If you want to make online money fast, you can choose Amazon reselling. If you become an authorized reseller on Amazon, you can start making money faster with the online retail giant. Of the total number of sales Amazon makes, most of them come through third-party sellers. Amazon is one such marketplace that makes it easy to start a business as a reseller. Anyone can list their products on Amazon, including well-established brands.
In this article, you will learn about how to start reselling on Amazon. Here, we will give you a step-by-step process, following which you can easily start your business. However, before that, we will discuss the major aspects of Amazon reselling and how the system works for new businesses. Hence, to learn more about Amazon reselling, read on through to the end of the article.
What Is Amazon Reselling?
According to a blog on Amazon.com,
“Reselling is an ecommerce business model where you obtain products from various sources and sell them directly to customers. […] Reselling products in Amazon stores can be a convenient and lucrative venture. The majority of independent sellers in Amazon’s U.S. stores are small- and medium-sized businesses, and in 2022, they sold more than 4.1 billion products, averaging more than $230,000 in sales.”
This is the process where you will need to buy products from various sources and sell them directly to your customers. The following are the major stages in the Amazon reselling process:
1. You will have to research the demand for the product in the market. Here, you need to analyze trends and identify those products whose demand is high. You can buy those products and then resell them for profit.
2. Look for reliable sources and purchase the in-demand products in higher quantities. Make sure the quantity you buy is at par with your business goals.
3. Once your purchase is complete, you can list your products online. After that, set competitive prices to attract your customers.
4. You will then need to decide whether you will fulfill your orders in-house or use Amazon FBA (Fulfillment by Amazon) for the same. In the latter case, Amazon will handle the fulfillment process.
5. The next task is to manage your inventory and offer customer service. You can provide support for your orders and process returns in need. However, you will also need to monitor your inventory levels to ensure things are not out of stock or things are not in excess.
A Few Things To Consider Before You Start Amazon Reselling
According to Influencer Marketing Hub,
“Reselling products on Amazon is legal as long as you acquire the items honestly and don’t sell counterfeit products. However, Amazon expects transparency about the condition of items you resell and where you get them. The company also prohibits sales of some product categories. Get to know what these categories and products are, particularly through the Amazon Seller app, when deciding what to resell.”
Since there is high competition among sellers on Amazon, it will be better if you consider these factors while selling:
- Sell those items that are not available in abundance. This means the product is high in demand. Hence, you can capitalize on scarcity and profit through the product.
- Start selling rare or exclusive items, like limited-edition products, vintage products, rare art collections, etc. This will help you make more profit, as buyers will be willing to pay more.
- Seasonal products can also allow you to make a higher profit. Consider selling holiday decorations, costumes, outdoor equipment, and more. There are months when those items will be high in demand.
- Purchase items at high discounts from sellers and resell them at regular retail prices or a bit higher markup.
- Try to sell those products that are in high demand. This can be fashion items, popular electronics, or other products. Hence, you can profit better from a competitive price if you have a steady supply of such products.
Amazon Reselling: How To Start?
Once you start selling on Amazon, make Amazon Seller Central your go-to place.
According to Amazon,
“Seller Central is the portal for accessing your Amazon seller account. It’s a one-stop shop for effectively managing sales and your go-to resource for selling in Amazon’s stores. Amazon Seller Central helps you navigate your seller account and grow your business on Amazon with helpful tools and content, all from one convenient dashboard. You can log in to monitor your Amazon sales activity and so much more.”
So, without much further ado…
The following are the steps you need to follow to start reselling on Amazon:
1st Step: Find out the types of items you will be selling to your target audience.
2nd Step: Determine which wholesalers and suppliers you will work with.
3rd Step: Start gathering your items. Check for items that are in high demand in the current season.
4th Step: Go to Amazon Seller Central to list your products. Use strategic pricing techniques to make your product competitive.
5th Step: Once you get orders, you will need to handle your shipments. You can also choose Amazon FBA to let Amazon handle shipments and fulfillment.
6th Step: Find new ideas and start using new strategies to drive your sales of products on Amazon. Through research, learn more about your audience, and focus on your strengths. To promote some products, you can also use the “Sponsored” option to sell your products.
Hope this article was helpful for you in getting to learn more about Amazon reselling. If you want to start, consider following the steps mentioned above. However, before you start, make sure to research your products and choose your niche beforehand. You will also need to have the right supplier of products that you buy.
Whether you want to handle the fulfillment or let Amazon do that is up to you. Basically, since Amazon has better reach and resources, letting the eCommerce giant do that can be a better choice. Do you have any more suggestions on how to start Amazon reselling? Consider sharing your ideas and opinions with us in the comments section below.