A Beginner's Guide to Preparing for Amazon Selling: Key Terms You Should Know. Getting familiar with these terms will make selling on Amazon smoother and more straightforward. These key words will keep you organized and ready to handle the platform like a pro.

Seller Central

Amazon’s Seller Central makes running your online store easy by letting you manage everything, from listing products to handling customer orders, all in one spot. It’s loaded with tools to help you track inventory, tweak prices, launch ads, and see how your sales are doing. With features like automated pricing to keep your products competitive and detailed reports to show how your business is performing, it covers all the bases. Whether you’re selling a few items or managing a massive inventory, it’s built to handle businesses of all sizes.

FBA (Fulfillment by Amazon)

Amazon’s FBA program handles storing, shipping, returns, and customer support for your products, with fees typically taking up 30-40% of the selling price. They use an extensive network of warehouses to store your stock, stepping in to pick, pack, and ship orders quickly, including Prime two-day delivery for nearly 200 million members. With the Prime badge boosting shopper trust, Amazon takes care of customer inquiries and returns, leaving you to put your energy into growing your business.

SKU (Stock Keeping Unit)

A SKU, or Stock Keeping Unit, works as a product's unique identifier, blending letters and numbers to keep everything organized on Amazon. This code helps track sales performance, flag items that are running low, and highlight which products are bringing in the most revenue. Every product needs its own SKU, which you'll provide when listing it for sale on Amazon. SKUs simplify reordering from suppliers by letting you share a quick code instead of spelling out full product details.

ASIN (Amazon Standard Identification Number)

Every product on Amazon gets its own 10-character ASIN, making it easier for customers to locate items and for Amazon to manage its massive catalog. Books use their ISBN as their ASIN, while other items receive brand-new codes when they’re added to the system. Before listing a product, check if it already has an ASIN, as you’re required to use the existing one instead of creating another. For products not yet listed, an ASIN is generated through the "Add a Product" tool, which asks for specific details and product identifiers like a UPC or EAN.

PPC (Pay-Per-Click)

Amazon’s PPC ads showcase your products at the top of search results, charging you only when someone clicks. These ads connect with shoppers already searching for similar items, making your advertising dollars more effective. Placement depends on keyword bidding, where sellers compete for visibility, and the highest bid takes the prime spot. Analytics give you a clear picture of which keywords generate sales, helping you adjust your strategy for better results. Your campaigns are built to work smoothly on both desktop and mobile, ensuring customers find your products wherever they shop.

The Last Word

These terms will pop up often as you dive into selling on Amazon. Getting familiar with them will make the process feel much smoother and less overwhelming.