Amazon Professional vs Individual Seller Plans: A Comprehensive Guide

When selling on Amazon, one of the first decisions you'll need to make is choosing between the Professional and Individual seller plans. Each plan comes with its own set of features, costs, and benefits, but what’s best for your business needs? In this comprehensive guide, we're going to break down the differences between these two plans to help you make an informed decision. Let’s dive in!

What are Amazon Seller Plans?

Amazon offers two distinct seller plans: the Professional plan and the Individual plan. The main difference between the two is the monthly subscription fee and the per-item selling fee.

Amazon Professional Seller Plan

The Professional plan is designed for sellers who expect to sell more than 40 items per month. It comes with a monthly subscription fee of £25, but sellers don't pay a per-item fee.

Amazon Individual Seller Plan

The Individual plan is best suited for sellers who expect to sell fewer than 40 items per month. There is no monthly subscription fee, but sellers pay a £0.75 per-item fee for each item sold.

Cost and Pricing Structure

One of the main factors to consider when choosing between the Professional and Individual plans is the cost and pricing structure.

With the Professional plan, you'll pay a flat monthly fee of £25, regardless of how many items you sell, and this can be more cost-effective if you sell a high volume of products.

On the other hand, with the Individual plan, you'll pay a £0.75 fee for each item sold; this can be a better option if you're just starting out or selling a low volume of products.

It's important to crunch the numbers and determine which plan makes the most financial sense for your business. If you're selling more than 40 items per month, the Professional plan will likely be more cost-effective in the long run.

Features and Benefits of Each

Another important consideration is the features and benefits that come with each plan. For example, the Professional plan offers several advanced selling tools and benefits, including the ability to create and manage inventory reports, access to order reports and sales data, eligibility for top placement on product detail pages, the ability to offer special promotions and gift wrap options, and access to the Amazon Marketplace Web Service (Amazon MWS) API.

The Individual plan, while more basic, still offers essential selling tools. These include the ability to add new products and manage inventory, access to Fulfilment by Amazon (FBA) services, and secure payment processing through Amazon.

Consider which features are most important for your business and which plan aligns best with your needs.

Sales Volume and Limitations

Sales volume and limitations are also important factors to consider when choosing between the Professional and Individual plans:

With the Professional plan, there are no selling limits, so you can sell an unlimited number of products; this makes it a great option for those with businesses boasting a high sales volume.

The Individual plan, on the other hand, has a selling limit of 40 items per month, and if you exceed this limit, Amazon may require you to upgrade to the Professional plan.

It’s simple: think about your current sales volume and your projected growth. If you anticipate selling more than 40 items per month, or if you want the flexibility to grow your sales without limitations, the Professional plan may be the better choice.

Want to know more about selling on Amazon? Take a look at our strategy guide for Amazon sellers over on our blog.

Support and Customer Service

Both the Professional and Individual plans offer support and customer service, but the Professional plan comes with some additional benefits.

As a Professional seller, you'll have access to personalised support from Amazon's seller support team. You'll also be eligible for the Guaranteed Delivery program, which can help boost customer satisfaction and sales.

Individual sellers still have access to general seller support, but they may not receive the same level of personalised attention as Professional sellers.

Who Should Choose Which Plan?

So, which Amazon seller plan is right for you? Here are some general guidelines:

Cost and Sales Volume

If you plan to sell more than 40 items per month, the Professional plan is likely the better choice; this is because the monthly subscription fee can be more cost-effective than paying the per-item fee for each sale.

Beginner vs. Expert

If you're just starting out or selling a low volume of products, the Individual plan may be a better fit. You can avoid the monthly subscription fee and only pay when you make a sale.

Tools and Features

If you want access to advanced selling tools and features, such as inventory reports and top placement on product pages, the Professional plan is the way to go. Similarly if you're looking for more personalised support and access to programs like Guaranteed Delivery, the Professional plan may again be a better fit for your business, especially when it comes to scaling.

The Bottom Line

Ultimately, the choice between the Professional and Individual seller plans depends on your unique business needs and goals.

By carefully considering factors like cost, features, sales volume, and support, you can choose the plan that sets you up for success on Amazon.

And remember, if you need help navigating the complexities of Amazon advertising, consider working with an agency for Amazon UK - we can help you work through the complex fine print and recommend you a seller plan that works in your interest, not just Amazon’s.