January 28, 2020
2020 has only just begun, but it already promises to be an exciting year in eCommerce. Amazon, the largest player among online marketplaces, is coming to the Netherlands this year. Some are rumoring that this will already be in February 2020, but Amazon is yet to confirm the official date. Are you a bit overwhelmed by all the speculations and information? To prepare you, we have summarized everything you want and need to know!
Prior to the official Amazon Netherlands launch, you’d only find a large selection of eBooks on Amazon.nl. The big release will result in millions of products being added to Amazon.nl, varying from fashion and electronic items to homeware and gardening tools. In the meantime, Dutch people can currently use Amazon Germany for these products. However, they prefer to search for and buy products on Bol.com or Coolblue. You may think this would put Amazon off, but we have news for you. When Amazon comes to the Netherlands, it will not only be competing with online marketplaces. Amazon offers even more services, such as an on-demand streaming service (Amazon Prime Video) and a cloud service (Amazon Web Services). In short, it’ll be a party to be reckoned with.
As Amazon Netherlands has officially been announced, it is now possible to register as a partner on services.amazon.nl. But what exactly does this mean? First, it is useful to know that Amazon makes a distinction between two ways of selling, “Amazon: Basic” and “Amazon: Professioneel”. Below you can briefly see the difference between them to decide which way fits your eCommerce best.
|Amazon: Professioneel (Professional)||Amazon: Basic|
|For sellers who sell more than 40 items per month.||For sellers who sell less than 40 items per month.|
|Subscription costs of €39 per month (excl. VAT) + additional costs.||Pay-as-you-go payment (no monthly costs, only pay if you sell something). This costs €0.99 per item + additional costs.|
|Access to an order overview, automatic tools to manage your inventory, and APIs and Web services on Seller Central.||-|
|Sell in all categories on Amazon.||-|
|Marketplace Web Service (MWS)*||-|
*Share data on product listings, orders, payments, etc. on the Amazon Marketplace Web Service, an integrated web service API. As indicated in the table, this feature is only available for Amazon: Professional.
Both subscriptions offer FBA (Fulfillment by Amazon)and the possibility to sell on all six European Amazon marketplaces. Are you unfamiliar with these features? No stress, knowledge is power, and we can supply that.
FBA (Fulfillment by Amazon)
Expand your business and sell throughout Europe with the help of FBA. Amazon arranges storage, delivery, customer service, and handling of returns. All you have to do is send your articles to Amazon. This way your customers can also choose from Amazon's fast Prime shipping. As a result, you have less work and you’ll reach a lot more people!
Sell on all six European Amazon marketplaces
If you sell on Amazon Netherlands, you’ll automatically sell on all of Amazon’s EU markets:
Do you only want to sell on Amazon Netherlands? Indicate this when creating your account by unchecking the box.
Whether you are a small seller or a larger retailer, there will soon be a lot more possibilities for you to sell to the Dutch market. But why should you sell on Amazon? Ultimately, this is a choice that you have to make yourself. Channable is happy to help you make this choice (as well as possible implementation) easier.
If you’re new to selling on Amazon in general and are on the fence about whether it’s worth jumping on the bandwagon, read the stats and experiences of others to make a sound decision. Selling on marketplaces can bring you a whole new revenue stream, but make sure you're optimizing your marketplace strategy.
Stats in a snapshot:
There are 2.9 million sellers (2) on the Amazon platforms combined. Naturally, the US ‘.com’ site is the most popular with 1.1 million. The UK Amazon has the second most sellers, +281,000, and the German site is third with +238,000 sellers. This may seem pretty crowded, but Amazon is continually developing tools to improve the distribution of sales between sellers and help you position your company amongst the others. Many brands will have to make the decision to cooperate or compete with Amazon, whilst accepting that around 50% of all online purchases are made via Amazon (3) when it’s available.
It has been recorded that once Amazon enters a market, consumers quickly swarm to it and a revolution in product search is seen. Consumers with access to Amazon use it as their first choice to discover and buy items. The product search revolution has most recently occurred with Amazon Singapore, which was identified as the fastest-growing Amazon site compared to its marketplace size in January 2020. Countries in which Amazon is native (US, UK, DE, ES, etc.) record high levels, +/- 80%, of product searches versus countries that don’t have a designated Amazon page e.g. the Czech Republic with 4%.
Ultimately, the buyer is always right. And recent trends indicate that it’s about being where your potential buyers are at the right time, which means you need to have omnipresence. That being said, 64% of people have admitted to checking the price of a product on Amazon whilst being in-store. A strategy that includes advertising and selling on multiple channels and marketplaces in an omnichannel fashion can be streamlined with a feed management tool like Channable.
Taking the plunge to sell in a new market requires consideration, even if Amazon makes it easier to sell globally. If the Dutch market is new to you, the following information can assist you if you’re considering selling in the Netherlands.
The Netherlands is one of the most densely populated countries in Europe. Its population is around 17 million, but what’s interesting for you is that 96% of the population are also internet users and 93% of 25 - 45 year old’s order goods or services online. The Netherlands has been ranked as the third biggest European market for eCommerce. The Dutch eCommerce industry has been valued at €23.7 billion in 2018.
Whilst Amazon is only just launching its Dutch site, these lowlanders have already been using Amazon for 13% of product searches. 61% of product searches are currently being done on more native eCommerce marketplaces, such as the aforementioned Bol.com, Coolblue, Zalando, or Marktplaats.
The Dutch consumer is most likely to choose a retailer based on the lowest price, best delivery time, and then the product range. Their biggest complaint is related to late delivery. The most common items to be bought online by Dutch consumers are sporting goods, trips/accommodation, event tickets, and household goods/appliances.
The unique, leading payment system in the Netherlands is called iDeal. It’s an online payment method that enables consumers to pay directly through their bank. Because of its security, credit cards are not particularly popular in the Netherlands with only 55% of citizens owning one. Amazon.nl will support iDeal payments, but if you would like to reach the Dutch market through other channels, bear this in mind.
By arming yourself with the correct information, you are one step closer to deciding whether you want to compete or cooperate with Amazon. Channable’s Amazon NL API can help make the process of getting your products online faster, so you can reap the benefits sooner. Sign up to the Channable newsletter to hear when the Channable Amazon NL API will be released, or set up other European Amazon connections today by opening a trial account with Channable. Stay tuned!