How to sell your products on Amazon in Australia
Since launching in Australia in 2017, Amazon has seen some recent growth that indicates Australians are more onboard with the platform than ever. In fact, with their sales figures doubling in 2019 alone, it shows that for businesses looking to expand, it’s definitely the place to sell.
So if you’re looking at expanding your business’ sales reach, here’s how to get set up and start selling on Amazon Australia.
But first, the benefits of selling on Amazon Australia
It’s easy to get started
As you’ll learn later on, it’s a relatively small outlay to get your sales platform set up on Amazon. It’s quick to set up, too, and you can go from creating your account to selling your products within the day. Amazon also provides Fulfilment by Amazon (FBA), a handy inventory storage and shipping service, where they take care of your inventory and shipping for you.
Create a new revenue stream
It’s obvious, but the more opportunities your customers have to buy from you, the more likely you are to make a sale. Setting up your business on Amazon Australia adds an entirely new revenue stream, enabling you to capture a much broader market.
Reach more customers
Selling your products on Amazon Australia opens you open to an entirely new customer market. The Amazon marketplace receives hundreds of millions of visitors, enabling you to vastly expand your horizons beyond your local and state customers. You can also advertise directly on Amazon, getting your products in front of even more potential customers.
Leverage the Amazon brand
Selling on Amazon enables you to leverage their brand credibility. People trust Amazon, and with a transparent rating system it’s easy to build trust with your customers, too.
Streamline your customer service
Adding a new sales avenue doesn’t have to make more work for your teams. Utilising FBA means Amazon takes care of customer service activities for your products, so you don’t have to do a thing.
What does it cost to sell products on Amazon Australia?
You can expect to pay the following fees to sell your products on Amazon Australia.
Monthly subscription. A flat monthly subscription fee of $49.95.
A referral fee per item sold. This price is a percentage of the sale price and varies depending on the type of item sold. For reference, you can expect to pay a 6% referral fee for computers and video game consoles, 7% for baby products, 9% for kitchen appliances, and up to 15% for jewellery, books, and software.
A closing fee of $1 per every media item sold. This is a specific fee for media-related items and covers things like music, books, DVDs, software, and video games and consoles.
Refund administration fees. While Amazon will refund you the referral fee you paid for the item, they’ll still charge you a refund administration fee. This equates to either 20% of the item’s price, or $5, whichever is the lower price.
Need help working out your break-even point? Check out our break-even analysis tool to download your free copy.
Outside of these fees, there are a few other costs to be aware of when selling on Amazon Australia.
Shipping fees. Make sure you know how much shipping will be, depending on your items, so you don’t find yourself paying too much out of your business’ pocket.
Import taxes. While you won’t necessarily pay any taxes on selling your products on Amazon Australia (outside your usual tax obligations), there may still be taxes on any goods that you import. If your Amazon store is valued at over $1,000, and the products you import are valued at over $1,000, then you can expect to pay an Import Fee Deposit. Amazon will calculate this fee themselves.
How to get started selling on Amazon Australia
Amazon has made it easy to set up your business account.
Step 1. Head to Amazon’s seller portal and click the ‘Start selling’ button.
Step 2. Create a new Amazon account for your business. Here you’ll need to provide your business details, which includes:
Your business name and address
Your business tax details
A website address
Your billing and credit card details
Step 3. Outline the types of products your business sells.
Step 4. Amazon will now verify your account and get back to you once it’s been confirmed.
Step 5. Now you need to set up and customise your sales platform. Shopify is one of the most widely-used e-commerce platforms available and can be integrated easily with your current website.
Step 6. Need shipping? You can sign up to FBA, which provides you access to their inventory storage, packing, shipping, and transport network. This essentially does all the work for you—all you need to do is send your inventory to their fulfilment centre, and they do the rest.
Step 7. Create your product listings and start selling your products.
Sell on Amazon Australia with an Airwallex account
Airwallex makes it easy to sell your products on Amazon.
Our Borderless Cards allow you to create virtual payment cards dedicated to your Amazon fees. They’re ideal for keeping all your Amazon financials in one place, making it easier to track and reconcile your expenses. You can use them the instant they’re set up, too, so there’s no business downtime. And when you’re ready to expand to Amazon US, a Borderless Card gives you a fantastic low-fee payment option directly in USD.
An Airwallex AUD Global Account also provides you with a smart alternative to a dedicated bank account. Quick and simple to set up, you can get your account up and running in minutes. There are no monthly fees, no withdrawal fees, and like your Borderless Card, you get one centralised place to track and manage your income and expenses. When it’s time to scale, your Global Account grows with you, as you can create different transaction accounts for 11 international currencies.
So if you’re looking at selling your products on Amazon Australia, get in touch with Airwallex today. We’ll give you a demo of how our products work, show you how they can integrate with your Amazon account, and help you on your path to growth.
Related article: How to open a business bank account in Australia
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