Is selling on Amazon worth it? Should I learn how to sell on Amazon?
Certainly, YES! Once going live on this marketplace, you are likely to benefit from:
- An incredible traffic potential of 2.6 billion (latest updates from SimilarWeb);
- A vast audience of more than 310 million shoppers (according to Jungle Scout);
- Advanced selling tools, such as Amazon A+ Content and Amazon FBA;
And many more!
With that being the case, learning how to sell items on Amazon can be your very first step to a successful online presence. So, are you ready to discover our Amazon Selling 101 guide yet? If yes, here is a brief of 4 stages to become an Amazon seller:
- Stage 1: Preparation and initial setup
- Stage 2: Product listing
- Stage 3: Order fulfillment setup
- Stage 4: After-sale process
Without any delay, let’s kickstart your journey to sell on Amazon!
A Complete Guide to Sell on Marketplaces
Besides Amazon, we support sellers to kickstart their journey on trending marketplaces like TikTok Shop, eBay, Etsy, and more. Check our guide now!
How to Sell on Amazon? The Ultimate Guideline
In our 101 guide of how to sell on Amazon, we’ve compiled 4 major stages, as mentioned above, from initial setup to the after-sales process. Beyond that, we’ll walk you through every vital step in each stage to achieve the desired results.
Let’s not keep you waiting and get our Amazon seller guide started!
#Stage 1. Before you start selling on Amazon
If you are completely new to eCommerce, check out our guide on:
Now, head tp the preparation stage. This is a must-read when learning how to sell on Amazon. In the 1st section, LitCommerce has covered the following content:
- How to source products to sell on Amazon
- What you need before becoming an Amazon seller;
- How much it is to sell on Amazon;
- How you register for an Amazon Seller account;
- What you should know about Amazon Seller Central.
What you’ll need to sell on Amazon?
By saying what you’ll need to start selling on Amazon, we refer to your:
- Bank account information;
- Chargeable credit card;
- Government-issued ID;
- Tax information;
- Phone number and email address.
You’ll need the listed information for later seller registration on Amazon. Furthermore, remember that to become a seller on Amazon, you must check the list of eligible countries for registration, as stated by the house. So far, Amazon is available in 189 countries worldwide, and there are high chances it’ll keep expanding.
Is it free to sell stuff on Amazon?
Following our “How to sell on Amazon” guide, it’s time to acknowledge Amazon selling fees. Can you sell on Amazon for free? Unfortunately, no. Like any selling platform, Amazon charges fees to list and sell products. Specifically, there are two pricing tiers named Individual and Professional, as follows:
Amazon's pricing | ||
Individual plan | $0.99/ product sold + additional selling fees | |
Professional plan | $39.99/ month + additional selling fees | |
Category referral commission | 8 - 20% of total sale price | |
Fulfillment by Amazon fee | Depends on sold items |
Apart from the fixed charges (seller plans and commissions), you might be subject to paying for FBA, advertising, and shipping fees. Such fees will also vary depending on personal context.
How to register for an Amazon Seller account?
To kickstart your journey, you must have a Seller account. This is also a crucial part of learning how to sell on Amazon. Briefly, here is how you can register:
- Get all the necessary information in hand. It includes what we have mentioned above (Bank information, a credit card, phone number, etc.)
- Go to http:/sellercentral.amazon.com/ and click Sign up. If you already have a Seller account, simply log into your account and skip this step.
- Fill in the required information following Amazon’s direction, and you are good to go.
Notes: According to the rulebook, Amazon generates numerous requirements and restrictions on products, listings, overselling activities, and more to protect its community. Therefore, when you start selling on Amazon, it is wise to acknowledge Amazon seller policies in advance.
What is Amazon Seller Central?
Understanding Amazon Seller Central is another important part as you figure out how to sell on Amazon. Briefly, Amazon Seller Central is your go-to resource when selling on the marketplace. In other words, it is a portal to your Amazon store and a one-stop shop for:
- Managing your online business;
- Evaluating sales performance and metrics;
- Adding new products;
- Setting shipping, inventory, and pricing;
- Finding valuable materials (A+ Content or advertising tools) while you navigate your online shop.
Surely, Amazon Seller Central will be your best companion during your journey. But it isn’t the only one. When you first maneuver through the selling platform, especially finding out how to sell on Amazon smoothly, we suggest you check out Amazon Seller University.
Managing inventory on Amazon for the first time can be a hardship, and we recommend you use any help possible. Check out our top-picked Amazon inventory management software now!
#Stage 2. List your products to sell on Amazon
Being an Amazon seller means you must create a product listing and optimize it afterward. For the time being, let’s focus on how to list products on Amazon. Without further ado, here comes our Amazon listing tutorial for newbies.
What do you need to list on Amazon?
Just like your registration process, you must prepare some information before listing items on Amazon. The required information includes a product ID. Remember that every product you sell on Amazon must have a GTIN (Global Trade Item Number). Your product’s GTIN can be a UPC, an EAN, or an ISBN (for books).
Please note that
Besides a product ID, you should get the following details in hand as you learn how to sell on Amazon:
- A SKU (Stock-keeping unit);
- Your product title;
- Product descriptions, variants, and highlights;
- Product images;
- Item search terms and relevant keywords.
How to list products on Amazon
Now, let’s get to the point of how to list products on Amazon!
- Go to Amazon Seller Central;
- Look for the Inventory section and click Add a product;
- Amazon will direct you to an interface where you can create a listing that matches an existing product, add a brand-new product, or list in bulk (for the Professional plan only).
- Hit on any option you want to list your product for selling on Amazon.
- Categorizing your items is a part of our “How to sell on Amazon” guide. Simply use the search bar to look for your product categories or browse the Amazon list. Note that you can refer to competitors’ categories. Also, your product can have more than one category.
- Fill in product details, including titles, descriptions, images, variants, and relevant information. In this step, we highly recommend you use Amazon Enhanced Brand Content to optimize your listing. As a matter of fact, optimizing your listings will likely help you increase sales on Amazon later on.
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More about Amazon product detail page
A product page is where customers view every detail of your Amazon product. Customers can find all the needed information about a particular item on this page.
Accordingly, to bring the best shopping experience while learning how to sell products on Amazon, you should focus on accuracy, relevance, and listing optimization. Speaking of which, here might be some useful points about an Amazon product detail page:
- Title: No more than 200 characters and capitalized letter of every word;
- Images: 500×500 or 1,000×1,000 pixels to increase listing quality;
- Variations: Such as different colors, scents, or sizes;
- Bullet points: Short, descriptive sentences highlighting key features and benefits;
- Featured offer (“Buy Box”): The featured offer is on a detail page. Customers can add to their cart or “Buy Now”;
- Other offers: The same product sold by multiple sellers offering a different price, shipping options, etc;
- Description: Keywords help people find your listing while you sell on Amazon.
Besides your product details, you will need to learn how to create an Amazon storefront, which helps enhance your brand recognition on Amazon.
Notes: Knowing your product page well is a vital step in how to sell a product on Amazon. Therefore, make sure you always get the latest updates from Amazon and optimize your page accordingly.
#Stage 3. Set up your fulfillment while selling on Amazon
Our guide of how to sell on Amazon cannot be complete without instructions for setting up fulfillment. Simply put, setting up fulfillment refers to how you will fulfill and ship products to the end-users, and all maneuverings are made through Amazon Seller Central.
Here is how you set up your order fulfillment and start selling on Amazon step by step:
- Go to Amazon Seller Central.
- Navigate to Settings and choose Shipping Settings.
- Set up your shipping rates, policies, and regions. Aside from these, you can set up shipping overrides and international terms as you sell on Amazon.
- If you look to print shipping labels, you can also choose to print them individually or in bulk in the Shipping Settings section.
- As you’ve done with shipping settings, simply click Save.
What are your fulfilling options?
As you become a seller on Amazon, you’ll get to choose between FBA (Fulfillment by Amazon) and FBM (Fulfillment by Merchant). When it comes to FBA and FBM, here comes their most significant difference:
- Fulfillment by Amazon: Your orders will get fulfilled and delivered to end-users by Amazon.
- Fulfillment by Merchant: All logistic and fulfillment tasks are on you. For merchants selling stuff on Amazon with this method, go and check out LitCommerce’s detailed FBM guide.
For newbies who are learning how to sell on Amazon, we highly recommend you choose FBA to reduce your initial workload. Besides, FBA can be useful if you are looking for cost efficiency. The case is even more applicable when your business on Amazon is more of a hobby shop, or most of your item sizes are determined as Compact by Amazon.
How does FBA work?
The mechanism of FBA is simple, and here is how it goes:
- Step 1: You set up shipping and choose FBA to be your fulfillment method
- Step 2: You create a product listing to sell on Amazon
- Step 3: Prepare your products and pack them following Amazon’s guidelines.
- Step 4: Ship your products to the Amazon fulfillment center, and FBA handles the rest.
Learning how to start an Amazon FBA business can be useful for sellers in general. The case will be the most relevant if you are looking for guides on how to sell on Amazon without inventory.
#Stage 4. Handle the after-sale procedures on Amazon
The 3 sections above have walked you through how to sell on Amazon but mostly focus on the pre-sale procedures. What about the after-sale procedures when you just make your first purchase on Amazon?
This is exactly why we are heading to the stage – handle your after-sale tasks. It is also the last part of our guide on how to start a business on Amazon.
In particular, our following content is divided into 2 main points:
- Get your reviews
- Monitor performance and metrics
Get customer reviews
Customer reviews can make or break your business. In fact, they are one of the keys to how to sell something on Amazon successfully because potential shoppers will always look for reviews! Accordingly, you have to ensure you get the best products to shoppers first. Then, you should gather as much positive feedback as possible. But how?
One of the most effective ways to get customer reviews on Amazon is to simply ask for them. After a customer has received their purchase, follow up with an email thanking them for their purchase and kindly asking them to leave a review. Make it easy for them by including a direct link to the product review page.
Beyond that, some tips you can use from our guide on how to sell on Amazon to get reviews effectively are:
- Offering incentives for leaving a review;
- Using Amazon’s Early Reviewer program;
- Optimizing your after-sale customer experience;
- Utilizing Amazon’s “Request a review” button.
Last but not least, be aware of Amazon’s policies regarding incentivized reviews and make sure to follow them to avoid any penalties.
Monitor business performance and metrics
For the record, Amazon maintains a high standard to provide sellers with a seamless and enjoyable eCommerce experience. Not to mention, the marketplace is highly customer-oriented.
On these grounds, learning how to sell things on Amazon also means you’re well aware of Amazon seller KPIs and rules. Now, let’s take a glance at 3 critical KPIs as you become an Amazon seller!
Customer service performance
When you sell stuff on Amazon, your customer service performance is measured based on your Order Defect Rate (ODR). According to the house rule, ODR is the percentage of your orders getting one or more indicators of poor customer service.
Such indicators can be negative feedback from your shoppers or their requests for credit card chargeback. To avoid poor customer service performance, any seller on Amazon is recommended to keep their ODR under 1%.
Account health rating
Learning how to sell on Amazon and make money from it means you’d better keep a healthy account rating. As you start selling with Amazon, you’ll get an overview of their compliance with key policies and restrictions in all aspects.
In this stage, Amazon expects sellers, including you, to maintain a “Good” account rating and address any rule violations listed on your Account Health Dashboard. Otherwise, if your Amazon account is rated as At Risk or Critical, it may go deactivated as soon as Amazon detects any violations.
Shipping performance
The 3rd metric – Shipping performance comes into the scene if you sell stuff on Amazon using FBM (Fulfillment by Merchants).
- Pre-fulfillment cancel rate (initiated by the seller before shipment): < 2.5%
- Late shipment rate (orders that ship after the expected date): < 4%
- Valid tracking rate (orders fulfilled by merchants with valid tracking numbers): >95%
You can keep tabs on your performance to ensure you’re meeting your targets in Seller Central. And that’s it! You have reached the end of our detailed guide!
In case you need a recap, take a look at 5 steps of how to sell on Amazon:
1. Login or sign up for an Amazon Seller account;
2. Create your listings to start selling on Amazon;
3. Set up your shipping and fulfillment on Amazon;
4. Get your customer reviews after the first sales;
5. Monitor your business performance and metrics in the Amazon Seller Central.
Besides our guide to selling on Amazon, we have also provided you with relevant information about Amazon Seller Central, FBA, and Amazon Seller standards through 4 stages. Make sure you follow these steps and always update with the house rules. Happy selling!
How to Sell on Amazon Successfully? 8 Most Practical Tips
How do I sell stuff on Amazon and make money from it?
We all know that starting an Amazon store and actually earning from it is challenging. That’s why we have added more to our “How to sell on Amazon” guide, and we will now reveal the 8 most effective Amazon seller tips! Want more ways to make money from Amazon? We’ll be more than happy to give it to you right here!
#1. Optimize your listings
One of the best tips for selling on Amazon is listing optimization. Regarding this matter, here are some tips and tricks:
- Optimize your product titles, descriptions, and images image alt texts;
- Pay attention to backend search terms and keywords;
- Enhance image quality.
Optimizing listings means you will have a greater chance of reaching more potential customers, so don’t miss out. However, there are more factors to pay attention to during your optimization process. Here are some aspects that may impact your listings and chances of visibility:
- Relevance: Amazon’s algorithms are designed to ensure customers get the most relevant results of what they search for. Evidently, this is a huge factor affecting your listing optimization process when selling on Amazon.
- Performance metrics: We’ve mentioned your seller metrics previously in our “How to sell on Amazon” guide. Doubtlessly, Amazon will take into serious consideration your seller performance metrics and decide if your listings can get ahead of the game.
- Sales history: Amazon partly evaluates your sales performance in the future based on sales history. Although this is not the most emphasized factor, they do provide a background for future sales potential.
#2. Get the best products
Having the hottest-selling products might help you out when first going live on this marketplace. For this section, we have already rounded up a list just for you. Here are the best items to sell on Amazon:
- Books
- Baby items
- Electronics
- Household and kitchen appliances
- Toys
- Personal care products
- Apparel and accessories
- School supplies
- Cosmetics and makeup
- Pet supplies
- Sports and outdoors
- Outdoor furniture and garden supplies
- Handmade and unique goods
- Bedding items
#3. Make use of Amazon seller tools
Why not leverage the power of sellers by providing useful tools when you learn how to sell on Amazon? Don’t skip any chance that helps you level up your store! Some highlights of Amazon seller tools you may want to know:
- Amazon Seller Central: Helps you manage every aspect of your business on Amazon, from listings to taxation.
- Fulfillment by Amazon: Allows you to store products in Amazon fulfillment centers and then handles all fulfillment tasks.
- Amazon Advertising: Offers Amazon sellers a suite of services and tools such as Sponsored Products, to promote their items on Amazon.
- Amazon A+ Content: Lets Amazon brand owners and select sellers jazz up their product pages with better visuals and more information to attract customers.
- Amazon Brand Registry: Helps you grow and protect your brand on Amazon, especially if you are coming up against counterfeit products.
- Amazon Early Reviewer Program: Encourages customers to leave reviews, which is extremely helpful when you start selling on Amazon and want to generate initial reviews.
#4. Sell with Amazon and leverage FBA services
As mentioned above, we highly recommend you leverage the Fulfillment by Amazon method, and here are several reasons behind it:
- Your shipping performance is less at risk: Since everything is on the house, you won’t have to worry about your shipping performance and any related metrics. For those who use FBM, this is a huge advantage.
- You are more likely to be eligible for Amazon Prime: Because your shipping performance is on top using FBA, there is a high chance you are considered ideal for Prime shipping benefits.
- Winning the Buy Box gets easier: Sellers who use FBA are more likely to win the Buy Box compared to those who don’t. Once again, Amazon takes into account your shipping performance and order fulfillment rate. That’s why we advise any seller to use the FBA service.
#5. Integrate Amazon with more channels
Apart from learning how to sell on Amazon, have you ever considered expanding your business? Selling on multiple channels beyond Amazon, such as on your own website or other marketplaces like eBay or Walmart, presents opportunities to diversify your revenue streams and reach new audiences.
However, multichannel selling can be challenging without an advanced management tool like LitCommerce. By using LitCommerce, Amazon sellers can smoothly integrate into 20+ dynamic platforms in just ONE click and manage all from ONE central dashboard. Contact us for more information now!
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#6. Leverage advertisement
It is evident that advertisement holds great power for any online business, including yours on Amazon. When selling on Amazon, you can access 4 types of ad solutions, which are:
- Sponsored Products: This Amazon ad is for individual products and is shown on product detail pages and search result pages;
- Sponsored Brands: You can display your company’s logo and product line, holding up to 3 products.
- Amazon Stores: Individual brands can create custom multi-page shopping destinations to convey their company story and product selections.
- Custom Amazon ads: These are tailored ads to your business needs, and they are created by Amazon Ads account executives.
For individual sellers or small businesses who start selling on Amazon, Sponsored Products advertising is quite ideal.
As you figure out how to sell on Amazon and promote your products, pay attention to some ad mistakes below:
- Uncategorized campaigns;
- Poor keyword selection;
- Constantly changed ad budgets.
#7. Win the Amazon Buy Box
Winning the Amazon Buy Box can answer your question about how to make money on Amazon. In summary, to achieve this box, you should put effort into:
- Optimize listings;
- Enhance performance metrics;
- Conduct effective Amazon pricing strategies;
- Level up the customer experience.
As a tip we have told you, try leveraging the FBA method. Don’t skip a chance to build up your store on Amazon.
Any more ideas or practices you’ve tried to win the Buy Box? We’d love to hear from you!
#8. Access Amazon learning resources
You are figuring out how to sell on Amazon, and the house has offered you every learning source to get started. Ever wonder what they are? If yes, take a look at all the resources you can access for free when selling with Amazon here!
- Seller University: You learn everything from scratch to the most advanced selling strategies on Amazon. This is pretty much like an Amazon selling 101 course.
- Seller Forums: The name has already spoken for itself. Amazon Seller Forums is a place for sellers like you to ask questions and provide answers.
- Advertising Learning Console: As a learning hub on Amazon, Advertising Console helps you understand and optimize your advertising efforts on the platform.
- Podcasts and Blogs: If you are a new seller, you might learn more about Amazon success stories, tried-and-true practices from experienced sellers, and industry insights.
- Ecommerce Inventory and Fulfillment Guide: Amazon explains all the details about inventory management and fulfillment in these guides. Without a doubt, such instructions will help you a lot when it comes to our case – How to sell on Amazon.
How Do I Become An Amazon Seller – FAQs
Yes, it is profitable to sell on Amazon. The rationale behind this is that Amazon has a massive customer base of over 310 million. Not to mention, Amazon’s monthly visits have reached up to 2.6 billion. Surely, these figures indicate huge selling opportunities on Amazon. Alongside, you might consider learning how to sell on Amazon because of its robust selling tools and product diversity that help enhance your store’s capabilities in the marketplace. Here are 5 simple steps of how to sell on Amazon: On the first hand, you have to pay for a seller plan (Individual or Professional), which ranges from $0.99 per unit sold to $39.99 monthly. Besides, you might be subject to paying for category referral commissions, FBA charges, and advertising. You still need some initial investment to start Amazon FBA. However, minimizing the costs to start an Amazon FBA business is 100% possible. Consider selling products with low market entries, optimizing your packaging, and leveraging free Amazon selling tools along the way. You can sell almost anything from new to used on Amazon. However, Amazon still has strict rules on what you cannot sell. Please consult more about Amazon restricted product policies. On the other hand, some of the best selling items on Amazon include apparel, toys and games, baby supplies, pet supplies, bedding items, and household appliances. As an Amazon seller, you do not have to pay extra for shipping. Additionally, the cost to ship your orders depends on whether you fulfill your own orders or use Fulfillment by Amazon (FBA). In general, shipping fees are based on the weights and dimensions of your product. To cover this, you can charge buyers, but make sure you inform them clearly. Yes, you can resell on Amazon if you do not manufacture your own products. As an Amazon reseller, you must follow the marketplace guidelines, which are the Amazon category, to not list banned items. If you still wonder what should I sell on Amazon, you can check the list of best products to sell on Amazon to find a chance to generate great profit on this marketplace. There are up to five ways you can sell on Amazon without inventory. They are:
Start Selling on Amazon – The Bottom Line
We hope that our guide has answered your question “How do I sell on Amazon”. There are briefly 5 steps to start selling on Amazon:
#1. Create a seller account;
#2. List your products;
#3. Set up shipping and fulfillment;
#4. Get reviews after your first sales;
#5. Keep track of your business performance and metrics.
More than our guide of How to sell on Amazon, don’t forget to follow our tried-and-true practices for thriving a business. Especially if you are looking to conquer this global marketplace and expand, we’d like to show the utmost multichannel selling tool – LitCommerce.
By using LitCommerce, you can sell as many sale channels as you want, and we’ll lift all the hard work. Should you be interested, don’t hesitate to contact our 24/7 support team.
Finally, don’t forget to follow the LitCommerce Retailer Blog to stay up-to-date on eCommerce trends, insights, and guides. Happy selling!
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