Amazon is one of the worlds biggest and richest companies. Who does not shop on Amazon or use them to watch movies, order groceries and more. Thousands of people selling on Amazon through their seller program and making so much money. You may have heard of fulfilment by Amazon (FBA) where you store your products in Amazon’s fulfilment centres, and they pick, pack, ship, and provide customer service for your products. Amazon is huge and the potential to make money from them is also huge. We have 10 best ways for you to make money with Amazon below.
10] Retail Arbitrage
Buy low, sell high.
You see a great product at a low price that you know will sell and then you sell it at a higher price making a profit. Amazon FBA has some tools that allow you to see how a certain product is doing like sales in a day, so you could do some research to see which products are selling well and sell the same.
Some good selling tips: –
- Sell an item in the $30-50 range, with a margins of $20, if you can.
- Have inventory at least 3-6 months before the holidays. Stock up, because there are a lot of sales during the holiday season.
- Sourcing from China? China has a lot of holidays, especially Chinese New Year. This means China is shut down for about a month some time between February and March.
- Calculate Amazon’s fees carefully. Amazon’s cut is significant, from shipping fees to your seller’s subscription. There are lots of calculators that Amazon sellers have created, to show how much it would cost a seller to sell their items.
- Calculate your shipping fees for bringing your products in. If you’re sourcing from China, understand how the shipping fees will eat into your bottom line.
9] Resell books
Books are a huge business and Amazon built themselves from selling books. There are ways to see how much books sell for on Amazon and you could go to garage sales, second hand shops and more to source your books. Companies out there are selling books on Amazon for prices lower than Amazon but their shipping fees are more than Amazon. So if you can nail it with price and shipping you can get a few sales.
8] Private label products
Many people have private labeled their own items on Amazon to stand out. The pros are that you can control your product in many ways such as the style and feel, plus you could change the product as you wished. The cons are that it is very capital intensive and you would have to order your items ahead with some uncertainty when it comes to selling.
7] Work at home for Amazon
Amazon hires virtual customer service teams with a base salary of $10 per hour. These jobs are full / part time and only available in certain areas. You will have to go through the job process and there are many other positions available should you be qualified in anything else.
There are people on Amazon who have put in an original investment of $600, and have ended up selling over $13 million worth of merchandise on Amazon! They buy their products at discount stores, retail stores and warehouses at discounted prices or clearance and sell them on Amazon. In wholesaling you purchase directly from a wholesale company or the manufacturer of a given product for the purposes of resale. So instead of going to a factory, ordering samples, arranging your own packaging and shipping your product like a private label company, wholesaling involves approaching the manufacturer and offering to help them sell their products.
Dropshipping is a huge trend. This is where you find a supplier for the products you want to sell, list them on Amazon and when an order comes in you ask the supplier to ship the product for you to the customer. So you never actually handle the products yourself. If the product you list does not sell then you take down the listing and you lose nothing. This way you can list as many items as you want without the worry of them selling or not. Many people are making a lot of money doing this on Amazon.
4] Amazon Trade-In
Did you know Amazon actually pays you for books, DVDs, Kindle devices, tablets, cell phones, and many other products. Amazon do not pay in cash but will pay you in Amazon gift credit which you can spend once in all the times you shop on Amazon.com
. They will give you a free pre-paid USPS or UPS shipping label. They do not pay a huge amount for your item but if you have a lot of old things laying around that you want to get rid of then selling them to Amazon is a good option.
There are so many e-books available on Amazon and everyone is writing one. If you look through your $9.99 Kindle unlimited subscription fee you can see that the quality of the e-books range from poor to good, showing that everyone is writing an e-book. You can self publish your e-book on Amazon but beware that Amazon takes 35-70 percent of the listing price.
Audiobooks are becoming more and more popular. I am personally listening to audiobooks everyday. You would be missing out if you did not turn your book into an audiobook because there are many busy people who would love to hear the audio version of you book. To make it easy for authors to create audiobooks, Amazon has created ACX or the Audiobook Creation Exchange. You can find narrators to produce your book for you, or upload your files if you’re doing it yourself.
1] Amazon Affiliate Program
This is a great way to make money if you have a blog or a website or even a popular youtube channel to promote your links. You feature products on your site and every time a user comes and clicks on the product it directs them to Amazon where they can purchase the item. Amazon knows they came from your site because the track the product link with a unique code given to you only. You do nothing and watch the money roll in. Your commission will range from 4-15% depending on what you sell and this can really add up if more and more people click through from your site.