The common question people ask on the internet is whether they can sell Meesho products or not. Questions like how to sell on Meesho without GST or whether one can sell on Amazon are seen pretty often.
The answer is both yes and no for Amazon. Yes, because one can sell anything on the Amazon platform. No, because Amazon’s policies are stringent, and one can violate them if they try to sell Meesho products on the Amazon platform. This review will understand how meesho works and Amazon’s policy regarding Meesho.
What exactly is Meesho online shopping?
For people who are not familiar, Meesho is a reseller app that allows one to sell products on this platform with nil start-up investment. Manufacturers or sellers list their products on the Meesho App with the Maximum Retail Price (MRP) and wholesale price. A reseller registered with the Meesho app can choose any product and then market them at a marked-up price subject to a maximum of MRP and earn commission or profit on the sale. A reseller does not have to maintain an inventory, have storage capacity or take shipping responsibilities.
Modus operandi of Meesho App
- A manufacturer or supplier can register with the Meesho platform as a seller. Once the registration is complete, the virtual store becomes operational, and the seller can list their product along with the selling price and sell on Meesho.
- Resellers registered with Meesho can browse through the different product categories and, if they are interested in dealing with any products, share them with other websites, on WhatsApp, and through social media platforms.
- A reseller can share the product description and image with the price at a profit margin than the selling price listed by suppliers on Meesho.
- Any buyer who is interested in the product can message the reseller. The reseller processes the order on the Meesho site and states the price the customer is buying from him /her. This price difference is the profit or commission and provides the customer address.
- After receiving the order from the reseller, the seller processes the delivery and informs Meesho to pick up the item.
- Meesho picks up the item and delivers it to the customer with an invoice containing the price quoted by the reseller.
- Customer pays Meesho on delivery. Meesho, after keeping its commission, pays the price of the product to the seller and pays the reseller their profit.
In the entire transaction, the reseller only promotes the products listed on Meesho. Before reselling, it does not have to invest any capital or buy the items first.
Does a reseller need GST registration on Meesho?
One must have a GST registration if their annual turnover is INR 20 lacs or above in certain specified states or INR 40 lacs or above in general. GST registration is not required if one business does not exceed this limit. So, if a reseller has a GST registration, they will be asked to share on Meesho.
How to sell on Meesho without GST?
A seller or reseller can sell without GST on the Meesho platform if their annual turnover does not cross the threshold limit of INR 40 lacs or 20 lacs, whichever is applicable.
How to sell Meesho products on Amazon?
Yes, it is possible, but one should avoid doing so! Though Amazon allows drop shipping, there are certain conditions like brand authorization and proper invoicing from the reseller. Many resellers are drop shipping as third-party sellers on Amazon. Still, they risk getting penalized or getting their account suspended in Amazon happens to ask for proper documentation from the reseller.
It is not feasible to sell Meesho products on Amazon because resellers would require the following:
- Reseller invoice and brand authorization to sell a particular product.
- Shipping can get delayed as the reseller will first have to get the products from the Meesho seller, then repackage under their name and invoice and then ship it to the Amazon customer. Delays may lead to cancellations, and multiple cancellations are bad for Amazon account.
- Due to time constraints, getting products from Meesho and then delivering them to Amazon customers may not allow the reseller to check the product quality. Complaints of poor quality make lead to the account getting penalized.
In conclusion, while it is a great idea to be a reseller with Meesho and use multiple channels for sale, one should avoid selling Meesho products on Amazon.
Also Read: Meesho App: What Kind of Application Is It?