How to Make Money on Amazon – Top 5 Ways

How to Make Money on Amazon

The 21st century has brought endless possibilities for millennials to earn huge with minimal risks. But nowadays, people are not just chasing the money but they are looking for the freedom that comes with having money. 

Imagine earning money passively while you are sleeping or traveling, isn’t that amazing?  Well, Amazon’s third-party sellers collectively made $200 billion in sales last year. In this article, we will learn how to make money on Amazon in auto-pilot mode.  

Make Money on Amazon
How to Make Money on Amazon - Top 5 Ways 1

Why Amazon as a platform to Make Money?

As you must have known that Amazon is the largest chain of e-commerce and here are some benefits of choosing Amazon for a Side Hustle.

1.Trusted brand: Whether you are trying to sell any physical goods or a digital product, it is important that your audience/customers are trusting the source. As Amazon is a well-trusted brand and has a good reputation in the market, you can stay stress-free as you do not have to spend years building a brand, Amazon does that for you.

2. Marketing and Advertising Tools: Amazon offers a range of marketing and advertising tools to help sellers promote their products effectively. Features like Sponsored Products, Enhanced Brand Content, and Amazon Advertising enable sellers to target specific customer segments, increase visibility, and drive sales. These tools empower sellers to optimize their product listings and leverage data-driven marketing strategies to reach their target audience.

3. Easy to Get Started: Amazon provides a relatively low barrier to entry for individuals looking to start their own businesses. Setting up an Amazon seller account is straightforward, and the platform offers comprehensive resources, tutorials, and support to guide sellers through the process. Whether you’re a beginner or an experienced entrepreneur, Amazon provides the infrastructure and support necessary to start and grow your business.

Top ways to make money on Amazon

Selling Private Label Products:

One of the most popular ways to make money on Amazon is by selling private label products. Private labeling involves sourcing products from manufacturers, applying your own brand label, and selling them under your brand name on Amazon’s platform. This approach allows you to create a unique product line and establish your brand identity. It also provides opportunities for profit margin optimization and scalability. To succeed in private labeling, conduct thorough market research, identify profitable niches, and build a strong brand presence.

Woman writing down on a Carton Box while looking at a Clipboard

Retail Arbitrage:

Retail arbitrage involves buying discounted products from retail stores and reselling them on Amazon at a higher price, profiting from the price difference. This method requires careful scouting for deals, whether in physical stores or online marketplaces, to find products that can be resold at a higher price on Amazon. It’s essential to consider fees, shipping costs, and market demand to ensure profitability. Retail arbitrage can be an excellent option for those starting with limited capital or looking for a flexible way to make money on Amazon.

Amazon FBA (Fulfillment by Amazon):

Fulfillment by Amazon (FBA) is a program that allows sellers to store their products in Amazon’s fulfillment centers. When a customer places an order, Amazon handles the storage, packaging, shipping, and customer service on behalf of the seller. FBA offers several advantages, such as Amazon Prime eligibility, customer trust, and time-saving logistics management. By utilizing FBA, sellers can focus on sourcing products and marketing their listings, while Amazon takes care of the operational aspects. This method works well for both private label sellers and those engaging in retail arbitrage.

Kindle Direct Publishing (KDP):

If you have a knack for writing, self-publishing e-books on Amazon’s Kindle Direct Publishing (KDP) platform can be a lucrative option. KDP allows authors to publish and sell their books in the Kindle Store, reaching millions of readers worldwide. With minimal upfront costs and the potential for passive income, KDP offers a great opportunity for writers and content creators. To make money on Amazon, conduct market research, write engaging content, create professional book covers, and leverage marketing strategies to promote your books.

Merch by Amazon:

Merch by Amazon is a print-on-demand service that enables sellers to create and sell custom-designed apparel, such as t-shirts, hoodies, and other merchandise. With Merch by Amazon, you can upload your designs, set the price, and Amazon handles the production, shipping, and customer service. This method eliminates the need for inventory management and upfront costs associated with traditional merchandise sales. Focus on creating unique and appealing designs, target specific niches, and employ marketing tactics to drive sales and increase your profits.

Video by @MrAddie

Additional tips for making money from Amazon

Do your research: It is important to do your homework before you start your business. Do your own research on what is trending, what are your target customer’s goals, and what can attract them. Use Amazon’s seller central platform to figure out about your competitor.

Set competitive prices: Marketing works on 4 Ps and one of them is Price. It is important to analyze your competitor’s price and place your product at cheaper rates initially so you can gain the attention of your customers. Make sure you are not in loss and when you gain trust from your customers you can hike your prices accordingly.

Provide excellent customer service: Providing quality customer service is a basic rule of success on Amazon. Quick responding to the customer’s queries and asking for feedback will definitely help you achieve your goals.

Market your products: One of the major key factors to make money on Amazon is marketing. Whether you are just beginning or even if you are a big seller, It is significantly important to promote your products in the right manner. Promotion can be through advertising on Amazon, other social media handles or it may be organic by promoting your product over your Social media accounts. You can also join relevant groups on Facebook, LinkedIn, or Telegram to market your products.


This article covers everything on why to choose Amazon, how to sell on Amazon and make money. Remember, even though it seems simple to make money side hustling, it will require efforts equivalent to managing a big brand. Your business can surely take off quickly if you plan it carefully, do market research, and follow HustleVentureSG to get secret strategies.

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