The Growth of Amazon Handmade: Navigating the Marketplace
In attempts to lure users away from eBay and Etsy, since the start of the year, Amazon Handmade has made some changes to its platform. The service has expanded its reach further, spanning across the entire US and more than 60 countries.
It was also a record-breaking year for small and medium-sized sellers, as Amazon reported that almost 25,000 businesses in the US had generated over $500,000 in sales. By tweaking and developing its strategy, the new changes to Handmade are making the marketplace even more accessible to independent sellers.
What’s new?
Last year, Amazon announced that the monthly professional selling fee will be waivered indefinitely for its Handmade stores. Alongside waivered fees, the other good news is that since the beginning of 2020 the referral fees paid for each sale have decreased from 15% to 12%.
When setting up on the Handmade platform, some key strategies can help establish your store.
Unlike regular sellers, Artisan profiles are created for Handmade. This allows for additional customisation options such as uploading a personal photo, adding a shop banner linking to featured products and an extra graphic showcasing locale. Creating a store using all the personalisation options can help improve usability and add a personal twist to the shopping experience.
When selling personalised products, it is essential to include custom fields in listings so that customers can add text, numbers or colours and see the price of each option. Amazon’s data reveals that the top product categories for Handmade products are jewellery, accessories, home, and clothing. Obtaining Prime is possible through Seller-Fulfilled-Prime which is proven to increase conversion rates by 50%.
Always be aware that maintaining high seller ratings is important to keeping a higher position in search results and improving sales.
At Activ8 we specialise in providing a tailored experience for all e-commerce requirements, creating sustainable growth. Find out more about how we can help by contacting us directly or booking a call.