Episode #8 - Chris Khoo Calculating Profit with Vendor Central/1P. How to Avoid Chargebacks, Shortages Amazon fees and more!
Sep 17, 2023
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Amazon Vendor Central expert, Chris Khoo, shares actionable strategies to maximize profits while selling on Amazon. He discusses how to avoid chargebacks, reduce fees, and optimize e-commerce listings. The podcast also covers common issues faced by businesses on Vendor Central, the impact of chargebacks and metrics, and the importance of analyzing costs and operations.
Addressing shortage claims and chargebacks is crucial for vendor central users to improve profitability.
Having a clear overall strategy and evaluating the entire order process helps maximize profitability on Amazon Vendor Central.
Deep dives
Introduction to Whocommas and their Objective
Chris introduces Whocommas, a software company based in the UK that aims to help vendor central users improve their order and shipment processes. Their objective is to save time, money, and prevent issues such as shortages and chargebacks in a proactive manner. Whocommas focuses on preventing problems rather than fixing them after they occur.
Origin Story of Whocommas
Whocommas is a family business that has been operating for over 20 years. Chris joined the company four years ago, specifically to sell a new product focused on Amazon. They found a niche in the market, as many vendor central users were facing operational challenges and issues with order management and chargebacks. Whocommas experienced rapid growth and now serves customers worldwide.
Common Issues Faced by Vendor Central Users
According to Chris, there are three prevalent issues faced by vendor central users. The first is shortage claims, which most people are familiar with. The second is chargebacks, particularly related to PO on-time accuracy. The third issue involves hidden costs related to admin time and warehouse processes that reduce efficiency and profitability. Understanding and addressing these three issues with data-driven decision-making is crucial for improvement.
Strategies for Improving Vendor Central Operations
When it comes to addressing the mentioned issues, Chris emphasizes the importance of having an open mindset and being willing to explore new approaches and ask for help. He recommends starting with immediate solutions such as working with companies that specialize in reclaiming shortage money. For a long-term improvement plan, Chris suggests evaluating the entire order process, identifying bottlenecks, and considering outsourcing certain tasks if other experts can handle them more efficiently. Additionally, having a clear overall strategy and goals for the business's future with Amazon is crucial for making informed decisions and maximizing profitability.
Chris Khoo Calculating Profit with Vendor Central/1P: Unlock the secrets of maximizing profits on Amazon's Vendor Central with expert Chris Khoo. This in-depth exploration focuses on the intricacies of Amazon's first-party (1P) selling platform. Discover actionable strategies to avoid Amazon chargebacks, reduce fees, and optimize your e-commerce listings. Perfect for Amazon sellers, e-commerce entrepreneurs, and online business aficionados looking to understand Vendor Central's landscape better. Packed with tips, best practices, and insights, this episode is your definitive guide to navigating Amazon's complex selling environment and driving your e-commerce success.