Selling on Amazon is a popular way to start an online business, but it requires a lot of research that takes a lot of time and effort. So, after hours of hard work to find the right products, imagine your disappointment if you find that your sought-after, low-competition, high-margin product falls into one of Amazon’s limited categories.
You may think that in such a case it’s best to leave Amazon’s limited categories alone and avoid the hassle, but if you’re an Amazon seller willing to put in the hard work, the sales opportunities will be huge!
Keep in mind that other sellers may be put off by the thought of the extra work involved in getting approval for an Amazon limited category.
The reason is that you’ll have to go through some pretty big hurdles to sell in Amazon’s limited category, and this will scare off a lot of potential sellers – but it’s actually the key to success. You can grab the opportunity to succeed where many others simply won’t bother!
What are Amazon’s limited categories?
Amazon’s limited categories are exactly that. Entire categories that have Amazon “gatekeepers” in them.
Often referred to as “closed categories, “ restricted categories are defined by Amazon for reasons that are different for each category, and as you might guess, only Amazon itself has access to these determining factors.
The good news is that Amazon no longer restricts entire categories as it used to, but only applies restrictions in certain subcategories and niches. That’s why if you look at the list of restrictions, you’ll see that it seems like the list of restricted categories is relatively small, yet the list of restricted products is quite large.
It’s important not to confuse restricted categories with restricted products. You may potentially want to find a product that seems to fall into a restricted category, but if the product itself isn’t actually restricted, you can include it in an alternative category with a little imagination and creativity!
If you think about it, products can often fit into more than one category. For example, a hula hoop might fit into the Toys and Games category, which is seasonally restricted, but it can also be sold in the Sports and Outdoor Recreation category, which is not restricted! This is the first thing you should consider, as you may not need to get a category permit if the alternative works just as well for your product.
The bad news is that if there are no potential alternative categories for your product and you need to sell in a restricted category, then unless you apply and get approval directly from the powers that be at Amazon, you can’t get there!
What are the restricted categories on Amazon?
To warn you and give you an idea of what you might encounter before you start searching and picking up a product, here are the categories that are currently restricted on Amazon, according to Amazon.com’s listings:
- Collectible Coins
- Personal safety and home goodsEntertainmentCollectibles
- Fine Art
- Toys and games (holiday sales requirements apply)
- Jewelry
- Join Amazon Handmade
- Join Amazon Subscription Boxes
- Made in Italy
- Music & DVDs
- Cars & Motorcycles
- Services
- Sports collectibles
- Streaming Media Players
- Video, DVD and Blu-ray
- Watches
If you’d like to see which categories you’ve been authorized to sell in, simply log into your Seller Central account and do the following:
- Click “Inventory”
- Select “Add Item.”
- Click “Sales Order Status”
This will show you all the categories you are allowed to sell in.
Why does Amazon have restricted or closed categories?
You’ll notice that all of the restricted categories listed above are niches with high profit potential. This is why Amazon wants sellers to be pre-screened before they put items up for sale.
As the number of Amazon sellers increases, so does the risk of illegal sellers and low-quality products. Therefore, by setting limits on categories, Amazon can control standards and ensure that genuine products are sold by reliable and trustworthy sellers.
This protects customers, allowing them to buy with confidence, and Amazon avoids risking its reputation by selling fake or low-quality products.
How to get Amazon category approval
Category approval requests on Amazon are usually not too complicated, but they can take a bit of time to process. In some cases, when you submit an approval request, you may be approved automatically. This can happen if you have been selling on Amazon for some time and have a good reputation, rather than being a complete newbie.
So, the first thing you should do is log into your Amazon Seller Central account, check for product restrictions, and then submit an approval request:
- Go to your Seller Central account and click on inventory
- Select “Add Product.”
- Find the product you want to sell
- If it comes back as restricted, click “Apply Listing Restrictions”
- Click “Request Approval”
If you get an immediate response that your request has been approved, then you’re happy, and yes, it really can happen!
If not, you’ll be asked to provide additional information, which can be more confusing. You’ll likely be required to provide detailed wholesale invoices, as well as information about your business and your products.
Amazon will use the invoices you provide and additional criteria to make an informed decision on whether they will grant you access to the limited category.
Additional criteria may include:
- Order reject rate below 1%
- Pro-seller plan
- Account in good condition
- Sales history of at least 3 months
- Return address in the country you are selling in or providing free shipping
- Customer service support in the local language
If you are asked to provide invoices, this is solely so Amazon can verify that you are a legitimate seller, so you will need to purchase wholesale invoices for an item that fits into a restricted category.
If you’re currently selling a product that fits the restricted category elsewhere, you’ll already have this information on hand. But if you are about to purchase a new product and are concerned that you will have to purchase the item before you know whether or not it is eligible for a restricted category, don’t worry, because there is an easy way around this problem.
Top tip: your invoice doesn’t have to be for the product you ultimately want to sell, just get a wholesale invoice for any product that falls into a closed category.
Here’s what you need to do in three easy steps:
Step 1: Create an account with a wholesaler
You need to make sure that the address you register with the wholesaler matches the information in your Amazon account.
Step 2: Place a wholesale order and receive a commercial invoice
From the limited Amazon category you want to sell in, select three different products that are already for sale in that category. Place an order for 10 units of each from your wholesaler. When you purchase these products, you will receive an invoice. You may not even be selling these products on Amazon, this is just an exercise in knowing how to provide a qualified invoice.
Top tip: Your commercial invoice should contain the following information:
Vendor information, including name, phone number, address, and website.
Information about your business that matches your Amazon seller account information.
Step 3: Scan and copy the invoice
You now have proof of the legality of your wholesale purchase and product, and you can provide Amazon with the official original invoice. The easiest way to do this is to take a picture of the invoice and submit it via the form they will provide. Do not make any additions to the invoice. To be more convincing, take some photos of the items when they are delivered to show Amazon that you have the item ready to sell.
Then all that’s left to do is wait for Amazon’s response, which can take anywhere from a few hours to a few days.
It should be noted that it is not uncommon for Amazon to deny access to a restricted category without explanation. If this has happened to you, don’t get discouraged, but keep trying. You may have to be persistent and continue experimenting with different wholesalers or try to increase your seller metrics until you get approval.
Related: How to sell wholesale on Amazon
Getting approved in Amazon’s limited categories: Questions and answers
I receive items from China, can I use these invoices?
You can certainly try to do this. However, Amazon rarely accepts invoices from Chinese suppliers, so it is best to avoid this if possible.
Once authorized, will I be able to sell items received from the wholesaler to whom I provided the invoices only in the ungated category?
No, Amazon will not review your invoices after initial approval. You can buy items for resale from any authorized supplier.
I am an aspiring seller. Will I be able to get approved in the limited category?
You can only try! Unfortunately, not having a reputation or history will make it harder for you to get approved, but the process will be exactly the same, so it’s always worth a try.
Can I submit a retail receipt instead of an invoice?
No. You must provide an official commercial invoice.
How likely am I to be approved?
Unfortunately, there is no guarantee. Some Amazon sellers have to apply several times before they get approved, and it’s often difficult to understand why approval hasn’t been granted, so it’s worth keeping trying.
What is the difference between categories, brands and restricted items?
Here’s the basic layout:
- Restricted categories are entire categories of products, and sellers must get permission to sell any product in that category.
- Restricted brands are brands (usually well-known brands like Adidas, for example) that third-party sellers can’t sell on Amazon.
- Restricted items are certain types of products, such as some children’s toys, that Amazon sellers will need additional permission to sell.
Final thoughts
You may wonder if getting permission for Amazon’s restricted categories is really worth all the effort, since it’s such a complicated process. Sure, restricted categories can be frustrating, confusing, and time-consuming. However, once you’re authorized, you’ll have a distinct advantage over other Amazon sellers who couldn’t get the restrictions lifted or don’t even try to enter restricted categories.
Selling in restricted categories can be a powerful strategy to really set yourself apart from other Amazon sellers while facing less competition. So, if you’re willing to step outside your comfort zone and set a challenging goal, the rewards are high.
There is a large audience waiting for you in the categories you manage to access, and if you take advantage of this wider reach, your visibility will increase. Ultimately, more visibility means more sales and more profits, so the rewards are worth the effort when you finally get permission to access Amazon-restricted categories.