Is Amazon Vendor Services Worth It? with Olivera Bojovic - Episode 304
DESCRIPTION
In this podcast episode, Kiri speaks with Olivera Bojovic, Manager of Marketplace Strategy & Insights at Acadia. In this episode, they discuss Amazon Vendor Services (AVS) and its value for brands in the e-commerce space.
Kiri and Olivera address the questions and challenges brands face regarding the cost and benefits of AVS. They highlight the complexity of the decision-making process for brands, especially when considering whether to invest in AVS or work with an agency.
Make sure you tune in to find out more!
Olivera is a Manager of Marketplace Strategy & Insights at Acadia, where on a daily basis she is speaking to brands, learning about challenges and obstacles they’re facing on Amazon and helping them to navigate the crazy Amazon ecosystem. Before joining the Sales Team at Bobsled, Olivera worked as part of the Client Delivery Team, directly supporting clients on Amazon Seller and Vendor Central.
“The feeling is that Amazon is offering another service and that we have like fee upon fee. And this is something that was supposed to be provided to brands, some of the task through the regular vendor central support or through at the vendor manager. But now we have this new feature, this new team, customer success managers that can provide support and it can get a little bit confusing because when you take a look at the agreement and you get a look at the offer and the list of tasks you start asking like, but isn’t this supposed to be supported by our vendor manager like some of the marketing features?”
KEY TAKEAWAYS
In today’s episode, Kiri and Olivera discuss:
The complexity of the decision-making process for brands, especially when considering whether to invest in AVS or work with an agency.
Olivera explains that Amazon Vendor Services assigns a success manager to handle case management and support for vendors, aiming to resolve issues more efficiently.
There are two levels of AVS support: "AVS essentials" and a more comprehensive "signature" support, with different levels of customization and cost.
Brands' inquiries include what AVS is, what it includes, how it differs from working with an agency, and whether AVS is worth the cost.
Amazon is promoting AVS heavily, and vendor managers often push for brands to incorporate it into their agreements.
Amazon's motivation for pushing AVS is debated; it might stem from the need to offer additional services and fees.
AVS is not a new program, and brands' adoption is influenced by Amazon's promotion and persuasion efforts.
The challenges associated with AVS, such as the cost, model variations (fixed fee vs. percentage of shipped cogs), and potential negotiation.
The need for proactive issue identification is highlighted, as AVS might not be entirely proactive in problem-solving.
AVS is seen as an insurance policy to quickly address and resolve issues, particularly during crucial events like Prime Day.
AVS is valuable for brands with operational issues and those looking to benefit from specific marketing programs offered by AVS.
The importance of setting clear KPIs and responsibilities when utilizing AVS is emphasized.
Brands with strong Amazon knowledge and a backlog of operational issues could consider AVS as a valuable option.
Learn more about Acadia
Connect with Kiri Masters
Connect with Olivera Bojovic
