Amazon Vendor (1P)

Amazon gives you the choice to choose between two of its business models- A first-party relationship (1p) or a third party relationship (3p). A 1p relationship means Amazon acts as the retailer, and you operate as a wholesale supplier to Amazon. You need to be invited by Amazon directly in order to sell to Amazon in 1p capacity. Amazon then sends you a purchase order (PO) that you need to fulfill and ship the product back to Amazon. The ownership of the item then lies with Amazon and it’s up to it how the product will be priced in the marketplace.

Benefits of 1P

• Receive bulk purchase orders from Amazon according to the established norms.
• Your product detail pages are optimized for the ASINs by the Amazon team.
• You establish your brand as trustworthy as all your products are sold by Amazon.
• You get a huge network of advertising opportunities.
• You don’t have to pay individual marketplace selling fees for referrals and fulfillments. You only have to pay a flat fee for participation