Don’t play the relationship game.
Aka, “if I support my Vendor Manager on their margins today, they owe me in the future”.
It doesn’t work that way!
Because next thing you know: Your Vendor Manager has moved on to their next position. And the investment you made is long forgotten by their successor.
So here’s what you should do instead:
Set up a solid commercial framework that allows you to make data-driven decisions on when to support Amazon’s margin.
Start by asking yourself:
- What’s the root cause for the request?
- Is the margin fluctuation temporary?
- How much sales volume is affected?
- How does it affect your overall account’s margin performance?
- Would funding recover the Buy Box?
The bottom line?
Don’t play the relationship game with Amazon.
Instead, build a solid framework that guides your team’s decisions and adapt it over time.
For further insight and support, contact Martin Heubel, Founder and Director of Consulterce, a strategy consultancy for B2C Household & CPG brands (Email: [email protected])
