The Complete Guide on How to Sell on Amazon and How it Can Make You Your First Million

What is Amazon?

how to sell on Amazon

Most people think of it as an online bookstore – and that’s so successful that the company now sells just about everything and dominates a great deal of Internet commerce.

So, Amazon is a marketplace for third-party sellers. Anyone who wants to sell their product can do so on Amazon. The advantage of selling on Amazon is that anyone can buy things from anywhere around the world.

People don’t want to waste time visiting different stores just to buy one product, so they prefer choosing one store where they can get everything they need.

Amazon has made it very easy for us to do so, by creating an online platform where people can browse through various categories and get the products they need.

But “” is just a brand name. The people who buy stuff on Amazon don’t know or care whether they’re buying from Amazon or some other company; they just follow their usual habits, clicking on whatever Web address they were using before to buy similar things.

Learn how to start selling on Amazon from this FREE Pdf

Why Sell Products on Amazon?

If you’ve been looking for a new way to grow your business, selling products on Amazon could be the answer you’re looking for. There are lots of reasons to sell on Amazon.

One reason is that for many people, Amazon is where they go first when they’re looking for a product. For example, if someone needs to buy a baby stroller, one of the first places they might look is on Amazon.

Another reason to consider selling on Amazon is that there are lots of ways to sell your products on this platform. You can sell them yourself, or use another seller’s account to sell your products. You can also try selling on other online marketplaces like eBay or Etsy.

Amazon is the largest online retailer in the world and also sells more Kindle ebooks than any other ebook retailer. Selling on Amazon gives you access to hundreds of millions of customers looking to buy your product.

Here are some benefits of selling products on Amazon:

  • You can launch fast: they handle storage, shipping and customer service for you. You can get started in minutes with a couple clicks of the button.
  • You can sell anything: from books and toys, to electronics, beauty and apparel. You can even sell your digital creations such as music, games or software.
  • Your products are eligible for Prime: Prime has become synonymous with online shopping and over half of online shoppers start their search for a product on Amazon. Having your products eligible for Amazon Prime increases sales significantly, especially if you are selling small items that are under 5 lbs.

Pros of Selling on Amazon


No one is forcing you to sell on Amazon, but if you’re going to, there are a few things you should know before you get started.

By selling on Amazon, you can offer your customers the convenience of purchasing from any location in the world where there’s an Internet connection.

You will also be able to lower your costs by using Fulfillment by Amazon. FBA allows Amazon to store, pack and ship your products in their own warehouses, then ship them directly to customers when they order them.

FBA takes care of customer service. They handle returns and exchanges for you.

Another pro is that you do not need a website. If you want to start an e-commerce business, a website can be very expensive. The good news is that Amazon has a platform that allows sellers like yourself to sell your products without having to worry about setting up an e-commerce site.

There are also no monthly fees for selling on Amazon, which is another pro for this opportunity. You only pay when you make a sale, which means you are only out of pocket when you make money.

Learn how to start selling on Amazon from this FREE Pdf

Cons of Selling Products on Amazon

Although selling on Amazon has many advantages for small businesses, one of the major downsides is that by selling through the platform, there are reduced profit margins.

The fulfillment by Amazon program allows sellers to have their items shipped directly from an Amazon warehouse and have the company handle all customer service, but these services come at a cost to the seller.

In order to use Fulfillment by Amazon, sellers must pay fees for storage of their products, picking and packing orders, shipping costs and customer service.

Sellers can choose whether or not they want to fulfill orders themselves or delegate this work to Amazon as well. Sellers who wish to fulfill orders themselves will still incur fees for storage of their inventory in an Amazon warehouse as well as pick and pack fees associated with getting orders out the door.

Fees are calculated per product and can vary greatly depending on the size and weight of each item carried by the seller.

How To Sell On Amazon

Selling on Amazon is an excellent way for new sellers to enter the market and for existing sellers to expand their sales. It is easy to set up and requires no investment in inventory or shipping costs. To sell on Amazon, you need to create a seller account and then submit your product information to Amazon.

The Requirements For Opening An Account As An A Seller On Amazon

Being a seller on Amazon is a serious business. You are an independent contractor, and you are responsible for all the tasks that are required to run your business.

In order to be eligible to sell on Amazon, you must meet their requirements of identity verification, tax compliance and health insurance coverage.

These are the prerequisites in setting up an Amazon Associate Webstore:

  1. You need an existing registered business that’s registered with the IRS for tax purposes.
  2. You must provide a credit card and billing address.
  3. You must have a business-level Web hosting plan, with a domain name associated with it.
  4. You must have a digital camera or scanner to take pictures of products you’re selling, and you should use your own images and not those that have been copyrighted by other companies or individuals.
  5. You can become a seller on Amazon by registering as an Individual or Professional Seller. You need to provide some personal details, such as your name and address. You will also have to verify your identity by providing some personal documents, such as a driver’s license or passport.
  6. If you register as a professional seller, you will also need to provide information about your business and the types of products that you sell.
    Learn how to start selling on Amazon from this FREE Pdf

Wholesale Method Of Selling On Amazon


There are two ways that people sell on Amazon, Retail (in bulk) and Wholesale (one at a time). The easiest way is to sell in Bulk because you can make more money in Bulk sales than in each individual item sales. That was the only way of selling that I knew, until one day when I found out about selling wholesale items on Amazon.

The wholesale method of selling is the most effective way to sell products on Amazon. Why? Because you’re basically getting paid by the retailer, not by the consumer.

This means that you don’t have to worry about shipping and handling charges and so on when you sell a product, unlike with retail arbitrage.

Basically, all the risk factors in selling products on Amazon are removed when you use this method. You can even go as far as to say that wholesale is the most profitable way of selling on Amazon.

What does this mean for you? This means that it’s easy for you to move your items from one warehouse to another without having to worry about these things. This will save you time and money, which is something that no other seller can offer.

Now if you’re thinking of selling on Amazon and wondering which method is best for you, then look no further because wholesale is definitely the best way for you!

eBay Vs. Amazon

Both eBay and Amazon are auction sites. The difference is that on eBay you bid on items you want, but on Amazon you bid for keywords.

eBay is for people who want to buy things. They don’t care about the search experience, because they want the specific item they are looking for. That’s why there isn’t much attention paid to making the site pleasant to use.

For example, if you put a search in an Ebay search box, it will take you directly to a results page, even if your search has only two terms in it and every single item on that page is not what you wanted.

On Amazon, if your search turns up no results, they show you other searches that might have produced something you wanted.

The eBay approach is more efficient and faster. The Amazon approach is better for customers who are just browsing. But on eBay the customers are looking for a specific thing and don’t mind taking time to find it; on Amazon those same customers would be frustrated by such a long delay between search and result

You can sell things on Amazon, and you can sell them on eBay. Which is better?

The short answer is: If you are a big company, use Amazon. If you are a small company, use eBay.

Amazon’s “fulfillment by Amazon” service is cheaper than eBay’s final value fees, which can easily be 10 times as much. But that’s true only if you already have an established business with a strong brand, and if you ship in bulk to their warehouses.

If your business isn’t already at least moderately successful and well-known, it will probably be easier to start out on eBay.

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