Amazon B2B: The beginner’s guide for Amazon business sellers or those who want to become one

amazon-business.png

If you are looking for new ways to increase your sales, you should definitely consider Amazon B2B. The business marketplace of the e-commerce giant not only gives Amazon sellers access to 5 million potential new customers, but has already proven to be a successful model in the USA. Did you know, for example, that business customers on Amazon order 81% more than private customers and still cause 21% fewer returns?

In other words: Amazon B2B has a lot to offer you. Therefore, in this article, we will look at the opportunities and challenges that arise for professional sellers through B2B selling on Amazon.

Business models in the Amazon B2B segment

Basically, as a seller, you can choose between the same options that you already know from the B2C business.

Amazon Business Marketplace with Fulfillment by Merchant

Here, Amazon merely acts as a platform operator and provides the technical infrastructure. The seller, on the other hand, determines their own prices and takes care of the entire fulfillment and shipping process after the actual ordering process. This gives the seller direct customer access and full control over the ordering process, but they are also responsible for all quality metrics.

Amazon Business Marketplace with Fulfillment by Amazon

The second option is equivalent to the well-known service Fulfillment by Amazon (FBA). With Business FBA, the marketplace seller also entrusts the entire order processing to Amazon. Storage, packaging, shipping, customer service, and returns handling are then managed by the e-commerce giant within its own logistics network, even though the products still belong to the actual seller. The advantage is clear: unlike having your own logistics, which is expensive and labor-intensive, FBA can be flexibly scaled, and the costs are predictable. However, the seller also relinquishes a certain degree of control.

Amazon Business Vendor

The third model typically concerns only large manufacturers, well-known brands, and wholesalers. In this case, Amazon sells the products itself and acts essentially as a wholesaler. The program is available only by invitation from Amazon, and joining should be well considered: while Amazon takes care of sales and fulfillment, it also sets the prices, while the original seller remains responsible for the product listing.

Why is Amazon B2B so exciting? Features for online sellers

Making good experiences in sales and revenue with Amazon B2B is still possible, as the competition is still limited.
Advantages for online sellers. Amazon is now actively promoting the business sector.
Source: https://sell.amazon.de/programme/b2b-verkaufen.

Basically, customers in B2B e-commerce have no different needs than B2C customers: speed, low prices, a good selection of products, and a simple ordering process with helpful customer service. Amazon excels in all these areas. Marketplace sellers can benefit from this and pass these advantages on to their customers almost immediately, without having to build such a good logistics system themselves. B2B sellers and those who want to become one can therefore rely on Amazon.

  • Increase sales and market share.
  • Benefit from an already existing customer base and acquire new customers.
  • Utilize efficient logistics and automated processes.
  • Leverage Amazon’s enormous dataset for personalization and advertising delivery.
  • Offer exclusive business customer prices.
  • Dynamically set tiered quantity discounts.
  • Activate the VAT calculation service, which includes displaying net prices.
  • Benefit from larger order quantities and lower return rates.

The user interface for B2B customers does not differ significantly from the one they are already familiar with from their marketplace experience. Business customers are generally already familiar with the handling, the processes are established, and the shopping experience is correspondingly smooth.

VAT calculation service and net prices

With Amazon’s VAT calculation service, you as a marketplace seller can display net prices, which will then also be shown directly in the search if the respective customer participates in the Amazon VAT Calculation Service (VCS). Additionally, Amazon can also take care of invoicing upon request – of course, with the correct VAT rate and subsequent shipping to the buyer.

Another advantage that comes with the VCS program is the seller badge, which gives Amazon B2B customers the assurance of a reputable seller. This increased visibility generally affects the ranking in search results and sales. Additionally, customers can exclude all offers that do not participate in the VCS program in the filters.

Purchase on account for Amazon business customers

With invoice purchases, it’s a bit of a dilemma: it’s often preferred by customers, but as a seller, one prefers other payment methods. Through Amazon B2B, marketplace sellers can utilize this option without increased risk. For verified customers, Amazon assumes the credit risk and also takes care of billing and payment collection. This means that the seller does not incur any additional effort while simultaneously increasing their sales opportunities, as purchase on account is popular among business customers.

Special B2B prices and quantity discounts

In general, prices for business customers are calculated somewhat differently than for sales to end consumers, especially when larger quantities are purchased. Both can be easily set up in Seller Central, allowing you to equip a SKU with both a B2C and a B2B price. Quantity discounts can be set for both fixed quantities and percentage-based. If a purchase quantity is not defined, customers can even submit a request, which merchants can respond to via Seller Central with a corresponding price offer.

Unrestrained B2B Pricing Power
Want to test SELLERLOGIC’s B2B Repricer for your B2B offers on Amazon? Register now for a 14-day free trial.

Amazon Business benefits from the buyer’s perspective

Amazon Business is the B2B marketplace of the online platform.

There are some advantages that suggest Amazon will also establish itself in the B2B sector in Germany. In addition to the usual advantages of Amazon, such as speed and leniency, the company has implemented some additional features for business customers.

  • Recurring orders of regularly needed items on specific dates
  • Multi-user accounts, for example for different departments in the company
  • Amazon Business Prime
  • “Guided Buying”: stored purchasing policies set by the administrator, such as prioritized sellers or order quantities, as well as automated approval processes
  • “Spend Visibility”: advanced analyses and visualizations of one’s own purchasing behavior, e.g. per user over time
  • Technical integration into one’s own ERP system to access the entire Amazon B2B product catalog

The SELLERLOGIC Repricer – your competitive advantage in B2B sales

Just like in the B2C segment, you can quickly find yourself in a bind on Amazon Business if you manually set the prices of sometimes hundreds or thousands of SKUs (stock keeping units) and continuously try to adjust them to market conditions.

The SELLERLOGIC B2B Repricer for Amazon ensures that you sell your products on the B2B marketplace at a competitive price. With the dynamic and AI-based algorithms of the European market leader, you can rely on being listed on Amazon not at the lowest, but at the highest possible price, and reliably win the Buy Box.

Use the SELLERLOGIC Repricer to boost your B2B sales today. With the activation and setup …

  • eliminate the human factor, which inevitably leads to errors.
  • drastically minimize the time you need for price adjustments.
  • reduce your costs for the optimal pricing strategy.
You save 5%
You save 10%
You save 15%
Your price
18  €/month

Unless otherwise stated, our prices are exclusive of applicable VAT.

No costs until the end of the free trial period

Activate SELLERLOGIC with a few clicks:

New customersExisting customers
Register at this link with SELLERLOGIC and follow the setup wizard that will guide you through the entire process.You can activate the B2B Repricer either in your SELLERLOGIC customer account for existing marketplaces or set up a new B2B account with the associated marketplaces via the ” Repricer B2B” tab on the “Amazon Account Management” page.
Activating both the B2C and B2B Repricer leads to more comprehensive and effective product management. If you only activate the B2B Repricer, you can exclusively optimize your B2B offers.Once the B2B Repricer is activated and both dynamic B2C and B2B price adjustments are running on the same account and marketplace, you can optimize both B2C and B2B offers.
After SELLERLOGIC has uploaded the product data of the selected marketplaces, you can optimize your product listings either individually or through bulk editing.After SELLERLOGIC has uploaded the product data of the selected marketplaces, you can optimize your product listings either individually or through bulk editing.
Beautissu_renforce_bettwasche

How does a Repricer increase your B2B sales?

The SELLERLOGIC B2B Repricer for Amazon ensures that your products are competitively priced on the Amazon B2B marketplace. With AI-driven processes, the SELLERLOGIC Repricer responds faster and more accurately than, for example, manual Repricer. You can rely on SELLERLOGIC to list your products at the optimal price, thereby increasing your chances of winning the Buy Box.

This is how your company benefits from dynamic pricing adjustment:

Higher sales and margins

  • Unlock new lucrative sales channels on a platform that already offers around five million potential B2B customers.
  • Displace your B2B competition through highly dynamic pricing.
  • Maximize your B2B profits with automated price adjustments.

AI-driven processes

  • Our AI-driven B2B Repricer achieves faster results and higher margins for your company.
  • Choose from nine flexible pricing strategies to optimize your strategic approach.

Time and resource efficiency

  • Automatic price adjustments in real-time, tailored to the current market situation, save you a lot of time during the day.
  • Seamless import and export functions significantly facilitate your price management and ensure a smooth process.
  • B2B repricing from SELLERLOGIC is more than just a price adjustment: the complete solution works tirelessly for you 365 days a year to maximize your revenue.

Sounds like a good deal? Then don’t hesitate, but start your 14-day trial of the SELLERLOGIC Repricer for Amazon today: Test for free for 14 days now.

Top strategies that dominate the market

Almost all sales on Amazon go through the Buy Box. Whether you are primarily engaged in B2C or B2B sales, whether you sell private labels, branded goods, or both at the same time, SELLERLOGIC increases your margins through a higher Buy Box share or the displacement of competitors. With the following strategies, you will dominate your competition.

Strategy “Buy Box”

Many Repricer optimize for the shopping cart field, often merely by setting the product price as low as possible. While this approach can often win the Buy Box, it simultaneously leads to an extreme price decline. Some sellers even sell below their margin – a no-go.

The special thing about the SELLERLOGIC Repricer for Amazon, on the other hand, is that it does not solely rely on the lowest price, but instead raises the price in a second step to the highest possible amount. This way, the Buy Box is held not with the lowest, but with the best price. In some cases, this can even increase the profit margin of individual products.

Strategy “Cross-Product”

For manufacturers and private label sellers, cross-product price optimization is interesting. This adjusts the price based on comparable listings from other Amazon sellers. This ensures that the product price remains attractive despite changing market conditions, leading to higher sales and a better ranking in Amazon search.

For this, up to 20 competitive products can be defined using ASINs that the Repricer should comparatively reference. Additionally, the price gap can be set. The application of the cross-product strategy not only ensures an attractive pricing structure but also prevents pricing that is too low and the associated margin losses.

Sales and time-based strategies

Depending on the industry and product, sales are heavily influenced by temporal and seasonal effects. Some products sell better in the evening hours, while others perform better in early summer. Such influences are also known in the B2B business. Therefore, sellers on Amazon can demand higher prices at certain times than at other times of the day or year.

With sales and time-based strategies, the price can be automatically adjusted to changing conditions. For example, if sales increase, the price also rises; if demand decreases, the price drops to stimulate it. Rhythm, price gaps, and more can be flexibly defined by the user. For instance, sellers can lower their price to improve the visibility of an offer – a sensible strategy if you want to outshine a competitor or push them completely out of the market. However, a price decrease or increase can also have an immediate impact on your inventory. Low prices, for example, lead to your stock being depleted faster, while higher prices ensure that your inventory does not run out before your manufacturer can supply you with new products.

Unrestrained B2B Pricing Power
Want to test SELLERLOGIC’s B2B Repricer for your B2B offers on Amazon? Register now for a 14-day free trial.

Additional benefits for marketplace sellers

In addition, certain metrics can be defined in the SELLERLOGIC Repricer for Amazon:

  • the minimum and the maximum price. The algorithm never exceeds or falls below these, ensuring that sellers have the security of maintaining their desired margin.
  • the shipping costs: These can also be recorded and thus included in the price optimization.
  • the FBA fees: Especially for sellers using Fulfillment by Amazon, the incurred fees are extremely important. Typically, the SELLERLOGIC Repricer even automatically takes these from Seller Central.
  • other costs: Storage rent, energy, or personnel costs – whatever else should be considered in the price calculation can also be specified.

If you are just starting with Amazon B2B or have any other questions, please feel free to contact the SELLERLOGIC customer service at +49 211 900 64 0 or by email at [email protected]. The Amazon experts are happy to advise you on questions regarding SELLERLOGIC services and selling on Amazon.

Conclusion: How to sell successfully on Amazon B2B

There is a simple reason why the Amazon B2B marketplace is so successful in the USA and why it has already achieved great success in the EU and the United Kingdom: both the order volume and the order value are higher, and the chance of a long-term customer relationship is greater.

However, this comfortable situation does not arise simply by setting up an Amazon Business account and hoping for the best. Dealing with business customers requires adaptability, continuous improvement of sales processes, and automation in certain areas, especially in price adjustment. Because as dynamic and disruptive as Amazon has been and will likely continue to be, one thing you can be sure of: price will always be a crucial factor for the visibility of your product, regardless of the buyer and the platform. A dynamic pricing strategy reliably increases the visibility of your product, in contrast to a static strategy.

Unrestrained B2B Pricing Power
Want to test SELLERLOGIC’s B2B Repricer for your B2B offers on Amazon? Register now for a 14-day free trial.

FAQ

What is Amazon B2B?

Amazon Business-to-Business (Amazon B2B) is a sector of Amazon that focuses on trade between companies. It provides companies with a platform where they can buy and sell products, similar to Amazon for private customers.

What is Amazon Business?

Amazon Business is a special marketplace of Amazon that is tailored to the needs of companies. It allows companies to buy and sell products and services, similar to the regular Amazon marketplace, but with additional features and benefits for business users.

Who can use Amazon B2B?

It is aimed at companies of all sizes, from small businesses to large corporations, and offers features such as special pricing for business customers, volume discounts, easier order processing, expense management tools, and much more.

Image credits in the order of the images: © SELLERLOGIC, © Screenshot @ Amazon, © Viks_jin – stock.adobe.com, © Screenshot @ SELLERLOGIC

icon
SELLERLOGIC Repricer
Maximize your revenue with your B2B and B2C offers using SELLERLOGIC's automated pricing strategies. Our AI-driven dynamic pricing control ensures you secure the Buy Box at the highest possible price, guaranteeing that you always have a competitive edge over your rivals.
icon
SELLERLOGIC Lost & Found Full-Service
Audits every FBA transaction and identifies reimbursement claims resulting from FBA errors. Lost & Found manages the complete refund procedure, including troubleshooting, claim filing, and communication with Amazon. You always have full visibility of all refunds in your Lost & Found Full-Service dashboard.
icon
SELLERLOGIC Business Analytics
Business Analytics for Amazon gives you an overview of your profitability - for your business, individual marketplaces, and all your products.