The Types of Amazon Seller Accounts Explained

There's a reason Amazon is the largest eCommerce platform in the world: it builds the kind of loyal customer base no other. Regardless of what you sell, Amazon can be a fantastic choice for your online business.

If you want to open an Amazon store, knowing the types of Amazon seller accounts is very important -- so we asked the best Amazon experts to explain seller accounts, what they do, and how to choose the best one for each particular situation.

Here's what we learned.



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Individual Amazon Seller Account 

An Individual Amazon Seller Account is a type of account designed for those who plan to sell a smaller volume of items on the Amazon marketplace. It is ideal for casual or small-scale sellers who anticipate selling fewer than 40 items per month.

This type of account does not require a monthly subscription fee; instead, sellers are charged a fee per item sold. Signing up for an individual account is straightforward and does not require a comprehensive business setup, making it accessible for new sellers looking to test the waters with their products.

Advantages of Individual accounts 

Individual accounts are a great option for those who are just starting their Amazon selling journey. Some advantages of an Individual account include:

• No monthly subscription fee: As mentioned earlier, there is no fixed monthly cost associated with this type of account. Therefore, if you do not plan on selling a large number of items, it can save you money compared to the Professional account.
• Easy setup process: An individual account can be set up in just a few simple steps, and it does not require any business registration process. This makes it an ideal option for new sellers who want to get started quickly.
• No need for a business bank account: With an Individual account, you can use your personal bank account for transactions, making it easier to manage your finances.
• Lower transaction fees: Individual accounts have a lower referral fee percentage, which is the commission that Amazon takes for each item sold. This can be beneficial for sellers with lower-priced items.
• Good for testing new products: As an Individual account does not require any long-term commitments or monthly fees, it is a great option for sellers who want to test the market with new products before committing.

Disadvantages of Individual accounts

While an Individual account has its perks, there are also some downsides to consider:

• Limited selling capabilities: With an Individual account, you can only sell up to 40 items per month. This may not be enough for sellers with higher volumes of sales.
• No access to advanced selling tools: Unlike the Professional account, Individual accounts do not have access to advanced selling tools such as bulk listing and inventory management.
• No Buy Box eligibility: The Buy Box is the section on an Amazon product page where customers can add items to their cart. Only Professional accounts are eligible for the Buy Box, which may impact sales for Individual account sellers.
• Higher per-item fees: While there is no monthly subscription fee, Individual accounts have a higher per-item fee compared to the fixed monthly fee of a Professional account.n

How much does an Individual Amazon Seller Account cost?

The pricing scheme for Amazon Seller accounts is quite simple. In the case of an Individual account, you will pay a fee worth $0.99 per item sold. The features available in an Individual account are more limited too -- so, aside from paying a "per item" fee, you should know that you will not benefit from the more advanced features.

Professional Seller Account 

Advantages of Professional seller accounts 

Disadvantages of Professional seller accounts

How much does a Professional Amazon Seller Account cost? 

A Professional Amazon Seller Account costs a flat rate of $39.99 per month, regardless of the number of items sold. This can be beneficial for sellers with high volumes of sales as the fixed monthly fee allows for more predictability in budgeting and expenses.

Professional accounts also have access to advanced selling tools such as:

• Adding multiple users to your account: This allows you to delegate tasks and manage your account more efficiently with a team.
• Applying to sell restricted products: Certain categories require approval to sell. With this feature, you can apply and gain access to sell in these restricted categories.
• Building your brand with enhanced product pages: You can create visually appealing product pages, a digital store, and utilize other branding tools to enhance your brand's presence on Amazon.
• Competing to be the Featured Offer: Also known as the Buy Box, being the Featured Offer can significantly boost your sales by making your product listing more attractive to customers.
• Creating promotions and coupons: This perk allows you to make your products more enticing with special promotions, deals, and coupons.
• Integrating selling apps with SP-API: This feature lets you integrate various selling applications to streamline your processes and improve efficiency.
• Listing products in bulk: You can upload and manage multiple listings at once, saving time and effort.
• Managing inventory in bulk: This makes it easier to keep track of your stock levels, update listings and manage your inventory efficiently.
• Participating in programs like Global Selling, Local Selling, and Renewed: Expand your reach to international markets, sell to local customers, or participate in Amazon’s Renewed program for refurbished goods.
• Setting dynamic prices: With dynamic pricing, you can adjust prices automatically based on market conditions, competition, and other factors to optimize your sales.
• Setting your own shipping fees for non-media products: This gives you control over the shipping costs, which can help with pricing strategy and customer satisfaction.
• Using B2B tools to engage business customers: Access tools specifically designed to cater to business buyers, making your account versatile for both B2C and B2B transactions.
• Using business reports to track sales, inventory, and orders: In-depth reporting tools help you monitor your business performance, keeping you informed and guiding your decisions.

Individual Seller Accounts vs Professional Amazon Seller Accounts

In essence, both Individual and Professional Amazon Seller accounts have their own unique advantages and disadvantages. The choice between the two ultimately depends on your selling needs, goals, and budget.

An Individual account may be a good starting point for new sellers or those with lower sales volumes. It offers an easy setup process, no monthly fees, and lower transaction fees. However, it has limited capabilities and no access to advanced selling tools.

On the other hand, a Professional account may be more suitable for established sellers or those with higher sales volumes. It offers advanced selling tools, eligibility for the Buy Box and other programs, and lower per-item fees (when selling more than 40 items per month). However, it comes with a fixed monthly fee regardless of sales volume.

Which type of Amazon Seller Account is best for you?

The question of which type of Amazon Seller Account is best for you ultimately depends on your unique selling needs and goals. Consider factors such as the volume of sales, budget, use of advanced selling tools, and eligibility for programs like the Buy Box when making your decision.

The good news is you have some flexibility with the types of Amazon Seller Accounts. For instance, if you think you might experience a bump in sales (such as throughout specific holidays), or need access to advanced features temporarily, you can easily switch between the Individual and Professional accounts. you want to test the waters with Amazon before committing to a Professional account, then you can always upgrade your Individual account at any time.

Ultimately, it's important to regularly evaluate your selling needs and goals and adjust your account type accordingly to maximize your success on Amazon. So, whether you choose an Individual or Professional account, make sure to use all the available tools and resources provided by Amazon to help drive sales and

Your credit card will be debited every month, so you can make the switch from Individual to Professional (and back) every time you need.