Whether this is your full-time job, or an exciting side hustle, learning the best strategies to make money on Amazon is always a good idea! If this is your first time on the Amazon seller dream, selling on this platform can provide a great income with a relatively low upfront investment, so no worries! Let’s get right into it and learn how to make money on Amazon.
Jump Ahead to a Section
- Why Sell On Amazon
- How to Make Money Selling on Amazon: First Steps
- 13 Strategies to Make Money on Amazon
- How to Promote Amazon Products & Get Paid
- 🔥What’s Hot Today?
- Last Words
Why Sell On Amazon
There are many reasons to sell on Amazon! This platform offers millions of active users worldwide. As a seller, you gain access to this audience without needing to build your own following or website traffic from scratch. Also, customers trust Amazon, increasing the likelihood of sales.
Amazon provides tools and resources needed to run an e-commerce business like:
- Fulfillment by Amazon (FBA): Handle storage, packaging, and shipping.
- Prime Shipping: Fast, free shipping, boosting customer appeal.
- Customer Service: Amazon handles customer service and returns for FBA sellers.
Data & Analytics
Amazon provides performance reports, sales metrics, and other insights to help you identify trends in customer behavior, adjust pricing strategies, and optimize your product listings.
Business Model Flexibility
On the other hand, Amazon supports various business models:
- Retail Arbitrage: Purchase items at a discount and resell them on Amazon.
- Private Label: Develop and sell your own branded products.
- Wholesale: Partner with suppliers to sell products in bulk.
Amazon offers tools to increase visibility and drive sales like sponsored ads, deals and discounts, and Amazon SEO.
How to Make Money💰 Selling on Amazon: First Steps
Register Your Brand
If you are considering building your own brand, trademarking products may be the way to go. For this option, you must check the Amazon Brand Registry.
Brand Registry is free and gives you additional benefits and tools like: A+ Content, Experiment Manager, and Brand Analytics.
Choose a Selling Plan
Amazon offers two main selling plans so you can choose the right package for you.
- The Individual selling plan costs $0.99 per sale.
- The Professional selling plan costs $39.99 per month, no matter how many items you sell.
Amazon also collects a referral fee on each item sold, and other selling fees can apply in some cases. Some optional tools and programs involve added costs.
Create & Configure Your Seller Account
After choosing your selling plan, you’ll register with Amazon and create a Seller Central account.
Understand the Product Detail Page
This is where your buyers will find all the relevant information for your products.
When multiple sellers offer the same product, Amazon combines their offers on one product detail page to make it easier for customers to find, compare, and purchase items.
- Write titles with top 200 characters and capitalize the first letter of every word
- Images must be 500 x 500 or 1,000 x 1,000 pixels
- Variations: colors, scents, or sizes
- Highlight key features and benefits. Using the best keywords can improve the chances of finding your products.
Price Your Products
First, you need to get familiar with the pricing strategies you can use.
- Competitive Pricing: The lowest price for a product from major retailers outside Amazon.
Amazon shares competitive external prices with sellers. For your own price to be considered competitive, your standard item price, plus shipping, must be less than or equal to the competitive external price.
- Lowest Amazon price: The lowest price offered by a seller.
Amazon shares the lowest Amazon price to give sellers the opportunity to match or beat it.
Choose a Fulfillment Method
You must decide on a fulfillment method that best fits your needs. Use the Revenue Calculator to compare each and choose the right option for you.
There are two main ways to give your buyers their products:
A) You can fulfill orders yourself, keeping an inventory, and shipping directly. This is Fulfilled by Merchant. Or you can
B) Send your inventory to Amazon and have them deliver your products through Fulfillment by Amazon (FBA).
FBA delivers to your customers for free in the two-day window of the Prime program. They handle packing, shipping, customer service, and returns for your orders. This model requires minimal upfront investment and allows a broader product range.
⚠️To dropship on Amazon, you need an Amazon Seller account. Visit the Amazon Seller Central and choose the best plan for you.
13 Strategies to Make Money on Amazon
1. Specialize in a Single Product and/or Niche
Focusing all your efforts on a single niche and just one or a few products can help you really understand your selling advantage. Considers things like:
- Inventory: How much volume do you expect to move?
- Who is your audience?
- What’s your pricing strategy?
2. Match a Product Listing
If the product you want to sell is already in the Amazon store, in most cases you can use its product ID, or GTIN, to match an offer to the existing product detail page.
If your product is brand new, you’ll need to apply to sell a product, category, or brand.
3. Branded Products
If you have enrolled as a brand in the Amazon Brand Registry, only three types of sellers can create their product detail page:
- The original Rights Owner who enrolled the brand
- Other sellers internal to the brand
- Resellers who’ve been associated with the brand
4. Run Experiments
Use Amazon’s Experiment Manager to compare different versions of a product description so you can optimize your listings endlessly. You can try out your images, descriptions, titles, keywords, and more.
5. Offer Customizable Products
You can offer products that can be customized by the buyer with their own text, images, logos, etc. The Amazon Custom can include engraving, embroidering, printing, and painting.
6. Join Amazon’s 👕Merch on Demand
With Amazon’s Merch on Demand, you can design apparel and accessories and sell them like a print-on-demand model. No inventory needed, printing, shipping, everything is fulfilled by Amazon.
Check out how to sell t-shirts on Amazon here!
7. Reselling
There are two main ways of reselling: retail arbitrage and online arbitrage. With retail arbitrage, you source from retailers.
With online arbitrage, you get products from online sources. You can also choose wholesale supply, which gives you the opportunity to buy large quantities of a product at a discount and gain profits from selling these products at a higher price.
8. Dropshipping
If having an inventory is not for you, then dropshipping might do the trick. To outsource storage, packing, shipping, returns, or customer service, work with a reliable dropshipper who can take care of these tasks on your behalf.
9. Affiliate Marketing
Another great way to make money with Amazon without actually selling anything is with affiliate marketing! Also called Amazon Associates, this method allows you to make money with your social media by recommending products on Amazon.
You can post deep reviews of products on your social media or use sponsored content. The product owners will pay a commission every time your affiliate link is used to buy. To be attractive for the brand you need a solid social media following.
10. Become a Content Creator
Amazon Influencer Program is made for content creators to offer personalized storefronts on Amazon and promote them on their social media. Creators can earn money from commissions on sales made on their storefronts.
Bonus: Try Amazon Live
Take customer engagement to a whole new level with Amazon Live—an online shopping destination where you can live stream events, announce product launches, and connect with your audience in real time.
By live streaming, your audience can ask questions in real-time, and interact, and you can give recommendations, highlights, and a whole new buying experience. Influencers can earn a commission from any purchase made during the livestream!
11. Bundle Products
On your Amazon store (if you have enrolled with FBA fulfillment) you can offer multiple products on a single product page. This can be a great way to make your products attractive and increase your sales volume.
✨ Check out how to make a carousel on Instagram using Placeit bundles!
12. Win the Featured Product Box
This is the offer the Amazon customer first sees on top of a product detail page. It normally reads: Buy Now! Or Add to Cart. To get your product featured here you must compete with other sellers at a competitive price.
💡Learn more on how to get the Featured Offer for a product here.
13. Get Product Reviews
To get positive reviews and ratings for your products you need to accurately represent what you are selling, the more details you share, the better. It’s important that you keep yourself very responsive in case of customer messages, more importantly, the first hours of a purchase.
Also, providing the tracking numbers for their products can help with further questions.
Boost Your Income by Promoting Amazon Favorites
So, how to promote Amazon products and get paid? Simple! You can use paid options like cost-per-click (CPC) ads and coupons to reach a wider audience. You can also create coupons, promos, and deals to share organically on your social media. Learn more about advertising strategies and ideas here.
🔥What’s Hot Today?
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Refurbished Products
Sell repaired, refurbished, or pre-owned products through Amazon Renewed. Phones, cameras, and power tools are examples of products that are often eligible.
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Handcrafted Products
Amazon Handmade is an online community for makers who want to sell unique goods. This program comes along with perks for artists and creatives who want to share their work with the world.
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Self-Published Books
Write and sell ebooks, print books, and audiobooks! Self-publishing can be a great way to earn passive income and share your story. Kindle Direct Publishing (KDP) allows you to create print books and ebooks, and then offer them to readers around the world.
With KDP, authors call the shots—they control their content, set their prices, and keep their royalties. It’s a game-changer for anyone ready to self-publish without the strings of traditional publishing. Choose from royalty rates of 35% or 70%, depending on your pricing and distribution strategy.
Last Words
And there you go! These are some of the recommended strategies, steps, and hot products to get your Amazon selling bid started this year!
Needless to say, it’s important that you constantly monitor your products to choose the ones that are becoming popular and sell well. You can use apps for this, and check out your analytics. Check on the number of sales, the price, and the number of sellers.
Have any more questions? Ask away!
Looking for more content like this? You should definitely check out our: How to Make Money on YouTube, How to Make Money on Instagram, How to Make Money on Pinterest, and How to Make Money on Etsy. Remember that Placeit by Envato, has tons of assets to help you get your sales running! You can find mockups, social media templates, videos, logos, and much more.
