Home eCommerce Blog Why You Should Sell on Amazon.com

Why You Should Sell on Amazon.com

We all know that the rife competition on eBay is making it difficult for some sellers to make consistent sales. However, thanks to alternatives such Amazon.com, there are still plenty of opportunities to make money online. Here’s why Amazon is one of our top picks to expand to in order to boost your sales.

Why sell on Amazon.com?

Amazon customers are better customers

Amazon buyers have higher incomes and higher education than eBay or Walmart customers. According to Quancast data, 29% of Amazon buyers earn between $60,000 and $100,000 per annum, while 31% make over $100,000 per year. Another interesting fact is that 16% of Amazon buyers consider themselves to be “Amazon addicts”.

What this means for you:

Because Amazon buyers are less concerned with finding a bargain, and have more disposable income, it makes the sales process easier for you and results in more sales being made.

Amazon supports sellers

One third of all Amazon sales are from third party merchants (that means people like you). While Amazon does sell items themselves, a significant number of the sales are by small home businesses just like yours. You can view Amazon success stories here and also download their quick-start guide for sellers.

Slash the time required to process orders

We know that one of the biggest pains that online sellers have is the time required for the day to day operations of the business like shipping orders. Amazon have eliminated this issue with Fulfilment by Amazon. It works by allowing you to store your items at an Amazon fulfilment centre and when you make a sale, Amazon ships the order for you. You might be thinking that the fulfilment system is going to be complicated and expensive, but Amazon have kept the cost down and the process simple. In fact, at a recent Amazon Seller’s Conference, the majority of Amazon/eBay sellers were using Amazon FBA to fulfil both their Amazon and eBay shipments.

The drawback: Fees

One sore point among sellers on Amazon.com is the fees. In comparison to other marketplaces online, they are on the high end of the spectrum. The fees system is also complicated at first glance:

When you sell on Amazon, you pay a referral fee of 6-25%, a variable closing fee ($0.80-$1.35) and a fixed fee of 0.99 cents. Note: The $0.99 per-item fee is waived for Pro Merchant Subscribers. You can get a full run down of Amazon fees here.

Have you tried selling on Amazon before? Share your thoughts below.

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22 Comments Add your comment
I have not sold on Amazon because of the higher fees. However, if I can get a better customer base, perhaps that would increase my sales. I have been making sales on Ebay, but I think I can do better. Reply
I am recently selling on Amazon. I really enjoy doing it. One thing is their fee is kind of high, but I do make money that's important. :} Reply
Want a great alternative to Amazon or Ebay? Try www.gemm.com . GEMM has been around longer than Amazon, believe it or not. Lots of overseas customers and sellers. Check it out! Reply
Hi, I haven't sold on Amazon and as an Australian rarely buy on Amazon due to NOT yet having any Amazon Presence in Australia which makes Postage costs high and the time to receive your purchase Long! Sorry Amazon maybe good for Americans and others but not for those of us down under. However I recently heard Amazon are trying to set up in Australia so hopefully within the next year it might be a possibility to use Amazon. Reply
I'd love to. Show me how. Reply
Thank you for this info! I've been looking at Amazon but had not been able to find all of their fees. Now that I have the fee schedule, shipping rates, and a good description of the average Amazon customer, I just might give it a try! Reply
Have tried everything to open a US bank account otherwise would have been selling on Amazon long ago. Anyone who knows how to get an account, would luv to hear from you! Reply
Site Admin
Thanks for your comments guys! It's great to hear that some of you are going to jump in and have a go at selling on Amazon. I noticed a few comments about not being able to register to sell unless you are in the US. Here's some info I grabbed off the Amazon website: "To register for selling on Amazon.com, you must have a U.S. or internationally chargeable credit card with a valid billing address and phone number from one of the many seller registration countries accepted by Amazon. However, to be paid for sales you must also have a U.S. checking account or a bank account in one of the countries supported by Amazon Currency Converter for Sellers. Currently, only sellers with a bank account in the U.S., U.K., or a country within the eurozone (Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain) are eligible to receive payment for sales on Amazon.com. Sellers are also able to receive payment to a U.S. checking account for sales on www.amazon.co.uk, www.amazon.fr, and www.amazon.de " You can get more info here: http://www.amazon.com/gp/help/customer/display.html?nodeId=1161282 Hopefully Amazon opens up a bit more soon. I'll keep you guys posted when I hear any news from them. Reply
Site Admin
@Nick Selling on Amazon isn't all that different from selling on other marketplaces, so if you know how eBay works, you won't struggle on Amazon. Here's some info to get you started: http://www.amazon.com/gp/help/customer/display.html/ref=hp_bc_anchor?ie=UTF8&nodeId=1161232 All the best! Reply
Spent a week putting an amazon webstore together to sync with my new Amazon account, just for Amazon to tell me I can't use a mannequin to sell my clothing. All my pictures are on mannequins. When I tried to use the pictures of a model wearing the clothes, Amazon said the white background was too grayish. OMG!! No way I was taking 1000's of pictures all over again. Closed both accounts. Reply
Full Member
With eBay fees increasing, many sellers now consider selling on Amazon and many of our members who've made the jump are now seeing positive results. It doesn't mean though that it's either you sell on Amazon or eBay when you can sell on both platforms. FBA is an attractive option to save time but remember you'll also need to consider providing barcodes for your products - http://www.amazon.com/gp/help/customer/display.html?nodeId=13685631 :) Lace Reply
Site Admin
Thanks for the tip and link Lace! Reply
I would urge anyone selling on eBay to also sell on amazon...Dana, you are absolutely spot on...They won't accept images unless they are edited properly and on a white back ground. But you know, our sales since have increased on eBay since we applied this to all platforms. It's a hassle (it really is!) but its worth it. Our amazon sales trickle through all year but at Christmas it goes absolutely mental, far busier than eBay, and we do well on eBay all year. The only draw back for us was that because our products had never been sold on there, they didn't have the required barcodes so we had to buy and register them...These things are all a big faff...but once you have some bits on, it feels great and it's worth it...honestly!! It has made a massive difference to our business/income/lifestyle. If you're looking to expand your business online you have to take the plunge!! Reply
Full Member
Just a quick question. I waseBay PowerSeller and recently that I want to try Amazon and see how it goes. But to get started I already have 3 suppliers for consumer electronics. What is the shipping time frame amazon allows? I'm trying to find out if I should have my supplier ship the item to fulfillment center and have them package and send it out same day? Or if I should just have the item shipped to me and i overnight it to the buyer. What is your experience? Reply
Site Admin
Hi Staci,

That's great that you are thinking about trying Amazon. Fulfilment with Amazon is a gap in my knowledge/experience I'm afraid so I have no first-hand knowledge to share. I understand that Amazon fulfilment can be expensive though, so if you can continue to ship direct to your buyers, your bottom line will be better off.

Check out the Shipping section of the Amazon Seller Discussion Boards here:


I bet you'll find exactly what you need to decide :) Reply
Full Member
I love amazon. I think it is an easier way to make money and don't have to handle the fee's that come with eBay. eBay takes fees out later but Amazon takes them out right away so I don't have to worry about it. I have been selling on Amazon for years and that is the sole reason I joined Salehoo. What can I say I love Amazon :) Reply
Site Admin
Thanks for your feedback Ryan! I think more sellers these days are loving Amazon more than eBay... Great to have you on board! Reply
Full Member
Good morning Ryan,
Reading your post I decide to contact you requesting more info about SaleHoo in your own experience. I expend last night reading about SaleHoo and I was thinking about getting a webside from them and expand my sport collectibles (most graded cards) on my own, but with the ability to use the ebay and Amazon platform's you do.
Could you help me and expand my knowledge of how, you know pro and con of a venture like this one. The investment of it or monthly expense, I do feel I need to know my cost overall.
thank you for any comments and guidance.
Miguel Casanova Reply
Site Admin
Hi, Miguel!

I'm happy to consider you're considering SaleHoo. For more perspective and insights, you can also visit our forum and talk to the members there about their own experiences.


Good luck!
Full Member

I don't speak English. I use Google translator. I wonder if Amazon can sell it for Dropshipping.
Where do I get video tutorial, How to Sell on Amazon for Beginners.

I have an online store http://www.bazarpr.com salehoo store. I'm looking to sell for alternative I had no sales.

Thanks Reply
Site Admin
Hello Mayra,

I think this is the guide you are looking for - http://www.amazon.com/gp/help/customer/display.html?nodeId=200229160

You might also find this guide help you bring in more sales to your store - a video tutorial on how to generate traffic into you store/website: http://www.salehoo.com/blog/how-to-drive-traffic-to-your-website

Hope this helps! Reply
Free Member
After looking through Amazon's sellers requirements, it looks like a pain to me, compared to selling on ebay. I already have some experience selling some of my books on Amazon Kindle and they are very picky about content. In fact, 2 of my books have similar content and they told me that I couldn't list both of them, so I didn't bother to list either of them. Reply
I use to sell on amazon I stopped because of the shipping thing you had to make your item over priced to cover the real shipping price.Why do they do that.it seems to be geared for amazon and the buyer Reply
Site Admin
Mark -- Amazon is a very price-driven marketplace. There are ways you can get around that, though. Fulfillment by Amazon means you can offer free shipping, and some dropshippers do, too.

http://www.salehoo.com/blog/18-tips-to-take-your-amazon-shopping-sales-to-the-next-level Reply
Free Member
The AMAZON MEDIA MAIL shipping fee is exactly the same as eBay's and will barely cover cost (with tracking number) for most books, yet the PRIORITY MAIL fee is $1.00 more than USPS price for FLAT RATE PADDED ENVELOPE. Now with a larger book you'll have to absorb half the $12.95 cost. It seems as if only eBay allows a seller to realistically price for the true shipping costs based on size and weight.
Free Member
I am from Romania, Europe and i have difficulties in setting up my Seller account with Amazon.com as y country is not listed in the accepted ones by them.

Let me know if there is any way of solving this as Amazon mention market places extemptions like bank accounts WorldFirst or Payoneer in accepted countries.
On the other hand they request business address to be same with bank billing address, mine in Romania.
I open an Payoneer account but cannot get any further due to diferrences between business address (compulsory in USA) and billing address. (Romania)
Does anyone know how can i create the seller account in these conditions with Amazon?
Thank you. Reply
Full Member
It seems quite difficult for Australians to sell on Amazon with many loopholes.

Is it possible to dropship from US Suppliers to US customer on US eBay? All while sitting in Australia. There are not many australian suppliers on Salehoo for dropshiping purposes.
Site Admin
Hi, David --

Yes, that is an option. You'll have to meet some requirements from the suppliers, which may include registering your business (in Australia) and providing proof of registration to your suppliers. In some situations, you might also have to charge sales tax to buyers who are located in the same state as your suppliers (state tax laws vary; some don't charge sales tax at all). I definitely recommend talking to a tax expert about what you'll need, just to make sure you're all in the clear when you do want to get started.

Hope that helps! Reply
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