The term ” vendor” is generally used when manufacturers, brands or suppliers sell their products directly to Amazon and Amazon then resells these products. In this context, the so-called vendor manager also appears – an internal contact person at Amazon who represents the company itself and pursues certain goals. The manager has various tasks and is expected to deliver concrete results. For a vendor manager, the turnover and profitability that Amazon can achieve with branded products are particularly important. In addition, a Vendor Manager manages marketing activities (e.g. flash offers) and provides support with technical or process-related problems. Another aspect of an Amazon Vendor Manager’s tasks is negotiating with the supplier – i.e. primarily prices, purchasing volumes and the product range offered on the Marketplace.
Why do some vendors not have a vendor manager?
Regardless of the size or recognition of a brand, Amazon – and therefore also the Vendor Manager – pursues two main objectives: Increasing the profitability of the products purchased by the brand (e.g. through better purchasing conditions) and sales growth in the respective product category for which the Vendor Manager is responsible.
Nevertheless, it is a common problem that many vendors do not have a permanent vendor manager available. The reason: Amazon simply has too few of these managers. On average, an Amazon Vendor Manager looks after 100 brands and suppliers, sometimes even several hundred. Since the focus is on sales and profitability, a vendor manager concentrates primarily on those customers who are likely to contribute the most to achieving the target.
Vendors with low sales figures and low attractiveness for Amazon often receive no direct contact – or this is only available sporadically. If you consider that a vendor manager would theoretically only have about 5 minutes per day per customer with 100 vendors to support, it becomes clear that the support is primarily geared towards the high-selling and profitable partners. Vendors that are too “small” for Amazon often do not receive any personal support from a vendor manager.
How do I get a Vendor Manager at Amazon?
If you are already a vendor, this question can be answered quite easily with the help of four points:
- Generate more sales in a specific category
- Offer better purchasing conditions (e.g. more favorable purchase prices)
- Offer a broader and more attractive product range
- If possible, reliably serve all purchase orders (POs)
In short, the more attractive and reliable a vendor is for Amazon, the more likely they are to be supported. However, the problem is that many of these employees rotate regularly, which means that the relationship between Amazon and the brand suffers. Many issues then have to be discussed again with a new vendor manager. Nevertheless, the higher the sales, the better the profitability and the better known the brand, the more likely it is to receive good personal support. Large brands with high sales are usually looked after by experienced vendor managers who change less frequently.
What can a vendor manager do for me?
Amazon is increasingly relying on machine learning, which also has a direct impact on the role and authority of vendor managers – especially when it comes to purchase orders. These are no longer triggered exclusively manually by vendor managers, but are increasingly automated using algorithms.
This raises the question: What can a vendor manager actually still do today?
A vendor manager can still initiate manual orders. Above all, however, he or she is the first point of contact for vendors, for example for marketing campaigns or technical problems. These issues are then forwarded to the relevant specialist departments. Strategic product decisions, such as the placement of new items, can also be discussed and negotiated with the vendor manager.
In any case, a direct connection to Amazon is very helpful, as the Vendor Manager can provide support with all questions relating to VendorCentral, the ordering process and, in some cases, Amazon Advertising.
Can I trust my vendor manager?
As an Amazon agency, we at ameo often hear this question from our customers – and it cannot be answered in a generalized way. Basically, the statements made by Amazon employees – including vendor managers – should always be critically scrutinized. After all, they are acting in line with Amazon’s corporate goals.
Amazon’s top priority is customer satisfaction. The “customer first” principle is consistently practiced in the company – and vendor managers also follow this principle. In addition to sales and profitability, they always ask themselves: “What’s in it for the customer?”
Vendor managers do not act in the interests of the vendors – but in the interests of Amazon customers. This is also one of the reasons why Amazon is so successful. A vendor manager is a mixture of buyer, marketing consultant and project manager. They coordinate, structure and pursue Amazon’s goals. Even if they are good at supporting vendors, they always pursue their own objectives set by Amazon.