Selling in the UK Amazon Market

selling on Amazon UK

AMAZON UK SELLING

1) UK is not as competitive as the USA (for most products) – so if you are new to Amazon and live in UK it can be a great place to start and learn the basics and build confidence before moving to the USA.


2) If you live outside the UK/EU you will need to register for VAT before you sell on Amazon (UK/EU).

https://services.amazon.co.uk/services/sell-online/faq.html

https://www.gov.uk/vat-registration/how-to-register

3) PPC cost is very low comparatively to the USA – although this may vary a lot from product to product.


4) If you sell in the UK you also have easy access to the rest of EU too. Amazon can fulfil your orders from the UK so you don’t trigger VAT. Each EU country has its own VAT threshold.


5) If you already sell on Amazon.com and have a decent amount of reviews then the reviews will also display at the bottom of your UK/EU listings.


6) If you are from the USA, don’t write hyped-up copy for UK people – the culture is different and people generally are put off by it (the same applies across the EU too) Think less Jersey Shore, more Downtown Abbey.


7) Amazon support is not as good in UK/EU as USA. So if you have a product that is a support nightmare I would really consider this as you maybe going back and forth for a long time.


8 ) Don’t expect as many customers to leave reviews in UK/EU. People are generally further behind in e-commerce than in the USA.


9) Amazon’s recent review policy applies in the UK/EU also – so be very careful when getting reviews in and stay away from FB review clubs.

10) For big sellers Amazon EU has a PAN-EU program that enables them to move your stock around the EU (like they do in the USA) so it can get to customers faster. Amazon claim it can increase sales up to 30% – but I’d recommend speaking to people who are using it and getting feedback from them instead.You also need to collect VAT in each EU country your stock is sitting in (get proper advice).

9) Consider Forex costs. USD to GBP transactions are needed and therefore specialist brokers can be used. I can recommend.

10) Accountants – Hire one to do books/VAT/reporting properly as worth getting right from the start VAT has 2 separate levels but do not register for VAT initially I can recommend.

Richard Minshall
Baldwins Accountants
https://www.baldwinsaccountants.co.uk/staff/richard-minshall
+44 1773 538930

13)You can sell in UK with a US company. You can’t open a UK account remotely so use currency broker to collect your Amazon payments as otherwise Amazon payments direct to your US bank a/c will cost you 4%. With Currencies Direct its 1 to 2 % depending on your volume. Then move your money from Currencies Direct to your US bank a/c. Sign up here:
http://www.currenciesdirect.com/en/uk/e-tailers?adloc=A013022

14)You can use your US or Chinese Freight Forwarder but they’ll just sub contract to a UK one. Best to us a UK based one from your manufacturer right to the Amazon UK door. You will need EORI number which can be obtained online easily at:
www.gov.uk/guidance/eori-supporting-guidance

Here is a FF recommendation:
Terry wilson
Anglia Forwarding
terryw@anglia-forwarding.co.uk
+44 1708 527057

15) UK Based Prep Centre if required.

FBA Prep UK
www.fbaprepuk.com
greg@fbaprepuk.com

1, customer service goes a long way in the UK. Brits aren’t used to good customer service and you can play this to your advantage in your inserts and packing of products: email sequences Few free sweets etc and great customer service emails.


2, follow up sequences I wouldn’t suggest emailing more than twice. And make sure you add value. Not just asking for review.


3, bundling. Sellers on the UK aren’t very imaginative when it comes to Bundles. Think of a free gift that is complimentary to your product that is very cheap to give away but gives instant value and you can charge slightly more , this is easy way to launch new product & beat the top competitors. We have done this with out top selling items.

4, Don’t try to beat the Chinese on low prices. You are selling on amazon to make money. After fees,
shipping , tax you want ti make sure you are putting money in your pocket. We charge at least £5 more than our competitors and people seem to like buying what they perceive to be a more quality product.


5, product ideas: look at what is selling in top 100 on each segment and see what you can do to improve the item. Read feedback and see what you can change.


6, British manufacturers/ EU are competitively priced , you can order small MOQ and you don’t have
to pay customs etc on items. Great way to see if a product sells before buying 5000 units.

7, PAN Europe. Do not do PAN until you have sold into Europe and know there is a market for your product. You will have to register VAT for every country your product is stored in regardless of whether you are under VAT threshold. Each country VAT filing is different. The paperwork is a total nightmare.


8, Germany , huge market Not much competition in France if you have a product that starts selling, you can do very well very easily.

Italians leave bad reviews in general but this does not put them off buying products Spain is slow market In Europe PPC is very very cheap.

NOTE:

Finally, there is a general feeling that Amazon UK and Europe is currently like Amazon US was 4 or 5 years ago. There is a major opportunity to sell in the UK and Europe and to steal a march on many others. Think of it like going back in time, whereas most things are covered in the US, getting a
product ranking in the UK is fairly easy. So a product where you are the bottom of page 1 in the US might be the top 3 in the UK. Smaller market but bigger opportunity.

Much easier to get #1 in category with no reviews, hardly any PPC against the market leader with 200 reviews. You can forget blasts, reviews etc Just join a few relevant FB groups, do a 50% off offer for 20 units or so and you’ll be there.

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