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Getting used to the Amazon lingo can be quite an adjustment for anyone selling on the marketplace for the first time. From the strange acronyms to the not-so-obvious abbreviations to the mouthful terms and terminologies, it can be a jungle out there.

To help you not get lost and successfully navigate the ins and outs of your ecommerce adventures, we’ve compiled this ultimate Amazon seller glossary. It contains all the important Amazon business terms that you might come across at different points of your selling journey.

The best part is this glossary of terms is updated regularly. So, you don’t ever have to worry about missing out on any new vocabulary that gets added to the official Amazon list.

We recommend bookmarking this page for easy access in the future. 🙂

A

A+ Content (formerly known as EBC)

A premium feature that enables brand owners to create compelling listing content using high-quality images, engaging videos, creative text fonts, and professional templates. 

A9

The company that develops Amazon’s search and advertising technology. 

A10

An industry-adopted term for the most recent (2020) Amazon core algorithm update. 

A/B Testing

An analytical method used for testing two different variations of the same product listing to optimize for clicks, conversions, and sales. 

Account Health

An indicator of how well a seller is doing complying with Amazon’s policies and performance targets.

ACoS (Advertising Cost of Sales)

ACoS is the ratio of how much you spend on sponsored ads for every dollar you make in sales. It is expressed as a percentage and is one of the most important metrics for measuring the efficiency of an ad campaign.

Ad Daily Budget

The average daily budget you set for an ad group.

Ad Impressions

The number of times buyers see your ad on Amazon.

Ad Spend

The total amount spent on ads in a given time period.

Ad Sales

The total number of sales generated in a week against an ad campaign on Amazon. 

Ad Targeting

An option available in the Amazon ad settings that allows you to choose between manual and automatic keyword targeting.

Ad Status

Describes the current status of an ad group: paused, ended, running, archived, scheduled, incomplete, out of budget, or failure.

Alibaba.com

A Chinese B2B online marketplace used for sourcing products for Amazon.

Alibaba Assessed Supplier

A verified supplier, manufacturer, or wholesaler on Alibaba.com. These suppliers are assessed by leading third-party inspection companies such as SGS, TüV SüD, and Bureau Veritas.

Alibaba Gold Supplier

A premium supplier, manufacturer, or wholesaler on Alibaba.com. Gold suppliers pay an annual fee to Alibaba.com to maintain their Gold membership. 

Alibaba Trade Insurance

A free service that covers Alibaba.com buyers in the event of quality or shipping-related disputes with the suppliers.

AMZ (Amazon)

A commonly used abbreviation for Amazon.

API

Application programming interface or API is a piece of code that allows you to connect two different applications together for reporting or other operational purposes.

ASIN

ASIN is an acronym of Amazon Standard Identification Number. It is a string of alphanumeric characters that helps with product tracking and identification across the Amazon supply chain. Every item sold on Amazon has a unique ASIN assigned to it. 

A-to-Z Guarantee

A type of claim that Amazon customers can file to obtain a full refund on their purchase against late deliveries, wrong order receipts, or damaged shipments. 

Amazon Attribution

A feature that allows sellers to measure and track the impact of their external marketing campaigns on their Amazon sales.

Amazon Marketing Services

Amazon Marketing Services (AMS) is a former set of Amazon advertising tools that helped vendors and sellers run and manage ads on the Amazon marketplace. The service was rebranded to Amazon Advertising in 2018, alongside Amazon Media Group and Amazon Advertising Platform.

Amazon’s Choice

A special badge bestowed to a product that Amazon finds as the best fit for a specific search query.

Amazon Prime

A paid subscription program on Amazon that allows customers to avail special services such as same-day delivery, exclusive discounts on purchases, and access to premium music, video, audio, and reading content.

Automatic Targeted Ads

Types of Sponsored Product Ads that run on auto and don’t require any keyword inputs from the seller. 

Amazon Associate Program

An Amazon affiliate marketing program for bloggers and website owners.

Advanced Shipment Notification (ASN)

An electronic notification sent to Amazon to confirm a delivery slot for an inbound shipment.

Average Selling Price (ASP)

It is the average amount of money you generate per unit sale.

Average Order Value (AOV)

The average amount a customer spends per order when shopping from your store.

Amazon Vendor Services

A paid support-service program for vendors that help them better manage their business operations on Amazon.

Amazon Store

A feature that allows brand-registered sellers to set up a dedicated online storefront for free. 

B

B2B

A type of business model where one business sells a product or service to another business.

B2C

A type of business model in which businesses sell services or products directly to consumers. 

Bid+

An option on Amazon that allows you to increase your ad bid up to 900% for both top of search and product detail placement auctions.  

BOGO

Buy One Get One or BOGO is a promo code on Amazon that allows you to offer two different products to your customers for the price of one. 

Brand

The label under which you sell a product on Amazon.

Brand Registry

Brand Registry is a program that protects Amazon sellers from hijackers and counterfeiters.

BSR (Best Sellers Rank)

A score assigned by Amazon to a product based on its past and present sales data. The higher the sales of a product, the lower its BSR.

Buy Box

The white-colored widget present on the right side of an Amazon product detail page that allows customers to make a purchase or add a product to their shopping cart.

Bid

The amount you’re willing to pay to display your ads on Amazon.

Brand Analytics

A premium feature that offers valuable insights and tools to help brand owners make informed business decisions.

BMVD (Books, Music, Video & DVD)

A category for books, music, videos, and DVDs sold on Amazon.

Browse Node

A numeric code that sorts and identifies a given product category inside Amazon. Every category has a unique browse node.

BISS (Business Industrial and Scientific Supplies)

A category for industrial and scientific supplies sold on Amazon.

Bundle

A bundle is a group of closely related products assembled and sold in a single package. Each item in a bundle has its own ASIN. Read more about Amazon bundles here.

Bar Code

A machine-readable optical label that helps in identifying and tracking inventory during different stages of the fulfillment process.

C

Category

A product segment on Amazon containing items with shared attributes and uses.

Cost of Goods Sold (COGS)

Cost of goods sold or COGS is the sum of all direct expenses incurred in manufacturing a product. It includes the cost of material, labor, and factory overheads. 

CPM (Cost Per Thousand Impressions)

It is the cost you pay for every thousand ad views on Amazon.

Customs Clearance 

The process of obtaining permission from customs authorities to import or export goods from a country.

Coupons

These are discount tokens that Amazon customers can use to save money on their purchases. Sellers distribute coupons to increase their product sales.

CTR (Click-through-rate)

The number of clicks an ad generates against the total number of impressions it receives.

Child Listing

A variation listing selling the variation of a parent product. This variation can be of color, size, dimensions, pack size, flavor, design, etc.

Conversion Rate (CR)

The percentage of visitors who actually buy your product after clicking on your listing.

CPC (Cost-Per-Click)

It is the amount of money you pay every time someone clicks on your ad.

Climate Pledge Friendly

An Amazon Program that aims to help consumers find sustainable and green products on the Amazon marketplace.

Chargeback

A payment reversal order issued against an incomplete delivery, incorrect multiple transactions, or any other pending issue that the customer may have with the seller.

D

DDP (Delivery Duty Paid)

A shipping agreement where the supplier takes complete responsibility for handling all the costs and risks associated with transporting the inventory to the destination. 

Dropshipping (DS)

It is a type of business model on Amazon wherein you list products on your account but don’t invest in the actual inventory. When a customer places an order, you ask the supplier to ship the product to the customer, and in return, you take your cut. 

Duty Tax

The tax paid on the import of goods.

DSP (Demand Side Platform)

An Amazon-owned ad platform that enables sellers to buy display, audio, and video ads on Amazon partner sites and apps. 

Deals of the Day

A page on Amazon that shows the best daily discount deals for products in different categories.

Display Ads

Sponsored Display Ads, or simply Display Ads, are ad types on Amazon that help brands promote their products off Amazon using customer-based targeting strategies.

E

EAN (European Article Number)

A 13-digit universal, standardized barcode used for identifying products in the global trade system. 

Early Reviewer Program

A former incentivized review program on Amazon that helped new sellers acquire authentic product reviews from customers. The ecommerce giant discontinued the program on April 25, 2021.

EXW (EX Works)

A shipping agreement in which the buyer handles the complete transportation of the inventory from the supplier’s point of origin. [See DDP]

EBC (Enhanced Brand Content)

The old name of Amazon A+ Content.

Easy Source

A ZonGuru product sourcing tool that helps you find reliable suppliers on Alibaba.com.

F

FBA (Fulfilment By Amazon)

A fulfillment solution provided by Amazon to third-party sellers where the company handles the complete order fulfillment process on behalf of the seller. 

FBM (Fulfilment By Merchant)

A fulfillment method where the seller assumes full responsibility of their fulfillment process, including storage, packaging, and shipment.

FBA Fees

The fee Amazon charges for picking, packing, and shipping services under FBA.

Fulfilment Center (FC)

An Amazon warehouse where FBA sellers send their products for storage, packaging, and shipment.

FFP Program

FFP or Frustration-Free Packaging Program is an initiative by Amazon that promotes sustainable packaging. 

Fast Track

An Amazon operations team focused on improving the customers’ shopping experience.

Fill Rate

It is the success rate percentage of completed deliveries against stock-outs, backorders, or lost sales.

FCA (Free Carrier Agreement)

A shipping agreement where the supplier is responsible for the transfer of goods to a pre-designated carrier.

First Party Sellers (1P)

Manufacturers or distributors who directly work with Amazon to sell their products through the Vendor Program.

FNSKU (Fulfilment Network Stock Keeping Unit)

Also called Product ID, it is used to identify a product to a seller.

FOB (Free on Board)

A shipping agreement where the Amazon seller bears all the responsibility of transporting the goods once they are loaded on board.

Freight Forwarder

A company that provides shipping services to businesses.

File Feed

A bulk upload option on Seller Central that allows you to create or edit product listings and update variations.

G

Gated Category

A restricted category for which you need to take approval from Amazon to list items.

Giveaway Promo

A feature that allows sellers to set up promotional giveaways to boost their sales.

Gross Profit

The profit you make on sales after deducting the cost of goods sold. 

GTIN (Global Trade Identification Number)

A unique 14-digit universal code used to identify trade items across different product databases.

Gateway Placement

A type of ad placement on the Amazon marketplace homepage, just below the fold. 

Global SKU

An SKU that is a part of a shared inventory pool between different marketplaces.

Gated Brand

A restricted brand on Amazon. Sellers need to submit an authorization letter or invoice from the brand to sell its products on Amazon.

H

Hazmat

These are hazardous items. Examples include flammable and non-flammable gases, solids, and liquids. You can only sell them through the Amazon Dangerous Goods Program.

Hijacking

A situation where an unethical seller attaches to a brand’s listing and starts selling its products, causing the brand to lose the buy box.

Headline Search Ads

Headline Search ads (also called Sponsored Brand ads) are types of ads that allow brands to showcase their products on the top of the search results pages.

Hidden Keywords

Backend keywords that boost product visibility in search and help drive more sales. 

I

ISBN (International Standard Book Number)

A 10 or 13-digit identity number assigned to individual books, ebooks, or audiobooks. You can use ISBNs to list products on Amazon.

Inventory

Stock of goods you have available to sell on Amazon.

Inventory Health

An Amazon-generated report that gives sellers a complete breakdown of their inventory, including stock in hand, total unsellable quality, inventory age, and more.

Inventory Performance Index (IPI)

A measure of how well sellers manage their inventory. The score combines 90 days sales, costs, and inventory levels. If the IPI is below a certain threshold, sellers are subjected to storage limits and selling restrictions.

IP (Intellectual Property)

Any intangible property such as name, image, or product design that is legally protected by law from unauthorized use.

Individual Seller

A seller selling on an Individual plan on Amazon.

K

Keywords

The words or phrases buyers use to search for products on Amazon.

Keywords on Fire

A ZonGuru listing optimization tool that helps you find unique keywords for your product listing.

Keywords Spotlight

A ZonGuru listing optimization tool that helps you extract backend keywords from your competitors’ listings.

L

Landing Cost

The final cost of acquiring a product.  It includes manufacturing costs, freight charges, bank charges, etc.

Lightning Deals

Promotional deals on Amazon available for a limited time. Sellers offer Lightning Deals to increase their product sales.

Long Tail Keyword

High intent search terms, typically three or more words long.

Launchpad

A support program designed for sellers with less than $5 million in sales. It provides up and coming brands with innovative resources to help them increase their visibility and reach on the Amazon marketplace. Learn more about the Amazon Launchpad program in our Amazon Launchpad guide.

Long Term Storage Fees (LTSF)

Charges accrued by FBA sellers that have a year-old inventory sitting in Amazon’s fulfilment centers.

Listing

Product information page on Amazon.

Listing Optimization

The process of improving product detail pages to help them rank higher in search for relevant keywords. Check out our Listing Optimization guide for more details. 

Lost Buy Box (LBB)

A situation where a seller loses the buy box to another seller because of a higher price, fewer reviews, or an out-of-stock inventory. 

Love Hate

A ZonGuru product research tool that scrapes out commonly used keywords from every positive and negative review for a selected ASIN.

M

MAP (Minimum Advertised Price)

The minimum price at which resellers can sell a product on Amazon.

Manufacturer Fulfilment Network (MFN)

Another name for FBM.

Manual Campaign

An ad campaign where you select specific keywords to target.

MSRP (Manufacturer’s Suggested Retail Price)

The list-price of an item as recommended by the manufacturer.

MCI (Multi Country Inventory)

A fulfillment option that allows sellers to send their inventory to FBA in multiple countries of their choice.

Match Type

Keyword targeting settings that allow you to optimize your ads to show against eligible search terms only.

Minimum Order Quantity (MOQ)

The minimum number of units you must purchase to place a product order with a manufacturer.

Marketplace

The Amazon marketplace provides a platform to merchants to sell new or used items. Currently, there are 18 marketplaces on Amazon. The US is the largest Amazon marketplace.

Marketplace Facilitator Law

A legislation that obligates Amazon to collect and remit sales tax on behalf of the sellers. However, not all states follow marketplace facilitator laws.

N

Net Profit

The profit remaining after subtracting all working expenses.

Negative Keywords

An option on Amazon that lets you exclude specific keywords from your ad campaigns.

Niche Finder

A ZonGuru product research tool that helps you find profitable niches using different filters.

Niche Rater

A ZonGuru product research tool that helps you analyze a niche in terms of sales, competition, profitability, demand, and investment requirements.

O

Online Arbitrage (OA)

A business model in which you buy low-priced items from other online retail sites and resell them for a profit on Amazon.

OOS

An acronym for Out of Stock.

Order Defect Rate (ODR)

A performance metric used to analyze a seller’s services based on their number of negative reviews, A-to-Z Guarantee Claims, and returned or refunded orders. 

P

Pan EU

Pan EU is a specialized FBA program that allows sellers to sell in multiple Amazon European marketplaces hassle-free. Sellers send their products to an Amazon fulfillment center in the EU. Amazon then distributes these products across different European countries based on where it thinks they would sell well, generating additional sales for the sellers.

PL (Private Label)

A business model in which a seller sources a product from a manufacturer or a supplier and labels and sells it under their brand name.

PPC (Pay-Per-Click)

An advertising model where sellers pay a fee to Amazon every time a customer clicks on one of their ads. There are three types of PPC ads: i) Sponsored Products, ii) Sponsored Brands, and iii) Sponsored Display Ads.

Parent Listing

A placeholder listing on Amazon that showcases different variations of a product.

Product Detail Page

Another name for product listing.

Product Hunting

The process of finding viable products to sell on Amazon.

PPV (Product Price Variance)

The difference between the standard price of an item and its actual purchase price.

Professional Seller

A seller selling on a Professional plan.

Page Views

The total number of visits on a listing in a given time period.

Q

Q1

First quarter of a financial year; runs from January to March

Q2

Second quarter of a financial year; runs from April to June

Q3

Third quarter of a financial year; runs from July to September

Q4

Fourth quarter of a financial year; runs from October to December

R

Retail Arbitrage (RA)

A business model in which you buy clearance items from physical retail stores and resell them for a profit on Amazon.

Referral Fee

A fee charged by Amazon every time you make a sale. It is calculated as a percentage of the selling price and can vary anywhere between 8% and 45% depending on your product category.

Revenue

Total income generated from the sale of products.

RFQ (Request for Quote)

A process where you ask for quotations from different manufacturers before placing an order.

Return on Investment

A measure of how profitable your investment has been over a given time period.

Repricing Software

A pricing tool that automatically adjusts product prices to help sellers win the buy box.

Return on Ad Spend (RoAS)

RoAS is the ratio of how much money you generate in sales through ads for every dollar you spend on an ad campaign. It is the opposite of ACoS.

Returns

Returns are orders that are sent back by customers.

Return Rate

It is the ratio of the number of returned orders to the total number of orders shipped.

Rating

An indicator of how popular a product is on Amazon. It is measured on a scale of 1 to 5 stars, with a 1-star rating being the lowest.

Reviews

Feedback on the product left by customers.

Replenishable Items

Consumable items that constantly sell on Amazon.

S

Sample

A test article ordered from the supplier to inspect for quality and compatibility.

Seller Central

A web interface designed for third-party (3P) sellers that allows them to manage and sell their products on Amazon. [See Vendor Central]

Seller Feedback

Amazon customers can leave performance feedback for sellers, called Seller Feedback.Do not confuse these with Reviews.

SEO (Search Engine Optimization)

The process of improving your listing’s performance in search.

Seller Fulfilled Prime (SFP)

An Amazon-managed program that allows FBM sellers to serve Amazon Prime members.

SKU (Stock Keeping Unit)

A unique identifier code that a seller assigns to their product when creating a listing on Amazon. 

Sponsored Ad

An advertising solution provided by Amazon that allows sellers to promote their products on a pay-per-click basis.

Storefront

See Amazon Store

Sponsored Brands

Another name for Headline Search Ads.

Sponsored Products

A popular ad type that uses keyword targeting to promote products.

Sponsored Brand Video Ads

A recently launched feature on Amazon that allows brand owners to showcase their products using compelling visuals to create an impact on the customers and ultimately boost conversions.

Search Volume

The average number of times a keyword is searched for on Amazon. It is usually calculated over a period of 30 days.

SnL (Small and Light)

A program that allows sellers to sell small and lightweight items on Amazon using FBA.

Sessions

Unique visits to your product detail pages during a given time period.

Shipping Plan

An inventory management proposal containing details of the items to be shipped to Amazon.

T

Third-Party Sellers (3P)

Individuals or businesses that sell new or used products directly to customers on Amazon.

TOS (Terms of Service)

A set of rules specified by Amazon that sellers must comply with when selling products on Amazon.

Third-Party Logistics Company (3PL)

A company that assists sellers in handling their fulfilment operations.

U

Unverified Reviews

Reviews left by customers who purchase a product at a discounted price or buy it from outside Amazon.

UPC (Universal Product Code)

A 12-digit universal, standardized barcode used for identifying products in the global supply chain.

Unit Session %

The number of units sold of an ASIN divided by the number of sessions that ASIN received in a given timeframe. 

V

Vendor Central

An invite-only web interface designed for vendors to facilitate them manage and sell their products on Amazon.

Vendor

These are first-party (1P) sellers that sell their products in bulk to Amazon, which then relists those products as a distributor and sells them under its brand name.

VA (Virtual Assistant)

Amazon VA is a person who remotely assists you in running your Amazon business. You can hire them for the long term, part-time, or for a specific project. VAs can help you with many different tasks, including product hunting, product sourcing, listing creation, launching and ranking, or daily account management. 

Verified Reviews

Reviews generated in response to legitimate purchases made on Amazon.com. [See Unverified Reviews]

Variable Closing Fee

A fee associated with media products, including books, music, video, DVDs, software, video game consoles, video game accessories, and computer and video games.

Vine

The Vine is a product review program managed by Amazon, which helps sellers solicit reviews from best-ranked reviewers on Amazon for their new or pre-released products.

VAT (Value Added Tax)

An indirect consumption tax levied on the sales of goods and services. Almost all industrialized countries, except the US, collect VAT from sellers.

Variations

Variations on Amazon are sets of related products. These products share the same attributes and uses but may have different design, color, size, etc.

W

Wholesale

A business model where you buy products in bulk from brands (or their authorized suppliers) and sell on Amazon.

White Label

Similar to Private Label manufacturing but with limited customization scope. 

Warehouse Deals

Amazon Warehouse Deals, or simply Warehouse Deals, is a catalog of assorted products on Amazon.com that offers special discount deals to customers on used, refurbished, returned, damaged, and open box items.


Conclusion

We’re glad you made it to the end. Hope you found the Amazon glossary of terms, acronyms, and abbreviations helpful. 

Get your hands on another great resource and learn practical selling tips and advanced launch and ranking strategies from the industry masterminds in our Amazon Business Live Training

Customize the training based on your current level of expertise. Never miss any sessions, thanks to YouTube recordings. And, get a free, no commitment 7-day ZonGuru trial with complete features as a bonus. Sign up today to get started!

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