Amazon is the most popular online platform providing retail sales services. Entrepreneurs from various countries successfully build their online businesses and make good money online.
But how to start selling on Amazon if you are a beginner? This article explains every little detail of launching your business on the marketplace. So, keep on reading.
Why Run Your Business On Amazon?
If you’re going to sell somewhere, it has to be on Amazon. Why? This marketplace is huge and growing more than ever as people move to online shopping for just about any type of product.
- 90% of US consumers shopped on Amazon, and 65% shop on Amazon at least once a month.
- 3 million Americans are members of Amazon Prime.
- Experts predict that Prime users in the US will reach 153 million by 2022.
- In 2021, more than half of Amazon’s $280 billion in revenue came from third-party sellers.
- One in four salespeople makes over $25,000 per month.
Amazon has established itself as a global e-commerce hub, and you should take advantage of the opportunity to sell on its platform. Is it really that simple? Yes! If you find the right product and put the time and effort into taking care of your business, you can earn tens or hundreds of thousands of dollars a year selling on the platform – even as a new seller.
Selling On Amazon: 6 Simple Steps To Success
Amazon is an e-commerce giant, and the company is rapidly expanding into other markets such as streaming services, grocery and food delivery, music, video games, fashion, and even healthcare. The organization of sales on Amazon is a rather complicated but achievable goal and task. This guide will help you make selling on Amazon your main and very profitable source of income.
Step #1 Develop a plan for your Amazon business
Selling on Amazon starts with a plan. It is impossible to work in the field of e-commerce thoughtlessly. You need to have a structured, well-written, and calculated business strategy identifying your brand, products, mission, vision, budget, and long-term goals. It is an important preparatory stage that you need to go through before organizing sales on Amazon. Feel free to use third-party services, for example, SellerSonar, to estimate your fees and profits, spot your competitors and find best-selling items.
Step #2 Choose an Amazon selling niche
The main task of a merchant opening their own business on Amazon is to find a profitable niche. For this, you should carry out market research, analyze successful companies and check the demand for the promising products. Following are the basic principles of choosing an item for sale on Amazon:
- It costs 10-200 dollars for a quick sale in the market. If you are using listing tracking services, set price alerts on Amazon to see the full picture of market tendencies.
- It is small and easy to ship. The cost of delivery directly depends on the size and weight of the goods.
- The selected item is usually sold more than ten times a day.
- It has up to 150 customer reviews.
- It is not included in Amazon’s restricted categories.
- It is provided by a reliable manufacturer or supplier.
- The FBA commission is small.
Step #3 Register your Amazon selling account
Creating an Amazon seller account is simple. Just follow the algorithm below:
- Go to the Amazon website and proceed to “Make Money With Us.”
- Click the “Sell on Amazon” link.
- Choose between an individual or professional account. An individual account has no subscription fee but charges $0.99 per sale, while a professional seller account has a subscription fee of $39.99 per month.
- Add FBA to your account.
Step #4 List your products
After building your brand, selecting products, and submitting them to Amazon, you can finally start listing your items on the site. It is necessary to correctly compose a product card, include the name of the commodity item and description, add professional photos and videos. To achieve greater visibility and sales, it is better to use SEO and pay for Amazon advertising – this way, your products will appear higher in the search results.
Step #5 Manage your page on the marketplace
To track and maintain inventory levels, you can use Amazon Inventory Management Tools. This feature allows you to view data about your products, download a report, and view merchant commissions for each product.
Step #6 Mind your customers
Reviews are the main sales force on Amazon as a seller. So pay attention to the comments of buyers and improve your products and customer service. With the right customer-oriented approach, your Amazon business will be a huge success.
Starting a business is not easy for those new to Amazon FBA. However, the above tips will help you understand the process of organizing sales on the platform. Of course, you shouldn’t expect millions of dollars in a month. However, with considerable effort and a wise strategy to the organization of the process, the positive result and the desired profit will not take long. Then, it’s time for you to move forward!