From Consumer to Entrepreneur: A Comprehensive Guide to Make Money on Amazon

Marcus Marion, CMA™ 10 months ago 0 30

Did you know that Amazon is the US’s largest e-commerce platform, accounting for 56.7% of all e-commerce sales in 2021? Also, 89% of American consumers are more likely to purchase from Amazon than other e-commerce sites. With 300 million customers and 1.9 million selling partners worldwide, Amazon is lucrative for online shopping and e-commerce.

If you want to make money online, Amazon is an excellent choice, and you can seamlessly shift from being a consumer to an entrepreneur. You may wonder, why Amazon? First, the platform has a vast audience of buyers, allowing you to reach millions of potential customers around the globe.

Second, Amazon has earned a reputation as a credible online store over its 29 years of operation. Consequently, you present yourself as a trustworthy seller by selling on Amazon. Lastly, the e-commerce guru has impressive features and tools to make e-commerce easy, from quick checkouts to product descriptions and customer reviews.

Whether you want to sell a product or service, Amazon has something for everyone, and you can generate significant income. Continue reading to learn nine amazing ways to make money on Amazon so you determine the best one for your unique situation.

1. Sell Digital Products

make passive income on Amazon

In the current digital era, selling digital products on Amazon can be lucrative. In fact, the digital products industry is worth $331 billion and surges every day. You can sell e-books, software, podcasts, templates, courses, video games, and audio and earn big money.

Selling digital products on Amazon has several benefits.

  • Minimum upfront investment: you don’t need inventory, supply chain logistics, and employees.
  • High margins because the products are infinitely scalable. For instance, you can sell an online course or software to many people, increasing your profit margins.
  • Access to a global audience with Amazon
  • Potential for passive income: If you are wondering how to make passive income on Amazon, selling digital products is ideal. You get passive income once you upload the digital product on the platform because sales are automated.

2. Publish Books

If you are a writer, Amazon’s Kindle Direct Publishing (KDP) allows you to publish your books and get a share of royalties on sales. It is not restricted to digital books; you can also get hard copies. Apart from the book, you don’t require additional investment and can get a high income, especially if you are an exceptional writer.

While KDP makes publishing easy, it is more competitive than conventional publishing. As such, you must ensure your book is well-written and edited, and the end product is high quality for optimal outcomes. Authors can make significant cash on this platform and receive as much as 70% of royalties.

3. Become an Amazon Influencer

how to Become an Amazon Influencer

If you have a large social media following, you can make money by rallying your followers to purchase products on Amazon. Amazon influencing is a good money-making strategy for individuals with a solid following on social media platforms like

  • Facebook 
  • Instagram 
  • Twitter 
  • TikTok 
  • Youtube  
     

When you join the Amazon Influencer Program, you get a dedicated storefront on Amazon with the items you recommend. Then, use your social media profile to lobby your followers to buy these items. When they purchase, you earn a commission. The secret is to determine the best products to recommend and market them vigorously.

You may ask, how much do Amazon influencers make? There’s no single answer to this question; the commission depends on the category and number of purchases.

Typically, the more people purchase a product, the more money you make. It can be a few hundred to thousands per month. The good thing is that you don’t need millions of social media followers to start earning money; even a few hundred will do.

4. Sell Physical Products Online

Among the most basic ways to make money from Amazon is to sell physical products; your imagination is the limit. In this option, you can buy products from a supplier and resell or custom-make them. In the former, determining the products you want to sell is crucial and affects the success and viability of your ecommerce venture.

Consider researching the best-selling niches or categories, shipping costs, durability, and competition. Some best-selling categories include

  • Cookware
  • Home Entertainment
  • Electronics
  • Fitness equipment
  • Apparel
  • Pet supplies
  • Personal care products
  • Gift cards

It is best practice to choose low-competition and consistent-demand products and avoid those requiring multiple certifications, documentation, and paperwork.

If you are creative, you can make homemade goods and sell them on Amazon. They may include clothing, art, jewelry, tote bags, and wooden toys. Amazon offers a massive audience for your products, and your brand gets a worldwide market.

Unlike other e-commerce platforms, Amazon Handmade does not have listing and subscription fees. Nonetheless, you may need to work harder to stay on top of your orders.

A good thing about selling on Amazon is that you can utilize the FBA program and avoid the hassle of packaging, shipping, and customer support. With this program, you send your products to an Amazon Center, and they cater to storage, shipping, and delivery, in exchange for a fee.

5. Affiliate Marketing

Affiliate marketing is a straightforward Amazon make money strategy whereby you earn commission by monetizing your website or blog’s traffic. Start by identifying a product category that would appeal to your audience and link to it from your site or blog. When a person uses the affiliate link to make a purchase, you get 4-10% of the sale, depending on the product category.

Affiliate marketing lets you generate income on Amazon without selling a product or service. You only need to leverage your online audience to generate income. Affiliate marketing is suitable for bloggers, content creators, and publishers.

Amazon affiliates’ earnings vary widely. You can earn a few hundred bucks monthly to six figures annually. The average affiliate marketer gets $55,434 per annum. Top earners get between $111,500 and $121,000, while the bottom earners make between $16,500 and $26,000 annually.

6. Be a Wholesaler

Among the most prominent ways to generate income on Amazon is by purchasing items in bulk and reselling them. The pros of this strategy are;

  • Leverage economies of scale, thus getting a lower cost for products.
  • Since you sell other enterprises’ products, you don’t handle manufacturing, branding, and associated costs and hassles.
  • Environmentally friendly and uses less packaging. You can package individual products to appeal to consumers and increase aesthetics.
  • With one lump investment, sellers can make huge profits, especially when they price their items competitively. 61% of Amazon wholesale sellers report monthly sales of more than $5,000.

However, wholesale selling on Amazon has several challenges. It can be hard to stand out with numerous sellers, even with low prices. Also, successful wholesale selling requires time and effort to create a loyal customer base.

7. Deliver Goods for Amazon

how to earn extra income

While Amazon has its delivery service, you can join the fleet as a delivery and earn money. Through the Amazon Flex Program, you deliver packages for Amazon and get paid. How much you earn depends on several factors, including location, tips, and work duration, but you can earn between $18-25 per hour.

Amazon Flex allows people to attain their financial goals through extra work and money. Whether you want to pay off debt, save for an asset, or make ends meet, you can do it with the income you earn from deliveries. Also, the program offers incredible flexibility, letting you work when you want to.

8. Work From Home

Amazon employs approximately 1.54 million employees, both full-time and part-time. As the corporate world shifts towards remote work, Amazon has not been left behind, and a good portion of its workforce works from home. Subsequently, you can be an Amazon work from home employee and enjoy many benefits, including

  • Greater flexibility
  • Independence
  • Superior productivity
  • Monetary savings
  • Work-life balance.

Amazon has many remote roles in customer service, data entry, and corporate. For instance, you can work as a virtual customer service associate, with the prominent roles being solving customer issues and answering their requests by phone, email, and chat. Your income depends on the position; you can earn around 40,000 annually in an entry-level position.

9. Sell Professional Services

While Amazon is primarily renowned for buying and selling physical products, you can sell professional services. Amazon allows beauticians, pet groomers, cleaners, music instructors, flooring specialists, electricians, roofers, tile contractors, locksmiths, and handymen to get clients in their locality.

All service providers must have a trade license and general liability insurance. Also, you must pass business and individual background checks. The amount you make depends on the services you offer, how much you charge, and the customers you serve.

Summary

If you have been wondering how to make money on Amazon, try the above mentioned ways and get a piece of the Amazon pie. Whether you are selling something or using your skills, you have massive potential to earn a fortune on Amazon. Adequate research and commitment will be your ticket to a good profit margin and a successful e-commerce venture.

Leave a Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

– Advertisement – BuzzMag Ad