Guide · Choosing an Amazon program
Amazon offers a brand three different ways to sell the same product: as a third-party seller on Seller Central, as a first-party supplier shipping to Amazon warehouses on Vendor Central retail, or as a first-party dropship supplier shipping to the customer through Vendor Central Direct Fulfillment. They differ in who owns the inventory, who sets the price, how orders arrive, how you get paid, and what your warehouse has to do each day. This page lays those differences side by side and shows how brands run two or three at once.
The one question
Everything else on this page follows from one distinction. On Seller Central you are the merchant of record: the customer buys from you, on Amazon’s site, and Amazon takes a referral fee. On both Vendor Central programs Amazon is the merchant of record: the customer buys from Amazon, and Amazon buys from you at a wholesale cost. Retail and Direct Fulfillment differ only in where the inventory sits when the customer clicks. In retail it is already in an Amazon fulfillment center on a purchase order Amazon placed weeks ago. In Direct Fulfillment it is still on your shelf, and the customer’s order becomes a purchase order to you in real time.
Side by side
| Seller Central (3P) | Vendor Central retail (1P) | Direct Fulfillment (1P dropship) | |
|---|---|---|---|
| Merchant of record | You | Amazon | Amazon |
| Who sets the retail price | You | Amazon | Amazon |
| Who owns inventory at sale | You (in FBA or your warehouse) | Amazon (bought on PO) | You, until it ships |
| How orders arrive | Customer orders via SP-API Orders | Wholesale POs, often weekly, by SKU and quantity | One PO per customer order, continuously |
| Who ships to the customer | Amazon (FBA) or you (FBM / SFP) | Amazon from its FC | You, on an Amazon-issued label |
| Shipping label and carrier | Yours, or Buy Shipping | Inbound freight to FC, routing by Amazon | Amazon’s carrier account, method chosen per PO |
| Customer service and returns | You (FBM) or Amazon (FBA) | Amazon | Amazon handles the customer; returns route per your DF settings |
| How you get paid | Settlements every 14 days, less fees | Invoice against PO, negotiated vendor terms | Invoice per shipped PO, negotiated vendor terms |
| Main costs | Referral fee (typically 8 to 15% by category), FBA fees, ads | Wholesale margin, co-op and allowances, chargebacks | Wholesale margin, co-op, DF chargebacks |
| Entry | Open registration | Invitation from Amazon | Invitation, usually alongside a retail relationship |
| Listing control | You write and own the listing | Amazon controls; A+ content via Vendor Central | Same as retail |
| Prime badge | FBA or Seller Fulfilled Prime | Yes | Yes, on Amazon-managed shipping |
| Daily warehouse work | Pick, pack, ship (FBM) or send inbound to FBA | Pack POs to Amazon routing and ASN rules | Pick, pack, ship to consumers on DF clocks |
| Data access | SP-API Seller endpoints | Vendor Retail Procurement APIs or EDI | Vendor Direct Fulfillment APIs (RDT) or EDI |
Seller Central
Seller Central is the right program when you need control: over price, over the listing, over which units sell where. It is the only one of the three that is open to anyone, and the only one where a bad month is your bad month rather than a reason for Amazon to reduce POs. The cost is fees on every unit and the work of running a marketplace channel: inventory in FBA or your own fulfillment, ads, buy box, returns if you fulfill yourself. For most brands it is the program they start on and keep, even after a Vendor Central invitation arrives.
Vendor Central retail
Retail is wholesale. Amazon forecasts, places purchase orders in quantity, receives into its fulfillment centers, and sells at a price it sets. Your warehouse job becomes compliance: confirm POs on time, ship to routing instructions, send accurate ASNs, avoid the receive-process chargebacks. You give up price control and take on longer payment terms; you gain Amazon’s buying, its logistics, and a Prime badge without FBA fees. It suits brands with steady replenishment volume on a manageable SKU count. The mechanics of PO confirmation and invoicing are covered in Vendor Central retail purchase order automation.
Direct Fulfillment
Direct Fulfillment is the vendor program for catalogs Amazon does not want to stock: long tails, bulky or slow-moving items, made-to-order goods, large assortments where Amazon wants the selection without the warehouse. Amazon sells and owns the customer; you hold inventory and ship each order on Amazon’s label within the program’s clocks. The trade is more warehouse work per unit than retail and no price control, in exchange for Amazon carrying the sale on a catalog it would not have bought. The order lifecycle guide shows the daily reality; the chargebacks guide shows what it costs to get it wrong.
In practice
The programs are not exclusive. A common pattern: core SKUs on Vendor Central retail because Amazon replenishes them, long-tail SKUs on Direct Fulfillment because Amazon will list but not stock them, and everything on Seller Central too, either for price control on items Amazon under-orders or as the channel of record for new launches. Each program has its own portal, its own order shape, its own deadlines, and its own API family. The operational problem is that they draw from the same physical inventory.
That is the argument for one order management system underneath all three. Seller orders, retail POs, and DF POs land in one queue. Inventory is one pool, so a Seller Central sale reduces what DF is offered and what retail can confirm. Labels, confirmations, ASNs, and invoices go out through the right API for each program without three sets of staff. InfiPlex connects all of Amazon’s programs this way, alongside Walmart, Shopify, and NetSuite.
| If you... | Lean toward |
|---|---|
| Need to control price and listing content | Seller Central |
| Have steady volume Amazon will forecast and stock | Vendor Central retail |
| Have a wide or bulky catalog Amazon wants to list but not hold | Direct Fulfillment |
| Sell the same SKUs on Walmart, Wayfair, or your own store | Any, with one shared inventory pool underneath |
| Were invited to Vendor Central and are unsure | Keep Seller Central live; add the vendor program for the SKUs Amazon asks for |
Frequently asked
These are the questions brands ask when the Vendor Central invitation arrives.
Direct Fulfillment is a program inside Vendor Central. Both are first-party: Amazon is the merchant of record. In retail Amazon stocks your product in its fulfillment centers; in Direct Fulfillment you ship each customer order yourself on an Amazon-issued label.
Yes. Many brands run Seller Central for price control and new launches while Amazon buys core SKUs on Vendor Central retail and lists long-tail SKUs through Direct Fulfillment. The programs draw from the same physical inventory, which is why they need one system underneath.
You do on Seller Central. Amazon does on both Vendor Central programs, retail and Direct Fulfillment.
Seller Central pays settlements about every 14 days, less fees. Vendor programs pay on invoices against purchase orders under negotiated vendor terms, which are typically much longer than the seller settlement cycle.
No. The Vendor Central programs are by invitation from Amazon. Direct Fulfillment is usually offered alongside or after a retail vendor relationship, for catalog Amazon wants to list but not stock.
Amazon handles the customer, since Amazon is the merchant of record. Returned units route according to your Direct Fulfillment settings in Vendor Central.
Yes. Because Amazon manages the shipping method and promise, DF items are eligible for Prime without you using FBA.
Seller Central uses the Seller endpoints (Orders, Feeds, Reports, FBA). Vendor Central retail uses the Vendor Retail Procurement APIs or EDI. Direct Fulfillment uses the Vendor Direct Fulfillment Orders, Shipping, Inventory, and Payments APIs with a Restricted Data Token, or EDI.
Resources
Seller Central orders, retail POs, and Direct Fulfillment POs in one system, with the right API behind each. Live in 1–3 business days.
We connect all three Amazon programs every week and can walk through which SKUs belong where based on how you sell today. Contact us, email info@infiplex.com, or call 888‑770‑0857.
InfiPlex™ is a trademark of InfiPlex. Amazon, Vendor Central, Seller Central, Direct Fulfillment, Selling Partner API, FBA, and Prime are trademarks of Amazon.com, Inc. or its affiliates. InfiPlex is an independent integration provider and is not endorsed by or affiliated with Amazon. Program rules, deadlines, and chargeback amounts are set by Amazon and change; verify current terms in Vendor Central before relying on them. ©2026 InfiPlex. All rights reserved.
InfiPlex provides eCommerce companies, warehouses, and 3PLs with a robust platform to manage their sales channels.
©2026. All Rights Reserved. Privacy Policy | Terms & License