Amazon North America Site Registration and Operation Guide: Market Analysis of the United States, Canada, and Mexico

Amazon North America covers the three major markets of the United States (Amazon.com), Canada (Amazon.ca) and Mexico (Amazon.com.mx). As Amazon’s largest site, the US site has a huge user base. According to Statista, in March 2019, the Amazon app ranked first among major shopping apps in the United States, with 145.2 million active mobile users, and total active users close to 190 million. In comparison, although the Mexican and Canadian stations are smaller in scale, sellers can earn more profits due to relatively small market competition.

North American market advantages

The North American market is not only huge in size, but also has strong consumer purchasing power. In 2017, Amazon’s US site sales accounted for 28% of total US e-commerce sales, and the number of Prime members exceeded 100 million, of which more than 50% of customers were Prime members. Additionally, Prime members spend twice as much on average as non-members. Amazon’s Canadian site is also the largest and fastest-growing retail site in the country.

Shop opening costs

Sellers who open a store in North America can choose a professional selling plan or a personal selling plan. Sellers who choose the Professional selling plan pay a flat fee of $39.99/month, while the Personal selling plan pays $0.99 per item sold. Regardless of the plan, all sellers are required to pay a sales commission.

Fees structure

• Monthly Rent: Professional sales plan only, $39.99/month.
• Per-unit sales fee: $0.99 per unit for Individual Selling Plan only.
• Sales Commission: All sellers are required to pay it, and the percentage and minimum commission standards vary according to different product categories.

Registration process

Prepare information

• Identity card and business license of the legal representative.
• Credit cards that support U.S. dollar debits.
• Email address, mobile phone number, etc.

Steps

1. Create a new account.
2. Fill in the company information, read and agree to the sales rules and related agreements.
3. Submit personal information and contact information, and add credit card information.
4. Conduct phone or text verification.
5. Complete tax information verification.
6. Set payment method.
7. Complete registration.

Special attention

• During the registration process, sellers need to ensure that the information provided is accurate to avoid affecting the review progress.
• If you use a non-U.S. bank account to collect payments, you may consider using a third-party payment tool such as lianlianpay.
• For sellers who want to take advantage of holiday promotions to increase sales, “Black Friday” and “Cyber ​​Monday” are important nodes.

Conclusion

Amazon North America provides huge market opportunities, but it also comes with fierce competition. Sellers need to choose an appropriate sales plan based on their own circumstances and fully prepare registration materials in order to successfully enter this potential market.