If you too are one of the many unlucky Amazon vendors that did not receive a purchase order from Amazon then you are not alone. With you is a great bunch of vendors who is still waiting on its questions to be answered by Amazon. To help you clear out the confusion, we have come up with a working system. Making sure we cover all our basic point.
Currently you, and hundred other Amazon business are wondering if Amazon will buy from them again, what will happen, and what should I do about opening a sellers account. We might not know much, but we know it's not time to panic. We suggest you keep on reading and educate yourself on what is going on rather than spinning out.
Why Did Amazon Vendor Central Stop Issuing Purchase Orders?
Monday, Brand operating using Vendor Central received a series of messages stating they will be moving their products from Vendor Central to Seller Central. Which automatically stopped all purchase orders, or issuing technical issues with the ordering system.
Here is what the Amazons Team Had to Say:
“I would like to inform you that our internal team has reviewed your business with Amazon and strongly believes that Amazon customers would be better served if your products were made available through Seller Central. As we are constantly looking for ways to improve the customer experience we recommend you to setup Seller account to continue your business with Amazon.”
Some reports indicated that technical issues with the ordering system and messages are a hit that supplier should not expect future purchase orders to be placed. As the message included:
“Please be informed that at this time, we are not placing any purchase orders on your products. To preserve the customer experience, the featured offer will be disabled when the product is out of stock. We will notify you if we choose to place any purchase orders.”
On the other hand, brands who use Vendor Central were baffled, to say the least.
What Should Vendors Do?
We are not 100% certain why Amazon won't issue purchase orders anymore, but it is important that we take out a moment to understand their long term vision.
Rick Backus, CEO at CPC Strategy said: “While I understand the frustration from brands who sell on Amazon at the abruptness of these changes, it’s important not to react emotionally. In most cases, what’s best for your business is understanding whether Amazon wants you to be a Seller or a Vendor and plan accordingly.”
Pat Petriello, Head of Marketplace at CPC Strategy said: “All these signals indicate Amazon wanting their Retail (1P) Team to only be working with the very head ASINs in each category. In parallel, the Marketplace platform, tools, and ecosystem has matured to the place where Amazon is confident they can fill consumer selection and empower self-service advertising through that platform.”
Should I Transit to Seller Central, & How Does it Work?
Keeping in mind that Amazon will not be ordering POs anymore, it will be wise to shift to Seller Central and here is how.
Contact Us to learn more about The Starren Group and how we can help you leverage Amazon to grow your business.