Selling On Amazon: Individual vs Professional Selling Plans

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Individual vs Professional Selling Plans

While starting your Amazon business, there are some decisions you have to make like Amazon FBA or FBM and Individual or Professional selling plans.

In this article, we are going to discuss the difference between Individual and Professional selling plans. You will know which one is better for you and why.

Check out our free guide on how to start selling on Amazon as a beginner.

 

The Amazon Individual Seller Account

According to Amazon, the Individual seller account is

“A pay-as-you-go plan that provides access to a basic set of listing and order management tools. Individual sellers can create listings one at a time by matching their products to existing pages or creating new pages in the Amazon catalog.”

With an Individual seller plan, you have to pay fees only when your product sells on Amazon. The fee is $ 0.99 with every product you sell on Amazon.

Other fees associated will be the same that you have to pay as an Amazon seller like referral fee, and fulfillment fee for FBA sellers.

Here, Amazon has the right to set the shipping rates for the products and decide on the shipping service provided to customers.

 

Advantage

  • With an Individual seller account, you do not need to pay the seller fee monthly.
  • When you are just starting out, you can start with an Individual seller account, and pay a fee only when you get a sale.
  • You can leverage Amazon FBA Course options and learn at your own pace before upgrading your account to a professional selling plan.

 

Disadvantage

  • When you start making more sales, you have to pay $0.99 per order, you are going to lose more money. With a professional seller plan, there is a $39.99 per month, so if you make more than 40 items per month, it’s better to upgrade your account.
  • With an individual seller account, you will never get approval to sell restricted product categories which are beauty, collectibles, Fineart.
  • You do not get the option to upload multiple product listings with individual seller plans.
  • You are not eligible for winning Buy Box, which accounts for more than 80% of sales on Amazon.

 

The Amazon Professional Seller Account

According to Amazon

The professional selling plan, you pay a nonrefundable monthly subscription fee regardless of whether you list or sell anything. You don’t pay a per-item fee when an item sells. All other fees are charged as applicable. The Professional selling plan gives you access to inventory tools to upload batch files and manage your orders through feeds and reports. These tools are beneficial to most medium-to large-size business

With this plan, you have to pay a fee of $39.99 along with other Amazon fees like closing fees, referral fees, and fulfillment fees for Amazon FBA sellers.
A professional seller plan is recommended for every third-party seller who is serious about selling on Amazon and wants to build a profitable business.

This plan unlocks many benefits like winning a buy box, uploading multiple product listings, and using advanced seller tools.

 

Advantage

  • You can win a Buy Box with a professional seller plan.
  • Eligible for uploading multiple product listings.
  • It offers advanced tools like Repricers and SellerZen.
  • Can get approval for selling restricted products.
  • I can get access to advanced reporting tools.

 

Disadvantage

  • Not recommended for new sellers who are just trying out and are not serious about creating a successful business.
  • If you want to upgrade from an Individual seller plan, your account might get suspended until verified.

There are not many disadvantages associated with professional selling plans. With just $39.99 you get access to a large customer base, eligible to win the buy box, access to advanced Amazon tools.

 

Amazon Individual vs Professional Seller Plans: What Are The Key Differences?

FeaturesIndividualProfessional
Monthly Subscription Fee of $39.99NoYes
Fee involved with each item sale ($0.99)YesNo
Create multiple product listing on AmazonNoYes
Leverage Amazon FBA optionYesYes
Get approval for selling restricted product categories.NoYes
Eligible for winning Amazon Buy BoxNoYes
Set the shipping fee for productsNoYes
Eligible to advertise on AmazonNo>Yes
Adding multiple users to accountNoYes
Access to advanced Amazon toolsNoYes
Manage inventory using feeds, spreadsheets, and reportsNoYes

 

Which Amazon Seller Account Type Is Best For You?

Individual seller plan is best when:

  • You have not decided what to sell.
  • If you are getting sales of less than 40 items per month.
  • You don’t need multiple product listings.
  • You do not need advanced selling tools and not planning to advertise.

Professional seller plan is best when:

  • You start getting sales of more than 40 items per month.
  • You want to win the Buy Box.
  • You want to advertise your products on Amazon.
  • You are planning to use advanced selling tools.
  • You want to sell restricted product categories.

 

How To Sign Up For An Account?

If you want to sign up for a professional seller account click here sell.amazon.com and click Sign Up.

If you want to sign up for an individual seller account go to the same page, scroll down and click “Sign up to become an individual seller”.

 

Can I Upgrade Or Downgrade My Amazon Seller Account?

Yes, you can upgrade or downgrade your seller plan anytime. Upgrading means changing the seller plan from individual to professional. Downgrading means changing the seller plan from professional to individual.

Here is how to upgrade/downgrade the seller plan:

  • Log in to your Amazon seller account.
  • Scroll through the bottom of the page to find the Settings.
  • Click “Account Info”.
  • In your services section, click “Manage”.
  • Click Upgrade/Downgrade next to the type of account.

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