Have you ever heard of selling on Amazon, or maybe what are the different ways that can help you in earning some extra bucks while getting along with Amazon service? If so, you must be wondering if it's a legitimate business or just a scam. After all, how can someone sell books, clothes, toys, or almost anything else by making them available to Amazon customers? But the fact is that many people make money on Amazon by selling also while coming across other Amazon services, which will be covered in the later article.
In this article, we are going to answer your questions about selling on Amazon, along with some other processes and explain how you can use it as an opportunity to earn some cash from home.
Are you looking for a new side gig that doesn't involve logging into an app, ordering a car, or interacting with strangers? If so, selling on Amazon may be the perfect gig for you. Selling on Amazon is a great side hustle because it's convenient and cost-effective for both you and your customers. In this article, we will walk you through all the details of how to make money by selling on Amazon as a side gig from home. It may seem like another e-commerce platform similar to Etsy or eBay, but Amazon has unique qualities that set it apart from other platforms.
Whether you have products stored away in your garage or do not have any inventory to store products, read on to discover how you can become an Amazon vendor today!
What is Amazon Selling?
Selling on Amazon is an online business model whereby you act as a third-party seller and sell products from other companies on Amazon's website. Amazon provides fulfillment and logistics for the products that you sell. By selling on Amazon, you join a large community of sellers from all over the world, who often share tips on how to make the most of this side hustle. In order to become a seller on Amazon, you need to set up an account and then apply to be an “approved” seller.
Amazon does not allow just anyone to sell on their platform, which is one of the advantages of selling goods on this platform. Once you have been approved, you can then list products for sale.
When other customers purchase products from your Amazon store, Amazon will pick, pack, ship, and provide customer service support for these items. In exchange, Amazon collects a small fee from each sale that you make. This is how you make money on Amazon as a side gig.
Set up your Amazon Selling Account
First, sign up for an Amazon seller central account by clicking here (add the link for the amazon central page). To start, you must first have a professional account, which requires a $39.99 monthly fee. This fee is waived for the first three months, so try selling on Amazon for a few months before committing to the monthly fee. Each month, you can choose whether to upgrade to a professional account to keep selling.
You will then be prompted to enter some basic information about yourself as well as your business. You will also be required to create a payment method. Whichever account type you choose, it's essential to verify your identity. This includes uploading a valid form of identification, such as a driver's license or passport.
Final Check: Things to know before you start selling on Amazon
- First, you must ensure that the products you want to sell are allowed on Amazon. Amazon requires that the products you sell are manufactured by an authorized brand, so you cannot sell other people's unbranded items. However, many products are not branded and are therefore allowed on the platform.
- You can also check Amazon's prohibited items list to ensure you are not selling any prohibited items.
- You can't sell anything that violates Amazon's policies. This includes counterfeit items as well as products that violate intellectual property rights.
- Amazon has a competitive marketplace where sellers compete for the Buy Box. The Buy Box is a section on each product listing where customers can add the item to their cart or purchase it immediately. If you do not have enough inventory or your items are not competitively priced, the Buy Box may not be available to you.
- To make the most money by selling on Amazon, you must find products that will sell quickly.
- You must also find products that have a high-profit margin. This means that for every dollar you spend to produce or purchase the product, you should focus on making a profit of at least $1.
- There are many Amazon Seller Tools you can use to find products to sell on Amazon. (Helium 10 Recommended) Add link Helium 10 affiliate link
- You can also look through Amazon's best-sellers list to get ideas for products to sell on Amazon.
The Cost to Become an Amazon Seller
You have many upfront costs to consider before you start selling on Amazon. These include the cost of creating an Amazon seller account, purchasing or creating product listings, and shipping products to Amazon. It would be best if you also considered how much it will cost you to keep your Amazon store open. Below is a breakdown of the costs associated with starting a selling career on Amazon.
- Amazon seller account: $39.99 monthly fee(professional plan) with $0.99/item being sold (individual plan).
- Inventory: You may need to purchase inventory upfront. You can sometimes find products to resell by visiting thrift stores or garage sales. You also have the option of making handmade items instead of purchasing inventory. The cost of making handmade items will vary greatly depending on the type of product you make.
- Listing items: You must create a listing with detailed product information and images for each item you sell. Creating these listings can require some upfront costs, such as purchasing a photo editing software like Adobe Photoshop.
- Shipping costs: You must ship products to Amazon. You can either drive the items to an Amazon fulfillment center or ship them through an online service. You must also pay for Amazon to pick, pack, and ship your items to customers.
- Other costs: Depending on the type of products you sell, you may have other costs to consider, such as creating an online store or hiring a brand designer to create logos and product labels. You should also budget for marketing costs such as paid advertising on social media platforms.
How to Make Money on Amazon as a Side Gig?
Once you have set up your Amazon seller account and verified your identity, you can start selling products immediately. You can list as many items as you have available. However, your items may not receive enough traffic from selling if you have too many products listed. It's best to start with a few popular products that you know will sell. You can add new items to your store later. It's essential to be honest with customers and provide accurate product descriptions. This includes information such as shipping times and returns policies. You should also take high-quality images to make your products stand out.
Amazon has many different ways you can advertise your products to get additional traffic and sell more products. You can advertise on Amazon's platform or use other marketing methods such as social media ads.
If you have been selling on Amazon for a few months and have a high number of sales, you may be eligible for Amazon's FBA program. This stands for Fulfillment by Amazon and allows you to send inventory to Amazon's fulfillment centers, where Amazon employees will handle shipping, packaging, and customer service. This can save you time and money, allowing you to focus on selling more products.
Other Ways to Earn Money on Amazon:
Well, as we have already talked about earning money as an Amazon seller, here are some other ways that can be used in order to make your way around earning more money through Amazon; these different things include:
- Becoming a whole seller on Amazon
- Working as Amazon Associates
- Selling your own products under private label
- Publishing your work on Amazon Direct Publishing/Kindle Direct Publishing
Becoming a Whole Seller on Amazon
As we have already discussed, Amazon FBA has turned out to be an excellent thing for many sellers, but the opportunities don't get stopped over here, as you can also focus on the B2B selling module; this module basically involves purchasing products in bulk quantity and selling them to different businesses or sellers in bulk form. Well, these different businesses can later sell these products as a retailer or under their own private label if possible. Therefore, becoming a whole seller on Amazon can be considered an excellent choice to earn money.
Working as an Amazon Associate
No doubt that Amazon Associate, which is the Amazon affiliate program can be used in order to earn some extra bucks, well this process is comparatively great when compared to FBA, as this process is easy to use and does not involve any hassling stuff like selling products. You can share your Amazon associate links on different places/platforms like blogs, social media, Youtube videos, etc. In addition to all this, you can look at yourself as an Amazon Influencer.
The percentage of the commission (4 to10%) depends on different categories like tech products, clothing, etc. As a result, this can help earn some extra bucks while getting along with other products and practices I mentioned above.
Selling your Own Private Label Products
You might be wondering how private label selling is different from other processes that I just mentioned above. Well, getting along with the Amazon FBA is a bit different as the products are outsourced from a different seller and are then stored and delivered to customers by Amazon (Fulfilment by Amazon). And this is where Selling your own private label products is a bit different as the product is now sold under your company's name/label; basically, now you are selling your own products.
Publishing Writings on Kindle Direct Publishing
One of the other ways that have made its way around our list is the Kindle publishing, as you can publish your writings on Kindle and both Amazon and you as a writer will be earning some money. This can be used as an excellent way of showcasing your writing skills while using Kindle as a platform for publishing. You might be amazed to know that people have made quite a fortune from books published on Kindle; it can be said that an established writer is earning around $35000/month using this process. Well, seems like an excellent way to an extra income.
🌟 Top FAQs to Make Money From Amazon
❓ How does Amazon make money for you?
Amazon makes its money by selling products. Amazon's success depends on its ability to connect with customers, process orders, and deliver products. Amazon keeps its costs low by using low-cost warehouses, technology, and short-term employees.
👉 How much do Amazon sellers get in commission?
Sale-related fees range from 6% to 45 percent of the selling price of each product, with the average seller paying about 15%. Monthly account fees range from $0 to $39.99.
🔎 Does Amazon charge a percentage of the sales?
Amazon charges sellers a percentage of the total price (including item price, shipping cost, and any gift-wrapping charges) or a minimum amount for each item sold, whichever is greater. In addition to selling plan fees, referral fees are charged.
✔ What are the benefits of selling on Amazon?
The benefits of selling on amazon are you get more sales on your products while your products get a global marketplace. Whereas it does not require much of marketing costs
Conclusion: Can I Earn Money Through Amazon?
Selling on Amazon is a convenient way to earn extra money from the comfort of your home, where you can also look after some other ways as well. Just in case you are not into Amazon FBA, you can look after publishing on Kindle, becoming a whole seller on Amazon, or maybe getting along with the Amazon affiliate program; all these different ways can be used in order to make your way around all this as an extra source to passive income.
It's important to know what you're getting into before you dive in. Make sure you research products that are likely to sell well before making a purchase. It will be a waste of time and money to purchase items that don't sell well. Be honest with customers and provide quality products, and you'll earn positive reviews and sales.
As a bottom line, it can be said that you can earn some extra bucks while getting along with all these different practices as an excellent side hustle.