Becoming an Amazon master is not for everyone, and there is a lot to learn before you can achieve it. But the truth is that it is not impossible either, and there are some key aspects that once you know them you can use to your advantage to take your business to the next level.
From the moment of preparing products, understanding taxes, and the shipping process from one country to another, there are some key points that you should know in order not to fail in the attempt. In this article, we will delve into the world of international sales with Amazon, either from Amazon Australia or Amazon US.
How Amazon delivery to Australia works
There are two main forms of delivery on Amazon Australia: one is through Australian companies when shipments are made within the country, and the other is through international companies when the products come from the United States or other countries.
If the product you want is available on Amazon Australia then the task is super simple, you just have to choose it, write down your exact address (or choose a pick-up point) and the shipping prices will range from usd$4.99 to usd$15.
The main companies that handle shipping in this country are Australia Post, Aramex Global, and Amazon Logistics. If you are given the option to choose, we recommend that you select one that you already trust or that has a presence in your region, otherwise, they all offer a fairly similar service.
Amazon delivery to Australia from the United States is usually trickier and the costs are higher. The price of international shipping to Australia starts from USD$15, although the standard price is usually between USD$20 and USD$50.
Some people opt for the longer route when products from the USA do not offer international shipping. This involves having family or friends in that country and putting their address, then you must ask them to send it to your address in Australia.
This only works if you have trusted people in the USA, since if you do it through a third-party company that offers this service there is always the risk that your product will not arrive in good condition, it will be stolen, or you will have to pay ridiculous fees.
In case a product you like on Amazon USA does not offer international shipping, another alternative is to look for it on Amazon Global or Amazon Australia, because it may be listed by another seller.
Steps to sell on Amazon USA from Australia
Being able to sell on Amazon USA opens the doors to perhaps the largest global e-commerce site in the world, although you must take into account some regulations and conditions. You can do this even if you are not a US citizen, but you will need to have a bank account in that country.
We recommend that you do so with a trusted bank that allows you to make several money movements since businesses on Amazon make frequent sales and some banks could detect these movements as suspicious if you do not previously clarify that it is a business account.
Other things you should know about selling on Amazon USA from Australia are that you will have to adapt to the taxes of the American country first, and then to those of your country to enter the money (for example, the fees that there are when you have income from foreign accounts).
In addition, you must create your account in Amazon Seller Central and select one from the USA. You must do this step even if you already have one in Australia (you should contact the help center to make it easier to transfer data or even a link between both accounts).
Besides that, selling on Amazon USA is easy, but you also have to adapt your listings to the US public. Finally, your products must be in Amazon warehouses in that country, so you should consider that as an extra expense and process.
Understanding Amazon FBA fees in Australia
Amazon FBA Australia fees are made up of two main fees: fulfillment fees and inventory storage fees. The first refers to the entire process of preparing a product, from picking it up to checking, packaging, and shipping. The last is for the amount of time that products spend in Amazon’s inventory and warehouses.
Amazon FBA Australia fees vary depending on the value of the product you are selling. Amazon sets a parameter for when products are worth less than $10 and another when they exceed that barrier. However, inventory storage fees also change depending on the size and weight of the product, so you should take all of those variables into account.
Taxes are very variable, being a minimum of $1, and can exceed $200 depending on the value of your sales and your products. However, they are percentage-based, so even with all of the Amazon FBA Australia fees, your profits should exceed 30% from the start. This makes selling on Amazon still convenient for small or large businesses.
Tips for efficiently managing cross-border sales
To maximize your profits when taking your business international or selling on Amazon USA from australia, the best thing you can do is do some research beforehand. Find out which products are top sellers, and what potential buyer market there is for Australian products in America (candy and non-perishable foods always sell well).
Also, make sure your profits outweigh your costs. Selling internationally will result in more fees, so you need to make sure you are making enough money. The profits may not seem like much at first, but the business should always be profitable.
Familiarize yourself with all the fees that will come into play, and make sure you have reliable suppliers and partners. Being international, you’ll need to consider shipping from one country to another, warehouse time, and the various controls that must be passed through. This means that there will be many people involved in the process, and the more reliable they are, the better.
