With millions of customers and a global reach, selling on Amazon is a lucrative opportunity for entrepreneurs. As it offers immense potential for business growth, more and more sellers turn their gaze to the platform.
However, due to high competition, selling on Amazon requires a strategic approach and efficient store management. And for that, we can use dropshipping automation software. Automation can streamline our operations, save time, and maximize our chances of success.
And so in this article, you will learn how to automate your Amazon store to unlock its full selling potential. We will explore the benefits of an automated Amazon store and how it can help you thrive in the dynamic eCommerce world.
What Is Amazon Store Automation? Is It Worth It?
Amazon automation refers to using technology and software tools to streamline and optimize various aspects of the selling process on Amazon. These “robots” handle time-consuming tasks such as product importing, inventory management, pricing updates, order fulfillment, and customer service.
One of the main benefits of an automated Amazon store is increased efficiency. By handling repetitive manual tasks to robots, sellers can save time and focus on other important aspects of their business, such as product sourcing and marketing. Additionally, automation can help prevent errors and reduce human involvement, which leads to improved accuracy and fewer mistakes.
Another advantage of automating an Amazon store is scalability. Automation allows sellers to handle more orders and inventory without hiring additional workers. As sales grow, automation tools can help manage inventory levels. They can also automatically adjust prices based on custom rules, and streamline order processing, ensuring a smoother operation.
Cost savings are also a factor. Automation tools can help sellers reduce labor costs by minimizing the need for manual intervention. With an automated Amazon store, businesses can operate more efficiently, consequently reducing the need for additional staff.
Furthermore, an automated Amazon store is more competitive. Given the vast number of sellers on Amazon, automation tools can provide an edge by optimizing pricing strategies, monitoring market trends, and adjusting inventory levels. With robots analyzing data and making data-driven decisions in real-time, sellers can stay ahead of the competition in this fast-changing online business.
Is it worth it? Absolutely! Amazon automation helps sellers streamline their operations and gain a competitive advantage. It can save time, improve efficiency, and help sellers make data-driven decisions. By using the right tools and strategies, sellers can leverage automation effectively and enhance their overall Amazon selling experience.
Is It Legal To Automate Amazon Store?
Is it legal to automate Amazon dropshipping? The short answer is yes. Automating Amazon dropshipping is permitted as long as you comply with Amazon’s policies and guidelines. After all, dropshipping is a simple business model that allows us to sell products without holding them in stock.
The long answer is that Amazon expects sellers to provide excellent customer service and maintain control over inventory and order fulfillment. Using unreliable automated software or bots to manage dropshipping on Amazon can potentially violate their policies. It may compromise the level of control and quality that Amazon expects from its sellers. Therefore, engaging in such activities could result in account suspension or termination.
Using unreliable software might lead to the wrong product information, like prices or quantity levels. Hence, it can lead to canceled orders or returns, which Amazon dislikes.
So, it is essential to ensure that your automation practices are within the bounds of Amazon’s terms of service to avoid potential violations. Furthermore, it is crucial to use reliable automated dropshipping software.
Pros And Cons Of Automated Amazon Dropshipping
We discussed what dropshipping automation does. But surely, where there are benefits, there are also downsides. Let’s take a look at the pros and cons of running an automated Amazon store.
Benefits Of Automated Amazon Store
Amazon dropshipping automation saves us time and effort. We can streamline operations and reduce manual workload by delegating tasks such as inventory management, order processing, and shipping to robots. Automation allows us to focus on more important aspects of dropshipping, such as marketing and product sourcing. Here are the main perks of automated dropshipping:
- Saves time;
- Improves store efficiency;
- Enhances inventory management;
- Improves customer service.
Automated dropshipping allows us to process orders quicker and more accurately, minimizing errors and delays. Additionally, we can integrate other software tools, like analytics platforms, to provide valuable insights into sales performance and customer behavior.
Dropshipping software prevents running out of stock by monitoring product availability in real-time. Moreover, with automated pricing tools, we can dynamically adjust product prices based on market conditions.
By automating your Amazon store, we can fulfill more orders without hiring help. So, as your business grows, automation allows you to manage increased demand more effectively.
Furthermore, with robots handling orders, we can provide customers with timely updates on their purchases. The software can send order confirmations, tracking updates, and even personalized emails, enhancing the customer experience.
In conclusion, an automated Amazon store is more efficient, scales better, and has enhanced inventory management and customer service. But what about the downsides?
Drawbacks Of Amazon Dropshipping Automation
Just like any machine, automated systems are not flawless. You should be aware of the following drawbacks:
- Technical glitches or errors;
- Detachment from the business;
- Policy changes and algorithm updates;
- Loss of personal touch.
The most significant drawback is the risk of technical glitches or errors, such as inventory inaccuracies or order processing errors. Fortunately, with modern solutions, such issues occur exceptionally rarely.
Furthermore, automation can make the business more vulnerable to policy changes and algorithm updates. Amazon frequently updates its policies and algorithms. Relying heavily on automation may cause drops in sales or diminished visibility due to unnoticed policy changes.
Additionally, dropshipping automation can lead to detachment from the business. When tasks are automated, it is easy to detach from day-to-day operations, hindering your understanding of customer needs and market trends. Moreover, heavy automation can cause a loss of personal touch. Customers value personalized experiences and interactions, which can be lacking when robots handle most aspects of the business.
In conclusion, while an automated Amazon store has significant advantages over manual dropshipping, it is vital to consider the potential drawbacks. Finding the right balance between automation and human involvement is crucial for long-term success. We should use dropshipping automation but stay attached to our business.
How To Automate Your Amazon Dropshipping Store
Obviously, after considering the pros and cons, you decided to start an automated Amazon store. Of course, you did! But how to do it correctly? Follow these steps:
1. Register Your Amazon Seller Account
We should start by creating an Amazon seller account. Go to Amazon Seller Central and press “Sign up”.
You must provide basic information like Name, Email address, and Phone number. Ensure you can access both the Email and mobile phone because Amazon will send verification codes.
Once in, we have to pass the verification process before we can start selling. For that, you will require the following:
- Valid government-issued ID or passport
- Recent bank account or credit card statement
- Chargeable credit card
- Mobile phone
Amazon has to verify your identity, so the ID, bank info, and credit card details you provide should be the same. Also, Amazon might request a verification video meeting for you to show the required bank information and the ID physically.
After that, we must request approval for the product categories we want to sell. These categories include Home Entertainment, Furniture, Lawn & Garden, Major Appliances, Sports & Outdoors, and Flowers & Grocery.
2. Select Amazon Selling Plan
Before starting dropshipping on Amazon, we must decide what Selling plan to choose. We have two options: Individual and Professional plans.
The Individual plan is free, but Amazon charges $0.99 per item from each sale. The Professional plan costs $39.99 monthly, but there are no fees for selling. With simple math, you can see that the Individual plan is more profitable if we sell less than 40 items per month. If more, then the Professional plan is the obvious choice.
Amazon subscribes users to the Professional plan by default during the sign-in process. But we can easily downgrade from the settings after signing in.
Apart from the cost, the selling plans differ in the available features. Here you can see the comparison:
Besides the subscription costs, there are also category selling fees, varying from category to category. The average fee is 15% per category, with a minimum of $0.30.
3. Automated Amazon Dropshipping Tool
Now is the right time to connect your automated Amazon dropshipping tool. If you haven’t decided yet which tool to use, we recommend AutoDS. It is widely considered one of the leading dropshipping automation solutions in the market. AutoDS offers several benefits that make selling on Amazon easier and more efficient.
Firstly, it provides price and stock monitoring. With it, your product inventory is always up-to-date with actual prices and stock levels. This saves you from selling out-of-stock products or losing profits due to outdated prices.
Furthermore, AutoDS offers pricing automation, allowing you to automate the process of adjusting prices based on defined rules to remain competitive in the market.
Secondly, AutoDS offers product import automation. This feature lets you quickly and easily import products from different sources, saving time and effort.
Additionally, AutoDS includes image optimization features. It helps you optimize your product images to make them more attractive to potential buyers, increasing the chances of making sales.
Another advantage is automatic order processing. AutoDS can automatically process orders, saving you the hassle of manually fulfilling each order.
These are just a few of the many benefits that AutoDS provides for Amazon sellers. It simplifies and streamlines various tasks. Therefore, it saves time, increases efficiency, and boosts your sales on Amazon.
4. Automate Your Product Research
Product research is crucial for dropshipping success, especially when selling on Amazon, where competition is fierce.
You can research the market and customer behavior in several ways – every successful dropshipper has its method and strategy. But because we want to run an automated Amazon store, we should also automate product research.
There are many different dropshipping product research tools in the market, both free and paid. Some tools provide you with keywords consumers use when searching on the Internet. Others spy on competitor stores and provide insights into their bestsellers. Some tools are more like curated lists of winning products handpicked by eCommerce experts. But not all of them are suitable for Amazon.
Some of the best research tools for Amazon are Helium10, Jungle Scout, AutoDS Winning Products Hub, and AliExpress Dropshipping Center. Helium10 and Jungle Scout are among the most advanced research tools for Amazon. They offer various features like insights, keyword analyses, sales and ads analytics, and many more. But they are rather expensive.
AutoDS Winning Products Hub is not a separate tool but an optional add-on for AutoDS. It provides access to 100+ handpicked winning products, with 3-5 new items added daily. Most importantly, these products have gone through an in-depth analysis of how sellers run their campaigns, target audience, potential profit, and more detailed information.
AliExpress Dropshipping Center is a free product research software that comes together with every AliExpress account. It offers product research and wholesale sourcing, a discount program, and dedicated dropshipping support. AliExpress Dropshipping Center is a great tool and is completely free. Still, it is useful only if you source from AliExpress.
After finding winning product ideas, we must check if we can actually sell them on Amazon. You need to see if brand approval is required.
The best way to do that is to find a product you are interested in on Amazon, open its product page, and find the “Sell on Amazon” button under the product buy box.
There you can see if you can sell this product on Amazon or if it is required to get brand approval. In most cases, when dropshipping, acquiring brand approval is not worth the hassle, and it is best to look for other products. But if you really want to resell a specific item, you can try to get approval.
5. Select An Amazon Dropshipping Supplier
Selecting the right dropshipping supplier for your automated Amazon store is vital. It’s crucial for your success. The choice of suppliers impacts product quality, timely fulfillment, competitive pricing, inventory diversity, and customer service. Consequently, this choice impacts your reputation, customer satisfaction, and profits.
Firstly, the right suppliers offer quality products. Quality leads to satisfied customers, positive reviews, and repeat business. Moreover, reputable suppliers provide accurate product descriptions, specifications, and images. Your customers get what they expect, reducing returns and complaints.
Secondly, reliable suppliers ensure timely order fulfillment. They ship products promptly and provide tracking information. By building trust, you encourage customers to buy from you again.
Thirdly, efficient suppliers have competitive pricing. They offer reasonable wholesale prices, enabling you to set competitive retail prices on Amazon. Competitive prices attract customers and boost sales.
Furthermore, choosing suppliers who offer a wide range of products allows you to diversify your Amazon inventory. By diversifying your product offering, you keep your business versatile and adaptable to market trends.
Lastly, selecting suppliers who offer excellent customer service is vital. In case of issues, responsive suppliers assist you promptly, helping you provide excellent service to your customers.
A good approach is to secure a partnership with reliable wholesale suppliers for better terms, like lower prices or no minimum order quantity. For example, the AutoDS Marketplace feature grants access to private suppliers – vetted dropshipping suppliers with faster shipping and lower prices.
6. Import Winning Products Automatically
If someone says importing products is tedious and time-consuming, they are right. Importing product details, specifications, descriptions, and product titles, along with optimizing and uploading images, can be quite a laborious task. Moreover, if you have tens or hundreds of products, it can easily consume hours of manual work. However, there’s a solution: you can import winning products automatically!
Successful dropshippers don’t waste time on what could be done in minutes instead of hours. Instead, they spend their free time on marketing and product research.
Product importing with dropshipping automation tools is a breeze. Firstly, these handy tools streamline the process by automatically importing products from suppliers directly to your store.
Moreover, these tools automatically retrieve product details, including descriptions, images, and pricing, saving you time and effort. You can add a wide range of products to your inventory with just a few clicks.
Consequently, managing your online store becomes much more efficient and convenient. As a result, you can focus on other aspects of your business while dropshipping automation takes care of product updates.
Just look how easy it is to import products with dropshipping tools like AutoDS:
First, we enter the product id (copied from AliExpress in this case) and press “Edit Now”. You can publish it to your store immediately, but we want to check the details.
Then we can edit all the details like the description, variants, images, and specifications. Once ready, press Save & Import to publish your product to the store.
7. Automate Your Prices And Profit
Having automatic pricing and profit adjustments is extremely useful for Amazon sellers. Firstly, it saves time by eliminating the need for manual calculations and updates. The system automatically adjusts prices based on defined rules.
Additionally, it ensures competitiveness by automatically adjusting prices based on market fluctuations, like changes in demand and supply. Furthermore, automatic adjustments provide flexibility. We can set desired profit margins and pricing rules, allowing us to adapt to market changes promptly.
Lastly, these features enhance scalability. Manual price management becomes overwhelming as the number of products and sales volume increases. Automation streamlines the process, enabling sellers to handle large inventories efficiently.
With AutoDS, you will forget about manual pricing and profits updates. All you have to do is to set preferred settings according to your strategy, and the system will handle the rest. Otherwise, you can simply leave the default settings, which are already good enough for most sellers.
There, you have a Fee calculator that helps you stay profitable by calculating your store and payment fees. Several Profit settings enable us to set flexible rules to maximize our profit potential. And we can also enable the system to include shipping costs in the final price. What is great is that we can have different settings for different suppliers, which makes our automated Amazon store even more robust.
Even better, AutoDS allows us to enable automation rules based on sales performance. For example, we can set the system to raise prices if a product has over X sales in the last Y days (X and Y we set ourselves).
Or the opposite: the system can decrease prices if an item is sold less than X times in the last Y days.
With these features, our automated Amazon store is always competitive and ready for market changes.
8. Advertise Your Products (Amazon PPC)
Now that you are all set up and live on Amazon, it’s time to sell! We listed products and are ready to profit. But wait, there’s more. Time to promote, bring traffic, and sell big.
Advertising products on Amazon is a powerful way to increase visibility and boost sales. One of the most effective methods is using Amazon PPC (Pay-Per-Click) ads.
Amazon PPC allows us to create targeted ads that appear in search results and product detail pages. These ads help us reach potential customers actively searching for products like ours. With Amazon PPC, we pay when someone clicks on our ad.
We should conduct keyword research to identify relevant and high-converting keywords. Use tools like Google Trends or third-party software to find the best keywords for your ads. Then create compelling ad copy highlighting your product’s unique selling points.
Also, you should regularly monitor and optimize your Amazon PPC campaigns. Analyze the performance of your keywords and ads, and make adjustments accordingly. Use data-driven insights to refine your targeting, bid strategies, and ad copy.
Therefore, we can maximize our product visibility and drive sales on the platform with targeted ads, strategic keyword research, and continuous optimization.
9. Automated Amazon Dropshipping Order Fulfillment
Selling a product is only half of the job. We must also process the order and ship the item. Usually, it involves visiting your supplier’s website, selecting the product, and purchasing it using your customer’s details. Then the supplier sends it directly to the buyer. You then need to send your buyer the tracking number. This approach can be time-consuming and prone to errors.
Automated Amazon dropshipping order fulfillment simplifies managing and delivering customer orders. It streamlines the workflow, from receiving orders to shipping them out.
Additionally, automated dropshipping saves time, reduces errors, and boosts productivity. It eliminates manual tasks, allowing us to focus on scaling our business. With automation, you can handle larger volumes of orders without being overwhelmed.
For that, we can use the Fulfilled by AutoDS service. It is a comprehensive automation solution for Amazon dropshippers. The software integrates with your AutoDS account, providing a seamless experience. It automatically imports your orders, places them on your behalf, and tracks the shipment until it reaches your customer.
Moreover, the Fulfilled by AutoDS feature doesn’t use your sourcing accounts for ordering. Because everything is handled through AutoDS accounts, you don’t have to worry about locking your account or order cancelations on your buyer accounts. Speaking of cancelations – you no longer need to deal with them. Click the ‘Request to Cancel’ button, and the AutoDS team will handle it.
Additionally, AutoDS will manage your orders through their bank accounts with an unlimited credit amount. This way, you can sell just about anything. Load the balance so the system can fulfill your orders, and you’re good to go.
As you can see, with an automated Amazon store, you can rely on tools like AutoDS instead of handling everything manually. Automation streamlines your operations, saves time, and enhances overall business performance.
10. Automate Your Amazon Inventory
Inventory management is also vital for eCommerce. Effective inventory management ensures the right products are in stock at the right time. By carefully tracking our inventory, we can stay in popular items and take advantage of potential sales opportunities.
Additionally, inventory management allows sellers to analyze their sales patterns and identify their top-selling products. This valuable insight helps us make informed decisions about purchasing and restocking.
Moreover, efficient inventory management enables sellers to optimize their pricing strategies. By monitoring inventory levels and demand, we can adjust prices to maximize profits and compete effectively in the marketplace.
Furthermore, streamlined inventory management allows us to save time and resources. With automated Amazon store inventory, we can focus on other critical aspects of our business, such as marketing or customer service.
AutoDS provides inventory management tools for online sellers to manage their Amazon stores effectively. Firstly, it provides powerful filters for product categorization. With these filters, we can easily organize our inventory based on specific criteria, making locating and managing items effortless. As a result, these filters contribute to a well-organized inventory and improved management efficiency.
One notable feature is its bulk editing capability. We can update multiple items’ pricing, quantities, and other product information simultaneously. This efficient feature saves time and effort by eliminating the need for manual edits for each product.
Also, AutoDS supports multiple stores, including popular marketplaces like eBay, Etsy, and Shopify. This integration allows us to manage our inventory across different platforms from a centralized location.
Furthermore, AutoDS offers valuable insights through its selling history data. By analyzing past sales performance, we can identify top-selling products and make informed decisions about our inventory.
Effective inventory management contributes to long-term business success. With automated Amazon store inventory, we can make data-driven decisions, identify trends, and adapt our strategies accordingly.
11. Hire Virtual Assistants
Amazon sellers can greatly benefit from hiring virtual assistants. These professionals offer invaluable support and help streamline various online business aspects.
Here are a few reasons why we should consider hiring virtual assistants even when running an automated Amazon store:
Firstly, VAs provide efficient and cost-effective solutions. Outsourcing manual work can free our time for other things. VAs can handle product research and inventory management while we focus on core business activities.
Secondly, virtual assistants bring expertise and specialized skills to the table. They are well-versed in Amazon’s policies, algorithms, and best practices. Virtual assistants can optimize listings, enhance SEO, and improve our Amazon dropshipping performance.
Additionally, VAs offer flexibility and scalability. We can hire help part-time or full-time, depending on our needs. This flexibility allows us to adjust workload as our business expands or during busy seasons.
Moreover, virtual assistants provide valuable customer support. They can promptly handle customer inquiries, product returns, refunds and manage reviews.
Furthermore, VAs offer a fresh perspective and innovative ideas. They can conduct market research, monitor competitors, and identify trends. Virtual assistants can help us make informed decisions and adapt our strategies to stay ahead in a competitive marketplace.
We can benefit greatly by combining virtual assistants and dropshipping automation. By utilizing both, you enjoy the advantages of personalized assistance and automated processes. This combination empowers us to scale our businesses, save time, and deliver exceptional customer experiences.
In summary, employing virtual assistants and dropshipping store automation might be your winning formula for success on Amazon.
12. Amazon Payouts
That’s all great, but how do I get paid? Amazon sellers get paid via Amazon Pay.
Once a seller completes a transaction and the customer’s payment is processed, Amazon holds the funds for 14 days. This holding period ensures that potential issues, such as returns or customer complaints, can be resolved smoothly.
Once the holding period ends, we can request a payout. You can initiate a payout through your Seller Central account. We can transfer funds directly to our bank account or receive payment via other methods, such as Amazon gift cards.
It usually takes a few business days for the funds to transfer and appear in their designated account. However, the exact timing can vary depending on factors like the seller’s bank and the country they are operating in.
Ensure your bank account information is accurate and current in your Seller Central account. Thus, it will help avoid issues in receiving your payments.
13. Keep Track Of Your Amazon Business Metrics
Tracking your metrics is crucial for success in dropshipping, even when running an automated Amazon store. Monitoring your performance is essential for making informed decisions, adjusting and developing strategies and marketing campaigns.
For most sellers, the Amazon dashboard is more than enough. It serves as a centralized hub with an overview of your key metrics, such as sales, orders, and customer feedback. You can access detailed reports on product performance, inventory levels, and customer behavior.
This dashboard allows you to analyze sales trends, identify popular products, and adjust pricing accordingly. Its intuitive interface lets you easily navigate various sections and track your business’s health.
But as we run an automated Amazon store, we can also utilize the AutoDS dashboard. Transitioning from the Amazon dashboard, AutoDS provides additional features to optimize your business performance and enhance your selling experience.
AutoDS dashboard tracks essential real-time metrics, including sales, profits, and fees. It provides detailed insights into your best-selling products, the highest profit margins, and customer feedback. Furthermore, customizable reports allow you to analyze your business metrics across different time frames and identify trends.
The Amazon dashboard provides an overview of your business, while the AutoDS dashboard offers advanced features for automation and optimization. Utilizing both dashboards allows you to gain valuable insights, make informed decisions, and grow your Amazon dropshipping business effectively.
In conclusion, starting an automated Amazon store can be a great opportunity for aspiring entrepreneurs to enter eCommerce. Dropshipping automation offers numerous advantages, including the ability to focus on core tasks while repetitive processes are taken care of.
With the right approach and tools, you can unlock a world of potential and reap the benefits of automation. So, follow the steps to streamline your operations, save time, and scale your business effectively.
Starting an automated Amazon store is an exciting and potentially lucrative venture. Therefore, seize this great opportunity and embark on your journey to success!
As a final farewell, I recommend you check the following articles:
- 550+ Best Dropshipping Products in Popular Niches to Sell Online in 2023
- Top 12 Amazon Dropshipping Software To Streamline Your Business
- How to Start Reselling on Amazon: The Comprehensive Guide