Selling on Amazon (Ultimate Guide)

Selling on Amazon is a great way to make money online. It’s a massive marketplace with millions of customers, and it’s easy to start.

Why should you start selling on Amazon?

Amazon sellers earn between $1,000 and $5,000 per month, but the top sellers exceed $100,000 in monthly sales.

Selling on Amazon Monthly Revenues

According to Amazon, they have over 300 million active customers and over 1.9 million-selling partners in more than 180 countries.

Selling on Amazon Statistics


Also, Amazon’s annual revenue hit $470 billion in 2021.

Amazon is the most visited retail website in the world, with approximately 2,500 million visitors per month.

Selling on Amazon retail website traffic statistic

So if you are ready, you need to create a seller account.

You can do this by going to Amazon’s website and clicking on the “Sell on Amazon” button.

How to Create an Amazon seller account

Before you start, you need to decide which plan to choose.

The Individual plan is best for those selling fewer than 40 items per month.

If you sell more, you may choose the Professional plan.

Selling on Amazon plans

Individual plan $0.99 / item sold:

  • You sell fewer than 40 products each month.
  • You don’t need any special tools or programs.
  • You’re still figuring out what to sell.

Professional plan $39.99 per month:

  • If you want to sell more than 40 items each month.
  • You want to use APIs or additional selling reports.
  • You want to use programs like Launchpad or Handmade.
  • You want to use advertisements for your products.
  • You want to rank first on product detail pages.
  • You’d like to sell goods in restricted categories.

Once you have decided which plan you will use, you can create your account here.

Selling on Amazon plans

Before you start, you need to prepare a few things:

To complete your registration, make sure you have these:

  • Bank account details
  • Credit card details
  • Official ID card
  • Tax details
  • Phone number

Every day, approximately 3700 new sellers join Amazon.

About Seller Central

Seller Central is a powerful tool that Amazon provides to its sellers.

You can control your inventory, orders, and payments from seller central. Furthermore, you can view your messages, register products, and set up shipping.

Seller Central tools

This program has many benefits and advantages. Here are some tips:

  • You’ll be able to manage your product listing and add or change product information.
  • Keep track of your Amazon sales for each item you sell.
  • Manage your product inventory and update listings.
  • Keep and manage your payments, returns, and refunds easily.
  • Download custom business reports.
  • Customer metrics, such as orders and revenue, can measure store performance.
  • Contact Selling Partner and check help tickets.
  • Access business tools to increase sales.
  • Manage to ship with FBA (Fulfillment by Amazon).
  • Control to sell programs such as B2B, Handmade, and Amazon Custom.
  • Handle advertising campaigns and evaluate performance.
  • Checking customer feedback and reviews.
  • Selling internationally with Amazon Global Selling.

Seller Central access

After registration, you can access your Seller Central account.

The dashboard helps sellers save time by having all their information accessible in one place.

This can allow them to focus on more pressing tasks and get the job done. Here, you’ll have access to everything you need for your daily operations, as well as tools to help boost sales.

You can also manage your online store through the free Amazon Seller app.

According to your plan, which fits with your business goal, you can reach these functions in Seller Central:

  • The Individual selling plan ($0.99 / item sold) provides access to basic listing and order management tools. Individual sellers can create listings one at a time. You don’t need to pay fees to Amazon unless a product sells, and you’ll be able to take advantage of some powerful tools that come with an Amazon seller account.
  • With the Professional selling plan for a monthly fee ($39.99), you can access advanced selling tools. You’ll pay a monthly fee unless you list or sell something. However, you don’t pay a per-item fee when you sell your items. With this option, inventory tools are available to you so that you can upload batch files and take control of your orders via feeds and reports.

Inventory management and fulfillment in Seller Central

To effectively meet customer demand, inventory management involves keeping track of and storing products to prepare them for sale.

The process of delivering items (warehousing, packing and shipping orders, and processing any returns or exchanges) is known as fulfillment.

Other programs in Seller Central

  • You can set and automate prices from the pricing dashboard.
  • Organize orders and returns
  • Deal with advertising and campaigns
  • Reports generating
  • Stay high-performance level
  • Customer service providing
  • Advertising, merchandising, and brand management
  • Gain access to seller resources

You can download the Amazon Seller app to access your Seller Central account on the go. This app is available for iOS and Android devices.

Selling on Amazon Fees:

In this chapter, I’ll tell you about all the various fees Amazon charges.

Selling plan fee

As we discussed earlier, you can choose from 2 types of plans depending on your needs. The Individual Plan is for those selling less than 40 products, and the Professional Plan is for those selling more.

  • The Individual plan is $0.99 / item sold.
  • The Professional plan is $39.99 per month.

Category Referral Fees

The cost of the referral fees varies depending on the category.

Note that you may need approval to sell in specific categories.

You can find the details here.

Fulfillment Fees

Fulfillment fees determine whether you want to ship items yourself (FBM) or use Fulfillment by Amazon (FBA) to handle your logistics and offer Prime shipping for your items.

FBM: Fulfilled by Merchant
FBA: Fulfilled by Amazon

FBM fees:

Fulfillment by merchant/seller. You are responsible for storing, packing, and shipping your products to customers.

FBA Fees:

When you use FBA, Amazon will store your products in their fulfillment centers, and they will pick, pack, ship, and provide customer service for your products. Fees are calculated based on the weight and size of your product.

See the details here.

FBA storage fees

Storage fees are charged monthly based on the daily average volume (used in cubic feet). The size measurement is based on unit volume when it is packed and ready to be shipped.

Selling on Amazon storage fees

Other costs:

When you think about the total selling price on Amazon shops, you need to consider additional selling costs and other optional programs that can help you increase the turnover.

Additional selling fees

  • Inventory fees
  • Rental book service fees
  • High-volume listing fees
  • Refund administration fee

Optional programs

  • Advertising
  • Fulfillment by Amazon
  • Inventory placement service
  • Amazon-partnered carrier program
  • Premium account services

If you want more details about the fees, you can check here.

Product Listing

Before you want to sell your item on Amazon, you must first create your product listing. How sellers list their products varies depending on how they want to sell them.

Sellers with a Professional account can list their products in large batches or use inventory management with a third-party system. Individual sellers list their items one at a time.

Finding the right product to sell on Amazon

When you want to find the right product to sell, you must consider what type of products are selling well on Amazon and in what categories.

To get started, we recommend you look at the list of best sellers on Amazon in different categories.

You can use MarketGap FBA Calculator to help you find products that sell on Amazon well and have low competition.

Start listing your product

When you have found the right product to sell, it’s time to list your product on Amazon.

To start listing your product, you need to create a listing. You can do this by going to the “Sell” page on Amazon and clicking on the “Create a Listing” button.

To list your product, you will need the following information:

  • Product ID with UPC barcode, EAN, or all of the variations of GTIN (Global Trade Item Numbers).
  • Product name, description, specifications, and keywords to find more customers.
  • Product pictures with good quality. You can check the details on how to create images for Amazon.
Selling on Amazon listing products

When a different seller sells the same item, some information, like the product id, will already be in place. You must fill out all the info if you are the first seller to offer a product.

ASIN: All items available on Amazon have an automatically generated identifier (Amazon Standard Identification Number).

In case you’re unsure how to list your product, you can always contact Amazon support for help.

Product detail page

The product detail page lets customers view more information about items sold on Amazon.

This page includes product images, the name, store, brand, description, dimensions, weight, customer reviews, questions and answers, and related items.

Amazon collects data from all offers for the same product and consolidates it into one detail page to provide customers with the best experience.

Creating a product detail page is crucial because it helps potential customers learn more about your product and decide whether they want to buy it.

Product delivering

You must choose a fulfillment method to ensure that your product is delivered to the customer on time.

Choosing the right fulfillment option for your business

Sellers on Amazon have two different options methods to deliver your products:

  • You can handle it yourself, keeping track of your inventory and sending products to your clients. This is what we call FBM (Fulfillment by Merchant).
  • Another option is when Amazon handles everything in one hand: picking, packaging, labeling, and shipping products with FBA (Fulfillment by Amazon).

Both methods have their benefits. You need to analyze and decide what is good for your business.

If you are fulfilling your orders (FBM)

FBM (Merchant-fulfilled) solution means you are storing and shipping your products directly to customers by yourself.

With an Individual plan, set shipping rates apply to all products sold, so you need to figure out if you can still make a profit off of each item.

You may use Amazon’s Buy Shipping tool to acquire low-cost shipping labels from Amazon’s trusted network of courier partners, process and confirm your orders, and monitor your shipments.

Amazon’s Buy Shipping will calculate shipping charges based on the product category and selected shipping method.

Benefits of choosing FBA (Fulfillment by Amazon)

More than 618 Amazon fulfillment centers have more than 150 million square feet of storage capacity worldwide. With FBA, you’ll use these shelves in the warehouses.

Selling on Amazon US fullfilment centers
US fulfillment centers

Amazon determines costs based on the product’s category, dimension, and weight.

You also get Amazon’s famous customer service and returns, which help you grow your business rapidly.

Working of Fulfillment by Amazon

  • To get started, ship your products to Amazon directly from the manufacturer. Once they receive it, they`ll scan, store and make it available for sale.
  • Amazon handles packaging and shipping for your customer for each order placed.
  • Amazon collects the payment from the customer and pays you according to the available funds every two weeks.
  • Amazon Prime customers may get free same-day shipping on their items because FBA items are eligible for Prime shipping. This gives your products an extra boost in the search results and also helps you increase your sales.
  • Amazon provides customer service for your FBA products. So the customer can contact support directly to Amazon customer service via phone or email. They can answer any questions, process returns, and issue refunds. This service is free except for the return processing fee.*

*FBA returns are a normal part of eCommerce, but they can be costly and time-consuming. Amazon’s FBA return policy can help you save time and money. With FBA, returns are handled by Amazon. So you don’t have to worry about receiving the item back, repackaging it, and shipping it back out. Amazon will take care of all of that for you. There is a return processing fee, but it’s typically much less than the cost of shipping the item back yourself.

FBA can help you increase your sales.

How to Attract More Customers

Once you have listed your product in Amazon stores, there are many opportunities to attract customer attention. Use the following tips to generate more sales.

Provide a quick shipping option

Customers frequently buy items with the Amazon Prime logo, which you may receive by using Fulfillment by Amazon (FBA) to send items from one of Amazon’s fulfillment centers.

Customers who see the Prime logo know they receive their items the fastest way. This makes them more likely to buy your products.

Advertisement

Ads can help you to reach more potential customers and increase your sales. There are many options on Amazon to promote your product, like Product Display Ads and Sponsored Products.

You can use Amazon Marketing Services (AMS) to create and manage your ad campaigns.

Setting competitive price

Most customers try to find the best price. You can use MarketGap’s FBA Calculator to help you to compare and offer a competitive price.

Selling on Amazon FBA calculator
MarketGap FBA calculator

It is tough to understand Amazon’s algorithm. Sometimes, if you reduce your prices, you will not see any increase on the platform.

Buy Box

On the right side of every Amazon product page is the Buy Box, where customers can immediately add items to their cart.

If many sellers sell the same product, you must set a competitive price to win the buy box.

Did you know 83% of all Amazon sales come from the Buy Box? And if you’re not in the Buy Box, your chances of selling anything are not bright.

You must sell branded products if you don’t want to compete with others.

Customer’s reviews

Customer Product Reviews are Amazon’s way of giving consumers a chance to write about their experiences with a product.

Customer decisions to buy a product are greatly influenced by Amazon reviews, which can significantly increase consumer trust in a brand.

Product reviews from customers are essential for anyone shopping on Amazon – they help both the customer and the seller.

You can manually request reviews within 4 to 30 days of purchase using Amazon’s “Request a Review” button in Seller Central.

Increase your selling on Amazon Business

Amazon provides many opportunities to expand your business. Use the following tips to take advantage of these opportunities and grow your business on Amazon.

Advertising

Amazon advertising options can help you reach more potential customers and increase sales.

Amazon offers three methods of advertising:

Selling on Amazon advertising
  • Sponsored Products: These are for individual product listings. The ads appear on Amazon.com search results pages and product detail pages.
  • Sponsored Brands: These are for your brand and product portfolio. Your brand logo, a custom headline, and up to three of your items may appear in search result advertisements.
  • Amazon stores: Stores are individual brands’ multipage shopping destinations where you can share your brand story and product range.
Selling on Amazon sponsored advertisement

Promotions and discounts

Customers would like to save as much money as possible, and promotions can help them. Such as free shipping, discount, or one item for free.

The most common promotion on Amazon is a discount. You need to set up promotional money-off in Seller Central to offer these discounts.

If you want to give your customers free or discounted shipping, you will need a professional selling plan to set your shipping charges.

Selling on Amazon Worldwide

Amazon Global Selling Program for selling your products around the world

As your business grows, you can use Amazon World Expansion Program to quickly and easily expand your sales to new countries.

This program lets you list your products on Amazon’s international marketplaces and reach new customers worldwide.

This program provides customer support in multiple languages and helps you grow your business internationally.

Selling on Amazon worldwide

Selling on Amazon Tips

Amazon is an excellent platform for selling products. You can grow your business and reach more customers by taking advantage of Amazon’s many features.

The key points to remember are:

  • Select the right products.
  • Find the right price.
  • Continuously optimize your listings.
  • Advertise your products.
  • Get positive feedback from your customers.

Furthermore, you must watch your competitors and act when they change their prices.

If you succeed in any Amazon location, you can expand your sales to another country.

Before you do it, be sure to check the targeted market.

Use the tips in this article to expand your business on Amazon.

Questions and Answers about selling on Amazon

Is Amazon FBA still profitable?

The answer is YES! Amazon FBA is still profitable, and there are many opportunities for new and existing sellers to grow their business on the platform.

Most sellers earn between $1,000 and $5,000 per month in sales, but the best sellers earn more than $100,000 per month.

How to grow your amazon business?

There are a few key things to keep in mind when selling on Amazon FBA:

The first is to choose the right product. Not all products are equal when it comes to selling on Amazon. Some products are more profitable than others, and some have higher demand. It’s essential to research and choose a product that is in demand and profitable.

The second key is to price your product competitively. Amazon is a competitive marketplace, and buyers always look for the best deal. You may miss out on sales if your product’s price is too high.

The third key is to advertise your product. Advertising on Amazon can be a great way to increase sales and reach more customers. Keywords are essential when promoting on Amazon, as they help buyers find your product. Amazon provides sponsored products, which are advertisements for individual product listings on the site. Ads appear on both shopping results pages and product detail pages. Sponsored Display is a self-service advertising platform that assists marketers in reaching interested consumers across the buyer journey with ad displays that appear on and off Amazon.

By following these tips, you can create successful ads that will help you sell more products on Amazon.

If you keep these keys in mind, you’ll be well on your way to success selling on Amazon FBA. There are many opportunities for sellers on the platform, so don’t miss out on this opportunity to grow your business.

How much does it cost to start Amazon FBA?

The cost of starting Amazon FBA varies depending on a few factors, such as the products you’re selling and the size of your business. Generally, the startup costs for Amazon FBA are around $2000-$3000.

Of course, you’ll also need to factor in the cost of your product. If you sell products under $25, you may need to purchase more inventory to meet Amazon’s requirements.

The good news is that once you’re up and running, the costs of Amazon FBA are relatively low. You’ll need to pay for shipping and fulfillment, but you won’t have any other significant expenses. This makes Amazon FBA a very cost-effective way to sell online.

If you’re considering starting an Amazon FBA business, the key is to get started today. There are many opportunities for sellers on the platform, and the sooner you get started, the sooner you can start seeing results.

What does it mean to sell on Amazon FBA?

When you sell on Amazon FBA, you sell your products through Amazon.com.

Amazon is the largest online retailer in the world, and they have a vast fulfillment network. This means that when you sell on Amazon FBA, your products will be stored in Amazon’s warehouses and shipped to your customers by Amazon.

The benefits of selling on Amazon FBA are numerous.

  • First, you’ll have access to Amazon’s massive customer base.
  • Second, you’ll benefit from their world-class shipping and fulfillment network.
  • And third, you’ll be able to take advantage of Amazon’s Prime program, which gives customers free two-day shipping on eligible items.

If you’re looking for a way to grow your online business, selling on Amazon FBA is a great option. There are many opportunities for sellers on the platform, and the growth potential is enormous.

What can I sell to make money fast?

You can sell on Amazon a few things to make money fast.

One option is to sell high-demand items with a low price point. These items are typically easy to ship and fulfill and tend to sell quickly.

Just be sure to do your research and choose a product that will be profitable and easy to ship. With a little effort, you can make money fast on Amazon.

Marketgap FBA Calculator helps you find products that sell well on Amazon and have low competition.

Is selling on Amazon FBA for free?

No, selling on Amazon FBA is not free.

You will need to pay for shipping and fulfillment, and you also need to purchase inventory.

However, the costs of Amazon FBA are relatively low, and you can make a good profit if you choose the right products to sell.

I want to sell on Amazon FBA, but I don’t have any products. What can I do?

You can always source products from suppliers if you don’t have any products to sell.

Many websites allow you to find and buy products at wholesale prices.

Most FBA sellers buy their products from Alibaba.

Once you have the products, you can list them on Amazon and start selling.

Selling on Amazon FBA can be a great way to make money and grow your business. However, You must understand the costs and risks before getting started.

Can you use FBA as an individual seller?

Yes, you can use Amazon FBA as an individual seller.

There are two different FBA seller plans available: individual and professional.

Individual for those who sell less than 40 items per month. $0.99 / item
Professional for those who sell more than 40 items per month. $39.99 / month

The main difference between the two plans is the monthly subscription fee. Professional sellers can also access additional features, such as bulk listing and reporting tools.

Can I use FBA to sell internationally?

Yes, you can use Amazon FBA to sell internationally.

However, a few things to keep in mind if you’re selling internationally.

  • First, you’ll need to set up a separate account for each country you want to sell in.
  • Second, you’ll need to ship your products to Amazon fulfillment centers in each country.
  • And third, you’ll need to pay different shipping and customs charges.

Do I need a tax ID to sell on Amazon?

Yes, you will need a tax ID to sell on Amazon.

By the end of every year, Amazon must legally hand over its sales records to the IRS. These numbers need to be reported by each seller.

So if you’re considering starting an Amazon FBA business, get your tax ID before you start.

How often does Amazon pay sellers?

Amazon pays sellers every two weeks.

The payout is the amount of money you have left from your sales after all fees, and other expenses have been deducted.

Do you have to pay 39.99 to sell on Amazon?

Amazon offers two different selling options, so you may pay for each sale or sign up for a fixed monthly price.

  • The monthly price for a Professional seller account is $39.99, and there is no per-item fee.
  • The Individual selling option has a per-item fee of $0.99 for each item sold, and there is no monthly price.

You should upgrade to a Pro account if you sell more than 40 items per month.

You may modify or cancel your plan at any time.

How much do Amazon sellers make a month?

This varies greatly depending on the seller.

Average Amazon sellers earn about $1,000 -$5000 per month in sales, and the top sellers exceed $100,000 in monthly sales.

  • 15% of sellers earn between $25,000 and an unbelievable $250,000 per month!
  • 50%, roughly half of all Amazon sellers earn between $1,000 and $25,000 in monthly sales. That could equate to annual sales totals ranging from $12,000 to $300,000.
  • 35% of Amazon Sellers make between $0 and $1000 monthly.
Selling on Amazon revenues

Earning depends on your business model and how much you’re willing to invest in your business.

Some sellers make a few hundred dollars a month, while others make tens of thousands.

What is the best time to list on Amazon?

There is no such thing as a good or bad time to list on Amazon.

Any time can be an excellent time to list on Amazon.

Amazon is a global online platform that works 24/seven, meaning people buy items from around the world at all hours of the day.

The best time to list on Amazon is when you are ready.

Is selling on Amazon the same as FBA?

FBA, also known as Fulfillment by Amazon. The program allows sellers to ship their products to Amazon fulfillment centers. Amazon will then handle the shipping and fulfillment for the seller. Another method is FBM (Fulfilled by Merchant) which allows the seller to manage their shipping and fulfillment.

What are the benefits of selling on Amazon?

There are many benefits of selling on Amazon. For one, it’s a viral platform with millions of users. This means that there’s a lot of potential for reach and exposure.

Amazon is the most popular retail website in the world, with around 2.5 billion visitors each month.

Additionally, Amazon is a very trusted platform, so buyers are more likely to purchase from sellers on the platform.

And finally, Amazon offers several features and tools to help sellers succeed.

What are the disadvantages of selling on Amazon?

There are a few disadvantages to selling on Amazon.

For one, you’re competing against millions of other sellers. This can make it difficult to stand out from the crowd.

Also, Amazon is a very competitive platform, so you must be prepared to invest time and money into your business.

And finally, there are some costs associated with selling on Amazon, such as shipping and fulfillment.

Selling on Amazon can be a great way to make money, but you need to understand the platform before getting started.

Be sure to research the different selling options and the benefits and disadvantages of selling on Amazon. And if you have any questions, be sure to ask an experienced seller for help.

How many Amazon FBA sellers are there?

Based on the statistic, there are over 1.9 million Amazon FBA sellers worldwide. So if you’re considering starting an Amazon FBA business, make sure to research your competition. This will help you determine whether or not there is a market for your product. Additionally, it’s essential to understand the different fees associated with selling on Amazon.

The bottom line is that there are many opportunities for sellers on Amazon. With proper planning and execution, you can successfully sell on Amazon.

Do you pay for shipping with Amazon FBA?

Yes, you do have to pay for shipping with Amazon FBA.

However, there are some benefits to using the platform.

For one, you can ship your products to Amazon fulfillment centers. This can save you time and money on shipping.

Additionally, Amazon will handle the shipping and fulfillment of your products. So if you’re considering selling on Amazon, research the different fees associated with the platform.

How many items are sold on Amazon each day?

Amazon processes approximately 1.6 million packages every day. On average, that’s 66 thousand orders per hour, or 18.5 every second. But during the Christmas season, they ship 300 item per second, which mean 26 million per day.

Which country buys the most from Amazon?

Selling on Amazon top 3 market

Amazon’s biggest market in 2021 was the United States, with 314 billion U.S. dollars in net sales. Germany came in second, with 37.3 billion U.S. dollars, followed by the UK with 31.9 billion.

When did Amazon start?

Jeff Bezos founded Amazon in 1994. The company started as an online bookstore but soon began selling various items. If you start selling on Amazon, you’ll join a company with over 28 years of experience.

What are some tips for selling on Amazon?

Here are some tips for selling on Amazon:

  • Research the different selling options and fees associated with Amazon.
  • Understand the benefits and disadvantages of selling on Amazon.
  • Determine whether or not there is a market for your product.
  • Ask an experienced seller for help if you have any questions.

What products will be in demand in 2022?

In 2022, the most popular items to sell will include hi-tech goods and accessories, such as

  • Screen protectors and films.
  • Wireless charging stations.
  • Phone cases.
  • Wearable devices.
  • Phone tripods.
  • Microphones.

Selling on Amazon Conclusion

This is what you need to know before starting an Amazon FBA business.

Make sure to research Amazon’s various selling options and fees, understand the advantages and drawbacks of selling there, and decide whether or not there is a market for you.

If you can’t find the answer to your question on this page or if you have any tips for selling on Amazon, please write a comment below.

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