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How To Sell Online With Amazon

How To Sell Online With Amazon

Amazon is a giant platform in the online retail industry. It will soon be a trillion-dollar-company with more than 150 million Prime subscribers around the globe. There is no other platform that can offer you that number of potential customers.

By selling on Amazon, you have direct access to a very large customer base as well as gaining the trust that the customers have towards Amazon.  By availing of Amazon’s fulfillment services, you can grow your business by working less and working smart.  I have simplified the process here on how to sell on Amazon.

 

Advantages

Opening a seller account in Amazon offers a lot of advantages to you as a seller. Since Amazon has hundreds of millions of customer base, this will greatly benefit your business.

  • Reach hundreds of millions of customers – Amazon has over 150 million Prime subscribers around the globe. Opening a seller account in North America enables you to sell in the U.S., Canada, and Mexico.
  • Fulfillment by Amazon – a world-class fulfillment service provided by Amazon for its sellers. You send your inventory to an Amazon warehouse. As soon as they receive your product, your listing goes live and the customer can start ordering your items. When your product is ordered, Amazon will pick, pack and ship your products to your customers. They will also handle customer service and product returns so you can focus on growing your business.
  • Put your products in the spotlight – avail of their Sponsored Products keyword-targeting advertising by bidding on keywords of your choice from a variety of ad placements. You only pay when your ad is clicked. You choose the product you want to advertise, then decide on which keyword you want to target as well as how much you want to spend for each click. This option is available for professional sellers.

 

 

Steps to Register

Registering to sell in Amazon is a very simple process and can be done online. Amazon offers a self-service registration process. You can either register with an official business name or start off with your name as your business account name. Before you start to register as a seller, make sure you have this information:

  • your business name, address and contact information
  • an internationally chargeable credit card with a valid billing address
  • your tax identity information

When you open a North American account, you will have access to sell in the U.S., Canada, and Mexico. You have options to choose between an Individual Plan or a Professional Plan. The professional plan in the US has a $39.99 monthly subscription plus per-item selling fees that vary depending on the items you are selling. If you just want to try it out for a bit and think that you will only sell about 40 items or fewer a month, then the individual plan will be the perfect fit for you. You only pay US$0.99 per item, plus item selling fees.

Your monthly subscription of US$39.99 as a professional seller covers all three marketplaces. So you don’t pay US$39.99 to sell in the US, another fee to sell in Canada and another fee to sell in Mexico With only one US$39.99 monthly payment, you have three marketplaces available for your business.

If you chose an individual account, the cost is the same at US$0.99 per item plus any fees applicable to the marketplace in which the product was sold.

Of course, if you decide to sell in three marketplaces as an international seller, I suggest you retain an Accountant that can give you advice regarding the different and sometimes quite complex tax information.

 

Steps to Sell

Using the Amazon platform to sell your products is also simple. Amazon has simplified the process of selling to the sellers. By simplifying the process, everyone can be a seller in Amazon. You don’t need to be a technical wizard before you can start selling in Amazon. There are only four steps to sell your products:

  • List – you can list your items individually, or make a bulk listing by using the Amazon Marketplace Web Services
  • Sell – as soon as you are done with listing your products, customers can see your items right away and Amazon provides customers a quick, easy, and worry-free purchase experience.
  • Ship – you will get a notification when a customer places an order. You can ship to the customer’s address or if you use Fulfillment by Amazon, they will ship the products for you as well as handle customer service.
  • Get paid – Amazon deposits payments into your bank account and you will get a notification.

Sourcing your Products

There are multiple ways of sourcing your products. Before you buy products though, you need to verify first if you are authorized to sell the product without copyright infringements. You can verify your Amazon seller account if you can sell a particular product.

A lot of people started with zero to low capital by selling used books. There is a huge market for used books on Amazon. I know someone who scours the thrift shops and garage sales for used books that can be sold in Amazon for profit.

Other ways of sourcing your product are by the following:

  • Retail Arbitrage – you look for items at your local retail store or online stores. You can download the Amazon Seller application as this will help you in retail arbitrage. You can use this app to scan the product in your local store and it will show you how much is the current selling price in Amazon and if you are allowed to sell the product or not.
  • Wholesale – this option of sourcing your products will need a bit of capitalization as wholesalers require a minimum amount of purchase in order for you to get the wholesale pricing. You can google your niche+wholesaler and you will have a list of wholesalers available. Some wholesalers will need you to apply for approval before you can buy from them for resell.
  • Manufacturers – you may have your own brand and manufacture your own products and you can sell your own products to Amazon.

 

Fulfillment by Amazon

Fulfillment by Amazon is a fulfillment service offered by Amazon for its Professional Sellers. I suggest you take advantage of this program. Before I used Fulfillment by Amazon, I would have boxes on top of boxes in my living room and dining room. That was a chaotic time when I first started.

By availing of this fulfillment service, I have ordered online and have the retailers send it to a forwarding company. Then I list my products to get a bill of lading and send this document to the forwarding company to ship my products to Amazon’s warehouse. Fulfillment by Amazon will allow you to scale your business and not worry about space.

Here is a YouTube link by Fulfillment by Amazon that gives you the details regarding this service.

If you have any questions or suggestions to add to this post, please feel free to leave your comment below.

 

23 Comments

Wendy Hines Posted on4:06 am - February 3, 2020

Wow! My mind is spinning with the possibilities! You’ve really piqued my interest regarding the opportunity available by selling through Amazon. I’m looking forward to reading more of the articles on your site and learning more.

    Leslie Posted on2:45 pm - February 3, 2020

    I am glad I was able to inspire you to think of the possibilities. Best of luck to your journey.

Mike jacobs Posted on12:42 pm - February 3, 2020

This article couldn’t have been written better. Your use of headings makes it so easy to read. So much more insight as to how to sell on Amazon been brought to light. I can’t wait to see your next article

    Leslie Posted on2:44 pm - February 3, 2020

    Thank you for your lovely comment. I hope to help inspire those who wants to start a business thru Amazon.

Judy Posted on3:43 pm - February 3, 2020

Hi
Thank for taking the time to set out this information about Amazon.
I had no idea about the scanner for Retail Arbitrage, I’m going to look into that!
It sounds like the sort of way I’d enjoy selling.
Thanks again,
Judy

    Leslie Posted on4:55 pm - February 3, 2020

    You are right Judy because I also have fun using the scanner. It is a very convenient app in your phone and you get the important data you need to decide whether to buy the product or not.

Jeff Posted on3:51 pm - February 3, 2020

I found your article quite an interesting opportuinity to sell on Amazon, and the price actually is a great bargain when you consider your products will be seen on three marketplaces.

One question where do you get your products you sell on Amazon, so do you need to be in dropshipping or can you post affilate products on Amazon?

Jeff

    Leslie Posted on4:54 pm - February 3, 2020

    Hi Jeff,
    When you have a dropshipping business, you can list your products in Amazon and have your supplier ship the products to your customers. I usually source my products thru retail arbitrage and have the store ship it to my forwarding company. Once I have enough products to fit one big box, I list the items in Amazon and ship these to their warehouse.

Tom Posted on4:55 pm - February 3, 2020

Hey,

Great post. I have been looking for ways to make money online. I have tried lots of ways, but I have given up on them. Amazon looks like a much easier way to do it thanks to the information you have shared.

I am going to follow your instruction and try to see if I can make money online through Amazon.

Thanks again for sharing,

Tom

    Leslie Posted on8:17 pm - February 3, 2020

    Thanks for your comment Tom. I am glad that you found the article insightful. A lot of people found success in Amazon. Of course, like any other business venture, make sure you learn the whole process in order to be successful. Best of luck to you.

Lisa Posted on7:56 pm - February 3, 2020

This is a really interesting article, thank you! I’ve been considering trying retail arbitrage but I was concerned about having a lot of product taking up space in my house, so its good to know that Amazon can deal with all that stress!

Is there any risk of personal liability when selling online with Amazon? Should I have some form of insurance before I start?

Thanks in advance!
Lisa

    Leslie Posted on8:19 pm - February 3, 2020

    Hi Lisa,
    Insurance is a good thing to have in case of consumer liability. It really depends on the product you are selling. I suggest you talk to an insurance broker regarding the perfect insurance coverage for your business.

Carole Posted on3:41 am - February 4, 2020

Hi Leslie, thanks for this thrill explanation on how to sell on Amazon. I always wanted to try using their platform as a seller but it seemed so complicated. The way you explain it here seems so easy. I will give it a try! Thanks for sharing!

    Leslie Posted on2:44 pm - February 4, 2020

    You are welcome, Carole. Best of luck.

Kathy Posted on12:04 pm - February 4, 2020

I enjoyed your article as you’ve outlined everything needed to start selling on Amazon. I’ve been thinking about drop shipping with Amazon, and applying for a Merche account, but so far, I’ve been making sales as an Associate. Thanks for the information

    Leslie Posted on2:44 pm - February 4, 2020

    You are welcome Kathy.

Ivan Posted on6:36 pm - February 4, 2020

Thanks for sharing this article about selling on Amazon. I’m fascinated with this business. It’s awesome to see how it just grows larger and larger. Your post helps a lot to understand the process and to get started with the Amazon associates program. Much appreciated!

EcoCatherine Posted on7:38 pm - February 10, 2020

Thank you for this advise. I hope to launch a product in the foreseeable future. Do you know anything about having Amazon ship products on your bahalf. What do they charge for this service.

    Leslie Posted on11:58 pm - February 10, 2020

    Amazon can ship your products for you through their own fulfillment service. You need to be a professional seller in order to avail of Fulfillment by Amazon. The cost will vary depending on the size, weight, and distance of the shipment.

Stephanie Tufts Posted on12:41 am - February 12, 2020

What a great article! I have been trying my hand at dropshipping for a while, but mostly have been using ebay and shopify. Amazon always seemed a little over my head! You have broken it down nicely and made it a little less intimidating for me. I will definitely look into branching out! Thanks!

    Leslie Posted on5:02 pm - February 15, 2020

    Thank you. I wish you success.

Cinderella Posted on8:32 am - February 12, 2020

I had no idea about how to start business with Amazon, but through your post I gained insight. Thanks for this interesting topic. Looking forward to more posts like this.

Cinderella

    Leslie Posted on5:02 pm - February 15, 2020

    Thank you for dropping by.

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