Method Marks' online sales have been declining dramatically despite increasing advertising expenditures. They believe partnering with Amazon will allow them to reach more shoppers and solve this issue. The document discusses Method Marks' history and plans for expansion. It also outlines Amazon's history as an online retailer, their policies for third-party sellers, and the process for becoming an Amazon seller. A SWOT analysis is presented, concluding that selling on Amazon will solve the problem of plummeting online sales by exposing the company to more customers.
2. Introduction
• Recently, Method Marks’ online sales have been
dropping dramatically. After increasing advertising
expenditures, which did not prove effective, we have
been searching for a way to fix this issue. We think that
a partnership with Amazon will allow us to reach many
more shoppers and among other reasons will end up
solving our problem.
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3. Table of Contents
• History of Method Marks
• History of Amazon
• Amazon’s 3rd Party Distribution Policies
• Process of Becoming an Amazon Seller
• SWOT Analysis
• Conclusion
• Sources
4. History of Method Marks
• Founded 2019
• Started out small selling only local and store
brand equipment/apparel
• Strived to make snow sports affordable for all, from the
beginning.
• We have always prided ourselves on allowing everyone to enjoy
the sports we love, no matter how expensive they have become.
• Since our birth we have expanded to selling products from
over 20 of the worlds largest ski and snowboarding companies
• Plan to expand in the near future
5. History of Amazon
• Founded in 1994 by Jeff Bezos
• At first they exclusively sold books
• In 1999 they had started allowing 3rd party distributor
• By 2000 they were selling a wider selection of products, more
like what they are today
• 2006 they launched Amazon Web Services, offering cloud
services and online storage
• These web services make up most of their revenue
• Today, based on revenue, Amazon is the largest web-based
company in the world with hundreds of millions of users
6. Amazons 3rd Party Distribution Policies
• Amazon wants as many people to sell products on their
platform as possible.
• They make it very easy to start listing items for sale
• Two routes for payment:
• Professional: monthly payments
• Individual: payment per item sold
• Offer shipping services or allow you to handle shipping
• All sellers provided with tools like Seller Central to manage
their inventory and listings
• Offer payment for sales by direct deposit
7. Process of Becoming an Amazon Seller
• Very straightforward process
• Can be done completely online
• Must have following information: telephone number, bank
account number/routing number, a credit card for payments,
tax information, and a government issued ID
• Choose payment plan: Professional or Individual
• Register for your plan of choice using the above information
• Immediately gain access to the ability to list items and use
resources like Seller Central.
• Can all be done very quickly
8. SWOT Analysis
Strengths:
• Exposure to new market of people
• Increase online sales drastically
• Stir up new local/in-store traffic
• Bring Method Marks to the next
level as a company
Opportunities:
• Hundreds of millions of potential
buyers
• 58% of Amazons sales are from 3rd
party distributors
• Will allow our business to expand
Weaknesses:
• Competition
• May have to decrease prices
• Selling on Amazon costs money
Threats:
• Large suppliers not allowing their
products on Amazon
• Could restrict our selection on
Amazon
9. Conclusion
• Through all of the research that has been done it has become
apparent that using Amazon to sell our products will solve our
problem of plummeting online sales. We will be exposed to
more customers than ever before and will be able to bring
Method Marks Board Shop to the next level.
10. Sources
“About Amazon.” Amazon, Amazon,
www.aboutamazon.com/?utm_source=gateway&utm_medium=footer.
Allen, Peter, and Geoffrey Wootten. “Sell on Amazon.” Amazon, Prentice Hall,
2000, services.amazon.com/selling/getting-started.html.
“Amazon-Logo.” VTeamLabs, VTeamLabs, vteamlabs.com/partners-
clients/amazon-logo/.
“Beginner's Guide to Selling on Amazon.” Amazon, Amazon,
services.amazon.com/beginners-
guide.html?hvptwo=&hvnetw=g&hvadid=293567583088&hvp
one=&ref=pd_sl_1uekdrgcs8_e&hvpos=1t1&hvdev=c&ld
=SEUSSOAGOOG-sitelink-
guide&hvexid=&hvqmt=b&tag=googhydr-
20&hvtargid=kwd-316196147645&hvrand=8499515043989329611.
11. Sources cont.
Bond, Conor. “6 Great Alternatives to Amazon for Ecommerce
Businesses.” WordStream, 27 Aug. 2019,
www.wordstream.com/blog/ws/2019/04/16/amazon-
alternatives.
McFadden, Christopher. “A Very Brief History of Amazon: the
Everything Store.” Interesting Engineering, Interesting
Engineering, 2 Nov. 2019, interestingengineering.com/a-very-
brief-history-of-amazon-the-everything-store.