Is the Amazon Accelerator Program Worth Your Time?

The Amazon Accelerator Program can help grow your brand. But is it worth it?

It’s estimated that Amazon sells 600 million products on all their global marketplaces combined. Additionally, the eCommerce giant is always seeking innovative brands willing to expand their catalog even further.

Maybe this is your case. You already have a leg up over your competitors, but Amazon is willing to give you a bigger advantage with the Accelerator Program.

As the name suggests, Amazon Accelerator provides sellers with valuable information and benefits, including investments, niche market access, and networking opportunities. 

This business boost can catapult a new business or can leverage existing sellers even more. And on Amazon’s side, it helps them partner with more companies to optimize their private label products.

 

What is an Accelerator Program?

Amazon Accelerator offers third-party sellers marketplace incentives―including tools and support―to help them scale and grow their businesses. In exchange, you become an Amazon Brand supplier, meaning Amazon takes control over certain aspects of your business.

In other words, Amazon is willing to give 3P Sellers a boost to sell exclusively on the e-commerce giant’s marketplace.

Amazon launched its program in 2018, initially featuring 150 unique brands. The Accelerator Program is continually expanding, and Amazon remains vigilant in its search for new brands and innovative products. 

 

Who Qualifies for the Amazon Business Accelerator Program?

While the Amazon brand accelerator offers support for new brands, Amazon is also interested in partnering with sellers who have sufficient experience to establish a recognizable name. 

Ideally, you should have the means to produce high-quality products, but there’s still something lacking in your strategy, such as marketing, tools, or even brand equity.

If you’re still unsure if you would benefit from the Accelerator Program, Amazon does require these bare minimum qualifications:

• Generate $1 million in sales annually
• Willing to commit 5% revenue for paid advertising
• Are an FBA seller (though FBM sellers can qualify under certain conditions)
• Have healthy inventory levels

 

Amazon Accelerator Program vs Similar Programs

Amazon also offers similar programs, which can cause confusion among sellers. What are the differences between these programs? And which one is better for you?

 

Amazon Accelerator Program

The Amazon business accelerator program offers numerous benefits for sellers who are willing to be exclusive to Amazon. 

While this program can give you a boost, such as a mention in the Our Brands section, Amazon has strict requirements for who can join. There are also fees to consider, and Amazon will take over your operation and supply chain.

 

Amazon Launchpad

Amazon Launchpad provides support to emerging sellers and startups by offering marketing tools, resources, and assistance. Unlike the Accelerator Program, Launchpad has its own marketplace outside Amazon.

With Accelerator, Amazon aims to partner with established brands that still require support and guidance. Launchpad is distinct because it targets brands that have been in business for less than four years and have generated sales of less than $5 million over the past year.

Brands still need at least five reviews that average 3.5 stars and must be enrolled in FBA with Prime eligibility. Although there are fees associated with this program, you retain complete control of your brand.

 

Amazon Born to Run

Born to Run is a program designed to sell high-demand products. This is an invite-only program centered around a new product launch or any marketing campaign surrounding your items. 

To participate, you start by ordering 10 weeks’ worth of products―enough to meet sales spikes and prevent any out-of-stock risks. 

After the 10 weeks, Amazon will decide what to do with any unsold inventory. While the program has no fees, sellers may have to refund the cost of any unsold items.

 

Amazon IP Accelerator

If you have any intellectual property or copyright ownership in your brand and inventory, you can join the Amazon IP Accelerator to speed up your Brand Registry acceptance. 

Brand Registry is a free program that helps sellers manage their intellectual property and product listings, keeping businesses safe from counterfeiters and fraudsters.

Keep in mind that this won’t expedite the process of getting your IP, such as a trademark. That said, IP Accelerator includes a network of numerous law firms that offer trademark registration services.

 

Is the Amazon Accelerator Program Worth It?

The Amazon Accelerator program has its pros and cons. Read through them to see if this program is worth it.

 

Pros

• Become an Amazon supplier. Even though Amazon will use its branding on your products, the eCommerce giant is a trustworthy customer and can help you move your inventory.

• Better exposure. Amazon will feature your company in their ‘Our Brands’ section and provide your private label items with additional placements throughout the marketplace. Even in SERPs, the algorithms will prioritize Amazon-exclusive sellers over others in search results.

• Marketing. Participants can access marketing tools, receive free sponsored ad credits, and participate in Amazon Vine.

• Support. Sellers can receive additional support from Amazon staff members, such as assistance with product listings. And if you’re based in Seattle, you can use Amazon’s co-working space.

 

Cons

The Amazon Accelerator Program comes with limitations. As we mentioned, you must be exclusive to Amazon. This is a massive downside to brands that want to diversify their sales channels or expand their business in other ways.

Additionally, the program also gives Amazon the option to acquire your business, whether you want to or not. Amazon will also control your product pricing, supply chain, and marketing strategy. 

The Accelerator Program also comes with a 7% program fee. If you sell any items in the fashion category, you’ll be charged an additional 7% fee.

 

How to Join Amazon Accelerator

After considering the pros and cons and reading the eligibility requirements, did you decide that the Accelerator Program is the best fit for your needs? If so, you can apply to the Amazon Accelerator Program on the Our Brands page.

The application consists of two parts: 

• The first part asks for basic information, including the company name and contact details. 
• The second part is where you’ll provide more detailed explanations about your business, including your category, target consumer market, and current supply chain.

 

When you’re done completing the survey, Amazon will review it and will contact you if they’re interested. Turnaround times may vary, but it typically takes a couple of weeks to receive a response.

 

How to Get the Most Out of Amazon Accelerator

While the Accelerator Program can help you gain more sales, that doesn’t mean sellers can’t do anything to maximize their profits. 

Here are a few tips to get the most benefits from this program:

 

Optimize Your Product Pages

Even though Amazon favors its brands in the SERPs, that doesn’t mean you should ignore SEO. 

Optimize your titles and descriptions for high-ranking keywords, write quality product descriptions, and use high-res images and media in your listings. All of this improves search engine rankings, which can maximize conversions.

 

Promote Off Amazon

Even though you can’t sell your products on other marketplaces on the Accelerator Program, that doesn’t mean you can’t promote on different platforms.

For example, use social media to develop a large following. Advertise and promote your products, and include a link in your profile or bio so customers know where to buy your products.

Don’t forget to track analytics when promoting on social media. This way, you’ll better understand your customers’ preferences and shopping behaviors, and can use this data to improve future marketing campaigns.

 

Take Advantage of Amazon Advertising

As stated, sellers in the Accelerator Program may receive perks, such as free ad credits. Take advantage of these Amazon advertising perks. 

Advertising on Amazon increases your visibility, which leads to more sales. Additionally, sponsored placements receive more clicks and traffic, which can all benefit SEO results. Even if you use up your free ad credits, Amazon ads are a beneficial investment.

 

Amazon Accelerator Isn’t Your Only Option

While Amazon’s Accelerator Program offers numerous benefits, it also has some significant drawbacks. Amazon will take control of your supply chain and operations, and you’ll have to pay exorbitant fees.

Fortunately, there’s another option.Our very own Amazon Brand Accelerator matches you with a dedicated team that will work with your sales and business goals. This service includes a comprehensive selling strategy, marketing and advertising, product listing optimization, and additional support. 

And we’ll never take control of your brand; rather, we offer strategic guidance to ensure you succeed on Amazon. Take a look!

 

Author

Stephanie Jensen has been writing ecommerce content for seven years, and her copy has helped numerous stores rank on Amazon. Follow her on LinkedIn for more insight into freelance writing and creating high-quality content.

The post Is the Amazon Accelerator Program Worth Your Time? appeared first on AMZ Advisers.