Amazon is the biggest shop in the world, generating masses of money on a daily basis. Anyone is able to use it as an avenue for selling their products, although not not free. The more a seller pays Amazon, the more options open up. In return, sellers have the opportunity to reach Amazon’s audience, which runs into tens of millions of people. Let’s take a look at what people need to know in order to proceed.

Things Could Change in the Future

It is often considered a benefit that Amazon deals directly with its customers, and not the actual seller. If there are queries about late delivery and so on, the seller can sit back and let Amazon deal with it. According to this article from, it can mean that sellers of dangerous or defective products can use this to protect themselves from being held responsible. In one particular case, the federal court decided to hold Amazon accountable.

Longer term, Amazon may be forced to become more selective over the products it sells, or enable buyers and sellers to communicate directly without their involvement.

Decide What to Sell

Retail arbitrage is where people obtain discounted items for resale. The Amazon price-scanning app can reveal if there could be any profit once the commission has been deducted, and postage paid. Other sellers buy items directly from manufacturers or wholesalers in bulk, to resell on Amazon at higher prices.

It is also possible to buy private label items. They can then be branded and packaged by the merchant for selling on. If the product name becomes successful, it could be sold beyond Amazon.

Dropshipping is where someone advertises another person’s product. The manufacturer or retailer then does the shipping, and the seller receives a small commission in return. The final option is for people who create their own goods, and then post them for sale on Amazon.  

Choose the Category

Amazon allows a person to feature their product under a specific category, and there are over twenty from which to choose. Sellers can then choose a selling plan. Many newbies begin with an individual account as it is free. Over time they may then migrate to having a Pro account. This does invoke a monthly fee, but provides a host of extra features. Products can be selected to arrive as gifts, for instance, and the Amazon Seller App becomes unlocked.

Interestingly, the most popular categories are home furniture, cameras, computers and laptops, and kitchen and home appliances.

Register and List

Once an account has been created at Seller Central, a seller can begin to list their products. The product will either be new to Amazon, or already featured by others. If it’s the latter, it will be a quicker procedure as the product is simply added to the existing ones. If the listed item for the competitor goes out of stock, the business will go to you.

People need to do an Amazon keyword search to find the best product description. Such software as Sellics can help here. If there are multiple listings, it is beneficial to choose the top ranked one.

Sellers need to keep a keen eye on product prices, to ensure sales and profits are maximized. Amazon Repricer is a software that amends the cost of products as soon this becomes necessary. It works day and night. 

Sell and Ship

There are a number of utilities that can support the process, including the Manage Orders tool, order reports and Amazon Marketplace Web Service.

There are three options for shipping:

  1. FBM or Fulfillment By Merchant. The seller has a responsibility here, and will need to be stocked up on bubble wrap and packaging, and post the item/s themselves.
  1. FBA or Fulfillment by Amazon. The seller sends the product to Amazon and they do the rest. Whilst this will be at a cost to the seller, there can be financial benefits too. The shipping will be free if the buyer has subscribed to Amazon Prime.
  1. Using a third party. The seller might do this if they have a large number of orders and are too busy to oversee it themselves.

Amazon expects sellers to honor all orders, and will penalize them if they do not ship items shown to be in stock. Sellers are remunerated by Amazon on a regular basis, and will receive notification each time.

Amazon is absolutely huge, and takes its cut on everything that is sold there. It does offer real opportunities for sellers, however, and the more people pay, the more options they have available. It is important to fully research beforehand, and to always be sure of the correct pricing and profitability. If a product becomes highly popular, Amazon will promote it for free.

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