Amazon is expected to generate more than 400 TRILLION dollars in revenue in 2022. With figures like this, you might be wondering how you too can earn money with Amazon; after all, these sales also come from external retailers.
In this post, we'll introduce you to the 4 best ways you can earn money with Amazon. We have arranged these options based on our assessment of the potential.
In the following, we will look at each of these options.
Selling products is still the best way to earn money on Amazon.
Over 50% of sales made on the Amazon platform in 2020 come from third-party providers — i.e. external retailers. Many people think that you can only earn money on Amazon if you have your own product. That is wrong!
We even strongly advise you not to “private label” your own product if you're just starting out. Private labels have many advantages. However, there are also a few aspects to consider.
For example, these are huge start-up costs and the time-consuming process of choosing a product before you even have experience selling on Amazon.
Instead, you can start selling other people's products—products with proven demand and existing sales pages on Amazon. You can also design your own product later and draw on experience.
We sell several thousand products each year and the majority of them come from selling other people's products that we purchase through retail arbitrage, online arbitrage, and wholesale.
Amazon's affiliate program (Amazon Associates) is a great way to earn money. All you need is a traffic source that you can monetize.
The idea is that you get a percentage of every sale when someone clicked on one of your links to get to Amazon. That's why so many blogs include product recommendations and links that lead to Amazon. You earn money for your recommendation.
However, building a profitable affiliate business requires a lot of time as you need to attract a high number of visitors to your blog. Most people only generate significant income from their project after 1 to 2 years.
While you might not want to wait that long, we've decided to include this option here for two important reasons:
KDP stands for Kindle Direct Publishing. It's a way to publish and sell eBooks via Amazon.
While this option isn't right for most people, it can be a good way to earn money — if you love writing. It's also a good way to diversify your income sources if you have a niche side.
Most people are unable to make a living with just one book. To be successful with KDP, you often have to write a whole series of books. That's why we recommend only considering this route if you really enjoy writing.
Amazon Merch is a “print-on-demand” service that simply requires you to upload your t-shirt designs. Amazon takes care of the rest, including printing and delivering the t-shirt.
Here are the steps involved in creating a shirt:
Some people report significant revenue from merch, but your success depends on many factors — primarily the quality of your designs and whether you have visitors.
There are a few ways to share in Amazon's success. It may be more lucrative in the long term to start your own business, but Amazon offers infrastructure that enables a quick start. The development of manufacturing, supply chains, logistics, etc. is partly completely carried out by Amazon. Plus, with Amazon, you know: It works!
