Amazon is the largest online retailer in the world, with millions of customers in over 180 countries. According to Amazon, it sells around 7,400 products per minute. This shows how lucrative the platform is for everyone who wants to know how to make money online.
If you want to earn money online this year, you can take advantage of the potential profits Amazon offers. Read on to find out how to sell on Amazon and make money in 2023 through 17 legit ways.
Amazon is a great venue to earn money due to its millions of customers and broad reach. Its many business models offer different ways to sell and make money online. Below are eight ways to take advantage of its potential:
1. Create and Sell Private Label Products
Selling private label products is a popular Amazon business model. It requires lower startup costs than other business models. This strategy allows you to:
- Manufacture a product through a supplier;
- Place your brand and logo on it; and,
- Sell it to consumers.
Here are the steps to start selling private-label products on Amazon:
- Create an Amazon Seller Account and sign up for Fulfillment by Amazon (FBA) to list your private-label goods.
- Find a high-demand, low-competition niche product.
- Find a reputable supplier that allows private labeling.
- Design the logo and brand name of your product.
- Create a product listing and launch it on your Amazon page.
You can earn around $625 to $1,875 per month per product from selling private-label products on Amazon. An FBA private label seller on Amazon reports earning $1.3 million in sales during the first 12 months.
In this business model, your costs are lower because you source products directly from the supplier. So, you have higher profit margins.
2. Sell Wholesale Items on Amazon
In selling wholesale items, you buy products in bulk at discounted prices from a manufacturer or supplier. You then arrange for the supplier to send the items to your Amazon warehouse.
When storing inventory in your FBA warehouse, maintain stocks good for 2 to 3 months only. Amazon will charge storage fees if your items remain in the warehouse for 12 months.
To start selling wholesale items on Amazon, follow this procedure:
- Using your Amazon account, check the best-selling products for a high-demand item to resell.
- Source the product from the manufacturer or distributor.
- Create a listing for this product on Amazon.
- Launch your product listing.
You can earn up to $4,000 per month selling wholesale items on Amazon. Set the price of your product within 2% of the Buy Box, an Amazon widget on product listing pages that can help increase sales.
This is another business model with low startup costs and is quick to set up. With dropshipping, a seller outsources the handling and shipping of products to a third party. The third party manages the inventory on behalf of the SoR and ships orders to customers.
The Amazon seller is the seller of record (SoR) who:
- Sets the price;
- Records the sale as revenue; and,
- Is responsible for sales taxes.
Follow these steps to start a dropshipping business on Amazon:
- Find a product with high demand and low competition.
- Find suppliers of the product.
- Choose a product category and get approval from Amazon.
- Create an Amazon product listing.
- Set a price for your product. Make sure to take Amazon fees into account.
- Publish your product listing and promote it.
Amazon dropshipping can be lucrative. The average margin ranges from 10% and 30% and takes roughly 15% off your revenue.
4. Publish eBooks on Kindle Direct Publishing
If you love writing, publish eBooks on Kindle Direct Publishing (KDP). Amazon KDP is a self-publishing platform that publishes digital products for free.
You can publish eBooks, paperbacks, and hardcover books on KDP at no cost. It is the easiest, fastest, and cheapest way for authors and Amazon sellers to make money online.
To begin publishing eBooks on Amazon KDP, follow these steps:
- Create an account with Amazon KDP.
- Go to your Dashboard. Enter all the necessary information in the fields.
- Upload your book file in the proper format.
- Register your eBook with the optional KDP Select program to earn more money. It will also make you eligible for 70% royalty earnings for sales made to some countries.
- Select your pricing and royalty rates.
Once you publish your eBook, you will start receiving royalties every month. Authors get royalties ranging from 35% to 70% of the sale price.
For a sale price of $2.99 to $9.99, an author gets 70%, while Amazon takes 30%.
5. Sell on Amazon Handmade
Selling your handcrafted products on Handmade is a great way to make money from your hobby.
First, purchase a Professional selling plan for $39.99 to qualify. Once approved, Amazon will waive your fee after the first month.
Amazon Handmade also charges a 15% referral fee per sale. It has no monthly subscription fee, no listing fees, and no other hidden fees.
- Using your Professional Seller Central account, complete the registration process.
- Fill out the Handmade application form and answer questions about your business.
- Choose how you would like to fulfill your orders.
- Select Amazon Fulfillment by Amazon (FBA) if you want Amazon to ship the orders.
- Select Fulfilled by Merchant (FBM) to ship the packages yourself.
- Upload photos of your handmade products.
- Select your product category.
A report from Jungle Scout, a platform for selling on Amazon, reveals the following:
- Handmade sellers can earn over $30 per day.
- 63% of Handmade artisans make more than $1,000 per month in sales.
- 33% of Handmade sellers have profit margins above 20%.
Another report states that Handmade sellers make profit margins above 25% compared with others selling on other platforms.
6. Sell Merch on Merch by Amazon
Merch by Amazon is worth considering if you want to know how to earn money from Amazon at home.
It is an on-demand, by-invitation printing service where you earn money by creating and selling products with your designs. Merch products can be T-shirts, hoodies, accessories, or tote bags.
Merch by Amazon has no upfront costs, so you start making money immediately. You do not have to be a professional graphic designer to submit your designs to Amazon.
Also, Amazon handles the production and shipping processes.
Related: Find out the top Print-On-Demand websites that you can try.
Get an invitation by going to merch.amazon.com. Fill out a form and wait for the approval. This step may take several weeks to six months. Request an invitation as early as possible.
After approval, upload your work to Amazon. The artwork should be design-ready and of high quality. When customers place an order, Merch by Amazon prints your design and ships it to them using Prime.
To start earning through Merch by Amazon, follow these steps:
- Log in to your Merch by Amazon seller account.
- Upload your artwork design and create your listing.
- Choose a product type and color, and add a product.
- Set a price for your merch product.
- After approval, Amazon will make a product page for your design.
You earn royalties every time a customer buys an item with your design. Royalty rates can be between 13% and 37%, depending on the product price.
Visit the royalties page for details on how Amazon calculates your royalty.
7. Flip Products With Amazon Arbitrage
Amazon Arbitrage, or flipping, is another popular business model with a low startup cost. You buy products at a low price from other channels and sell them at a higher price on the Amazon Marketplace.
Source your products at retailers, online stores, clearance sales, and through excess inventory. Use the Amazon FBA Calculator to find listings, check what products you can sell, and estimate product revenue.
Follow these steps to start earning money by flipping on Amazon:
- Log in to your seller account.
- Use the Amazon FBA Calculator to determine the profitability of the products you chose.
- List the items on your Amazon page. Optimize your listing using appropriate keywords.
- Launch your product listing.
When finding products for flipping, buy those that can net you a profit of at least $3. With retail arbitrage, you can earn $100 a month.
8. Sell Amazon Subscription Boxes
A Subscription Box is a by-invitation business model wherein customers pay a regular fee to receive a box of products.
Subscription boxes contain items with a specific category, and the seller sends the package to subscribers on a monthly or quarterly basis.
Request to join the program by sending your idea of a fully assembled and curated subscription box to Amazon.
You must be able to offer free shipping to all customers in all 50 states, Guam, and Puerto Rico.
To register your subscription box business on Amazon:
- Use your Professional Seller Account to join Amazon Subscription Boxes.
- Complete the registration process by filling out the seller application form.
- List your products on your Amazon page. Amazon will notify you about your application status in 7-10 business days.
- Once approved, you can start selling your subscription box.
Your profit from selling subscription boxes can range from 40% to 60%, depending on the industry. You can increase that by offering one-time purchases and different pricing tiers.
The one-time option is to get people interested. The recurring subscription is where you earn income. You can also offer tiered pricing with different contents.
Selling on Amazon has its advantages and disadvantages. Below are some of the pros and cons of this business model.
- Biggest online retail platform in the world
- Trusted brand, credibility, and widespread trust
- Low marketing cost
- International reach
- Huge customer base with millions of monthly users
- Efficiency through the implementation of strict rules
- Worldwide shipping
- Huge level of competition
- Startup costs or seller plan fees:
- Individual Plan that charges $0.99 per product sold
- Professional Plan that costs $39.99 a month
- Referral fees for each item you sell
- FBA fees or fulfillment fees, which start at $4.75 per unit
- Lack of control due to infrastructure, which focuses more on the products than on the sellers
- Inventory tracking problems when selling on multiple marketplaces all at once
Did you know that you can earn income without selling anything on Amazon? Learn nine ways how to make money on Amazon without selling.
9. Become an Amazon Delivery Driver
As an Amazon delivery driver, you will work with your local Amazon Delivery Service Partner (DSP). You will render full-time work delivering packages using a provided delivery vehicle.
You can also apply as an Amazon Flex delivery driver and work as an independent contractor using your vehicle to deliver packages.
To work as a delivery driver for an Amazon DSP:
- Create an account at Amazon Jobs.
- Fill out an online application.
- Select your preferred shift.
- Accept the job offer.
- Provide consent for a background check.
- Schedule an appointment for a 30-minute in-person New Hire Event appointment.
- Submit your application and wait for an email with schedule details.
To apply for an Amazon Flex Delivery Driver position, follow these steps:
- Sign up for Flex using your Amazon account.
- Review the requirements and download the Amazon Flex App.
- Enter your delivery preferences to determine the pick-up and delivery place of the packages.
- Provide your tax and payment information.
- Select a delivery block or service area. It is where you will conduct pick-up and delivery of Amazon packages.
The starting pay of an Amazon delivery driver working for a DSP ranges from $16.50 to $22.25 an hour, depending on location. All standard Amazon drivers earn a minimum of $15 per hour.
An Amazon Flex driver can earn $18 to $25 an hour. It usually depends on location, tips received, and how long you complete a delivery. You can see expected earnings while choosing a delivery block.
10. Amazon Associates (Affiliate Marketing)
Amazon Associates is a free and easy way to monetize a website or blog. If you own a website or blog and want to monetize it, join Amazon Associates.
Create links to advertise Amazon.com products on your site. You earn a referral fee or commission when a customer clicks on the affiliate link and buys the product.
You must have a website or a blog to join the Amazon Associates network. Here’s how to make money on Amazon for free using affiliate links:
- Create an Affiliate account at Amazon.com Associates Central.
- Enter your account information, website address, and preferred store ID.
- Provide information on your methods of driving traffic to your site.
- Select your mode of payment.
- Wait for approval from Amazon, which will give you a unique Associate ID.
- Once approved, begin creating affiliate links in your Amazon Associate portal.
Here are the steps to create an Amazon Affiliate link:
- Log in to your Amazon Associate account.
- Click Product Linking on the top banner. Select Product Links.
- Generate affiliate links using the Amazon Associates SiteStripe.
- Place the link on your site or blog according to Amazon standards.
Amazon Associates has no minimum referral requirement. Start earning from your affiliate links right away. Earn up to 10% in associate commissions from eligible purchases and programs. Your commission will depend on the product category and the number of referrals.
Your potential earnings will also depend on how long you have been an affiliate marketer:
- Beginner affiliate marketers – $0-$1000 a month
- Intermediate marketers – $1,000-$10,000 a month
- Advanced marketers – $10,000-$100,000 a month
- Super affiliates – over $100,000 a month
Related: Here’s how you can make money through Affiliate Marketing (link affiliate post here once published)
11. Participate in the Mechanical Turk Program
Amazon Mechanical Turk is a crowdsourcing marketplace. It is a pay-per-task model that lets you earn money for completing simple tasks.
It involves individuals and businesses (Requesters) who outsource tasks to virtual workers (Workers). The outsourced jobs are called Human Intelligence Tasks (HITs).
To access the tasks provided by MTurk Requesters, you must register as a Worker. Common HITs include:
- Image/video processing
- Data verification and clean-up
- Information gathering
- Data processing
- Content moderation
To earn money through MTurk, follow these steps:
- Create an account at Amazon MTurk.
- Click Request a Worker account to see available tasks and how much you will earn.
- Search through the HITs to choose a job. Accept the HIT.
- Complete the work according to the instructions and submit it.
- After the Requester approves your work, you will receive your payment.
Requesters decide how much they will pay Workers for completing tasks. MTurk Workers can earn between $50 and $100 a day.
Their earnings depend on how fast they finish jobs and if they know how to get the highest-paying tasks.
12. Work From Home as an Amazon Customer Service Rep
If you are an articulate and action-oriented person, consider working as a Customer Service Representative. Amazon offers both part-time and full-time remote positions.
As a Customer Service Rep, you help customers expedite orders and resolve post-sale issues. You interact with them through phone, email, chat, and Alexa.
Requirements for this position are:
- Reliable Internet connection;
- An organized, distraction-free workspace;
- A dedicated phone line; and,
- Customer service experience.
Follow these to apply for a work-from-home Amazon Customer Service Rep:
- Log in using your Amazon.com or Google account.
- Go to Amazon Work From Home Jobs to find remote customer service jobs.
- Filter your search by checking the applicable boxes on the left.
- Select the role that best suits you and submit your application.
Working from home as a full-time Amazon Customer Service Rep lets you earn around $30,000 a year. The average salary of a remote Amazon customer service rep is $16 per hour.
13. Provide Services With Amazon Services
Amazon Home Services is an invitation-only business model. It features pre-packaged services based on customer requests for items purchased on Amazon.
If you have the skills, join this network of service providers who fulfill services sold by Amazon.
Home Service categories include:
- Home theater setup
- Furniture assembly
- Outdoor equipment assembly
- Smart home services
Amazon Home Services has no startup fees, monthly subscription fees, or advertisement fees. You only pay a revenue share for tasks you complete based on service type and price.
To apply as a skilled professional for Amazon Home Services, follow these:
- Complete the Amazon Home Services application form and submit it.
- Pass the initial approval process and the individual background check.
- Provide proof of certification, licenses, and authorization to deliver services through Amazon.com.
- Meet the insurance requirements.
- Once you receive approval, you can book appointments and collect payments.
- Install the Selling Services on Amazon App to check new jobs in your area and receive job alerts.
When customers buy your pre-packaged services, Amazon will notify you. You will receive payment after you finish the job.
Earnings vary from one service to another. As of the moment, Amazon Home Services is not accepting new applications.
14. Work in an Amazon Fulfillment Center
Working in a Fulfillment Center allows you to earn money as a Warehouse Associate. Duties include selecting, packing, and shipping orders. Shifts are flexible and offer the option to work longer hours if needed.
- Full-time work (40 hours)
- Reduced-time work (30-36 hours)
- Part-time job (20 hours or less)
- Paid time off
- Vacation and sick days
- 401(k) savings plan
- Insurance (dental, medical, and visual)
To apply for a Warehouse Associate position, perform these steps:
- Create an account or log in at Amazon Jobs.
- Perform a search for Fulfillment Center Warehouse Associate job openings.
- Complete the application process.
- Agree to a background check by Amazon.
- Pick a schedule for a 30-minute New Hire Event.
- Submit your application.
- Attend the appointment and pass the screenings to get hired.
A seasonal Warehouse Associate earns up to $18.90 per hour, with a sign-in bonus of up to $1,000. Payscale states that the minimum pay of an Amazon Warehouse Associate is $15 per hour.
15. Earn Gift Cards With Amazon Trade-In
Amazon Trade-In is another easy way to make money on Amazon. Get Amazon.com gift cards in exchange for eligible items such as:
- Amazon devices
- Cell phones
- Kindle e-readers
- Tablets and other gadgets
The program accepts items that range from non-functional to good condition. Amazon will exchange them for more or less credit as necessary.
Trading in your old items entails the following steps:
- Using your Amazon.com account, check the list of eligible items and find the one you want to exchange.
- Answer questions regarding its condition.
- Using the no-cost UPS shipping label provided to you, pack and ship your item.
- Wait for Amazon to process your trade-in item within ten days.
- Once approved, Amazon deposits the gift card into your account.
When using Amazon Trade-in, you do not get cash for your items. You get gift cards that you can use to spend on Amazon.
Your earnings depend on how many eligible items you can trade in and how much you get for each.
For a 6-inch Kindle Paperwhite E-reader 2015 release, you can get a $25 Amazon gift card. An iPhone 12 Pro Max (128GB) is worth up to $401 in Amazon.com gift cards.
16. Join Amazon CamperForce
Amazon CamperForce offers seasonal warehouse jobs at various Amazon locations. You travel to campsites in your RV and work at a nearby Amazon Fulfillment Center.
CamperForce offers full-time (30+ hours per week) and part-time (15+ hours per week) positions.
The work of CamperForce associates includes:
- Shipping customer orders
All you need to do is submit an application, reserve a campground spot, and show up in a nearby Amazon warehouse. Associates receive between $120-$270 weekly, which goes toward their campground expenses.
To apply for this job, follow this procedure:
- Go to the Amazon CamperForce website.
- Fill out an application form and choose your preferred location.
- After approval, select your preferred shift, department, start date, and other relevant information.
- Wait for the release of the campgrounds list and make reservations.
- Complete the required tests and attend new hire orientation.
- Wait for the email about your start date and schedule.
Amazon pays its CamperForce associates a minimum of $15 per hour. They also get a completion bonus of $0.50 for each hour worked and $1.00 for each overtime hour worked.
17. Write Reviews for Amazon Vine
Amazon Vine is a program that invites reviewers to provide product reviews that help customers make purchase decisions. The reviewers, called Voices, are distinguishable through their badges.
Vine Voices receive products for free in exchange for an unbiased and honest opinion of Amazon products. Reviews can be positive, neutral, or negative.
Amazon handpicks verified individuals for the Vine Voices program and sends them invitations. The guidelines for selecting reviewers are:
- Accuracy and helpfulness of their reviews;
- Number of reviews written and how recently they provided a review;
- Consistency in writing unbiased reviews; and,
- A reputation for expertise in a product category.
If you want to join Vine Voices, keep providing honest reviews that help shoppers decide to buy. Amazon will reach out to you if you pass their guidelines.
Amazon Vine Voices do not earn cash as reviewers of Amazon products. Their payment is in the form of free products that Amazon sends them for review. The reviewers are not allowed to sell the items they receive.
Even with the unemployment surge, Amazon continues to hire thousands of people. As the biggest retailer, the company needs a lot of workers to ensure it performs well.
That said, working with Amazon presents growth opportunities and has some drawbacks, too. Below are some pros and cons of working with the e-commerce giant.
- Great pay with its above and beyond minimum wage
- Premium benefits such as medical/dental insurance and paid time off
- Steady work schedules
- Having many locations avoid the time-consuming commute to the workplace
- Straightforward hiring and application process
- Opportunities to advance
- Trustworthy brand
- High turnover
- Repetitive work
- Promotions have a low wage increase
- Heavy lifting is common
- Long hours of walking
- Dull work environment
What is the most profitable thing on Amazon?
Private label selling using FBA is the best way to make money on Amazon. A survey by Jungle Scout shows that over half (56%) of private label sellers earn $5,000 or more in monthly sales. About two-thirds (59%) have profit margins over 16%.
How hard is it to be profitable on Amazon?
In a survey, 64% of the respondents revealed they were profitable within the first year of selling. Of this group, 21% gained profits within three months, and 24% within 3-6 months.
How much do beginner Amazon sellers make?
It depends on the beginner seller’s strategy. The average annual profit of new Amazon sellers is $42,000. Meanwhile, about half of all Amazon sellers earn between $1,000 and $2,500 per month.
Why do sellers leave Amazon?
Many Amazon sellers leave, unable to sustain their business for several reasons. One primary reason is the inability to find profitable products that sell. Other reasons include high fees, lower profitability, and direct competition with Amazon.
Related: Best Free Survey Apps To Make Money.