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Amazon Go Local Program Overview
The Amazon Go-Local program is designed to assist sellers in keeping their products closer to customers across the country, facilitating faster product delivery. By participating in this program, sellers can experience a significant increase in sales, reduced weight handling fees, minimized order cancellations and returns, wider brand penetration, and a competitive edge in the e-commerce market.
How Amazon Go Local Program Works?
Amazon is expanding its network of fulfillment centers across India to ensure faster product delivery to customers. This strategic move is aimed at enhancing user satisfaction and retention, particularly in the face of strong competition from major players like Flipkart and Meesho. By prioritizing customer experience, Amazon emphasizes the importance of expedited delivery, prompting sellers to store their inventory in warehouses closer to their customer base. This initiative aligns with Amazon's objective to elevate the visibility of sellers who can offer swift product delivery.
The Go-Local program encourages sellers to maintain their inventory in specific warehouses to enhance visibility within the corresponding clusters. For instance, if a seller stores inventory in the Haryana warehouse, their products gain increased visibility in regions such as Delhi, Punjab, Haryana, and Himachal Pradesh, constituting a designated cluster. Amazon has categorized all states and union territories into eight major clusters to facilitate this process. The clusters are as follows:
Cluster 1 (BLR)
If sellers keep inventory in Bangalore warehouse then, their visibilty will increase in
- Karnataka
Cluster 2 (HRA)
Storing inventory in the Haryana warehouse enhances visibility for the following states
- Delhi
- Haryana
- Punjab
- Chandigarh
- Himachal Pradesh
- Jammu and Kashmir
- Uttarakhand
Cluster 3 (BOM)
Storing inventory in the Bombay warehouse enhances visibility for the following states
- Maharashtra
- Madhya Pradesh
- Dadar and Nagar Haveli
- Diu and Daman
- Goa
Cluster 4 (HYD)
Storing inventory in the Hyderabad warehouse enhances visibility for the following states
- Andhra Pradesh
- Telangana
Cluster 5 (KOL)
Storing inventory in the Kolkata warehouse enhances visibility for the following states
- West Bengal
- Arunachal Pradesh
- Assam
- Chhattisgarh
- Jharkhand
- Manipur
- Meghalaya
- Mizoram
- Nagaland
- Odisha
- Sikkim
- Tripura
Cluster 6 (CHN)
Storing inventory in the Chennai warehouse enhances visibility for the following states
- Kerala
- Tamil Nadu
- Andaman & Nicobar
- Pondicherry
- Lakshadweep
Cluster 7 (AMD)
Storing inventory in the Ahmedabad warehouse enhances visibility for the following states
- Gujarat
- Rajasthan
Cluster 8 (LKO)
Storing inventory in the Lucknow warehouse enhances visibility for the following states
- Bihar
- Uttar Pradesh - Zone A
- Uttar Pradesh - Zone B
Uttar Pradesh-Zone A: All administrative divisions in the state of Uttar Pradesh that are not part of Uttar Pradesh-Zone B.
Uttar Pradesh-Zone B: The following administrative divisions will be considered as part of Uttar Pradesh-Zone B - Ayodhya, Azamgarh, Basti, Devipatan, Gorakhpur, Mirzapur, Prayagraj and Varanasi.
Benefits
- Increased Sales: Sellers who have enrolled in the Go-Local program have seen a significant jump in their sales, with some experiencing five times or more growth.
- Reduced Fees: Sellers can enjoy a decrease in weight handling fees by more than twenty percent as their national shipments become local or regional.
- Cost Savings: Sellers can benefit from reduced weight handling fees by more than twenty percent as their national shipments become local or regional.
- Improved Consumer Experience: By going local, sellers can expect a reduction in order cancellations and returns, resulting in a better consumer experience and improved ratings.
- Brand Penetration: The program offers wider penetration of the seller's brand in various locations, allowing for increased visibility and customer reach.
- Competitive Edge: By participating in Go-Local, sellers gain a competitive edge in the e-commerce market by offering faster delivery times and local availability.
What you need to do to join Amazon Go Local program?
The process of joining the Amazon Go Local program is straightforward. Sellers need to follow these steps:
- Obtain GST Registration: Obtain GST registration for the states where you anticipate receiving more orders or are currently receiving a significant volume of orders.
- Add Amazon FCs as Additional Places of Business: Add Amazon Fulfillment Centers (FCs) of the specific state as additional places of business in the GST registration. This step provides access to the warehouses where sellers can store their inventory.
- Shift Inventory to Designated Warehouses: Once access to the warehouses is secured, sellers need to shift their inventory to these warehouses. Amazon will then increase visibility for those particular areas, and you will start getting more orders.
How theGSTco can help you to join this program
As explained above, getting GST registered in cluster states is mandatory to join this program. TheGSTco is an Amazon-authorized VPOB and APOB service provider. We will assist you in getting GST registered and accessing Cluster FCs with our VPOB and APOB service.
Process of getting VPOB & APOB registered
STEP 1: Discuss with our Experts
Get in touch with our Experts via Call, Whatsapp, Email and Share your Requirements
STEP 2: Finalise Quote
Get an Email Quote of VPPOB and Process Payment
STEP 3: Complete VPPOB KYC
Share Company Documents with our Team and Complete Agreement Signing and Documentation as per Government Norms
STEP 4: PPOB GST Application
Once Documentation is complete, our team will apply for GST in Cluster states
STEP 5: Amazon Addition
Post GSTN Approval, our team will process Additional Place of Business Amendment
Required Documents for VPOB
Nature of Document | Proprietorship | Partnership | Private Limited |
---|---|---|---|
PAN | Yes | Yes | Yes |
Address Proof | Yes | Yes (of Partner) | Yes (of Director) |
Photograph | Yes | Yes (of Partner) | Yes (of Director) |
Cancelled Cheque | Yes | Yes | Yes |
MOA, AOA, COI | No | No | Yes |
Board Resolution | No | No | Yes |
Authorised Signatory Letter | No | Yes | Yes |
Partnership Deed | No | Yes | No |
FAQs
To join the Amazon Go Local program, sellers need to obtain GST registration in the cluster states and add Amazon FCs of the specific state as additional places of business in the GST registration.
TheGSTco, as an Amazon-authorized VPOB and APOB service provider, can help sellers get GST registered and access Cluster FCs with their VPOB and APOB service.
It's mandatory to get GST registered in cluster states, as your visibility will increase for the states that come under that cluster.
By participating in the program and strategically placing their inventory in specific warehouses, sellers can enhance their sales potential, optimize operational efficiency, and improve customer satisfaction through faster product delivery.