Best ways to make money on Amazon
From humble beginnings selling books Amazon has turned out to be the largest online retailer in the world, the platform is still growing offering more and more services. This exponential growth has presented many money-making opportunities for people, in this post I’m going to cover the best ways to make money on Amazon.
1. Become an Amazon affiliate
Have you a website or blog that is SEO optimized and attracts a lot of traffic? why not become an Amazon affiliate and make a passive income by placing Amazon product links throughout your site.
It doesn’t matter what niche your site or blog is based around Amazon has such a massive range of products you won’t have any difficulty finding what you are looking for.
Amazon affiliates are paid what I consider to be a low rate of commission between 4-8.5% per sale so is this one of the best ways to make money on Amazon, well to be honest unless your site has tens of thousands of visitors it can be difficult to make serious money.
Having said that I have seen evidence that some Amazon sites are making anywhere from $100 -$25,000 obviously sites making money at the higher end have much more traffic.
Bear in mind that Amazon affiliate links convert very well, Amazon has developed into a very professional successful selling platform.
2. Make money selling using Amazon’s FBA
Amazon have a very successful program called FBA meaning fulfilled by Amazon, it works in two ways, either you send your products to an Amazon warehouse where they look after the orders and shipping.
The second option involves you advertising the products on the Amazon platform and you ship them to the customers yourself, I have experience in both methods both have good and bad points.
From my experience I can tell you that you should take time to do in depth research into what products you are going to sell on Amazon, people will buy the product at the lowest price that Amazon will display when they search.
If you are going to compete with other sellers you need to source the product at a price that allows you enough margin to cover your costs of bringing it to the Amazon marketplace.
Not only that you will need to understand all the rules and regulations that Amazon impose on their sellers, having said that if you do your research carefully.
Pick a niche that isn’t too competitive chances are you can make a lot of money in the Amazon FBA program especially around holiday season.
Here are my 5 top recommendations to sell on Amazon FBA
1. Find a product that retails around the 30-50-dollar range with a profit margin of 20 dollars after all fees are paid.
2. Coming up to holiday season make sure you have more than enough stock, you don’t want to miss out on sales!
3. China is a fantastic place to source all types of products be aware that they also shut down for Chinese New Year for about 30 days so you won’t be able to get supplies at that time.
4. Become familiar with all the fees that Amazon charge, remember not only will you have fees to pay that can be hefty you will also have to factor in paying income tax on profits.
5. Check out websites like Alibaba where you can find unlimited sources for products in any niche, you can also check out the reputation of the suppliers before doing business with them.
3. Private label products
One of my favourite and best ways to make money on Amazon is private label products, the beauty of private label products is that nobody else has a product with the same brand as yours, this gives you a distinct advantage over your competitors.
For example, a private label product is unique to you, it’s a brand that is unique and you may find that other people can sell your brand on other platforms for you.
The downside is that the process is complicated, first you have to source a reliable quality manufacturer for your product, more than likely you will have to place a large order to get the price down.
You will have to register your brand with the relevant authorities, if it’s in a health niche for example this can take time, building a brand takes time and perseverance however if you establish a successful brand you stand to make a ton if money.
4. Retail arbitrage
Retail arbitrage is a good example of one the best ways to make money on Amazon because as an Amazon seller you buy a product at a low price and you sell at a much higher price
I know some people that are making six figures from retail arbitrage on Amazon.
It does require a lot of research and legwork to be successful, if you are someone who has a good eye fir a bargain the retail arbitrage may be a way for you to make money on Amazon.
Go to your largest stores take densely good look around at products that are reduced to clear, take notes of these products, the go on Amazon.com marketplace check the prices being charged for said products.
There is an Amazon app called Amazon free price check app that can tell you very quickly what price any product is selling for on the site, within minutes you can see the opportunity to make money on Amazon by buying low and selling high, don’t forget to check out the fees before calculating your profit.
Another good source of is online websites that sell liquidated stock, you can find real bargains when you buy in bulk, I know of people that are bringing in over a million a year from this strategy.
Retail arbitrage won’t suit everyone as it entails an awful lot of research and leg work, plus you have to physically pick stuff up package it to be sent to the warehouse it can be very time consuming but profitable.
5 Amazon flex
Amazon flex is more if a part time way to make money on Amazon, if you ever notice that your Amazon delivery was made by somebody not wearing the Amazon uniform chances are, they are part of Amazon flex.
Because Amazon offer same day delivery it needs extra people to keep this promise, if you want to earn some extra money from Amazon and you live in a d populated area you can join Amazon flex, all you need is a smartphone and a reliable car.
Basically, you will be delivering goods ordered through Amazon prime, you will need to be flexible regarding your availability the pay isn’t too bad between $18-25 per hour.
6. Amazon work from home
Amazon has millions of customers across the world, one of the best ways to make money on Amazon is by becoming part of their customer service department it’s also known as Amazon’s work from home customer service associate.
Working from home can be rewarding Amazon are particularly interested in people that can speak a language other than English, you may also need to have customer service experience or be willing to learn how to deal with Amazon customers.
Positions are available in different locations throughout the world, some part time some full time, some seasonal rates of pay start around $10 per hour, you can look for positions, just Google Amazon work from home apply now.
7. Amazon publish an e-book
Can you write an e-book? absolutely with the help of Amazon self-publishing platform Kindle unlimited, you can publish your very own e-book with the potential to make money.
Reading books has changed with the advent of Amazon kindle unlimited; more and more people are paying $9.99 per month to have unlimited access to millions of publications.
As an author you have access to huge numbers of people that may want to free what you have to say, you don’t have to be a fantastic author to make money on Amazon Kindle unlimited.
This method of making money on Amazon is very appealing because your costs of producing an e-book are small and the potential for e-book sales is massive.
Writing your own e-book is in my top three best ways to make money on Amazon, costs are low profit is high, just remember Amazon take in some cases up to 75% of the selling price, be careful with your pricing.
8. Merch by Amazon
Probably not one of the best ways to make money on Amazon however if you have an artistic streak in you in terms of design then you can make money on Amazon by designing artwork that is suitable to place on t-shirts.
You simply design the artwork, upload it to Merch by Amazon they print your design. do the selling for you and you get paid a commission.
It is a competitive niche, but if you are good at designing that people want to buy, it won’t cost you a fortune to get started some people have become very successful selling t-shirt designs.
You can apply to Me4ch at Amazon for approval, it’s easy enough to become approved.
9. Amazon mechanical Turk
What a weird name for a job that a computer can’t do, this platform was set up so people could get paid for doing menial tasks like data inputting, image recognition, transcription, or categorizing.
To be honest this method of making money on Amazon wouldn’t be one of the best ways to make money on Amazon but it does pay some money.
10. Amazon handmade
If you are good with your hands and like to make handmade products that people want to buy the you should consider selling on Amazon handmade because they offer an alternative to EBay & Etsy where they have thousands of people buying handmade items.
Like the other handmade selling platforms there are pros and cons, pros are access to tens of millions of online customers while commissions are as high as 15%, it’s easy enough to join providing your products are exclusively handmade and authentic.
Conclusion on the best ways to make money on Amazon
I hope that you have enjoyed my post on the best ways to make money on Amazon, as you can see there are a variety of ways to make money on Amazon it all depends on what you find the most appealing.
Personally, and I speak from bitter experience the Amazon FBA program can be a tough but to crack because of how fierce the competition is not to mention that buyers will always buy at the cheapest price.
Private label products if you can crack it can make lots of money.
The Amazon affiliate program is probably the most cost-effective way to make money in terms of cost and risk on Amazon as long as you can write quality content that will drive tens of thousands of visitors to your site.
If you want to learn how to write quality content that is SEO optimized for the search engines then I highly recommend that you do the online Entrepreneur certification course.
The course is an excellent way to learn the basics of affiliate marketing how to discover your niche, how to find keywords that people are using to search for online products and ultimately teach you how to make money online.