Are you looking for a side hustle that fits your schedule, requires minimal upfront investment, and has the potential for consistent income? Becoming an Amazon reseller might be the perfect opportunity for you.
With millions of active shoppers and a trusted marketplace, Amazon provides a massive audience for sellers who want to turn discounted or clearance finds into profitable sales. Let’s look at what it takes to get started as an Amazon reseller, from deciding what to sell to choosing a seller plan and listing your products.
Key takeaways
- The cost of getting started as an Amazon reseller can be minimal (beyond sourcing the products to sell).
- Amazon offers two fee-based plans for sellers: Individual and Professional.
- Many Amazon sellers make at least $1,000 per month.
- While appealing, reselling items on Amazon also involves dealing with competition, fees, and restrictions.
What is an Amazon reseller?
An Amazon reseller purchases items from stores or through wholesalers and then resells those items on Amazon’s online marketplace. The goal is to profit from items usually bought on clearance or at a discount.
For example, finding red leather pants on a clearance rack at a local store for $5 and reselling them online for $30 each.
Amazon reported net sales of $158.9 billion in the third quarter of 2024, making it clear that reselling on this platform can be lucrative.
How does reselling on Amazon work?
To get started as an Amazon reseller, choose which products to focus on and learn about the market trends on Amazon.
Consider sourcing items from:
- Discount retailers like Target and Walmart
- Thrift stores, yard sales, and flea markets
- Wholesalers or manufacturers
- Other online marketplaces like eBay
6 steps to get started as an Amazon reseller
- Choose a seller plan
- Individual Plan: Good for selling less than 40 items a month with no monthly fee but $0.99 per sale.
- Professional Plan: Costs $39.99 monthly with more features and tools.
- Create a Seller Central account
Register as an authorized Amazon reseller and create an account for Seller Central to list items and manage sales.
- Enroll your brand (if necessary)
Enrolling in the Amazon Brand Registry provides additional features and protections.
- Add your products
List products on Seller Central, either by adding them to existing listings or creating new ones.
- Decide on shipping and fulfillment
Choose between fulfilling orders yourself (Fulfilled by Merchant) or using Fulfillment by Amazon (FBA).
- Reach more customers
Promote products using Amazon Ads, Coupons, and other marketing strategies.
How much can you make as an Amazon reseller?
Income as an Amazon reseller varies based on item types, competition, and pricing strategies. Many sellers earn $1,000 or more monthly, but profits can be impacted by fees and competition.
Why being an Amazon reseller might appeal to you
- Access to a massive customer base.
- Potential for profitability with lower overhead costs.
- Ease of use compared to running your own e-commerce store.
- No need to hold stock if using FBA.
Downsides to being an Amazon reseller
- Intense competition with many sellers.
- Fees can eat into profits.
- Requires marketing efforts to stand out.
- Strict guidelines and restrictions on certain products.
Tips for being a successful Amazon reseller
- Choose products wisely
- Price competitively
- Put care into your packaging
- Monitor your customer reviews
- Promote your products
FAQs
- Is it a good idea to resell on Amazon? Yes, but it requires effort and planning.
- How quickly do Amazon resellers get paid? Payments are made weekly or biweekly, with some delays.
- What are some of the most profitable items to resell? Jewelry, electronics, and collectibles are often profitable.
Bottom line
Becoming an Amazon reseller can be a rewarding side hustle with relatively low startup costs. With effective product sourcing, competitive pricing, fee management, and marketing, you can turn a profit and build a sustainable business over time.
Source: FinanceBuzz
