Optimizing Amazon Vendor Agreements and Pricing
Transcription
At times you may receive a bulk buy under your recommendation section of your homepage on vendor central. This bulk buy from Amazon is a negotiated quote that Amazon requests from you where Amazon requests negotiated pricing on certain ASINs. If they purchase a certain number of units, the best way to consider these bulk by request.
show moreIs to download them all as a spreadsheet instead, and calculate the cost differences between what Amazon normally pays for your product and what they’re now asking to pay for the product. You’ll be shown on the spreadsheet, how many units of each ASIN they wish to purchase on a PO for a given ship window.
So you bulk by purchase orders can end up being spread over several weeks or even months. Most bulk buy requests take place before a busy period of sales on Amazon, such as the summer holidays in June and July, or the first of season for October through to December, the bulk buys requests for these periods will generally be a month or two before the first ship window of the first bulk buy orders.
You can choose to reject all of these bulk by requests through clicking on the link in the recommendation section of your vendor central homepage. Or downloading them and doing the necessary calculations of whether it makes sense for you to move that much inventory at a given discount.
You can also choose to accept only some of these bulk by requests, especially if you know, you do not have enough inventory or will not have enough inventory to fulfill their purchase orders in the given ship windows. The bulk buy requests do not show up anywhere else on Amazon once they have been accepted.
So the only way for you to keep a record of them before the purchase orders are generated on vendor central is by keeping the exported spreadsheets of the accepted bulk buy requests that you later uploaded to vendor central again. You would then need to keep an eye out for the relevant purchase orders.
And be absolutely vigilant in checking the pricing on the bulk by quote you submitted against the purchase orders. Amazon submitted within the given ship windows and then maintaining those costs in the invoices for those bulk by purchase orders in order to avoid price to discrepancies arising at a later stage bulk buying requests from Amazon.
Or an ideal way to move some stagnant inventory in your warehouse, any end of line products or boost your sales to Amazon in the second, last quarter to meet targets, etc, just be sure to dissect these bulk by requests and quotes properly before approving or rejecting them as they can add value or detract value to your business with Amazon, depending on how successfully you navigate them.