If you are thinking of selling agricultural fertilizer products under your brand name, chances are you have heard about selling them on Amazon! If you want to start your business with Amazon, you will get a large client base and a list of serviceable pin codes.
Did you know Amazon provides a facility called Fulfillment by Amazon (FBA) to collaborate with sellers and make selling on the e-commerce portal simpler for all. Amazon provides storage, order handling/management, packaging, and shipping services. With the help of superior logistical support from the e-commerce giant, you can reach more customers and sell more agro-products.
Why choose Amazon FBA Business Model for Crop Nutrition Products?
Whether you decide to manufacture your products or opt for private label organic agricultural fertilizers, it makes sense to work with Amazon and seek their logistical services.
1. Rising Demand for Organic Agricultural Fertilizers
Did you know the global organic fertilizer market is poised to reach $15.9 billion by 2027? Researchers predict a CAGR of 11.5% from the year 2020. Even Indian consumers have started demanding organic fertilizers that do not cause any adverse effects on the soil components and produce. For the past couple of years, the Government of India has been actively promoting the use of organic fertilizers for safer farming methods.
With the advent of the internet in Indian villages, several farmer groups have started to explore the benefits of the internet and take their business online. For the same reason, the Indian population has started buying agricultural fertilizers online. With emerging health trends post COVID-19 pandemic, penetration of technology, and rising government promotion, the future for organic agricultural fertilizer is bright.
2. Opportunity to work with the Most E-commerce Platform in India
Although several e-commerce platforms for agricultural products exist, Amazon is proving a tough competitor for all. The e-commerce platform is the most visited online shopping marketplace in India. With secure payment options and a quick delivery schedule, people have moved away from local shops and other online marketplaces. They now trust Amazon for their purchases. By choosing to be on Amazon, you can reach several buyers and even sell your organic agricultural products globally.
With robust marketing strategies and multiple sample packs, you can increase impulse buying on Amazon. Thus, it will supplement your sales numbers and grow your business.
3. Grow your Business Quickly
If you want to grow your business without laboring for several years, the Fulfilled by Amazon business model provides you a unique opportunity to achieve your goals. If you decide to sell agricultural fertilizer products online in the traditional way, it will become expensive. You may have to make a large-scale investment towards developing a website, managing the inventory, marketing your business, and taking care of order management. When you are a startup or a small business, it can take a toll on you.
Alternatively, if you choose the FBA model, the Amazon professionals will handle picking, packing, and shipping the products on your behalf. Additionally, the company will soon provide Multi-Channel Fulfillment options. It will enable you to use the Amazon logistics network to fulfill orders from many other channels, including your website.
4. Inventory Management made Easy!
Instead of running down to the warehouse for packing and shipping agricultural spray adjuvant and organic Humic acid fertilizer, you can focus on expanding your portfolio and undertaking marketing efforts to reach more potential customers. Amazon provides FBA storage and fulfillment services to take over your responsibilities of managing inventory. The company will charge for the storage space and the order that the Amazon team fulfills on your behalf.
With the Pay as you Go model, you will be able to start selling crop nutrition products on Amazon with ease and reduced investment towards warehouse and inventory management services. When you start selling on Amazon, you can streamline your inventory and learn more about which products are more popular among buyers. Your Inventory Performance Dashboard will display the Inventory Performance Index (IPI) and provide you guidelines for when to remove a product or markdown its prices to attract buyers. You will know when to restock your inventory for optimum storage rates. You will be able to track long-term storage fees and thus, learn how to improve sell-through rates.
5. Low Overhead Costs and Reduced Risk
Through 2019 and 2020, the e-commerce giant invested more than $30 million in developing logistical tools and services to help small businesses grow more successfully on Amazon. When you choose the FBA business models, Amazon reduces your business overheads phenomenally.
The company also provides Amazon Prime Free Two-Day Delivery, Free Shipping, and many other benefits that make your organic agro-based fertilizers a lucrative shopping choice for customers. Customers will also get to enjoy FBA customer support. It means the company will handle customer queries free of cost except for the Returns Processing Fee, and you will be able to focus on your core business functions.
In conclusion, you do not need a separate team for inventory management and order fulfillment. You do not need to hire an e-commerce store development team to take care of your website. Amazon provides end-to-end order fulfillment solutions in terms of storage, shipping, returns, and customer care, thus saving you the financial burden of hiring a staff to manage the day-to-day running of your business.
Start Selling Agro-Fertilizers on Amazon Today!
Fulfilled by Amazon (FBA) allows you to scale your business according to the changing customer demands. It helps you reach more customers globally. As an added advantage, the company provides up to $100 in free shipping to Amazon fulfillment centers, sponsored ads, free monthly storage removals, and many other benefits for first-time users.
So, if you are ready to start your agricultural fertilizer business in the New Year, hire an ISO-certified contract manufacturer such as Foodicine and discuss your private label needs. Once you are satisfied with the product portfolio, enroll for the FBA business model and see your business soar high.
Author
Balram Patel
Balram Patel started Foodicine along with his brother. His expertise lies in guiding clients and helping them transform ideas into successful business solutions. With his experience of agro-nutrition products and health supplements, he will leave no stone unturned in providing the best contract manufacturing services to you.