If you want to have a business and sell a product, it’s important to have it in front of as many eyeballs as possible. One way to accomplish this is by selling your product on Amazon. To accomplish this task, follow these 6 steps:
Finding A Product To Sell
There are many different ways that you can make money by selling products on Amazon. You can create your own product or resell wholesale goods. Here are five different ways that you can source your product:
Dropshipping – The cost to start this is low as you don’t have to buy or create any inventory.
Manufacturing or Handmade – Depending on the product that you are going to sell, the cost to start this ranges from low to high.
Private Label – This is an excellent way to build a brand. Your start up costs will range from low to high.
Resell Wholesale Goods – You will need to purchase inventory to have this type of business, which can range from a medium to high cost.
Retail Arbitrage – This is ideal for beginners or small sellers as the cost to start is quite low.
Setting Up An Amazon Seller Account
Amazon gives you two options when you are setting up a seller account — a Pro Seller option or Individual Seller option. If you decide to go with a Pro account, you’ll have more access to special features. There is a $39.99 monthly fee to become an Amazon Pro Seller. If you choose the Individual Seller option, you will pay a monthly fee. However, there is a $.99 charge for each product that is listed.
Creating Product Listings For Amazon
When you sell on Amazon, they allow you to create product listings in a couple of ways. The first option is by adding items to an existing listing. The other option is to create a new listing for the product you want to sell. Typically, it’s easier to add items to a listing that already exists if you are new seller.
If you do a shopping search on Amazon, you can see if anyone else has the same product listed for sale. If you find a listing, you can manually add your product by going to your dashboard, which is located at Amazon Seller Central. You’ll need to search for a new product by using an item SKU or product ID. If it’s in the system, it will pop up in the results.
To sell your product, simply click on “Sell yours” and include information for the items such as the quantity available and price. After you finished filling in information, save the listing.
If you do your search for your product and discover that it has multiple listings, it’s best to use the top-ranked listing that includes images, product reviews and a good amount of information.
After adding your product to a listing that already exists, it’s important to monitor your price as there are other products available that your product is competing against. A tool like “Amazon Repricer” may come in handy if you have multiple products that you need to keep track of. The benefits of using this type of tool is that it can automatically reprice your product if a competitor decides to change their price.
When you sell a product on Amazon, it will automatically be reduced from your inventory count. Amazon gives you the ability to manually adjust the inventory that you have by using your “Manage Inventory” screen which is located on your Seller Central dashboard.
You have a few different options for managing your inventory. You can use a bulk upload option that is provided by Amazon or inventory software that’s available from a third-party. Seller inventory management tools will cost between $29 a month to $99 a month depending on their features. This option may be best if you have multiple products that you are selling on Amazon.
Fulfilling Your Orders
The last step for selling on Amazon includes fulfilling your orders. It is important to ship your orders as fast as possible so that your Seller Rating doesn’t suffer. To accomplish this task, you have two options — Fulfillment by Merchant (FBM) or Fulfillment by Amazon (FBA).
If you choose the FBM route, you are responsible for packing up your product and getting it shipped. In contrast, by using FBA, Amazon ships your sold product.
The Bottom Line
As you can see, you can sell just a few items or thousands of products each day through Amazon’s website. It’s important to determine your seller fees, the cost of your goods, the time that it takes you to source products, create listings, manage inventory and ship your orders.
By understanding your costs, you’ll find ways to increase your revenue and run a successful business.