Amazon Advantage Program | Complete Guide | Simply explained

Amazon Advantage Program

Program Overview

The Amazon Advantage Program is designed for vendors who meet specific criteria to do business with Amazon. Vendors must be legally established in the country of sale and possess the necessary distribution rights for their products.

Program Requirements and Benefits

Program Participation: Vendors can participate by meeting business criteria and maintaining compliance with program terms. The program provides access to Amazon’s marketplace infrastructure while maintaining existing terms, features, and benefits.

Invoicing: Depending on VAT registration status, vendors may need to submit invoices with appropriate tax details, although some zero-rated products are automatically managed by the system.

Annual Fee Structure

Advantage Annual Fee: The program requires an annual membership fee of EUR 49.99, which is necessary for continued participation.

Fee Collection Process: The annual fee is collected every year in May and is automatically deducted from that month’s sales payment, which is typically issued at the end of June.

Payment Handling: If the monthly payment is less than EUR 49.99, payments are held until sales accumulate enough to cover the fee. After deducting the annual fee, the remaining balance is paid to the vendor.

Product Management

Advantage Item Status Update: The program allows vendors to manage the availability of their products listed in Vendor Central through a comprehensive status update system.

Status Categories:

  • Active: Set when orders can be fulfilled and products are available for purchase
  • Suspended: Used for temporary unavailability when products cannot be fulfilled
  • Closing: Select to permanently remove discontinued items from the catalog. To reinstate closed items, vendors must add the item again

Bulk Update Process: Vendors can efficiently manage multiple products using Excel files:

  • Enter product IDs in column A
  • Enter new status in column B using lowercase format (active, suspended, or closing)
  • Submit updates through Vendor Central’s bulk upload system

Support: Vendors can manage catalog issues through Vendor Central’s “Contact us” feature by selecting appropriate categories such as “Manage my catalog” and “Item availability.”

Migration to Vendor Central

Advantage Migration to Vendor Central: Amazon has implemented a comprehensive migration process to transition all Advantage selling partners to the Vendor Central platform, which is becoming the standard tool for selling partners.

Migration Benefits:

  • Improved Resources: Vendor Central offers enhanced resources and support capabilities
  • Seamless Transition: All existing sales data, catalog information, settings, and reports are seamlessly transferred
  • Continuity: Purchase discounts and payment cadence remain unchanged during and after migration

User Experience:

  • No New Credentials: Existing Advantage credentials remain valid and functional
  • Automatic Redirects: Bookmarks and saved links redirect automatically to the new platform
  • Preserved Data: All existing data and processes are maintained without disruption

Global Considerations: Due to consignment inventory regulations, separate accounts are required for each country where vendors operate.

Account Closure Procedures

Account Closure Process: Members may terminate their Advantage Program membership as outlined in section 18 of the Membership Agreement. To initiate account closure, members must contact the program directly.

Inventory Management: Upon closure, members must specify their preference for handling any remaining inventory:

  • Return inventory to a designated U.S. street address
  • Authorize destruction of remaining inventory

Data Preservation: It is strongly advisable for members to:

  • Frequently access their Advantage account before closure
  • Back up important data using the Retail Analytics report options
  • Download all necessary sales records and payment information

Data Removal: Once inventory is depleted and the account is closed, all sales records will be permanently removed, including:

  • Data on copies sold
  • Payment amount records
  • Historical transaction information

Reactivation Policy: After an account has been closed, it cannot be reactivated. Future participation in the Advantage program requires:

  • Submitting a completely new application
  • Using a different organization (payee) name
  • Creating new login credentials distinct from any previously used accounts
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