Many people dream of making money on Amazon, but they don't know how to get started. There are so many things to learn and it's easy to get overwhelmed by all the information out there.
If you're looking for a way to make some extra cash online, or even replace your full-time job with an online business, this post will help you understand the different ways that you can start making money on Amazon today - in 17 different ways!
No matter what type of seller you are, there is something for everyone in this post. Plus, we have included detailed information about each method so that even beginners will feel confident enough to start their journey towards becoming an expert within their niche market.
Let's get started!
Sell Private Label Products On Amazon FBA
FBA or Fulfillment by Amazon has become the most trusted online marketplace. It is also one of the best ways to start selling on Amazon. With FBA, you can sell your own private label products.
Private labeling products entails improving a product with your brand, such as adding a logo. A good example of private label products is Walmart's Great Value.
You can source products at fair prices from marketplaces like Alibaba. The problem with this is that Alibaba shipping costs can greatly affect your profit margin. To help you make more money, here is our guide on how to minimize Alibaba shipping costs.
Signing up for FBA means you don't have to worry about inventory, shipping, returns, or customer support. All the hard work is done by Amazon as long as your products are in an Amazon fulfillment center. Your products also qualify for Amazon Prime, which offers free two-day shipping.
Getting Started With FBA
Here are the steps to follow to sell private label products with FBA:
Fulfillment And Storage Fees
FBA storage fees
When selling your goods on Amazon FBA, you might be charged the following fees:
Sell Wholesale Products On Amazon
Selling wholesale on Amazon is also similar to selling private label products because it involves using Amazon FBA. The main difference is you’re selling other people's products so, you don't have to put your brand on products.
This method is more competitive than private labeling, but it’s still a popular way to make money on amazon. To get started, follow the steps outlined above on getting started with FBA. The fees associated with this type of business model include subscription fee, storage fee, closing fee, and referral fee.
You can also use Amazon FBM (Fulfillment by Merchant), which means you’ll use your own delivery service. All supplies and shipping materials, such as boxes and labels, must be purchased or provided by you.
This form of entrepreneurship has allowed thousands of entrepreneurs to start their Amazon business. The biggest hurdle most people encounter is finding manufacturers. To get past this hurdle, read our detailed article on how to find manufacturers.
Join Amazon Handmade
Amazon Handmade is an artisan-only program to sell handmade goods. To apply for this program, you’ll need an approved selling account. Before you’re approved to join other handmade sellers, Amazon will conduct an audit process to ensure your products are genuine.
To sell products on Amazon Handmade, you’ll need a professional selling account that costs $39.99 per month. You’ll also incur an additional cost of a 15% referral fee every time you sell products.
With Amazon handmade, you can list products in categories such as shoes and handbags, artwork, and pet supplies. You also get a custom URL so that your customers can easily find you.
Publish And Sell Books On Kindle Direct Publishing (KDP)
Kindle Direct Publishing is an excellent platform that publishers can use to reach millions of readers worldwide. With Amazon KDP, you can start making money as soon as your book is published, which can be within 24 hours.
There are three significant types of content that you can publish on KDP; low, medium, and high content.
Low-content books are books with little to no content meant to help readers to perform certain activities. The most popular low content books you can start with are journals, log books, and planners.
Medium content books have more text than low-content books, and they include guided journals, short stories for kids, and short non-fiction books.
High content books are primarily text-based and require the reader to consume information. These include children’s storybooks, cookbooks, and novels.
KDP has three types of formatting; paperback, hardcover, and eBook. There are resources and tools on the platform to help with the formatting process.
Amazon Kindle has low upfront costs, especially with low content books because you only need a KDP account, interiors (can be found online for free especially for low and medium-content books), and book covers which you can buy or make using Canva.
Self-publishing on Kindle is one of the best ways to make passive income as long as your books are on Amazon. It is also on our list of profitable lifestyle business ideas for financial freedom.
Join The Amazon Associates Program To Earn As An Affiliate
The Amazon Affiliate Program is a popular way for bloggers and website owners to earn money online because of its reliability.
To join the Amazon affiliate program, you first have to sign up. The sign-up process is simple and can be completed in a few minutes. Once you've signed up, you'll be given a custom Amazon affiliate link, which you can share with anyone anywhere online.
Whenever someone clicks your unique link, they are directed to Amazon. If they eventually buy the product, Amazon will give you a sales commission that is credited to your account.
Amazon affiliate links are typically cookie-based, which means the Amazon associates program only tracks a particular visitor as a lead for 24 hours.
It is important to note that the referral fee you earn as an Amazon affiliate will vary depending on the product category. For example, if someone clicks your link and purchases a Kindle e-reader, you would earn less commission than if they purchase an iPhone.
The referral fees for each product range between 1-10% depending on what they buy. For example, your best bet would be to refer someone buying a big-ticket item like a TV or laptop, which tends to have higher commissions.
It is also good to remember that you should not be spammy while using an affiliate link; otherwise people might get turned off by your site and stop clicking on your “links.”
Retail arbitrage involves buying discounted products in your local Walmart and Target, then selling them on Amazon at a higher price. Other popular retail stores include Kohl’s, Dick’s Sporting Goods, and Dollar stores.
To get started with retail arbitrage, you’ll need an Amazon seller account, and then you’ll also choose whether to use FBA or FBM.
You can sell just about anything with retail arbitrage, although many sellers have items under categories like toys and games, home and kitchen, and books.
To make more money, you can use both retail and online arbitrage (read below), which are great reselling opportunities. Here is a step-by-step guide to becoming a reseller in 2021.
Online arbitrage is where you buy an item at a low price from an online store and then resell that product for a marked-up price on Amazon. Popular online marketplaces where you can buy goods are walmart.com, eBay, Craigslist, Etsy, and Facebook marketplace.
The best thing about online arbitrage is that you can do all this from your home and make a great part-time income or full-time living. If you put in the time and effort to learn online arbitrage, it can be an excellent way to build up your income fast.
Join Amazon Trade-In Program
Amazon’s trade-in program provides Amazon customers with an Amazon gift card in exchange for items such as video games, cell phones, and Amazon devices. Some trade-ins also qualify for instant payments or discounts on new devices.
Amazon currently accepts items that are functional or non-functional. If a non-functioning item cannot be restored, it is put under the Amazon recycling program for safe disposal. However, you might still get a limited-time discount to use when you buy a new qualifying device.
Amazon’s trade-in program is free to use, so there are no shipping costs involved. Trade-in products cannot be returned to their original owners if all the processes are complete.
Write Reviews For Amazon Vine
This invitation-only program can help you make extra money when you sell the free items you receive either online or offline. You can use the product’s original retail price when selling.
To get an invite to join Amazon voices (Amazon vine reviewers are referred to as Amazon voices), you have to consistently write helpful and unbiased reviews and be interested in the program's featured products.
Become An Amazon Influencer
The Amazon influencer program helps content creators to make money on Amazon by sharing their storefront URLs. The influencer program is also similar to the affiliate program because influencers can earn from sharing their links. The main difference is influencers can create their own Amazon page.
You should first have a Facebook, YouTube, TikTok, or Instagram account to qualify for this program. Amazon will look at the number of followers on your social media account plus the engagement. When you promote products to your followers, you earn a percentage of the total sales price. The commission rates range from 1% to 10%.
Join Merch By Amazon
Merch by Amazon is a print-on-demand service that you can use to sell products like T-shirts, mugs, and hoodies. To make money with Amazon merch, you first need to request an invitation. When you get accepted, upload your designs, then set prices. The prices you select will determine your profit margins.
One of the best features is that Amazon keeps track of your inventory and sales all in one place. Merch by Amazon is great for beginners because Amazon handles almost every aspect of selling your shirt, from printing to packaging and shipping.
Sell Professional Services
Amazon Home Services hires professionals to help in the installation and assembly of products. To join, you need to have a registered business with a valid trade license. Amazon will then perform an identity verification check and a criminal check as part of the qualification process.
There are three types of services you can sell; pre-packaged, custom, and recurring. The main difference between these packages is the Amazon fees. The fees collected range from 5% to 20%, depending on the package and price.
The best thing about selling your professional services online is that you don’t need to pay any money to start. There are no monthly subscription or lead fees required from you.
Join Amazon Mechanical Turk
Amazon Mechanical Turk or MTurk for short is a marketplace where employers post jobs that "turkers" can complete. These jobs are called "HITs." A turker's job is to complete the HIT and submit it in exchange for a specific reward.
While there are many kinds of tasks on MTurk, most turkers work on HITs that involve performing a web search and identifying specific results, data entry, or data validation.
The best way to make money on Amazon MTurk is by completing HITs as efficiently as possible so you can earn more per hour. There are various ways to do this, such as taking advantage of the new HIT feature that lets you return to a task if it times out or by taking advantage of reward multipliers.
You also need to be precise when describing the results of searches because MTurk has a "search preview" feature that shows you what kind of results it expects. If your results don't match, MTurk might flag your HIT as incorrect, which can lower your approval rating and, in turn, reduce the amount you earn per hour.
Work From Home As An Amazon Customer Service Associate
Amazon has work-at-home jobs for various customer service roles. Customer service associates' positions can be part-time or full-time.
Part-time jobs come with benefits like dental and vision coverage, life and disability insurance, and funding for medical coverage. Full-time associates get these benefits; 401(k), Amazon discounts, and dental, medical, vision, and prescription drugs coverage.
Amazon reps must have reliable internet and a dedicated phone line. Associates should also have good communication skills and a friendly demeanor to help customers with their problems or concerns.
There are many different departments in the Customer Relations department. Associates may find themselves working with people who need assistance with billing, product complaints, shipping inquiries, technical support issues, and so on.
Deliver With Amazon Flex
If you're looking to make extra money or even a full-time income, you should consider signing up to Amazon flex. Your job will be to pick orders from an Amazon warehouse or a local store and deliver them to customers.
Amazon Flex pays their drivers between 18 and 25 dollars an hour, depending on your area. It's completely flexible, so your availability is what determines how much money you make.
Before signing up for Amazon Flex, make sure your car has at least four doors, you have a valid US driving license, you’re at least 21 years old, you have a smartphone, and Flex operates in your area.
You can also make more money with Amazon Flex Rewards. The rewards range from cash backs to tools that help you save time and money. The points determine rewards, and you earn points through quality and reliable deliveries.
Join Amazon CamperForce
What is Amazon Camperforce? Amazon CamperForce is a program that brings together RV’ers for seasonal jobs in Amazon fulfillment centers. The jobs vary from packing, shipping, or picking. This program is open to anyone who meets the age and geographic requirements and has an RV suitable for living during their work contract.
Benefits Of Amazon CamperForce
CamperForce has the following benefits:
CampForce jobs can be in grocery stores, buildings with forklifts, and warehouses.
Work For Amazon
Amazon’s career page should be your go-to page for current openings on Amazon. Amazon has opportunities for students, fulfillment center jobs, and software development jobs. It’s easier to search for jobs because they’re in categories such as design, marketing, and human resources, among others.
Join Amazon Hub
Amazon Hub is for people with physical locations where they can either host a counter or locker. Amazon Hub Locker is a self-service kiosk for customers to pick and return packages. Amazon Hub Counter allows customers to shop and pick packages.
The benefits of hosting include an increase in sales from more foot traffic and the monetization of unused space. This opportunity is open to large, medium, and small size companies.
How To Make Money On Amazon FAQs
You can make money on Amazon from home using these methods: KDP, Merch by Amazon, Online Arbitrage, Mturk, and joining the customer service team as an associate.
Yes. There are several ways, including selling products on the Amazon marketplace and applying for jobs on Amazon.
Selling on Amazon isn’t the only way you can make money. You can earn without selling via Amazon Hub, Flex, Mturk, CamperForce, affiliate marketing, or influencer marketing.
Thanks to our detailed guide, we hope you’re now more informed on how to make money on Amazon.
Before you get started, first evaluate the requirements to see if you qualify. Your efforts will determine how much money you make. You can even combine several methods to make as much money as possible.