In recent years, opening multiple accounts or seller accounts on Amazon has become a popular strategy for businesses looking to expand their reach and diversify their product offerings. This approach allows sellers to target different niches or manage separate brands more effectively. This article will explore the ins and outs of operating multiple seller accounts on Amazon and how it can benefit your e-commerce ventures.
Though Amazon’s guidelines allow for having more than one seller account, it’s crucial to understand when and how this is permitted. Not adhering to Amazon’s rules could lead to account suspension or other repercussions. We’ll walk you through the process of obtaining approval for multiple accounts and provide practical tips to manage them efficiently.
Furthermore, we’ll discuss key factors like inventory management, customer service, and account performance that can make or break your success in a multi-account setup. Let’s dive into the world of multiple seller accounts on Amazon and see how it can elevate your online business!
Understanding Amazon’s Policy on Multiple Seller Accounts
What is Amazon’s Policy on Multiple Seller Accounts?
Amazon’s policy on multiple seller accounts is clear: sellers can operate only one account unless they receive explicit permission from Amazon to maintain additional accounts. This policy aims to maintain a fair and competitive marketplace for sellers and buyers alike.
To receive approval for multiple seller accounts, sellers must prove they have a legitimate business need, such as selling products with completely different target markets or fulfillment processes. To request an exemption, sellers should submit a well-prepared business plan by contacting Seller Support.
The Consequences of Violating Amazon’s Multiple Seller Account Policy
Violating Amazon’s policy on multiple seller accounts can lead to severe consequences, including suspending or terminating all associated accounts. Additionally, inventory listings may be removed, and funds held in the second seller account’s account may be frozen.
Sellers should know the importance of adhering to Amazon’s policy and the potential risks of operating multiple seller accounts without proper authorization. To avoid account suspension and mitigate risks, sellers are encouraged to optimize their one approved account or seek Amazon’s permission for additional accounts when necessary.
What is Considered As a Legitimate Business Need on Amazon?
Amazon allows sellers to have multiple accounts when they have a legitimate business reason. The following subsections explore the most common reasons for holding multiple seller accounts on the platform.
Owning Multiple Brands & Maintaining Separate Businesses for Each
Having multiple brands operating independently qualifies as a valid reason for creating multiple Amazon seller accounts. Many business owners manage unique brands, each targeting a different customer segment and needing separate Amazon accounts. This allows sellers to maintain a distinct brand identity and not confuse consumers with multiple amazon accounts.
Manufacturing Products for Two Different Companies
Business owners who manufacture products for two companies may consider opening multiple Amazon seller accounts to maintain clarity and transparency. Separating the accounts help in tracking sales, revenues, and inventory levels independently, enabling better managerial oversight.
Recruited for an Amazon Program that Requires Separate Accounts
Some Amazon programs, such as the Amazon Accelerator, require participants to open multiple seller accounts or have separate accounts for the program. In these cases, Amazon may recruit sellers, and to comply with the program’s guidelines, having multiple Amazon seller accounts becomes a crucial aspect of the process.
The Reasons Sellers Need Multiple Seller Accounts on Amazon
The idea of having multiple Amazon seller accounts does sound bothersome. However, some occasions require you to do so. Here are some examples:
If You Want to Sell Different Types of Products
Having multiple Amazon seller accounts allows you to separate and manage different types of products more efficiently. This helps you maintain a clear focus on each product’s performance and optimize them accordingly.
For instance, say you sell both electronic gadgets and organic food items. Keeping these different product lines in separate accounts can help you tailor your marketing and sales strategies to each specific target audience.
If You are Targeting Different Markets
Another reason to consider having multiple Amazon seller accounts is if you are targeting different markets or regions. This can make it easier to manage your inventory levels, pricing, and promotions in each region separately.
For example, you could have one account for the US market and another for the European market, each with distinct listings and pricing strategies. This will enable you to better cater to each market’s needs and preferences.
If You Want to Improve Metrics
Multiple Amazon seller accounts can also help you improve your seller performance metrics. Amazon has strict performance criteria, and falling below these standards may result in account suspension or lower rankings.
By separating your business into multiple accounts, you can closely monitor and manage your performance metrics for each new account, too, making it easier to identify issues and address them promptly. This can help you maintain a high seller reputation across all accounts.
How to Create Multiple Seller Accounts on Amazon
Creating multiple Amazon seller accounts is not a common practice, but in certain situations, it may be necessary. In this section, we will discuss the steps to create an additional seller account and the guidelines to follow when doing so.
How to Create an Additional Seller Account
Before creating an additional seller account, you must first get approval from Amazon. To request approval, follow these steps:
- Log in to your current Seller Central account.
- Navigate to the Contact Us page.
- Select Other Issues and then click on Request to Open an Additional Account.
- Fill the required information and submit your request.
Amazon will review your request and respond within a few days, stating if they approve or decline your application.
Guidelines When Creating an Additional Seller Account
When managing multiple accounts, it is crucial to follow specific guidelines to avoid violating Amazon’s policies. Here are a few important points to consider:
- Each account should have a separate email address and bank account information.
- Inventory in your additional account should not be a duplicate of your existing account’s inventory.
- Maintain high performance on all your accounts by following Amazon’s best practices.
By adhering to these guidelines and actively managing your seller accounts, you can effectively manage multiple accounts and maintain good standing with Amazon.
Managing Multiple Seller Accounts on Amazon
Managing multiple amazon seller accounts safely can be a hard task. The restrictions are tighter, and it’s essentially more job for you to take care of. Here are some tips for managing multiple amazon seller accounts.
Separate Bank Account
It’s recommended that you have a separate bank account between the seller accounts. Why?
Firstly, having a separate bank account for each seller central account can help ensure that finances for each amazon seller central account are kept separate and organized. This can help with accounting and tax reporting, as well as prevent confusion and potential errors.
Secondly, using a separate bank account can help prevent cross-contamination of funds between accounts, which can be a red flag for Amazon and potentially lead to account termination. If all seller accounts are tied to the same bank account, it can be difficult to differentiate between sales, refunds, and other transactions for each individual account.
Therefore, it’s important to avoid using the same bank account for all of them.
Finally, a bank account can provide an additional layer of security for each seller account. If one account is compromised or hacked, having separate bank accounts can limit the damage to that specific account and prevent unauthorized access to funds in other accounts.
In summary, it’s highly recommended to have separate bank accounts for each seller account rather than using the same bank account for all of them.
Never Share Your IP Address
It is crucial to keep your IP address separate for each seller account. Using a VPN or a dedicated IP can help in this regard, ensuring that Amazon cannot link your accounts through shared IP usage.
Never Share Your WiFi Connection
Sharing a WiFi connection between different seller accounts can lead to account suspension, as Amazon may suspect fraudulent activity. Always use a separate internet connection for each account to safeguard your business.
Keep Account Information Clear and Secure
Make sure to use different personal and financial details for each seller account. This prevents linking accounts, ensuring Amazon’s policies are adhered to. Store this information securely to avoid potential data breaches.
Third-party apps can help you manage multiple seller accounts more efficiently. By automating tasks like inventory management and order fulfillment, you can save time and reduce the risk of errors across your accounts.
Consider Using Amazon Household
If you’re managing multiple Prime accounts within the same family, consider using Amazon Household. This program allows up to 10 members to share Prime benefits, such as shipping, video streaming, and more – streamlining the management of family accounts.
In summary, opening multiple seller accounts on Amazon can offer advantages to experienced online merchants. However, proper consideration of Amazon’s policies and specific case justifications is necessary.
Key takeaways for managing multiple Amazon seller accounts include:
- Maintain separate and distinct businesses: Every account must represent a separate legal entity.
- Follow Amazon’s approval process: Request permission from Amazon to open additional seller accounts to avoid suspension.
- Diversify your revenue streams: Multiple seller accounts allow you to sell in different niches and reduce risk.
- Stay organized and maintain separate records: Good recordkeeping helps avoid confusion between accounts.
By adhering to these guidelines and actively managing your accounts, you can fully leverage the benefits of having multiple seller accounts on Amazon.
Frequently Asked Questions
Can a seller have multiple accounts on Amazon?
Unless you have a legal obligation, it’s advisable to possess an Amazon seller account that includes multiple sellers. According to Amazon, sales partners with valid business requirements can manage multiple selling accounts without requiring Amazon’s authorization.
How many Amazon seller accounts can you have?
Operating a second account or multiple sales central accounts is prohibited, but it is possible to request an exception to this rule by clicking on the “Contact Us” link. From there, select “Your Account” and then choose an alternative option for your account.
Is it against Amazon TOS to have multiple accounts?
As an Amazon buyer, you can use multiple accounts to purchase if you follow Amazon rules. It will also allow sellers to have multiple sites.