The European site has always been an important stronghold for Amazon Chinese sellers. After Brexit, the German site is the largest consumer site in Europe. Therefore, sellers on European sites are either from the UK or Germany, and there are really not many sellers on other sites. But the German station is not that easy to do. Especially for Chinese sellers who are used to playing "wild ball", the German market is a tough nut to crack.
Due to low reporting, a large number of German seller accounts were blocked
On the 20th of this month, a large number of seller accounts on Amazon Germany were blocked without any prior notice. Moreover, these blocked sellers have already applied for German VAT numbers. The reason for the account being blocked this time was that the seller under-declared taxes. The seller had nothing to say about this. After all, he was in the wrong and there was no case of "accidental killing". The tax rate in Germany is as high as 19%. For every 100 euros of products sold, sellers have to pay 19 euros in taxes. After deducting the service fees paid to the service provider, the shipping costs of the products, etc., if the taxes are strictly declared, most sellers will probably have little profit left. Therefore, many sellers choose to under-declare. However, due to the rigorous style of the Germans, they will encounter tax audits from time to time. Sellers on the German site are complaining bitterly, and many sellers have expressed their intention to give up the German site.
Amazon Germany has a high return rate and a strong sense of national pride
As we all know, the Germanic people are famous for their rigor. Therefore, whether it is the quality requirements of the products, the services provided by the sellers, or even the punctuality of logistics delivery, they will all receive "special attention" from buyers on the German site. 1. Product quality is not good enough, basically no chance to enter the German market. 2. Inadequate service, waiting for A-to-Z. 3. Logistics timeout, Germans will go crazy. 4. Poor German, waiting to be criticized by the German people. To sum up the above situation, a seller who can serve German consumers well needs to have four basic qualities: 1. High-quality product sources; 2. Complete pre-sales and after-sales service processes; 3. Efficient logistics and distribution system; 4. Proficient in German, or have a partner who is proficient in German. The four basic conditions have actually eliminated 80% of the sellers. However, if the above conditions are met, German consumers are also recognized as high-quality consumers, and they are not as picky as those in other countries (for example, refunds without returns often occur on the US site). Therefore, sellers who can survive tenaciously on the German site will eventually get a share of the German market.
Is Amazon Germany the ideal future for Amazon ?
Amazon Germany’s high requirements and high quality have, on the one hand, blocked many Chinese Amazon sellers from entering, and on the other hand, forced sellers who want to survive on Amazon Germany to improve their own quality and service awareness. For Amazon, this is a welcome development. At the same time, the strictness and strength of the German tax bureau, supervisory agencies, etc. have also, to a certain extent, cracked down on the trend of Chinese sellers unscrupulously using various illegal means on Amazon, and carried out a wave of purges and deterrence on sellers entering the German market. For Amazon, the German site may not be a high-profit site, but it should be the easiest site to manage and the site that is most in line with Amazon’s “three views”.
The above is the relevant content about Amazon Germany. It is really not easy to open a store on the German site. Chinese Amazon sellers should pay attention. Follow us to get more Amazon information.