Seller Central vs Vendor Central

There are many different fulfillment options to choose from when selling your products on Amazon. If you aren’t familiar with the differences, it can be overwhelming choosing the fulfillment option that is best for you and your brand.

First, you’ll need to know the differences between Amazon Vendor Central or Amazon Seller Central. The main difference between these two options is who actually sells your products. Amazon will buy your products from you, then resell them to their customers, with Vendor Central. If you choose Seller Central, you will sell your products directly to customers, through the Amazon marketplace. 

Continue reading for an overview of Vendor Central and Seller Central and what each offers. 

Seller Central

Amazon Seller Central is used by merchants to market and sell products directly to customers within the Amazon marketplace. If you use an Amazon Seller Central account you are considered a third-party Amazon seller. You are responsible for setting up and maintaining your own seller account.

Pros

  • Open to anyone to use

  • More control over brand presence 

  • Better view for inventory planning

  • Control of retail pricing and ability to keep margins consistent

  • Quick payment terms

  • More data analytics

Cons

  • Limited advertising options

  • Increased logistical management

Vendor Central

Registration for Vendor Central is strictly by invitation only and is commonly used by direct manufacturers and distributors. If you have a Vendor Central account you are considered a first-party seller. You are acting as the supplier, selling your products directly to Amazon in bulk. When you sell products through Vendor Central the phrase “ships from and sold by Amazon” will appear on the order page rather than your brand name.

Pros

  • Able to participate in Amazon exclusive marketing programs

  • Bulk sales directly to Amazon

  • Faster growth for brands with large marketing budgets

  • Fixed logistical options

Cons

  • Not open to everyone - invite only

  • Requires larger marketing budget in order to scale quickly 

  • Amazon controls retail pricing

  • Limited view of data analytics

  • Margins typically decrease as sales volumes and slotting fees increase

  • Lack of Seller support if there are issues

  • No foreign market expansion support

  • Increased difficulty in launching new products

  • Loss of brand control

 
 

It’s critical that you create marketing and fulfillment strategies that are specific to the Amazon channel. Knowing the differences between Seller Central and Vendor central is just one small step in the process. Launching a successful Amazon business comes with many tough decisions. If you find yourself lacking the information or time needed to make a killer Amazon strategy, please schedule a free consultation with us today! We want your brand to see success!

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