February 9, 2024
Annual Vendor Negotiations (AVNs) are a critical part of the Amazon business for 1P consumer brands, as they have important financial implications and set the stage for the year ahead.
One component of Stratably’s 5-Step Framework for Navigating AVNs is to understand your business metrics and performance, ideally in the broader context of how things are changing over time and how your metrics stack up to others. The deeper (and more data-driven) your understanding is, the more prepared you will be for AVNs.
To support this effort, Stratably and Consulterce teamed up on a benchmark study of 100 consumer brands selling 1P to Amazon – 72 of which are either in the midst of 2024 AVNs right now or have already closed negotiations.
The report details the survey results spanning real-time AVN dynamics, quantitative trade terms, and broader profitability trends and initiatives for the Amazon account.
- The current status of 2024 AVNs
- Brands and Amazon’s pricing plans are at odds
- Current trade terms with Amazon and expectations for 2024
- AVNs don’t have to result in lower margins for brands
- Fundamental levers for a profitable Amazon business
- Stratably’s Amazon Competitive Edge Diagram
- Additional resources on Amazon profitability & AVNs
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