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2026-10-11 · Highprime blog

Should a new Amazon or Flipkart seller hire an ads agency before the first sale?

Usually not. Ads agencies work on a live listing with stock, reviews and a price that holds. What a new seller needs first, when an agency starts to pay for itself, and four questions to ask.

Usually no. An ads agency can only spend your money well on a listing that is live, in stock, priced to hold its margin and good enough to convert a stranger. Before the first sale you do not have that listing yet, and an agency fee on top of it buys you nothing the listing cannot give back.

The answer changes once the first orders arrive. This post says what to fix first, when an agency starts to pay for itself, and what to ask before you sign.

Ads need a listing that can convert, so build that first

Search "how to become a Flipkart seller" and page 1 is registration guides: GSTIN, PAN, bank account, pickup address, one product to activate the account. That is the right first job. Registration is paperwork, and an ads agency is not needed for it.

After registration, the listing is the work. Titles that match what buyers type, clear images, an honest description, a price that survives marketplace fees and returns, and stock you can actually ship. On Amazon, ads also need a listing eligible for the Buy Box before a Sponsored Products campaign does anything useful.

An ad sends a shopper to your page. If the page cannot convert, every click is a paid lesson in why.

Work out profit per order before you pay for traffic

Take the selling price. Subtract the marketplace commission and fixed fee, shipping, GST on fees, packaging, the cost of the product and the share of orders that come back as returns. What is left is what each order earns before advertising. If that number is thin, ads will not fix it, and a percentage-of-spend or revenue-share fee only makes the squeeze tighter.

This is the single most useful hour a new seller can spend, and it needs a spreadsheet, not an agency.

A freelancer or a consultant can be enough for the first listings

For a seller with one brand and a handful of products, a consultant who sets up listings and a first small campaign is often the right size of help. We covered that choice in our post on Amazon ads freelancer or agency. The reason to wait on a full agency is simple: the first weeks produce the data an agency needs, which is which search terms convert, which products sell and where returns come from.

An agency starts to pay for itself when these three things are true

  1. You have real orders on at least one product, so there is something to scale rather than something to guess.
  2. You sell, or plan to sell, on more than one marketplace, and the budget has to move to wherever the product sells.
  3. You have stopped being able to read the account yourself each week, because the catalogue or the spend has outgrown you.

Until then, the money is better spent on stock, photography and reviews.

Four questions to ask before you sign anyone

  1. Which of your current sellers started where I am, and can I speak to one?
  2. What do you need from me before you spend the first rupee of my ad budget?
  3. Do you report ROAS only, or profit per order after fees and returns?
  4. Who owns the ad account, and what do I keep if we stop?

An agency that is happy to tell you to wait is worth more than one that starts spending on day one.

How our own fee is set

Our marketplace work runs on a fixed fee from ₹25,000/month plus GST (half our usual rate) plus 5% to 10% of marketplace revenue, set per brand and ranging from 5% to 10%. The fixed fee covers advertising on every platform, so budget can move to wherever the product sells. Additional services cost extra. We report on profit per order, and you own the ad accounts from day one.

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