How to sell on Amazon: 17 steps to launch your products

Amazon's marketplace can revolutionize your business by offering access to millions of potential customers worldwide. But in such a competitive environment, how do you ensure your products will shine?

Tackling Amazon's complexities can feel incredibly unnerving, but with the proper guidance, you can start selling in the Amazon marketplace successfully. This comprehensive guide will walk you through every crucial step of how to sell on Amazon so you’ll feel like a seasoned pro.

From selecting the perfect selling plan to optimizing your product listings and mastering the nuances, we provide the essential strategies to stand out and thrive.

• Identifying a profitable niche and sourcing quality products through wholesale, private label, or print on demand with services lays a strong foundation for your Amazon venture.

• Optimizing your product listings with effective pricing strategies, SEO techniques, and brand registration enhances visibility and attracts more customers.

• Choosing the proper fulfillment method (FBA or FBM), setting up efficient shipping options, and providing outstanding customer service ensure smooth operations and high customer satisfaction.

• Promoting your products, encouraging reviews, monitoring performance metrics, and expanding your product range with partners like Gelato are crucial strategies for growing and scaling your Amazon business.

The global ecommerce giant offers a host of opportunities for new sellers. Let's delve deeper to understand why selling on Amazon has significant promise for online shops. 

• Access to a global market: With over 300 million active users worldwide, Amazon is more than just an online store; it's a global marketplace.

• Consumer trust: Ranked as one of the world's most trusted companies, Amazon has earned consumer trust for its commitment to secure shopping experiences and excellent customer service. 

• Logistical support: A big part of Amazon's appeal is its comprehensive logistic support. From storage to shipping through Amazon FBA (Fulfillment by Amazon), you have the choice to hand over complete operations management to a reliable entity.

• Favorable SEO: Compared to individual online stores, products on Amazon often rank higher on Google. Due to its robust search engine optimization (SEO) guidelines, your products will likely pop up more in searches, boosting visibility and sales. 

• Opportunities to diversify revenue stream: Beyond just selling products, Amazon offers additional income sources, such as affiliate marketing through the Amazon Affiliate Program.

Before you embark on your Amazon selling journey, understanding Amazon's selling policies is crucial. These policies, laid out by Amazon to govern seller behavior, will be your roadmap as you navigate the world of ecommerce sales on their platform. Amazon's selling policies evolve and change, so it's crucial for sellers to stay informed. Some of the critical selling policies for 2024 include: 

• Product listing policy: All products listed on Amazon should match an existing product in Amazon's catalog. Sellers also have to use product IDs (UPC, EAN, etc.) for listing.

• Prohibited items policy: Amazon has a stringent list of prohibited items like drugs, certain clothing items, copyright-infringing products, etc. Sellers need to be fully aware of this list to avoid violating Amazon's rules.

• Amazon's intellectual property policy: Sellers should not infringe on others' intellectual property rights — this includes selling unauthorized replicas or counterfeits.

• Data privacy policy: Sellers need to protect customer data and use it only to process orders and customer service. Sharing this data with third parties is strictly forbidden by Amazon.

• Fair pricing policy: This policy governs the price of all listed products. Amazon may remove offers or suspend sellers who engage in "price gouging" — excessively or unreasonably high prices.

• Customer product review policy: Trying to manipulate product reviews is against Amazon's policies. This includes offering incentives to customers for writing reviews or writing fake reviews.

Selling on Amazon comes with its own set of costs that you must be aware of as a beginner so that you can create a competitive and profitable pricing strategy. These costs can be broken down into the following categories. 

1. Selling plan fees

Amazon provides two types of selling plans – Individual and Professional. Professional sellers pay a monthly fee of $39.99, while Individual sellers pay $0.99 per item sold. Your choice should depend on a projection of your sales volume. If you foresee selling more than 40 items a month, the Professional plan will be more economical.

2. Additional fees

Depending on your business model, you may encounter additional costs like FBA (Fulfillment by Amazon) fees if you choose Amazon to handle the storage and delivery of your products. Additional services, like advertising and advanced account analytics, also carry separate costs.

3. Referral fees

These are the fees Amazon charges for selling your goods on their platform. Each product category has an associated fee rate, which typically ranges from 6% to 45%. Bear in mind that while these costs may seem steep initially, the potential reach of Amazon's vast customer base could offset these expenses over time.

Ready to launch your products and grow your business with Amazon? Let's explore how you can start selling in the Amazon marketplace with this step-by-step process using Amazon Seller Central.

1. Choose a selling plan

Amazon offers two plans for sellers to choose between: the Individual Plan and the Professional Plan. 

The Individual plan is ideal for those who sell at most 40 items per month, are just starting, or want to test the marketplace. It charges $0.99 per item sold and additional selling fees. 

On the other hand, the Professional plan is suited for those who sell more than 40 items per month, want to access advanced selling tools, or aim to scale their business. This plan charges a flat fee of $39.99 per month, regardless of the number of items sold, plus additional selling fees.

When choosing your plan, consider these factors: 

• Volume of sales: The Professional Plan is cost-effective if you expect to sell more than 40 items monthly.

• Business goals: Long-term business plans require advanced tools and analytics that are available only in the Professional Plan.

• Budget: Carefully evaluate your budget. The Professional Plan requires a monthly commitment, while the Individual Plan charges per sale.

Review your sales projections and business strategy to make an informed choice. The right plan will help streamline your operations and optimize your profits.

2. Set up your Amazon Seller account

Next, you'll need to set up your Amazon Seller account. This involves providing your business information, agreeing to seller agreements, and setting up your account details. 

Here’s how you can get started: 

• Create a Seller Central account: Head to Amazon Seller Central and click ‘Sign up.’ You'll need to provide an email address and create a password.

• Enter business information: Include your name, address, and contact details.

• Set up billing information: Amazon requires a valid credit card. Make sure you have this on hand.

• Identity verification: Amazon will require some form of identification, like a passport or driver's license, to verify your identity. Be prepared to upload copies of these documents.

• Tax information: If you're a US-based seller, you must complete relevant tax information, such as the W-9 form.

• Select a selling plan: You can choose between the Individual plan ($0.99 per item sold) or the Professional plan ($39.99 monthly).

• Register your bank account: Add your banking information so Amazon can deposit your earnings.

After setting up your Amazon Seller Account, you can access the Seller Central dashboard to list products and manage your account.

3. Find your niche and decide what to sell

Identifying a niche that aligns with your interests and offers profitability is vital to success on Amazon. Reflect on what you're passionate about and find products that align with that passion. Make sure that there's a viable market for these products and that they offer ample potential for profit margin.

Here’s how you can find that perfect product niche: 

• Market research: Utilize tools like JungleScout or Helium 10 to analyze demand, competition, and profitability of potential product ideas.

• Keyword analysis: Look for products with high search volumes and steady demand. Aim for products priced between $15 and $50, often low-risk and high-turnover.

• Gated vs. open categories: Be aware that Amazon has gated categories requiring approval to sell (health and beauty) and open categories where anyone can list products (home and kitchen). Choose what fits your capacity and interest.

• Competitor analysis: Study top-selling products in your chosen niche. Look for gaps or areas where you can offer better quality or unique features.

• Profitability check: Calculate your costs, including production, Amazon fees, and shipping, to ensure a healthy profit margin.

Following these steps, you can identify a profitable niche that meets your interests and stands out in the competitive Amazon marketplace.

4. Source your products

Finding the right products to sell is crucial to your success on Amazon. Here are the main methods to consider: 

1. Wholesale: Purchase bulk products from a manufacturer or distributor at a lower cost and sell them individually on Amazon. Ensure you source from authorized suppliers to maintain product authenticity and quality. 

2. Private label: Create a unique brand by sourcing generic products from suppliers and adding your branding and packaging. This approach offers more control over pricing and product differentiation. 

3. Print on demand: Partner with a service like Gelato to produce custom products only when customers order. Doing this reduces inventory risks and allows you to offer a diverse range of personalized items. 

To implement these strategies effectively: 

• Utilize tools like SellerApp to identify reliable suppliers.

• Consider pricing, quality, and delivery times offered by different suppliers.

• Always request samples to assess product quality firsthand.

• Discuss and confirm pricing, minimum order quantities, and shipping details.

Choosing the proper sourcing method and reliable suppliers helps set a strong foundation for your Amazon business.

5. List your products on Amazon

Start by giving each product a compelling title and detailed description. Share high quality photos and add video snippets, showcasing your products on display for added appeal. Use Amazon's 'Manage Inventory' feature to input your products, set prices, and upload images. Amazon often recommends similar products, so make sure your listings are accurate and thorough to be included in these suggestions.

Here is a step-by-step guide to list your products efficiently: 

• Step 1: Access Seller Central: Go to your Amazon Seller Central dashboard and select 'Inventory.'

• Step 2: Enter product details - If Amazon lists your product, you can use its GTIN (Global Trade Item Number) to match your offer to the existing product detail page. Otherwise, select 'Create a new product listing'.

• Step 3: Choose product category - Select the most appropriate category for your product to ensure it reaches the right audience.

• Step 4: Manage in bulk (for Professional Sellers) - If you're a professional seller, you can upload bulk product listings using inventory files, saving time and effort.

Properly setting up your product listings will increase your chances of visibility and sales. Accuracy and thoroughness are critical.

6. Price your products effectively

Product pricing is a critical factor for success on Amazon. To set competitive rates, you need to understand your costs fully, research your competitors' prices, and consider the perceived value of your items. Use Amazon’s 'Match Low Price' feature to stay competitive, but make sure you still make a profit.

To implement an effective pricing strategy: 

• Use automated pricing tools: Amazon offers a computerized pricing tool to adjust your prices dynamically based on preset rules, ensuring competitiveness without constant manual updates.

• Leverage psychological pricing: Prices ending in .99 or .95 can be more attractive to customers.

Periodic review and adjustment are crucial. Track your sales data to identify trends and make performance-based pricing tweaks. Consider offering occasional discounts or bundling products to boost sales. By staying adaptable and data-driven, you can optimize your pricing strategy to maintain profitability and attract more buyers.

7. Optimize product listings for visibility

To increase product visibility, optimize your listings using SEO-friendly product descriptions and high-quality images. Keep titles concise yet informative, and use clear, relevant keywords. Including bullet points for product features can also boost visibility. Regular reviews and updates of your listings are essential to maintain high search rankings on Amazon.

Here are steps to effectively optimize your listings: 

• Product titles: Use two or three relevant long-tail keywords, include the brand name, and highlight a unique selling point. Ensure the title is readable and not overly stuffed with keywords.

• Product images: Use high-quality, professional images that showcase your product from multiple angles. Incorporate images showing the product in use to help customers visualize its benefits.

• Key product features: List the key features in bullet points to enhance readability. Focus on the main benefits and unique aspects of your product.

• Backend keywords: Fill out all available keyword slots in the backend of your listing. Include synonyms and alternate spellings to capture more search queries.

• Customer reviews: Encourage satisfied customers to leave reviews. Positive reviews and high ratings immensely boost your product’s visibility and credibility.

Applying these strategies will enhance your product listings, making them more attractive to potential buyers and helping you stand out in the competitive Amazon marketplace.

8. Register your brand

Registering your brand with the Amazon Brand Registry can protect your intellectual property and give you more control over your product listings. This step is crucial if you're selling your own branded products. Here’s what you need to do:

• Trademark registration: Ensure you have a trademark for your brand's logo or name.

• Sign in: Sign in to Amazon Brand Registry using your Vendor or Seller Central credentials.

• Furnish credentials: Fill out the registration form with your brand information, including your name, manufacturing and distribution details, and intellectual property information.

• Submit and wait: Submit your application and wait for Amazon's approval.

Once approved, you’ll gain access to powerful tools that can enhance your product pages and help you stand out. These include: 

• Enhanced Brand Content (EBC) or A+ content: Add rich text and images to your product descriptions.

• Brand dashboard: Monitor your brand's performance and customer feedback in one centralized location.

• Sponsored brands: Create custom headline ads to boost visibility.

Registering your brand helps protect its reputation and provides you with marketing and reporting tools essential for growth on the platform.

9. Decide on a fulfillment method

Choosing the proper fulfillment method is crucial for your Amazon selling strategy. The two main options are Fulfillment by Amazon (FBA) and Fulfillment by Merchant (FBM). Here’s how you can decide which one suits your business needs: 

• Fulfillment by Amazon (FBA): With FBA, Amazon handles storage, packing, shipping, customer service, and returns for you. This method is ideal if you prefer a hands-off approach and aim to qualify for Amazon Prime, thus reaching a larger audience. FBA gives you access to Amazon Prime customers, where Amazon handles customer service and returns, making it efficient and scalable for large volumes. However, higher fees can reduce profit margins and give you less customer service control.

• Fulfillment by Merchant (FBM): FBM allows you to manage storage, packing, shipping, and customer service independently, making it an ideal choice if you desire greater control or sell products needing special handling. You have greater control over inventory and shipping, which can lower costs if your logistics are in place, making it suitable for slow-moving or specialized products. However, FBM is more time-consuming, and you miss out on Amazon Prime benefits.

To choose the suitable fulfillment method, evaluate your budget and logistics capability, consider how much control you want over the fulfillment process, and consider the type of products you are selling and your target audience.

You might consider a partnership with a printing and fulfillment service like Gelato instead to manage orders efficiently and on demand.

10. Set up shipping options

Setting up your shipping options is critical when selling on Amazon, as it directly impacts customer satisfaction and operational efficiency. Here’s how you can choose and configure your shipping methods: 

• Fulfillment by Amazon (FBA): To use FBA, create a shipping plan in Seller Central: Go to 'Edit Inventory' and change your products to 'Fulfilled by Amazon'; click on 'Work on Shipment' to select the shipping method; choose 'Small Parcel Delivery' if you're sending products from home using carriers like FedEx, DHL, or UPS; print the box shipping labels and schedule freight services if necessary; and fill in the 'Ship from' field, which could be your home or an FBA inspection service.

• Fulfillment by Merchant (FBM): This method keeps you in control of shipping and requires you to handle all logistics. Ensure you list reliable shipping options and manage your shipping timelines carefully to maintain a low late shipment rate.

• Seller Fulfilled Prime (SFP): This option offers Prime eligibility while you handle fulfillment. Sellers must maintain Amazon’s rigorous shipping standards, including same-day or two-day shipping.

Once you send your products to Amazon, your shipping company will send you tracking numbers, which will aid in tracking and customer communication.

11. Launch your product

Once you've meticulously prepared your product listing, it's time to launch! Activating your product listing on Amazon marks the beginning of your journey. Here's how to effectively launch your product in two simple steps:

1. Ensure all product details, images, and descriptions are accurate and complete. 

2. Navigate to your Seller Central dashboard and enable your listing to make it live. 

To attract early sales and build traction, consider implementing these promotional strategies: 

• Discounts and coupons: To entice early customers, offer an introductory discount or a coupon, which can create a sense of urgency and encourage quick purchases.

• Limited-time offers: Create limited-time promotions to stimulate initial sales volume and boost your product's ranking in Amazon's algorithm.

• Social media push: Leverage your social media channels to announce the launch. Use targeted ads to reach a broader audience.

The launch period is critical for generating initial momentum. By strategically activating your listing and offering promotions, you can garner early sales and crucial reviews and improve your product's visibility and ranking on Amazon.

12. Promote and attract customers

Boost your Amazon Seller Central presence and sell products more effectively by using Fulfillment by Amazon (FBA) and promoting your product detail page. Utilize advertising features like Amazon ads and Facebook to drive traffic. 

Here’s how you can implement this strategy effectively:

• Utilize Amazon Ads: Create sponsored products and branded display ads to put your products directly in front of interested customers. Use keyword targeting and product targeting strategies to improve your campaign’s effectiveness.

• Tap into social media marketing: Run targeted Facebook ads to highlight your products' unique value points, driving fast sales and increasing visibility. Ensure your ads are visually appealing and feature a solid call to action.

• Optimize product listings: Design your product listing to convert visitors into buyers. Use high-quality images, engaging copywriting, and thorough descriptions to showcase the product's benefits, not just its features.

• Encourage customer reviews: After purchasing, encourage them to leave a review. Positive reviews can drastically boost your product’s credibility and attract more buyers.

• Consider launch timing: A well-planned product launch can generate organic traffic and initial momentum. Align your launch with peak shopping seasons or holidays for maximum impact.

13. Monitor inventory levels

Keeping a close eye on your inventory levels is crucial to maintaining sales momentum on Amazon. Running out of stock can lead to lost sales and negatively impact your seller performance metrics. 

• Automate inventory management: You can use Amazon’s built-in inventory management tools or third-party software to track stock levels and set alerts for low inventory.

• Regular stock reviews: Conduct weekly or bi-weekly checks to ensure your inventory aligns with current and anticipated demand.

• Replenishment planning: Use sales data to forecast demand and plan replenishments ahead of peak seasons to avoid stockouts.

• Supply chain communication: Maintain an open line of communication with your suppliers to quickly reorder products and minimize lead time.

• Inventory health metrics: Monitor key performance indicators (KPIs) such as sell-through rate and aging inventory to identify slow-moving items and optimize stock levels.

Implementing these strategies can help you maintain a healthy inventory, avoid stockouts, and ensure your products are always available to meet customer demand. You should prioritize inventory management to keep your Amazon store running smoothly and profitably.

14. Provide outstanding customer service

Customer service is pivotal in the digital marketplace. Maintaining high ratings and positive customer feedback can significantly boost your store's visibility and sales.

To provide outstanding customer service, consider implementing these actionable steps: 

• Resolve issues proactively: Address complaints or problems promptly. Offer solutions like replacements, refunds, or discounts to maintain customer satisfaction.

• Solicit feedback: Send follow-up emails encouraging customers to leave a review after a purchase. Highlight the importance of their input in improving your services.

• Streamline returns: Create a straightforward and hassle-free return policy. Simplify the process for the customer to enhance their experience and minimize negative feedback.

• Continuous improvement: Review feedback regularly and adjust your business practices as needed. Stay updated with Amazon's policies and ensure compliance.

Providing exceptional customer service fosters a strong reputation, repeat business, and positive reviews, which are crucial for Amazon's success.

15. Encourage reviews and ratings

Customer reviews and ratings are pivotal for credibility and increased sales on Amazon. Here's how you can effectively encourage them: 

• Transparency: Politely ask customers for reviews post-purchase, preferably through follow-up emails or packaging inserts. Ensure your request is friendly and straightforward.

• Amazon programs: Utilize Amazon's Early Reviewer Program and Vine Program. These services encourage users to leave honest feedback and can immensely boost your review count.

• Quality products: Selling high-quality products encourages positive reviews naturally. Prioritize excellent customer service and product experience.

• Review analysis: Regularly review the feedback to identify areas for improvement and customer pain points. This iterative process can help in enhancing your product offering and satisfaction.

• Avoid manipulation: Follow Amazon’s review guidelines strictly to avoid accusations of review manipulation that may lead to account suspension.

• Incentives: While direct incentives for reviews are prohibited, providing an exceptional experience can be an implicit motivator. Focus on delighting your customers.

Pew Research states that 55% of U.S. adults say they have watched product review videos online before purchasing. This data tells us that consistently garnering genuine reviews can be a game-changer for your Amazon selling strategy.

16. Monitor and improve performance

Constant performance monitoring is crucial for Amazon. Assess your performance metrics regularly, recognize weak points, and strategize to improve. Employ customer feedback to improve product quality and enhance the overall customer experience. Remember, consistent improvement drives business growth, and an agile approach to your business model can help secure your position in the Amazon marketplace.

Here are detailed steps to help you monitor and improve your performance on Amazon: 

• Track key performance indicators (KPIs): Regularly review KPIs such as conversion rates, order defect rates, and customer feedback ratings. These metrics give you a clear picture of your business health.

• Analyze sales data: You should use Amazon's reporting tools to analyze sales trends. Identify high and low sales periods and understand the underlying causes for these trends.

• Customer feedback: Pay close attention to customer reviews and ratings. Address recurring issues and consider using this feedback to improve products.

• Advertising performance: Monitor your advertising campaigns, focusing on metrics like Advertising Cost of Sales (ACoS) to ensure you're getting a good return on investment.

• Implement feedback: Use the information gathered from KPIs and customer reviews to make data-driven decisions, which could mean adjusting pricing, updating product descriptions, or enhancing customer service.

• Regular audits: Schedule regular audits of your listings to ensure they remain optimized. Keywords, images, and descriptions should be frequently updated to boost visibility and conversions.

17. Expand your product range

Once you’ve gained traction with a successful product, it’s time to expand your offerings. Diversifying your product range can help attract a broader audience and increase your revenue stream. Here’s how you can effectively implement this strategy: 

• Identify related products: Look for products that complement your existing offerings. For instance, consider adding screen protectors or charging cables if you sell phone cases.

• Explore new categories: Explore other categories that align with your brand. Conduct thorough market research to ensure there’s demand and less competition.

• Leverage customer feedback: Use reviews and feedback to identify new opportunities. Customers often provide insights into what other products they’re interested in.

• Monitor trends: Monitor industry trends and seasonal demands. Stay agile and ready to introduce trending products quickly.

With Gelato's print on demand model, you can introduce new products without the burden of inventory investments, allowing you to diversify your offerings efficiently. This flexibility means you can test new markets without considerable financial risk, making it easier to adapt and grow your product line.

Following these strategic steps and staying attuned to trends will make your path to success in the Amazon marketplace more fruitful. As you venture into this exciting journey, remember that the right partners can make all the difference.

That’s where Gelato's innovative print on demand services and flexible subscription plans come into play.

Gelato can help you streamline production and fulfillment, ensuring your custom products stand out and reach your customers efficiently. With our global network of production partners, you can offer faster delivery times while maintaining the highest quality standards. Gelato's seamless integration with Amazon makes it easy to manage your orders and track shipments in real time, allowing you to focus on growing your business.

Elevate your Amazon enterprise—Sign up for Gelato today and watch your sales soar!

Is it free to sell stuff on Amazon?

No, it's not completely free to sell on Amazon. Sellers generally have to pay a referral fee per item sold and, depending on the plan chosen, a monthly subscription fee.

How much does it cost to sell on Amazon?

Amazon's selling fees vary according to the selling plan you opt for, the category of your product, and whether you choose to fulfill orders yourself or use Amazon's fulfillment services. Some costs include the Amazon referral fee, which is a percentage of the total selling price, variable closing fees that apply to media items sold by non-Pro sellers, and the monthly subscription fee if you opt for the Professional selling plan.

Is it still a good idea to sell on Amazon?

Absolutely, selling on Amazon remains a lucrative opportunity for both new and established online retailers, provided you have the right approach and resources. Given the platform's unparalleled customer base and market reach, it offers a wide window of opportunity to sellers. 

Can I make good money selling on Amazon?

Yes, making a good income from Amazon is possible, especially with proper planning, product selection, and market research. Your success and potential earnings largely depend on your strategy and the effort you put into your Amazon business.

What do I need to start selling on Amazon?

To start selling on Amazon, you need a seller account, product listings, and a plan for order fulfillment. Choose between Individual or Professional accounts. You'll also need bank account details for payments, tax information, and an understanding of Amazon's policies and fees.

Do I need a business license to sell on Amazon?

A business license may be required to sell on Amazon, depending on local laws and the type of products you're selling. While Amazon doesn't mandate a business license for all sellers, it's essential to comply with legal requirements in your area and for your product category.

How much money do you need to sell on Amazon?

The initial investment for selling with Amazon varies. Costs include a fee for a selling plan ($39.99/month for Professional, $0.99/ item sold for Individual), plus additional fees like referral fees, fulfillment, and shipping costs. It also requires you to budget for initial inventory, marketing, and potential tools or services to manage your listings.

How to find products to sell on Amazon?

To find and sell products in your Amazon store, research market trends, analyze competitors, and identify gaps in product offerings. Tools like Amazon's Best Sellers list, keyword research tools, and customer reviews can provide insights. Consider profitability, demand, and sourcing capabilities when selecting products.