 prep companies in the last 2+ years. Currently I use mainly 3 for several reasons (I like their work system, ease of working with them, location (none of my 3 top choices are in sales tax free states but I do very little OA so I don't pay much sales tax), price, reliability and quality of packaging). My first choice closed down due to a car accident which killed the family, another in sales tax free Oregon also closed down so I feel it's wise to always have more than 1 prep company to work with. I wrote about the factors to consider when deciding which prep companies to use here: http://www.jasontayonline.com/amazon-fba-prep-companies.html
Shipping FAQ
1) I'm from Singapore too and I heard about you through the PAC course.
I have recently signed up and are still going through the materials but just being overly excited, was wondering if you could point me in the right direction as I am still pretty confused over the procedures to start my Amazon "business" from Singapore.
I have set up the necessary accounts but how do you send your items to Amazon from Singapore? Do you use SingPost? or are there any cheaper freight alternatives?
I have recently signed up and are still going through the materials but just being overly excited, was wondering if you could point me in the right direction as I am still pretty confused over the procedures to start my Amazon "business" from Singapore.
I have set up the necessary accounts but how do you send your items to Amazon from Singapore? Do you use SingPost? or are there any cheaper freight alternatives?
For shipping internationally from overseas to Amazon, there are several options.
For small shipments from Singapore I recommend opening a corporate account with DHL as they can deliver door-to-door straight to Amazon and also clear customs on your behalf.
Using SingPost (Speedpost), I have had shipments returned to sender (me) twice, resulting triple the shipping fees! (once there by SingPost, then return shipping, then send again by DHL).
You will not have this issue with an express company like DHL/FedEx/UPS as long as you select DDP (delivered duty paid) meaning DHL will pay duty on behalf sender and therefore be able to clear customs. The proble with SingPost is they do not provide a customs duty clearance service so the recipient (Amazon) is always asked to pay customs duty before goods are delivered, which is something Amazon states it will not do.
Corporate rates for DHL are about 1/3 of the consumer rate.
For larger shipments (1 pallet or more), consider ocean freight. Shipping by sea has economies of scale for larger shipments. There is no cost savings for smaller shipments as ocean freight has a high fixed cost and many other hidden costs compared to an express service.
For small shipments from Singapore I recommend opening a corporate account with DHL as they can deliver door-to-door straight to Amazon and also clear customs on your behalf.
Using SingPost (Speedpost), I have had shipments returned to sender (me) twice, resulting triple the shipping fees! (once there by SingPost, then return shipping, then send again by DHL).
You will not have this issue with an express company like DHL/FedEx/UPS as long as you select DDP (delivered duty paid) meaning DHL will pay duty on behalf sender and therefore be able to clear customs. The proble with SingPost is they do not provide a customs duty clearance service so the recipient (Amazon) is always asked to pay customs duty before goods are delivered, which is something Amazon states it will not do.
Corporate rates for DHL are about 1/3 of the consumer rate.
For larger shipments (1 pallet or more), consider ocean freight. Shipping by sea has economies of scale for larger shipments. There is no cost savings for smaller shipments as ocean freight has a high fixed cost and many other hidden costs compared to an express service.
2) Hi Jason, i am a fellow singaporean keen to jump on the amazon fba wagon.
I plan to ship some stuff to FBA prep company which u recommended. Question, is there some things i need to be mindful ofshipping from singapore to US or from other countries to US? Is it just go to fedex or dhl and it is fine? Or is there any third party who can help me with the duties fees or taxes of something? Do i need to be a registered singapore company to do fba on amazon if i am only individual amazon member? Do u know if kids clothing and home decor products are part of individual amazon fba criteria? Just starting out. Pls appreciate your guidance. Thank you
I plan to ship some stuff to FBA prep company which u recommended. Question, is there some things i need to be mindful ofshipping from singapore to US or from other countries to US? Is it just go to fedex or dhl and it is fine? Or is there any third party who can help me with the duties fees or taxes of something? Do i need to be a registered singapore company to do fba on amazon if i am only individual amazon member? Do u know if kids clothing and home decor products are part of individual amazon fba criteria? Just starting out. Pls appreciate your guidance. Thank you
Depending on what you want to ship there are a few main thing to note:
1. For shipping I usually use DHL. I recommend opening a corporate account as the rates are 60%+ lower than the consumer rate. You will need to register a biz with ACRA to open a corporate DHL account. After you have a DHL account, whenever you create a shipment on DHL online, make sure to tick the option for DDP so DHL will handle customs clearance and pay duty on your behalf. FYI I have never sent anything from Singapore to Amazon US. 90% of my products are sourced in the US with the rest from India and China. I do send from Singapore to Amazon UK.
2. You don't need a biz to open an Amazon Seller Account. You can register with your NRIC number as a person or a UEN for Singapore biz.
3. Home & Kitchen is not a restricted category. Clothing is a restricted category that you must have a Professional Seller Account (USD39/month) to apply for approval to sell in. Before you send anything make sure you first have a seller account and create the product listing in your seller account as you must paste an Amazon product label on each item.
You can join our SG FBA FaceBook group at https://www.facebook.com/groups/MySilentTeamSG/ where lots of similar questions have been asked and answered.
1. For shipping I usually use DHL. I recommend opening a corporate account as the rates are 60%+ lower than the consumer rate. You will need to register a biz with ACRA to open a corporate DHL account. After you have a DHL account, whenever you create a shipment on DHL online, make sure to tick the option for DDP so DHL will handle customs clearance and pay duty on your behalf. FYI I have never sent anything from Singapore to Amazon US. 90% of my products are sourced in the US with the rest from India and China. I do send from Singapore to Amazon UK.
2. You don't need a biz to open an Amazon Seller Account. You can register with your NRIC number as a person or a UEN for Singapore biz.
3. Home & Kitchen is not a restricted category. Clothing is a restricted category that you must have a Professional Seller Account (USD39/month) to apply for approval to sell in. Before you send anything make sure you first have a seller account and create the product listing in your seller account as you must paste an Amazon product label on each item.
You can join our SG FBA FaceBook group at https://www.facebook.com/groups/MySilentTeamSG/ where lots of similar questions have been asked and answered.
3) Hi Jason!
Hope this finds you and your family well! I have a quick question re: Amazon UK if you wouldn't mind answering.
We are now up on Amazon UK with our VAT, etc. Our next step is to send inventory. Can I send inventory via air directly to Amazon UK from my manufacturer? It would be through TNT express which manages its own customs. If so, I imagine I just send my manufacturer the Amazon FBA label to affix to outside of box and address it to Amazon UK address. Is it that simple?
Once I establish movement on the product, future shipments will be via sea to a pack n ship intermediary.
Thank you so much!!!
Hope this finds you and your family well! I have a quick question re: Amazon UK if you wouldn't mind answering.
We are now up on Amazon UK with our VAT, etc. Our next step is to send inventory. Can I send inventory via air directly to Amazon UK from my manufacturer? It would be through TNT express which manages its own customs. If so, I imagine I just send my manufacturer the Amazon FBA label to affix to outside of box and address it to Amazon UK address. Is it that simple?
Once I establish movement on the product, future shipments will be via sea to a pack n ship intermediary.
Thank you so much!!!
Just make sure TNT (or any other freight company you use) ships DDP which stands for delivered duty paid. You should also give them power of attorney to clear all customs on your behalf.
Reason is that all shipments are deliverd duty unpaid (DDU) by default. This means any customs clearance and duty would be signed and paid for by the recipient (which is uaually the case as the recipient is usually the party that makes an order). Since Amazon is the recipient you cannot ship DDU or expect them to take responsibilty for any customs issues. Amazon will simply refuse the shipment and it will be returned to sender. This has happened twice to me! So make sure TNT is clear that the shipment ia DDP.
Reason is that all shipments are deliverd duty unpaid (DDU) by default. This means any customs clearance and duty would be signed and paid for by the recipient (which is uaually the case as the recipient is usually the party that makes an order). Since Amazon is the recipient you cannot ship DDU or expect them to take responsibilty for any customs issues. Amazon will simply refuse the shipment and it will be returned to sender. This has happened twice to me! So make sure TNT is clear that the shipment ia DDP.