WHAT WE DO
Canopy only works for manufacturers or distributors who control the flow of their products.
If you control who does and does not get to sell your products, then you can change Amazon
from being a thorn in your side to your best key account.
With our help, you will be selling to thousands of end users who are already buying your products on Amazon. Instead of buying your products for less than MSRP and from someone else, these customers will be buying from you and at full retail price.
When you tame Amazon, it becomes your partner and the benefits are tremendous.
If you don't fully understand how Amazon works, read "Understanding Amazon in the context of the manufacturer, below.
See our case study to see how Canopy helped UPG make 281% more while solving the problem of diminishing prices on Amazon.
Understanding Amazon in the context of the manufacturer
It's important to understand that Amazon.com is like a single, large consignment shop. There are thousands of sellers in this store, including Amazon itself, though Amazon only sells a small fraction of the things on the site themselves. (Amazon's main business is the warehousing and shipping of all these items other people provide.)
Like a traditional store, Amazon has one spot on the shelf for each product - whether there is one seller or one hundred. When there are multiple sellers, they take turns at this spot on the shelf by competing. Usually the lowest price wins.
Sometimes Amazon itself sells a given product, but usually it's someone else, called an "Amazon Reseller." There could be seventy-five people selling the same products of yours through Amazon. These are the buyers coming to your company pressing you for discounts and special handling requirements. Often they want you to ship directly to Amazon warehouses for them. These resellers are less like traditional "buyers" and more like commodity traders. As they compete with each other, they invariably disregard your MSRP and drive the price way below the product's value. They also create inaccurate and misleading product profiles, damaging your reputation.
The key to taking Amazon back is by declaring Amazon your house account and ceasing to stock these third party sellers, (including Amazon itself, if they happen buy from you also). It may feel painful at first, but it won't take long before you begin to realize how much simpler and more profitable it is when you service your Amazon end users yourself, in your own name, from your own account. Every item you ship to a reseller is costing you a lot of money.
If you were opening an outlet store for your products, would you allow others to buy from you at wholesale just to turn around and sell them on your shelves? Of course not, so why are you letting them sell on Amazon? It can be your store. And since Amazon is everywhere and accessible to everyone, isn't it incredibly important that you be in control of it?
Now, there's a lot of set up and there's a lot of clean up to do to make Amazon your store. And dealing with the intricacies of Amazon isn't easy, but that's where we come in.
We will handle every aspect of Amazon for you - we will help you change your policies, identify all the resellers, do your ordering and inventory projections. We have all that down to a science. And our fee is so much less than the additional profit you'll be making. On top of the profit, you'll have turned Amazon into the kind of outlet for your products that you want, creating goodwill and competitive advantage for your core wholesale business.
There are three choices for the
1. Do nothing. This is not a viable long term option. Doing nothing will erode your business and your product line. Ignoring Amazon puts your company at risk.
2. Electing one Amazon reseller to sell exclusively for you. This option is better than #1, but it leaves a lot of money on the table. And this elected reseller isn't doing anything to deserve more than half the profit of selling on Amazon.
3. Going with Canopy. The difference between # 2 and #3 is that Canopy is selling for you in your name. Our fee is only 10% of your sales, which ends up being substantially less money than when you work with a reseller. We're more integrated with you and work on your behalf instead of as an independent reseller. Our goal is to give you 100% control over Amazon, because only when you have control can you really take advantage of it. Resellers will not achieve this for you.