We’ve all experienced it. Your distributors and suppliers present a fantastic buying opportunity that's highly profitable and quick-selling.
Before you can list your products, it's important to understand that certain Amazon categories are known as gated categories. These are restricted sections where approval is needed before you can sell. Amazon restricts certain categories to ensure product quality, safety, and compliance with regulations, protecting both customers and sellers.
For example, Amazon FBA requires seller approval for certain products in restricted categories like health, jewelry, and hazmat.
In contrast, there are ungated categories on Amazon, which consist of item categories that do not require Amazon's approval for you to sell them. Selling ungated products allows you to start generating revenue immediately while learning the ropes of Amazon selling.
There are numerous ungated categories you can sell in, and starting with ungated products gives new sellers a significant head start. Gated categories require approval and often have less competition, but you must provide documentation to demonstrate product authenticity and compliance with Amazon's policies. Starting with ungated categories allows new sellers to gain experience with inventory management and customer service policies without the complexities of gated categories. Sellers who perform well in ungated categories can improve their seller metrics, which may help them gain approval to sell restricted categories later.
The last step? Getting brand approval to sell the product.
Sounds simple, right? You submit the invoice only to have it denied.
Often, the cause of the denial is due to a minor error.
Below is a list of common reasons for brand approval rejections and tips to avoid them, ranked from most to least common:
Introduction to Amazon Seller Central
Amazon Seller Central is the main hub where Amazon sellers manage every aspect of their business, from listing products and tracking inventory to handling customer service and monitoring sales performance. If you want to start selling on Amazon, you’ll need to set up a professional seller account through Seller Central, which comes with a monthly subscription fee but unlocks a wide range of tools and resources. Within Seller Central, you can access dashboards to monitor your account health, manage your inventory, and respond to customer inquiries. Importantly, Seller Central is also where you’ll request approval to sell in certain categories that require additional permissions. Understanding how to navigate Seller Central is essential for sellers who want to expand into new categories, maintain compliance, and grow their sales on Amazon.
Understanding Brand Restrictions
Brand restrictions are a key part of Amazon’s efforts to protect customers and ensure only authorized sellers can offer certain products. Many well-known brands, especially in restricted categories, require sellers to provide brand authorization letters before they can list those products. These brand restrictions help prevent counterfeit goods from reaching customers and maintain the integrity of the marketplace. If you want to sell products from brands with restrictions, you’ll need to apply through Seller Central and provide the necessary documentation to prove you’re authorized. Failing to comply with brand restrictions can result in denied applications or even loss of selling privileges, so it’s crucial for sellers to understand which brands and categories require extra steps before listing.
The Application Process
Getting approval to sell in restricted categories on Amazon involves a structured application process. First, you’ll need a professional seller account in good standing, which means meeting Amazon’s performance metrics like a low order defect rate and timely shipments. Once you’re ready, you can request approval for a specific category directly in Seller Central. The application will require you to submit detailed documentation, such as invoices from authorized suppliers and, in some cases, brand authorization letters. Amazon will review your application and documentation to ensure you meet all requirements for the category. The process can take anywhere from a few days to several weeks, so patience and attention to detail are important. You can always check the status of your application in Seller Central to stay informed about your progress.
Typographical Errors or Inconsistencies in Your Invoice
Small errors or discrepancies in your submitted invoices are the top reasons for rejections. Amazon employs algorithms for verification, so even a minor mistake can result in a swift decline. Invoices submitted for approval must be dated within 90 days of the application date and should match the company information in the Seller Central account.
Example: If your business address on your Amazon account is “1 Main Street, Portland, OR,” but your invoice lists “1 Maiin Street, Portland, OR,” it can be frustrating, yet such a small discrepancy can cause your application to be rejected. Additionally, invoices should clearly list the specific products being approved, ensuring all relevant details match the product listing.
Discrepancies in Company Names
Differences between the company names on your documents and your Amazon seller account can also lead to a denial. Amazon insists on exact consistency in business names.
Example: Your manufacturer authorization letter lists your company as "XYZ Electronics Inc." while your Amazon seller account shows "XYZ Electronic INC." A missing “s”, the capitalization of “INC”, and a misplaced comma can trigger a mismatch and result in a denial.
Incomplete Product Details or Missing Required Documentation on Your Invoice
Amazon demands detailed product information on your invoice to confirm that the product matches what you're seeking approval for. Missing details or unmatched product codes will lead to a denial.
Example: If you're purchasing Samsung Earbuds, and your invoice says “Samsung Green Earbuds” with an internal SKU, it’s insufficient for Amazon. You need to include matching information such as model numbers and/or UPCs.
Poor Quality or Unreadable Documents:
Documents that are low-quality or hard to read prevent Amazon from verifying the authenticity of your products and business details. Clear, high-quality documents are crucial.
Example: Uploading a blurry or low-quality invoice will hinder Amazon's ability to verify it.
Invalid or Unauthorized Suppliers or Missing Brand Authorization Letters:
Using invoices from unvalidated or unauthorized suppliers will not only prevent approval but may also alert Amazon to potential sourcing issues. Amazon requires sellers to use authorized suppliers.
Example: Invoices from “Joe Schmo’s Distribution Company,” which lacks legitimate brand connections and sells dubious inventory, are unacceptable.
Suspicious or Fraudulent Activity:
Editing invoices or using dubious services known for fake invoices can lead to serious consequences, including account suspension.
Example: Paying for an “ungating service” that employs fraudulent invoices can activate Amazon's fraud detection and result in your account being banned.
Non-Compliance with Restricted Categories Standards:
Failing to meet specific standards set for certain categories or brands can cause your approval application to be rejected. Each restricted category has different rules and requirements for approval, so it’s important to review the specific criteria for the category you want to sell in.
Example: As a new seller with an order defect rate of 4% wanting to sell Baby products, you won’t get approved. Approval requirements can vary by category and may change over time, so sellers should regularly check the latest guidelines on Seller Central.
Minimum Units Requirement
Your invoice needs to display at least 10 units. Anything less, like 9 units, results in a decline.
Tips for Getting Approved
To boost your chances of gaining approval to sell in restricted categories, it’s important to be thorough and strategic. Start by building a strong sales history in ungated categories, which helps improve your account health and demonstrates reliability to Amazon. Always double check your application for errors and make sure you’re submitting all required documentation, such as clear invoices and brand authorization letters. Pay close attention to the specific requirements for each category, as they can vary widely. Staying organized and proactive in Seller Central will help you avoid unnecessary delays and increase your chances of approval. Remember, meeting Amazon’s performance metrics and providing accurate, complete information are key to unlocking new selling opportunities.
Staying Up-to-Date with Amazon’s Policies
Amazon’s requirements for selling in restricted categories are constantly evolving, so it’s essential for sellers to stay informed. Regularly check Seller Central for policy updates, announcements, and changes to listing limitations or holiday selling requirements. Participating in Amazon’s webinars and seller conferences can also help you stay ahead of the curve. By keeping up with the latest rules, you can avoid disruptions to your sales, ensure compliance in certain categories, and protect your customers from potential issues. Planning ahead for peak seasons and understanding any new requirements will help you maintain your selling privileges and continue to grow your business on Amazon.
Conclusion
Often, the reasons for denials are trivial. Although Amazon's approval algorithm might seem excessively strict, it is what it is.
Thus, meticulously review your invoices and brand approval documents and you might just find the error.
