eCommerce Product Integration to Amazon.com
How do Companies use Amazon.com Integration to grow their eCommerce revenue?
Amazon.com represents nearly 30% of the eCommerce market. Their market share commands a significant amount of traffic that can drive a business' revenue to significantly higher levels. Although there are many benefits to selling products through Amazon.com, this may not be the best solution for everyone—especially business to business eCommerce strategies.
At Clarity, we help clients who have unique products turn on the Clarity Connect integration to Amazon.com. This helps teams reap the additional revenue from the extensive customer base that Amazon offers. In addition, companies can now discover new uses for their products, new opportunities for testing retail opportunities, and calculating competitor analyses.
Clarity's eCommerce platform integrates with Amazon and enables the Clarity Connect functionality. This allows site administrators to leverage our standard functionality and offer select products on Amazon that meet certain profit margin percentages. The Clarity Connect Amazon.com integration offers shipping cost calculations, real-time tracking/delivery statuses, taxes, customs and duties, as well as return merchandise authorization. Many Clients prefer to leverage a platform like Amazon.com to validate global opportunities. This helps bring the multi-currency and multi-lingual options that Amazon.com offers to bear, then develops a more robust "in-house" solution for proven markets.
Pros and Cons of Amazon.com eCommerce integration
When it comes to evaluating Amazon.com integrations, there are significant pros and cons to the solution. Clarity’s Amazon integration boasts a proven model with guides and recommendations that helps enhance an operation's workflows and customer satisfaction. Most transactions processed through Amazon are consumer oriented. There is a fairly limited niche for business to business products, but there are still many benefits.
Pros of Selling with Amazon.com
Increased Sales - If there is a good fit with the audience on the Amazon.com marketplace, there will typically be a boost in revenue sometimes exceeding 50% increase but typically at least 5-10% is to be expected.
Infrastructure and Processes - The Amazon model creates positive habits and practices that are reinforced throughout the business cycle. Learning directly from one of the best models tends to generate additional profits.
Generating new awareness - The additional exposure from Amazon's traffic and loyal customer base creates additional awareness that leads to more exposure. This is a major benefit the marketplace provides.
Cons of Selling with Amazon.com
Amazon Regulations - The benefits of the marketplace and additional exposure also brings along with it the need for meeting and adhering to certain standards and processes that may not be best suited for your business model. This can create additional overhead that will drive profits down further and in some cases may not add benefit.
Fees - The fees and percentages charged on Amazon can vary, but they tend to range from 5-15% with most of them closer to 15%. A full listing of fees is available here: http://www.amazon.com/gp/help/customer/display.html?nodeId=1161240. The main takeaway is you're effectively trading the benefits of having a big marketplace of interested buyers with the significant margin reduction.
Synchronizing Orders and Inventory Data - This is a major strength of the Clarity eCommerce platform. This helps keep the Amazon internal inventory and shipment status information in sync. Without a tool set like Clarity Connect, the process of synchronizing inventory, pricing and product details can become a significant additional overhead.
Clarity and Amazon enhance eCommerce
Clarity and Amazon.com can provide immense benefits to your eCommerce platform. As you can see, there are a plethora of pros and cons to integrating with Amazon, and Clarity can help guide you through the ins and outs. Please connect with a Clarity consultant today, and learn how we can help boost your business.