SellerRunning is a tool used to automate Amazon to Amazon Arbitrage, ie the one way that Amazon allows dropshipping. This tool is exciting because traditional dropshipping has long been forbidden by Amazon. SellerRunning, on the other hand, has been fully vetted by Amazon and allows sellers to leverage the same mechanics of drop droipshipping (selling items only after a customer has ordered them) without risking a full blown account suspension.
Compliance is the most important aspect of any make money online method. Afterall, does it really matter if a method makes money initially if you end up losing everything you worked for in the end? It's just not worth it. If Amazon catches you dropshipping, they will ban your account forever AND might hold your future payouts.
So, I want to start out by explaining why traditional dropshipping isn't compliant and why Seller Running is.
Why Amazon Doesn't Like Dropshippers
Dropshipping is an attractive method to new entrepreneurs for a number of reasons. The biggest attraction though is that it requires little to no capital to start since you are only shipping items AFTER a customer has made a purchase.
Here's what that flow looks like.
How Traditional Dropshipping Works
The Dropshipper Finds Arbitrage Opportunity
The dropshipper will find (source) products that are priced low enough that they can list on a marketplace and sell at a high enough mark up that they can earn a profit after fees. This platform could be one they own like a Shopify site or one they borrow like Amazon or eBay.
The Dropshipper Lists the Product and Waits for a Sale
Whether it's a marketplace or their own website, the dropshipper will post the item for sale and wait for someone to make a purchase.
Customer Purchases and Dropshipper Places an Order
Once a customer makes a purchase of an item, the dropshipper will make a corresponding purchase from the 3rd party supplier (which could be a typical website like WalMart.com or a supplier like Alibaba) and change the ship to address to match the customer's information. The beauty here is that there is little to no risk for the dropshipper because they already have the funds from the customer (or they trust they are in transit and can put buy costs on a credit card).
Dropshipper Keeps the Profit (and Usually Reinvests and Repeats)
If everything goes well, the dropshipper will pocket the profit (the difference between their buy price and the sales price minus any fees for shipping etc. and then repeat the process and attempt to scale.
So what's the problem with this method? It's two fold.
Dropshipping Problem #1 High order cancellations - You don't have full control of your inventory which will inevitably lead to high numbers of order cancellations.
If the 3rd party website or supplier you're buying your products from doesn't have the item in stock and you've sold it, you have to cancel the order or buy it elsewhere.
Since most dropshippers don't have the extra capital to lose money on their sales, they typically just cancel the order. A high cancellation rate is a dead giveaway that someone is drop shipping and Amazon cracks down on this hard and fast.
Dropshipping Problem #2 No way to inspect item before shipping - Since you're ordering the item and shipping to the buyer without seeing it, you can't catch inauthentic items, damaged goods, mismatches and other issues that can lead to Amazon suspensions.
Seller Running addressed these problem with a simple fix.
#1 They added their own 3rd party prep center called “SellerRunning House” to the flow which ensures items are inspected before shipment. The prep company inspects each order before shipping it to the customer so there is a dramatically decreased risk of complaints.
SellerRunning ensures compliance with Amazon's dropshipping policies through its use of a third-party prep center, called
#2 They use Amazon as the product source and manage listings to remove out of stock items. It is physically impossible to list an item using Seller Running that is not in stock. This fixes the issues of cancellations. Also, since we're only sourcing from Amazon and selling on other Amazon marketplaces (typically in other countries where the prices are different) the items are much more likely to be as advertised.
Seller Running Overview
I'm going to explain it here, but you can (and should) check out their video that describes it well in their own words at the site's homepage.
SellerRunning helps Amazon sellers automate and streamline the sale of products across 16 different Amazon marketplaces. It facilitates the listing and fulfillment of products sourced from Amazon.com and also providing alternative prices from Walmart.com, SellerRunning allows users to operate globally without maintaining physical stock.
#1 Product Sourcing: SellerRunning’s Amazon chrome extension allows you to search through thousands of listings on Amazon.com based on your store filters.
#2 Listing Products: Create a listing on any of the supported 16 international Amazon marketplaces and purchase the item once an order has been placed by a buyer.
#3 Fulfilling Orders: Once a sale is made, simply click "Order now" from SellerRunning to purchase the product which will be shipped directly to SellerRunning House to be prepped per Amazon’s requirements and sent quickly to the customer.
BONUS: SellerRunning provides a price comparison between Walmart and Amazon when you click the "Order now" button. If the Walmart price is lower, you can manually place the order there; however, note that while automation is available for Amazon, ordering from Walmart requires manual completion.
If the product is sourced from Amazon, SellerRunning’s automated system manages the purchase process; however, if the product is from Walmart, you’ll need to manually complete the purchase. Regardless of the source, once the product is sent to the SellerRunning House prep center, the rest of the process is handled by SellerRunning House.
#4 Shipping products: The supplier ships the product to SellerRunning House, SellerRunning's Amazon-compliant warehouse, where it is repackaged to remove third-party branding in line with Amazon's policies. SellerRunning House then readies the package for shipment, handling labeling and necessary customs or international protocols so sellers don’t have to.
#5 Manage Feedback: Automated emails can be sent to your customers, ensuring timely delivery of your products. You can efficiently manage both positive and negative customer feedback.
SellerRunning is the ultimate low cost way to launch an Amazon business or expand into international markets. Instead of loading up on inventory, you can purchase products on a per-order basis, which makes SellerRunning a powerful entry into Amazon selling.
If you want to learn more, join our weekly coaching classes. For any questions, feel free to contact us at [email protected].
Seller Running Pricing
Lite ($59 per month): This plan is suitable for beginners or sellers with a small product portfolio. It allows you to manage up to 5,000 ASINs and includes all of SellerRunning's core features, such as inventory management, order tracking, product upload, and fulfillment automation.
Standard ($84 per month): This plan is ideal for growing businesses or sellers with a medium-sized product portfolio. It allows you to manage up to 20,000 ASINs and includes all the features of the Lite plan, plus:
- Multi-warehouse management
- Advanced reporting and analytics
- Email support
Business ($130 per month): This plan is designed for established businesses or sellers with a large product portfolio. It allows you to manage up to 50,000 ASINs and includes all the features of the Standard plan, plus:
- Custom product variations
- Automated repricing
- Priority support
Professional ($214 per month): This plan is suitable for high-volume sellers or businesses with complex needs. It allows you to manage up to 100,000 ASINs and includes all the features of the Business plan, plus:
- API access
- Custom integrations
- Account manager
Enterprise ($429 per month): This plan is designed for large enterprises or sellers with very high-volume needs. It allows you to manage up to 150,000 ASINs and includes all the features of the Professional plan, plus:
- Dedicated account manager
- Custom onboarding and training
High Level 1 ($719 per month): This plan is designed for very large enterprises or sellers with extremely high-volume needs. It allows you to manage more than 150,000 ASINs and includes all the features of the Enterprise plan, plus:
- Scalable infrastructure
- Custom development
Please note that the pricing information might change, so it's always best to visit the SellerRunning website for the latest pricing details. As you can see, you can also contact the team at SellerRunning manually and get a custom quote depending on your needs.
Pros and Cons
Looking at this service, There are many things I love about it and a few things I don't love quite so much.
Pros
- Amazon Compliant: There is not another program that is like Seller Running that is actually an Amazon partner approved program.
- Zero inventory cost to start: Items are only shipped once they're ordered.
- Intuitive Product Searches: This service saves you time and money by directing you to the best products on Amazon.
- Automated Pricer and Repricer: manual repricing is a huge pain in the neck, no matter what niche of arbitrage you are in.
- Remote Inventory Manager: This gives you an incredible degree of control over the entire fulfillment process unavailable in many other services.
Cons
- This service is mostly for cross-Border Arbitrage: It won't be applicable to many disciplines of online arbitrage.
- The pricing at higher levels can be pretty steep: I'd recommend that you first try one of the cheaper beginner tiers before you
- Still requires an understanding of arbitrage and Amazon seller: Although the software is easy to use, the mechanics of finding the right items is not as easy as clicking a button or two. It takes some understanding of general online arbitrage best practices.
Who Should Use SellerRunning?
SellerRunning is ideal for all Amazon sellers, including newcomers. Whether you're a small or medium-sized business or an e-commerce entrepreneur, it's a vital tool for those looking to expand their online sales into new Amazon marketplaces without substantial upfront inventory costs. If you’re new to "Amazon FBM" and lack experience, SellerRunning is the reliable tool you can depend on to build your business from the ground up.
Seller Running Review
SellerRunning is a software tool designed to help Amazon sellers, particularly those interested in cross-border arbitrage. This service runs on a tier based subscription and each tier unlocks additional features like multi-warehouse management, API access, or a dedicated account manager. "Dropshipping"x on Amazon has never been easier with thisn service