Amazon is one of the world’s biggest online stores. There are 353 million products available, it ships to 100 countries and has 1.2 million employees. It also has over 185 fulfillment centers around the world.
Why it matters
Amazon’s expertise and resources are available to anyone who wants to start an online store. By using Amazon as your chosen platform, you can start your own online side hustle without spending the big bucks!
In this complex technology world we are often overwhelmed by too much opportunity and too many options. And the time and cost of setting it all up. It’s costly and outside our comfort zone.
So we get confused, freeze, withdraw and do nothing.
What if you could start a side hustle with a small investment?
Starting an online business or an online side hustle is a dream that often gets parked because of this complexity and overwhelm.
To sell a physical product requires a big investment and expertise.
Amazon fixes that.
You rent their services rather than set up your own.
Normally you would need to:
- Find the product
- Or..design it.
- Then you need to produce it.
- Then you need to store it.
- Next.. shipping and delivery
- Oh… and don’t forget customer support!
The list goes on! In the past, it required an investment of easily 6 figures plus. And I won’t even mention the time it takes to set something like that up.
Amazon hands you all the resources you need. There’s no need to invest in all the infrastructure and fulfillment systems and resources.
Instead, you can use a service called Amazon FBA.
Why use Amazon’s FBA?
There are several reasons to use Amazon’s FBA (Fulfillment by Amazon) services:
- Convenience: FBA takes care of storage, shipping, and customer service for you, allowing you to focus on sourcing and selling products.
- Increased visibility: Products that are fulfilled by Amazon are eligible for Amazon Prime, giving them more visibility and increasing their chances of being purchased.
- Trust: Amazon is a trusted brand and customers are more likely to buy products that are fulfilled by Amazon.
- Savings: By using FBA, you can save money on shipping costs and benefit from Amazon’s bulk shipping rates.
- Scalability: FBA makes it easier to scale your business as you can store and ship large quantities of products without having to worry about the logistics.
- Access to Amazon’s customer base: With over 300 million active customers, Amazon offers a large audience for your products. By using FBA, you can tap into this audience and reach more potential customers.
- Easy returns: FBA handles returns and customer service, saving you time and reducing the hassle of dealing with these issues yourself.
Amazon’s FBA services can help simplify the process of selling products on Amazon, increase the visibility and trust of your products, and help you reach more customers.
Sounds like a perfect online side hustle to me, don’t you think?
So Amazon FBA isn’t just one business model. It’s actually a few.
Here are 5 different ways (and business models) to make money with Amazon FBA:
- Retail Arbitrage: This involves purchasing products from retail stores and selling them on Amazon at a higher price. The seller sends the products to Amazon’s fulfillment centers, and Amazon takes care of storage, shipping, and customer service.
- Private Label: This involves creating a brand and manufacturing products to sell on Amazon. The seller sends the products to Amazon’s fulfillment centers, and Amazon takes care of storage, shipping, and customer service.
- Online Arbitrage: This involves purchasing products from online retailers and selling them on Amazon at a higher price. The seller sends the products to Amazon’s fulfillment centers, and Amazon takes care of storage, shipping, and customer service.
- Wholesale: This involves purchasing products from wholesalers or manufacturers and selling them on Amazon. The seller sends the products to Amazon’s fulfillment centers, and Amazon takes care of storage, shipping, and customer service.
- Subscription Box: This involves creating a recurring delivery service for customers who subscribe to receive a box of products on a regular basis. The seller sends the products to Amazon’s fulfillment centers, and Amazon takes care of storage, shipping, and customer service.
In all of these business models, Amazon charges a fee for storage, shipping, and customer service, and the seller is responsible for the cost of the products and any marketing expenses.
In conclusion, this article has highlighted the diverse ways on how to make money on Amazon. By leveraging Amazon’s vast audience, tools, and resources, individuals and businesses can explore various strategies to generate income and achieve financial stability.
Over to you.