Why Your S.A. Business Should Sell on Amazon

Amazon.co.za is set to launch in 2024, and businesses across South Africa are excited. This new platform will empower South African retailers to reach the entire country, offering significant opportunities for growth. Amazon, which started in a rented garage 27 years ago selling only books, now sells nearly everything and has a market value of over $958.45 billion. For local retailers, Amazon presents an exciting, profitable opportunity to expand their reach.

How It Works at a Glance

Understanding Amazon's system is crucial for South African businesses ready to take advantage of this new venture. Amazon offers two types of selling plans on its platform: personal and business. Depending on your business needs, you can choose to sell one item or thousands. Before registering, review the various selling plans to determine which suits your business best.

During registration, you’ll need:

• A bank account number
• A credit or debit card
• ID and tax information
• A phone number

Fees may apply depending on your Selling Plan and the products you sell.

Selling Plans

Amazon.co.za offers different plans, each with its own fee structure. For a limited time, the Professional Selling Plan comes with a monthly fee of R1, while the Individual Selling Plan charges R10 per item sold. Be sure to check local listings for updated fees.

Referral Fees

Amazon charges a referral fee as a percentage of the selling price for each item sold. This percentage varies by product category. If you choose to use Amazon’s fulfillment services (FBA), additional fees apply for order processing, storage, and other services.

Fulfillment by Amazon (FBA)

If you want Amazon to handle shipping for your items, you’ll need to pay fees for order processing, storage, and any additional services.

Amazon Easy Ship

With Amazon Easy Ship (ES), you store and pack your items, and Amazon handles shipping to customers. This service also comes with fees for order fulfillment and optional services.

The Bottom Line

Once you start selling on Amazon, you can quickly scale your business. Amazon offers various tools to help you grow once you’re up and running. For businesses looking to expand through online sales without setting up their own e-commerce store, Amazon.co.za is a great option. The platform is expected to revolutionize e-commerce in South Africa, pushing other retailers to improve and giving smaller businesses the chance to sell nationwide. Be sure to check local listings for details, register, and get ready to grow your business!

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