With over 9.7 million active sellers on Amazon, not every seller requires a Professional Seller Account. If you’re selling fewer than 40 items each month, switching to an Individual Seller Account can help you save the $39.99 monthly subscription fee.
But how do you make the switch, and what are the benefits and drawbacks of downgrading? This blog covers all the essential details, from the key differences between account types to the precise steps for downgrading your Amazon seller account, helping you make an informed decision.
Understanding Selling Plans on Amazon
Amazon offers two seller plans: Professional and Individual. Your choice affects fees, tools, and selling capabilities. If you sell fewer than 40 items per month, the Individual plan might be the better option. But is it the right choice for you? Let’s compare the two.
1. Amazon Individual Seller Account
The Individual Seller Account is best suited for small-scale sellers who do not plan to sell more than 40 items per month. This plan has no monthly subscription fee, but sellers are charged $0.99 for each item sold. While the Individual plan is cost-effective for those with limited product listings, it also comes with certain limitations that sellers should be aware of.
The Individual Seller Account is ideal for small-scale sellers or those testing the Amazon marketplace. It has no monthly fee but charges $0.99 per sale. While cost-effective, it limits access to bulk listing tools, analytics, and Amazon ads—important features for growing sellers.
Key Features of the Individual Seller Account:
No Monthly Subscription Fee: This makes it ideal for casual sellers or those who are just starting and want to test the waters without a significant upfront investment.
$0.99 Per Sale Fee: This fee is charged for each item sold, which can add up for high-volume sellers.
Limited Access to Selling Tools: Individual sellers don’t have access to some of Amazon’s advanced features, such as bulk listing tools, analytics, and the ability to run paid advertising campaigns, such as Sponsored Products or Brands.
Restricted Listing Cap: Individual sellers are limited to selling 40 items per month. You must upgrade to the Professional Seller Account if you exceed this threshold.
When to Choose the Individual Seller Account:
You have a small inventory or only plan to list a handful of products.
You are testing the Amazon marketplace to see if it’s a viable channel for your products.
You want to keep your upfront costs minimal and are okay with the $0.99 per item sold fee.
2. Amazon Professional Seller Account
The Professional Seller Account is designed for high-volume sellers who want to scale their business. For $39.99/month, you get unlimited listings, Amazon Ads, advanced reporting, and bulk listing tools—essential for serious sellers.
Key Features of the Professional Seller Account:
$39.99 Monthly Subscription Fee: Although this fee applies regardless of your sales volume, it’s a worthwhile investment for sellers who anticipate higher sales and need access to advanced tools.
Unlimited Listings: Professional accounts allow you to list unlimited products, making this plan ideal for sellers with large or growing inventories.
Access to Amazon’s Advertising Programs: Professional sellers can use Amazon’s advertising tools, such as Sponsored Products, Sponsored Brands, and Amazon Stores, to promote their listings, drive more traffic, and increase visibility. This is a critical advantage for sellers looking to enhance their marketing efforts.
Advanced Selling Tools: Professional sellers can access advanced features such as bulk listing tools and detailed sales and performance reports. They also get access to Amazon’s API integrations and the ability to offer discounts and promotions. Additionally, if you plan to use Fulfilled by Amazon (FBA), the Professional account can utilize this program to store and ship products from Amazon’s warehouses.
Eligibility for Amazon Prime: Professional sellers who use FBA can list their products as eligible for Amazon Prime. It increases their visibility and appeal to millions of Prime members.
When to Choose the Professional Seller Account:
You plan to sell more than 40 items per month.
You have a large inventory or are anticipating rapid growth.
You need access to Amazon’s advertising features to increase product visibility and sales.
You want to take advantage of the benefits of Fulfilled by Amazon (FBA) or list products as Prime-eligible.
Now that we have discussed selling plans and features let’s explore the difference between individual and professional seller accounts.
Amazon Professional Seller vs Individual Seller Account
When selling on Amazon, you must first decide whether to open a Professional Seller or an Individual Seller account. Both types of accounts have their own advantages and limitations, and the right choice depends on factors like the volume of sales, budget, and specific business goals.
Here's a side-by-side comparison of Individual vs. Professional Seller Accounts to help you decide which fits your business needs best.
Feature | Individual Seller Account | Professional Seller Account |
Monthly Subscription Fee | None | $39.99 (or local equivalent) |
Fee Per Sale | $0.99 per sale | None |
Listing Limit | Up to 40 items per month | Unlimited listings |
Advanced Selling Tools | Limited access to some tools | Access to all advanced tools like bulk listing, reports, and integrations |
Advertising Access | No access to Amazon’s advertising options | Access to Amazon’s advertising programs (e.g., Sponsored Products, Sponsored Brands) |
Fulfilled by Amazon (FBA) | Not available | Available, allowing you to store and ship products via Amazon’s warehouses |
Eligibility for Amazon Prime | Not eligible unless using FBA (with restrictions) | Eligible for Amazon Prime if using FBA |
Suitable For | Hobbyists, testers, small inventory sellers | High-volume sellers, those scaling their business |
Sales Reports & Analytics | Limited reporting options | Advanced sales reports and analytics tools |
Additional Tools | No access to bulk listing or promotional tools | Access to bulk listings, promotional discounts, and more |
This table outlines the main differences between the two selling plans and will help you determine which plan best suits your needs based on your sales volume and business objectives.SellerMate’s AI-powered recommendations feature offers actionable insights. It provides insights on placement percentages at the top of the search results page, the rest of the search results page, and the product page, helping you make decisions faster.
Now, we will understand how to switch from Individual to Professional Seller Account.
How to Switch from Individual to Professional Seller Account?
Switching from an Individual to Professional Seller Account is easy via your Amazon Seller Central dashboard. If you exceed 40 items per month, or need advanced tools, the upgrade is a seamless process.
The only cost is the $39.99/month subscription for the Professional plan, so you’ll start paying only when you make the switch. But remember, the monthly fee applies regardless of your sales—so plan accordingly.
Pro Tip: Once you upgrade, consider using SellerMate’s AI-powered ad optimization to boost your visibility and sales with data-driven decisions.
Let’s understand how you can determine which plan suits your business the best.
How to Determine the Right Selling Plan for You?
Choosing between the Individual or Professional Seller Account is mainly based on how much you plan to sell. Here are some key considerations for determining the best plan for your needs:
Sales Volume: If you’re selling fewer than 40 items a month, the Individual Seller Account may be a cost-effective choice. However, if you aim to grow your sales quickly or want to list more than 40 items per month, a Professional Seller Account will likely be more beneficial.
Growth Potential: The Professional Seller Account offers advanced selling tools, including Amazon advertising and bulk listing capabilities, making it more suitable for scaling your business in the long term.
Budget and Costs: The Individual plan is great for small sellers or those just starting out, as it doesn’t have an upfront fee. If you plan to sell more than 40 items per month, the Professional plan’s flat subscription fee might be more economical.
It’s crucial to assess your sales projections and long-term business strategy before making this decision.
SellerMate’s business reports feature provides customized reports, filter presets, and many more. With infinite data retention, you can gain long-term insights to optimize your ad strategy.
Reasons to Downgrade Your Amazon Seller Account
Although upgrading your account to a Professional Seller account is often a step toward business growth, some sellers may find that downgrading to an Individual Seller Account makes more sense based on their needs. Here are a few reasons why a seller might consider downgrading:
Seasonal Business: If your business is seasonal and you only plan to sell a few items during certain months. It does not make sense to continue paying for the Professional plan if you run a seasonal business.
Lower Sales Volume: Businesses with decreased sales might not choose to list over 40 items per month. Downgrading to the Individual Seller Account could help you avoid the $39.99 subscription fee.
Test Products: Some sellers downgrade their accounts when testing new products or entering a new market. It allows them to keep their costs low while evaluating demand.
Cost Efficiency: If the cost of the Professional plan outweighs the benefits for your current sales level, downgrading can help you streamline your expenses.
Downgrading your Amazon Seller Account from a Professional to an Individual plan can be smart for businesses. It’s essential to evaluate your current business needs and long-term goals to determine if downgrading is the right decision for you. By strategically adjusting your account, you can continue selling on Amazon while minimizing unnecessary expenses.
Steps on How to Downgrade an Amazon Seller Account
If you’ve decided to downgrade your account, here’s how to change your Amazon seller plan from Professional to Individual:
Log into Amazon Seller Central: Start by logging into your Amazon Seller Central account.
Navigate to Account Settings: Go to your account settings in the top right corner.
Select Your Subscription: Under ‘Account Information,’ click on ‘Your Services’ and select the “Change” option for your selling plan.
Choose the Individual Plan: Follow the prompts to switch your plan from Professional to Individual.
Confirm and Save: After confirming the changes, your seller account will be downgraded to the Individual plan.
Important Note: After downgrading, you’ll lose access to advanced features like bulk listings and detailed reports. Be sure to consider the limitations before making the change.
How Will the Plan Downgrade Affect My Seller Account?
When you downgrade to an Individual Seller Account, several changes will occur:
Reduced Access to Tools: You will lose access to tools available only to Professional accounts, such as bulk listing, enhanced reporting, and certain API capabilities.
Advertising Restrictions: You will no longer be able to run ads like Sponsored Products or Brands, which can significantly limit your ability to promote your listings.
Sales Limits: You can list no more than 40 items per month without upgrading your plan again.
Selling Fees: You will no longer have to pay the $39.99 monthly subscription fee but will incur a $0.99 fee per item sold.
Important Reminder: Downgrading won’t affect your current inventory or listings, but you’ll lose access to essential tools for scaling your business.
Summing Up
Choosing the right Amazon selling plan is crucial for your business's success. Whether you're just starting or looking to scale, understanding the differences between Individual and Professional plans will help you pick the best option for your sales volume and business goals.
The individual plan is great for smaller sellers without a commitment to monthly fees. In contrast, the Professional plan offers more tools and flexibility for larger-scale businesses, including access to Amazon FBA and bulk listing options.
One of the major benefits of selling on Amazon is the flexibility to adjust your plan as your business evolves. Start with the Individual plan if you’re testing the market, and easily upgrade to the Professional plan as your sales grow. Conversely, if your sales decrease, you can downgrade to save on fees.
To optimize your advertising, regardless of your plan, SellerMate’s AI-powered platform helps maximize your ROI by streamlining your campaigns. Book a demo today to see how SellerMate can enhance your Amazon selling experience and drive business growth.
FAQs
Q1. Will I lose my listings or inventory if I change my seller plan?
Ans- When switching between seller plans, you will not lose your listings or inventory. The process of changing your seller plan only impacts your account features and fees; your active listings and inventory will remain intact.
Q2. Will switching my plan affect my seller performance metrics?
Ans- Changing your seller plan will not affect your seller performance metrics (such as feedback ratings, order defect rate, etc.). The only difference is in the tools and features available to you, not your seller account standing or performance.
Q3. How long does it take for the plan change to take effect?Ans- The change in your seller plan is usually immediate, and you can access the new features as soon as your plan is updated. For example, if you upgrade to a Professional plan, you will immediately have access to the extra tools and features available for that account type.
Q4. Can I still sell on Amazon while changing my seller plan?
Ans- You can continue selling on Amazon while changing your seller plan. The change will not interrupt your ability to list or sell products; it only impacts the tools available and the fees you are charged.
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