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Selling Toys On Amazon During The Holidays: What To Know Now
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Brands and merchants who sell toys on Amazon expect their most significant sales boost during the Q4 holiday shopping season. However, if your seller account or products don’t meet Amazon’s strict criteria, you could be missing out on your biggest profits. Therefore, it is essential to understand the requirements for selling toys online as an Amazon seller so you can continue without any disruptions during the most lucrative time of the year.
Amazon’s Q4 Requirements for Selling Toys
Amazon has Q4-specific requirements for selling toys, as things get a bit crazy during the holidays. Therefore, Amazon wants to ensure that merchants who fulfill their own orders have proven their success and reliability before the holiday shopping frenzy even begins.
Below are the requirements for Fulfillment by Merchant (FBM) sellers during Q4. If you are using Fulfillment by Amazon (FBA), then this does not affect you.
- You must have made your first Amazon sale by September 2021, in any category, as it doesn’t have to be in the Toys and Games category exclusively.
- You must have processed and shipped a minimum of 25 FBM orders between August and October 2021.
Not only is the above criteria attainable for most sellers and brands, but it is only needed to be allowed to sell toys on Amazon between November 2021 and January 2022. To sell toys during the remaining months of the year, this criteria does not apply, nor does it apply to selling products that fall under categories other than Toys and Games.
Additional requirements that must be met for Amazon’s approval to sell toys during the holiday shopping season follow below:
- Less than 1% Order Defect Rate as of October 2021
This metric refers to the number of orders fulfilled that had a defect or flaw, compared to the total number of orders during a 60-day period, expressed as a percentage.
- Less than 1.75% Pre-Fulfillment Cancellations between September and October 2021
This rate refers to the number of orders canceled by the seller. During other times of the year, it’s ok for sellers to keep this rate under 2.5%. But Amazon is understandably stricter during the holidays, and you must maintain your cancellation rate to be under 1.75%.
- Less than 4% Late Shipment Rate between September and October 2021
This metric refers to orders that are confirmed after the expected ship date and increases with each order that is shipped late.
Tips to Increase Your Eligibility to Sell Toys on Amazon in Q4
To ensure that your seller account metrics meet Amazon’s toy selling eligibility during the holidays, check under the Performance/Account Health section in your seller account. If your performance does not meet these qualifiers, below are immediate actions that Amazon recommends you take:
- Monitor your customer metrics and take corrective action when necessary.
- Check your orders frequently in the Manage Orders section of your account.
- Minimize order cancellations; only show inventory for sale that you have available to ship.
- Update your account status when you are not available to fulfill orders (i.e., on vacation).
- Ship orders and confirm shipment in a timely manner.
- Ensure your seller policies are up-to-date.
- If you work with outside drop-shippers, solidify their SLA commitments for providing prompt shipping confirmation.
- Other ways to improve your performance
What to Know if You Use FBA to Sell Toys During The Holidays
If you still don’t meet the above criteria, you may still use FBA to sell toys in Q4. But make sure that you meet all of the Amazon FBA deadlines for restocking holiday inventory. November 1 is Amazon’s FBA inventory cut-off date for U.S. sellers to ensure your merchandise is available for sale in time for Black Friday, Cyber Monday, and Christmas. Be sure to check out other important dates in Q4 for FBA sellers in this 2021 Holiday Calendar.
Adding FBM to Enhance Your Holiday Selling Strategy
If you sell exclusively or the majority through FBA, you might consider adding FBM to complement your Q4 sales strategy. Adding FBM allows you to keep selling toys late into the holiday shopping season, when sales are still soaring from last-minute shoppers in the final days leading up to Christmas.
How to Get Approval to Sell Toys on Amazon
According to Statista, Amazon is the #1 online retailer for toys in the U.S., so it offers massive opportunities for sellers to boost their bottom line during the holiday season.
Policy on Toys Intended for Use of 12 Years Olds and Below
However, be aware that in the United States, all toys intended for use by children 12 years of age and under must meet federal safety standards, including:
Amazon may request that sellers of toys provide safety documentation at any time to confirm compliance. More details on Amazon’s policies for selling children’s toys, the specified certification standards, and the documentation you’ll need to provide if contacted by Amazon, can be found here.
Additionally, there are specific toys and children’s products that have their own set of policies for selling on Amazon. So, if you currently sell or plan on selling fidget spinners, invisible ink pens, magnetic building tiles, squishy toys, and other types of children’s products, be sure to read up on Amazon’s articles for those products to ensure compliance.
If you’d like to sell toys on Amazon in Q4, be sure to follow these tips to ensure your eligibility. For more guidance on planning ahead and implementing successful holiday sales strategies, check out Feedvisor’s webinar on How to Prepare Your Amazon Business for 2021 Holiday Selling.