March 12th Update:
On March 4th, Amazon notified tens of thousands of vendors that it was cutting ties with them. Vendors who sell less than $10 million annually on Amazon were informed that Amazon Retail would no longer place orders to them. Amazon has yet to confirm the factors behind its decisions and whether more brands will be removed from Vendor Central. Information is currently very limited, but we are working directly with our Amazon account manager to get the latest details.
The decision is yet another indication of Amazon shifting towards the fabled One Vendor system first reported by Recode, which would merge Vendor Central and Seller Central into a single system.
According to Hilary Milnes of Digiday, this move is the third sign in the past month of a significant shift at Amazon. Last week, Amazon notified sellers who offer Fulfilled by Merchant (FBM) shipping that their Vendor Central accounts would be terminated and directed them to create an account on Seller Central. Amazon also informed larger vendors (whose sales on Amazon exceeds $10 million annually) that their 3P account in Seller Central would be removed, restricting them to Vendor Central and forcing them into an exclusive wholesale relationship with Amazon Retail.
The lack of forewarning has left impacted brands racing to create the necessary infrastructure for a new sales model before the loss of their Vendor Central or Seller Central account costs them thousands in lost revenue.
If you are a current Kaspien partner and were affected by this event, please contact your Kaspien account manager. We’ll work with you to create a customized solution for any negative effects caused by this change.
For brands who want or need to use this change to alter their Amazon strategy, Kaspien’s Amazon agency division provides an effective and immediate solution. In this agency model, our partners still benefit from Kaspien’s marketplace expertise and innovative technology while maximizing control over their brand on Amazon.
We’ll manage your Amazon channel from within your brand’s Seller Central or Vendor Central account. As an end-to-end Amazon management agency, we provide all the infrastructure and support you need to set up an account and resume selling, including
If interested in representing yourself on Amazon, contact Kaspien today.