Your Gateway To Selling Directly To Amazon In Canada.
Whether you’re a manufacturer or distributor, we specialize in helping you wholesale your products to Amazon, ensuring a seamless and profitable experience.
The Opportunity
Partnering with Vendor Sprout offers manufacturers and distributors predictable revenue through Amazon-issued purchase orders, while saving on refunds and their management. As Amazon becomes the seller, your brand recognition increases with improved product rankings and visibility. With the potential for higher order volumes and product placement by Amazon, it’s a straightforward way to grow your business on Amazon.
Why Choose Vendor Sprout?
Streamlined Access to Amazon 1P:
We fast-track your products into Amazon’s Vendor Central using our exclusive Vendor account, bypassing the invite-only barrier and getting your products listed quickly.
Expertise in Profitability Analysis:
Our team analyzes sales, reviews, returns, margins, shipping, and warehousing to determine the most profitable strategy for your products, whether through Amazon 1P, 3P, or a combination of both.
Comprehensive Brand and Listing Creation:
If your products aren’t yet on Amazon, we create and optimize your brand and listings to maximize sales. For existing products, we use data-driven insights to improve visibility and performance.
Hands-Off Management:
With Vendor Sprout and Amazon handling marketing, logistics, and customer service for 1P products, you can focus on what you do best— manufacturing and distributing quality products.
Building Brands That Stand Out:
We help you adhere to Amazon 1P rules (including packaging, language, and trademark requirements) to build strong, attractive brands with high-quality products, consistent sales performance, and positive customer feedback to catch Amazon’s attention.
Who is Vendor Sprout?
At Vendor Sprout, we’re more than just consultants—we’re seasoned Amazon sellers with over 7 years of hands-on experience. Invited by Amazon into their exclusive Vendor Central program, we’ve successfully managed our own Amazon Vendor account and are now looking to expand our portfolio by partnering with ambitious brands.
Our deep understanding of the Amazon ecosystem, from Seller Central to Vendor Central, enables us to offer unique insights and strategies that go beyond theory. By partnering with Vendor Sprout, you’ll gain access to our expertise and the Amazon Vendor platform, helping you elevate your brand and succeed on Amazon.ca. Let’s grow your brand together.
The Benefits of FBV over FBA
Wholesaling Model:
Sell your products to Amazon at wholesale prices. Amazon handles pricing, selling, and fulfillment.
Streamlined Operations:
Amazon manages inventory, logistics, and customer service, allowing you to focus on manufacturing and distribution.
Marketing by Amazon:
Benefit from Amazon’s marketing efforts to promote your products.
Increased Sales Volume:
Wholesaling to Amazon can significantly boost sales volume, as Amazon owns the product and uses its extensive infrastructure to move it quickly. Your product effectively becomes Amazon’s buy box choice. Vendor Sprout aims to increase your product’s sub-category ranking.
Case Studies
1. Case Study: Cascades PRO Select® Standard Bath Tissue
Introduction
Cascades PRO Select® Standard Toilet Paper, known for its eco-friendly and affordable qualities, faced significant competition on Amazon. Despite strong seller and vendor rankings, its product ranking within its sub-category was lower than desired. Vendor Sprout partnered with a top Amazon seller to wholesale Cascades PRO Select directly to Amazon, leading to a significant improvement in market position and sales volume, all while maintaining the original pricing.
Background
Cascades PRO Select® was being sold by multiple Amazon Sellers through the FBA (Fulfillment by Amazon) model. One of these sellers had excellent rankings, but the product still struggled, ranked #35 in its sub-category. Additionally, the product was priced higher than similar options, which limited its market potential despite its positive reviews and environmental benefits.
Vendor Sprout identified an opportunity to enhance sales by shifting from a third-party seller model (3P) to a direct wholesale model (1P) through Amazon Vendor Central. Although Cascades did not provide brand authorisation—typically required by Amazon to ensure sellers have legitimate rights to sell branded products—Vendor Sprout secured listing and vendor authorisation, allowing them to wholesale Cascades PRO Select directly to Amazon.
Understanding Brand Authorization in Amazon’s Framework:
Brand Authorization is a process where a brand owner or authorised distributor grants permission for their products to be sold on Amazon. This ensures product authenticity and allows the brand to maintain control over pricing, descriptions, and other listing aspects. Without this authorisation, sellers may face challenges in optimising their product’s presence on Amazon. Despite this, Vendor Sprout successfully navigated the process to work directly with Amazon as a wholesaler.
2. Case Study: VPC Vacuum Hard Floor Vacuum Brush Attachment with Natural Bristles
Introduction
VPC, Canada’s largest provider of vacuum parts and accessories, had been selling their VPC Vacuum Hard Floor Vacuum Brush Attachment through Amazon’s FBA platform with moderate success. Despite being priced competitively at $29.95, matching its Shopify store pricing, sales were limited to 30-45 units per month, with a product ranking above #40 in the Vacuum Fittings sub-category. Vendor Sprout intervened, securing brand authorisation and transitioning the product to a wholesale model directly with Amazon, leading to a substantial increase in sales and market ranking.
Background
The VPC Vacuum Hard Floor Vacuum Brush is a versatile attachment compatible with all central vacuum cleaner brands, as well as standard upright and canister vacuums with a 1.25-inch connection. Its 12-inch cleaning path and natural bristles make it an ideal tool for hard floor cleaning. Despite these strengths, the product experienced modest sales on Amazon, primarily due to competition and a lack of broad market visibility. VPC, which does not traditionally wholesale its products to other retailers, had maintained tight control over its distribution channels.
Initial Situation:
Sales Performance: VPC sold 30-45 units monthly on Amazon, with a return rate below 1%.
Pricing: The product was listed at $29.95, consistent with VPC’s Shopify site.
Product Ranking: It was ranked above #40 in its sub-category on Amazon, indicating significant potential for growth.
Vendor Sprout identified a key opportunity to enhance VPC’s presence on Amazon by transitioning the product from a 3P model to a 1P wholesale model, allowing Amazon to take over the selling process directly.
Evaluation of the Case
Vendor Sprout successfully obtained brand authorisation, allowing VPC to maintain brand control while enabling Amazon to manage sales directly. The outcomes were impactful:
Increased Sales Volume: The switch to Amazon’s direct selling model led to a surge in sales, increasing from 30-45 units monthly to over 400 units monthly.
Improved Product Ranking: The product’s ranking improved dramatically, climbing to #7 in the Vacuum Fittings sub-category, reflecting its enhanced visibility and success on Amazon.
Pricing Strategy: Faced with competition, particularly from lower-cost aftermarket vendors from China, Amazon adjusted the price to $19.02. This reduction, while significant, did not impact VPC’s profit margins as Amazon absorbed the difference, allowing VPC to benefit from the increased volume without sacrificing profitability.
Brand Notoriety and Cross-Sales: The successful Amazon presence significantly boosted VPC’s brand recognition. As a result, VPC saw increased sales of other products not offered on Amazon, leveraging the heightened visibility and customer trust established through their success with the Vacuum Brush Attachment.
Contingency for Price Control:
VPC retained the option to pause Amazon’s weekly purchase orders if pricing or other conditions were not favourable, allowing them to protect their overall pricing strategy and brand integrity. This flexibility ensured that the partnership with Amazon remained beneficial and aligned with VPC’s broader business goals.
Conclusion
Vendor Sprout’s strategic intervention greatly amplified the performance of the VPC Vacuum Hard Floor Vacuum Brush on Amazon. By securing brand authorisation and shifting to a wholesale model, Vendor Sprout enabled VPC to achieve a significant increase in sales volume and product ranking. The partnership not only preserved VPC’s margins but also elevated their brand’s presence, leading to increased sales of other products within their portfolio. This case underscores the importance of strategic brand management and the potential benefits of leveraging Amazon’s wholesale framework in a competitive market.
3. Case Study: Cen-Tec Systems Assembled Quick Click Dust Separator with 5 Gallon Locking Collection Bin and Power Tool Adapter Set
Introduction
Cen-Tec Systems, a leading manufacturer of vacuum accessories, offered its Assembled Quick Click Dust Separator with 5 Gallon Locking Collection Bin and Power Tool Adapter Set through Amazon’s FBA platform in Canada. Despite its innovative design and manufacturing quality, the product struggled to gain traction, with sales averaging only 10 units per month. Vendor Sprout intervened by securing brand authorisation and transitioning the product to a wholesale model directly with Amazon. This strategic move resulted in a significant sales increase and improved margins.
Background
The Cen-Tec Systems Quick Click Dust Separator is engineered to efficiently separate dust, debris, and liquids from an airstream, collecting them in a 5-gallon general-purpose recovery bin. This process minimises the amount of material that reaches the vacuum, enhancing its performance and longevity. The product is notable for its wide diameter smoothed air path, which optimises the power from the vacuum’s airstream and increases the efficiency of the cyclonic separation process. Importantly, the bucket, adaptor set, and Quick Click separator are all designed and manufactured in the USA, emphasising quality and durability.
Initial Situation:
Sales Performance: Cen-Tec Systems sold approximately 10 units monthly on Amazon.ca.
ASIN Data: The product’s ASIN was shared across North America, providing Amazon Canada with sufficient data to evaluate its potential for wholesale.
Market Potential: Despite its robust design and performance benefits, the product’s sales were limited, reflecting untapped potential in the Canadian market.
Vendor Sprout recognised the opportunity to enhance Cen-Tec Systems’ Amazon presence by transitioning the product from the FBA platform to a direct wholesale relationship with Amazon.
Evaluation of the Case
Vendor Sprout’s strategy involved obtaining brand authorisation, allowing Cen-Tec Systems to retain control over their product while enabling Amazon to take over the selling process directly. This approach yielded significant results:
Increased Sales Volume: Transitioning to Amazon’s wholesale model led to a dramatic increase in sales, from 10 units monthly to over 250 units monthly, indicating a strong market demand once the product was more prominently featured and marketed by Amazon.
Improved Margins: The wholesale arrangement not only boosted sales volume but also improved margins for Cen-Tec Systems, as the product benefited from Amazon’s efficient distribution and marketing capabilities.
Utilization of ASIN Data: Amazon’s decision to purchase the product wholesale was informed by extensive North American ASIN data, which provided insights into its performance potential and customer demand, ensuring a well-informed transition from FBA to wholesale.
Strategic Positioning:
Vendor Sprout’s intervention allowed Cen-Tec Systems to leverage Amazon’s platform effectively. By shifting to a wholesale model, the product gained better visibility, competitive pricing, and enhanced marketing, all of which contributed to its significant sales growth.
Conclusion
Vendor Sprout’s strategic involvement transformed the market performance of Cen-Tec Systems’ Assembled Quick Click Dust Separator on Amazon.ca. By securing brand authorisation and transitioning the product to a wholesale model, Vendor Sprout enabled a substantial increase in monthly sales and improved profit margins. This case underscores the importance of data-driven decision-making and the benefits of leveraging Amazon’s wholesale framework to maximise product potential in competitive markets.
4. Case Study: Persil Universal Laundry Detergent Powder
Introduction
Persil Universal Laundry Detergent Powder, a popular German laundry product known for its powerful stain removal and brilliant cleaning performance, was being sold in brick-and-mortar stores in Canada through an existing distributor. However, its online presence in Canada, particularly on Amazon, was limited, with sales averaging only 10 units per month through the FBA platform. Vendor Sprout stepped in to address packaging challenges and facilitate the importation of the product, leading to a significant increase in sales and a successful transition to a wholesale model with Amazon.
Background
Persil Universal Laundry Detergent Powder is renowned for its Deep Clean technology, which penetrates deep into fabric fibres to remove even the most stubborn stains. Its innovative formula is designed to keep white and light-coloured laundry brilliantly clean, even after frequent washing. While the product had a strong reputation and solid sales in Germany, its potential in the Canadian market was underutilised due to limited online distribution and packaging that was exclusively in German.
Initial Situation:
Sales Performance: The product sold 10 units per month on Amazon.ca under the FBA model.
Existing Distribution: Persil was already available in Canada through a distributor, but only in physical retail stores, leaving the online market underdeveloped.
Packaging Challenges: The product’s packaging was in German, which did not meet Canadian labelling requirements, posing a barrier to broader online distribution.
Vendor Sprout recognised an opportunity to enhance Persil’s presence in the Canadian online market by addressing these packaging issues and transitioning the product to a wholesale model with Amazon.
Evaluation of the Case
Vendor Sprout’s strategy involved several key steps to overcome the initial challenges and boost the product’s market performance in Canada:
Addressing Packaging Requirements: Vendor Sprout worked closely with Persil to ensure that the product’s packaging met Canadian labelling requirements. This included translating key information into English and French, ensuring compliance with local regulations, and making the product more accessible to Canadian consumers.
Leveraging Existing ASIN Data: Vendor Sprout petitioned to import the product directly from Germany, enabling them to carry over the established product data, including reviews, sales history, and a low return rate. This provided Amazon Canada with a solid foundation for evaluating the product’s potential, based on its established performance in Germany.
Transition to Wholesale Model: After securing the necessary packaging approvals and import permissions, Vendor Sprout offered Persil Universal Laundry Detergent Powder for wholesale directly to Amazon. Initially, Amazon placed modest orders of 10 units per month, but as the product gained traction, this was quickly increased to 50 units per month within three months.
Strategic Benefits:
Improved Sales Volume: The transition to Amazon’s wholesale model and compliance with Canadian packaging standards led to a fivefold increase in monthly sales within a short period.
Enhanced Market Presence: By carrying over the established ASIN data from Germany, Vendor Sprout ensured that the product entered the Canadian market with strong reviews and a proven track record, which helped to build consumer trust and drive sales.
Conclusion
Vendor Sprout successfully transformed the online presence of Persil Universal Laundry Detergent Powder in Canada. By addressing packaging challenges, leveraging established product data, and transitioning to a wholesale model with Amazon, Vendor Sprout enabled a significant increase in sales volume and enhanced the product’s market presence. This case illustrates the importance of strategic market adaptation and compliance with local regulations in achieving success in new markets.
5. Case Study: Perwool Renew Black Liquid Laundry Detergent
Introduction
Perwool Renew Black Liquid Laundry Detergent, a popular German product known for renewing and smoothing fabric fibres while enhancing the intensity of dark and black colours, had an established presence in Germany. However, its distribution in Canada was limited to brick-and-mortar stores, with no online availability. Vendor Sprout identified an opportunity to bring this product to Amazon Canada, addressing packaging and regulatory challenges and creating a new product listing, which led to a significant increase in sales volume through Amazon’s wholesale model.
Background
Perwool Renew Black Liquid Laundry Detergent is designed to revitalise dark and black clothing by smoothing fibres and enhancing colour intensity, making garments look new again. It is a well-regarded product in Germany, praised for its ability to maintain the vibrancy of dark fabrics while providing gentle cleaning. Despite its popularity overseas, the product was not available online in Canada, limiting its reach to a broader customer base.
Initial Situation:
Distribution: Perwool was distributed in Canada only through physical retail stores, with no online presence on Amazon.ca.
Packaging Challenges: The product’s packaging was in German, requiring translation and adaptation to meet Canadian labelling standards.
Brand Registry Status: There was no Brand Registry for Perwool in Canada, allowing other sellers to potentially list the product, creating a competitive environment.
Product Listing: Unlike other products that had existing listings, Perwool Renew Black needed a new listing to be created on Amazon.ca.
Vendor Sprout recognised the potential to expand Perwool’s market in Canada by facilitating its entry into the Amazon marketplace through a tailored approach that addressed these specific challenges.
Evaluation of the Case
Vendor Sprout’s approach to bringing Perwool Renew Black to Amazon Canada involved several key steps:
Addressing Packaging and Compliance: Vendor Sprout worked with Perwool to translate the product’s packaging and labelling into English and French, ensuring it met Canadian regulatory standards. This step was crucial for legal compliance and consumer understanding in the Canadian market.
Leveraging Existing ASIN Data: Although Perwool Renew Black had no prior presence on Amazon.ca, Vendor Sprout petitioned to import the product from Germany using the same ASIN. This strategy allowed the product to carry over its established reviews, sales history, and low return rate from Amazon Germany, giving it a strong starting point in the new market.
Creating a New Product Listing: Since the product was not previously available on Amazon.ca, Vendor Sprout created a new product listing optimised for the Canadian market. This included detailed descriptions, translated packaging information, and leveraging the positive reviews from the German market.
Navigating Brand Registry Absence: With no Brand Registry in Canada, Vendor Sprout faced the challenge of competing listings. However, by establishing the product’s presence through Amazon’s wholesale model, Vendor Sprout ensured that Perwool Renew Black could compete effectively, leveraging Amazon’s marketing and distribution channels.
Sales Performance:
Amazon initially ordered 6 units per month, testing the market response.
Within three months, as demand grew and the product gained traction, Amazon increased its order volume to 100 units per month.
Strategic Benefits:
Increased Market Reach: By bringing Perwool Renew Black to Amazon.ca, Vendor Sprout significantly expanded the product’s reach beyond traditional retail channels.
Enhanced Sales Volume: The transition from no online presence to 100 units per month in just three months demonstrated the strong demand for the product in the Canadian market.
Brand Recognition: Despite the absence of Brand Registry, the successful launch and sales growth helped Perwool establish a foothold in the competitive Canadian marketplace.
Conclusion
Vendor Sprout successfully introduced Perwool Renew Black Liquid Laundry Detergent to the Canadian online market by overcoming packaging challenges, leveraging existing product data, and creating a new product listing on Amazon.ca. This strategic entry into the Amazon marketplace resulted in a rapid increase in sales and established Perwool as a competitive brand in Canada’s laundry care segment. This case illustrates the effectiveness of tailored market entry strategies and the potential for significant growth when expanding popular international products into new markets.