Operational Cost-Cutting by Being on Amazon
Operational Cost-Cutting by Being on Amazon

Most retail entrepreneurs are opting to go online. Their medium is usually through established e-commerce websites, such as Amazon. The biggest advantage that such modes of business bring to you is the gargantuan size of their own customer base. Amazon is easily one of the biggest online chains in India and around the world. Selling on Amazon is, undoubtedly, one of the best ways to earn a fortune in the most efficient and cost-effective methods.

Benefits of Selling on Amazon

For newly opened entrepreneurs, ready to capture the market, Amazon happens to be an excellent marketplace to start with. It is the quickest way in which you can establish your brand, locate your consumer niche without actually investing too much capital while earning generously. These five pointers below explain how Amazon could be the answer you are looking for:

Also Read: How To Increase Visibility On Amazon?

Customer Reach:

Being the online retail giant that Amazon is, it cannot be denied that Amazon brings to you a large market. This means that a great deal of marketing from your behalf is taken care of by Amazon itself. The success of any business relies heavily on how much they can reach out to their customers. This requires extensive advertising which costs quite heavily on the pocket, especially for someone who is just starting out. You can also enjoy the benefits of repeated orders on Amazon for the same product or company without any marketing.


Online retail stores have an added burden in terms of expenditure regarding packaging, shipping, and delivery. It is important to build a trustworthy rapport with your customers. In order to do that, you need to be able to pay minute attention to your packing and shipping. No damage should be caused to the product and it should be delivered on time. Fulfillment by Amazon (FBA) is a method in which Amazon provides you with facilities to store your inventory, pack, ship, deliver and even handle returns. They make your products eligible for free delivery that attracts more customers. You are also automatically eligible for Prime when using FBA.

Also Read: How To Sell Successfully On Amazon?

Overhead Fees:

Setting up your own eCommerce website can be a bit of a hassle. Especially, when you are just starting out or a low-profit making business without excess capital. It is true that Amazon does feed in your revenues based on the amount of commission that needs to be paid to them. In comparison to building an entirely new website, Amazon is cost-effective. The main reason for this is that it takes an immense amount of expenditure and time in building a website, maintaining it, advertising and directing traffic onto the website. With Amazon, you needn’t worry about any of it.

Backend Support:

You will be simply amazed about the amount of backing Amazon provides each of its sellers on its website. They reduce your operational cost by very high margins, reducing your expenditure to that of manufacturing products and management of your staff. Amazon provides you with solid back-end support with the infrastructure required by any business. Starting from inventory storing and tracking to maintaining payment models and credit card processing and sales tax collections. These are gigantic tasks and Amazon takes care of it with precision.

Also Read: Why Flipkart Should Be A Preferred Choice If You Are Thinking Of Taking Business Online?

Payment Modes:

One prominent conflict that eCommerce businesses are faced with regularly is setting up secure payment modes for their customers on their websites. These cost a lot of money because these routes of payment; online net banking, credit and debit card payments and other digital payment platforms require the highest form of security. Any lapse could be disastrous. Amazon provides you with safe portals for your customers to pay through. This money gets generated to your bank account every week. 

Apply For Ecommerce Business Loans


New entrepreneurs in the market or small businesses can benefit a lot from selling on Amazon. A large sum of operational cost is saved through this. With no collateral, minimum documentation, and availability of several top lenders, Indifi makes the whole process of acquiring a loan simple and quick. With a single online application form, you can apply for a loan from multiple lenders in the least possible time. As the loan is customized as per the needs of online sellers, rest assured that it would perfectly suit the dynamic needs of your business.

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