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Building Personal Relationships With Amazon Competitive Advantage For 1P Vendors

By Martin Heubel, Amazon Strategy Consultant at Consulterce

Should you invest in a personal relationship with your Vendor Manager?

It’s a question I get asked from brands big and small.

Amid Amazon’s increasing automation focus, vendors long for more human interaction.

So it’s no surprise that leadership teams insist that their account managers build close relationships with the online retailer.

But here’s the harsh truth:

Each year, Vendor Managers are given fewer tools to override algorithms and offer non-standardized solutions to brands.

So can a good relationship with your Amazon buyer even lead to a competitive advantage?

Yes, as it can help you gain a better understanding of your:

  • Category positioning
  • Profitability benchmark
  • Future innovation opportunities
  • Etc.

Most of all, regular meetings with your Vendor Manager can help you source information to inform your annual negotiation strategies.

But let’s be clear:

A good relationship with your Vendor Manager won’t save you from Amazon’s transactional targets on your account.

You’ll still face requests for matching support, better cost prices, and more trade investments.

In summary, investing in a good relationship with your Vendor Manager is never a bad idea. But it won’t help you escape Amazon’s focus on automation and profit margins.

For further information and support, contact Martin Heubel here