Reselling on Amazon: What You Should Know

Amazon Business, Selling On Amazon | 0 comments

Selling on Amazon can be exciting, but it can also get overwhelming, especially for beginners. And while manufacturing your own products may seem like the most profitable model, a better idea would be to start your Amazon business by reselling on Amazon. This business model is the fastest and cheapest way to venture into the Amazon business.

Regardless of the approach that you decide to work with, selling on Amazon means facing tough competition. Reselling on Amazon will help you cut down manufacturing costs and that’s a great start, but you still have to find a way to beat the competition and make sales.

You’re not going to be the only reseller on Amazon, but if you want to make the best out of it then you should read this to the end. In this post, we will tell you all you need to know about reselling on Amazon.

Related: How to sell on Amazon FBA for Beginners


  • What Is Reselling on Amazon?
  • How Does Reselling on Amazon Work?
  • Helpful Tips For Amazon Resellers
  • Things to Avoid When Reselling on Amazon
  • Is Selling on Amazon Worth It?
  • Conclusion

What Is Reselling On Amazon?

Reselling on Amazon simply means selling products that have already been manufactured. Unlike private-label products where you have to get the products manufactured specifically for you, if you decide to resell, you won’t have to bother about manufacturing products for your store. Your only task will be to find reliable suppliers for your products.

One way to start an Amazon business on a budget is to start with items within your reach, for instance, items that you have but no longer use. Aside from selling pre-owned items, you can source products from eCommerce websites like AliExpress and Alibaba. 

Reselling on Amazon is not the same as wholesale. As a reseller, you do not need to have a one-on-one relationship with suppliers, you can just order your merchandise on third-party websites and create your own product listings. Wholesalers on the other hand usually have an established relationship with manufacturers.

Why Should You Consider Reselling On Amazon?

Reselling on Amazon is a great approach to earning on Amazon without having to do much work. However, there are many other reasons you should consider reselling on Amazon.

  • You incur lower start-up costs than other selling models. Resellers don’t own any inventory, and if you are one, you won’t have to store the products, they go directly to the customers.
  • You do not own the brand, so you won’t be responsible for the products or have to provide customer service on behalf of the brand.

How Does Reselling On Amazon Work?

Reselling on Amazon is not as complicated as it sounds, you just have to leverage the right resources for it.

Amazon FBA provides an almost seamless experience for resellers on Amazon. With Amazon FBA, Amazon will store your products, ship them, provide customer service for your business and handle refunds on your behalf, for a small fee.

Amazon does not have a set approach to reselling; there are several ways to become an Amazon reseller. In all of the methods, the only constant is that you will not have to manufacture your products if you are a reseller. 

The first step to selling on Amazon is to create an Amazon seller account and choose a selling plan. Once you have done this, you will have to decide on how to source your products. Here are a few suggestions:

  • Declutter and sell off pre-owned items on Amazon
  • Retail or Online Arbitrage – Purchase items from a physical or online retail store and sell them on Amazon.
  • Buy from wholesalers and resell on Amazon. If you use this method, you will have to buy in large quantities, so it’s best for sellers who have enough capital to invest.

After choosing your business model, the next step is to purchase your products and create your product listings.

There isn’t a great deal of technicality involved in reselling on Amazon, it is mostly about purchasing items and reselling them for a slightly higher price.

Helpful Tips For Amazon Resellers

Although you can start an Amazon business from the comfort of your home, it would be a struggle if you had to navigate the marketplace without a concrete idea of what or what not to do. 

These tips will work for anyone who intends to sell on Amazon, not just resellers, so if you do not end up reselling on Amazon, you will still find these tips helpful.

1. Be Strategic With Amazon Product Research 

Behind every successful Amazon business is a business owner who dedicated a considerable amount of time to find the most profitable products on Amazon. The only way to make quick sales on Amazon is to find products that people want to buy.

One of the ways to find the best products for your Amazon store is to use Amazon software for product research.

There are two ways to go with product research, you can choose:

  • High competition, in-demand products with high sales volume
  • Low demand products with low sales volume

There are downsides to either option, so you have to weigh your options well before you set out.

In-Demand Products with High Sales Volume

Choosing products with high demand often means fierce competition and a high sales volume, which can be a good thing. But, if you are just starting, then you are likely to be more profit-oriented than you are to be concerned about the product.

With these kinds of products, the catch is to use your prices to lure customers. To do this, you will have to offer lower prices, that’s the only way to beat the competition and create a market for yourself.

Everyone loves a good deal, so if you fix your prices at a relatively lower mark, you stand a high chance of winning the Amazon buy box and gaining more customers. In this case, your unique selling point will be lower prices for the same products that your competitors sell.

If you decide to lower your prices, try to take your costs and Amazon’s fees into account so you don’t run at a loss.

Low demand products with low sales volume

Low-demand products, on the other hand, don’t pose much of a challenge because there will be few sellers anyway. 

The first thing to do if you want to sell a product with low competition is to find out why other sellers aren’t selling the product. 

Low-competition products still give you a chance to win the Buy Box without having to lower your prices, so you may want to give this a shot.

2. Sell quality items

It does not matter whether you’re selling high-demand or low-demand products, the one thing that will keep your customers coming back is the quality of your products.

Low-quality products can trigger bad reviews and ratings which can, in turn, hurt your business. So while carrying out product research, you should also research the best way to source quality products.

3. Make your brand stand out

You don’t have to sell every product, you can carve a niche for yourself and stick to certain kinds of products. What this does is that it makes customers remember you easily if they have to purchase a product in that niche, especially if you sell quality stuff.

Your main goal should be to serve your customers, get good reviews and keep them coming back.

Things to Avoid When Reselling on Amazon

Reselling on Amazon is less stressful than other methods of selling on Amazon, but if you do it the wrong way, you may also shoot yourself in the foot.

One major mistake that Amazon resellers make is using a wrong pricing strategy and leaving out major overhead costs. If you price your products wrongly, it may be difficult for you to turn a profit and bear the costs of running your Amazon business.

Here are a few tips to help you:

  • Don’t underprice your products just to win the Buy Box.
  • Understand your products and choose products with high-profit margins.
  • Learn from expert Amazon sellers.

Don’t forget that as a reseller on Amazon, you will also be competing with top brands on Amazon, and you have to put your best foot forward.

Is Selling on Amazon Worth It?

Amazon is the world’s largest marketplace with over 300, 000 active sellers, and over 2 million active customers, the platform definitely has room for everyone.

If you were to join Amazon today, there is a huge chance that you will make sales if you use the right strategies to scale your business. Amazon is totally worth it, especially if your goal is to own a business that you can run from anywhere in the world and earn substantially.


If you are a new seller on Amazon, reselling on Amazon is a perfect way to start your Amazon business. If you came here looking for more information on reselling on Amazon, then you certainly have enough information to start with.



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