Monday, January 30, 2023

How To Sell Products On Amazon Without Inventory

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Review Best Sellers Pages Within Your Potential Categories

Sell On Amazon Without Inventory – Tips and Tricks

Next, if you want to explore your opportunities and competition within a certain category, you can simply head to Amazon itself, search for that category and add best sellers to your search term. Heres what we found searching for best sellers novelty scarves:

The Best Sellers page lists the top 100 sellers in that category. From there, you can click into different items and scroll down to gauge their sales popularity.

The product description detail that Amazon provides on each item tells the story of its overall popularity. For example, this item is pretty popular according to:

  • Its Amazon Best Seller Rank of 5,836 in the huge Clothing, Shoes, and Jewelry category. As a rule, anything with a BSR under 10,000 in a major category has respectable sales velocity.

  • Its 145 reviews from customers show that this item has a track record of sales.

Reviews add up over time, but each review shows the date, so you can use reviews to gauge how many of a given item sold in a set period of time. According to Amazon Seller Central, only about 10% to 20% of customers actually leave feedback. So 145 reviews can equal anywhere from 700 to 1,500 actual sales.

Its not a perfect market analysis, but it helps you determine if an item has enough demand to make it worthwhile. It also helps you see what your competition is doing and uncover ways to improve upon their products.

Get Enthusiasticamazon Is A Huge Opportunity

. Its time to get on board and excited about it.

Dont just make Amazon part of a growth strategy.

Make it the growth strategy for your business.

Ive worked with an old-fashioned manufacturer that has been in business for several generations. Within 18 months they were selling more on Amazon than through their traditional channels.

How did they do it?

They didnt mess around when it came to .

They tossed their whole product line on Amazon, identified the services they needed to outsource and created new internal processes specifically for Amazon.

According to recent industry figures and Statista, Amazon is the leading ecommerce retailer in the U.S. with close to 178 billion U.S. dollars in 2017 net sales.

The majority of Amazons revenue is generated through ecommerce sales of electronics and other products, followed by third-party seller revenues, subscription services, and AWS activities.

Lets look at a few stats:

With 53% of Amazons items being sold through third-party retailers, and with a double-digit sales revenue increase YoY, Amazon is a good bet to grow your bottom line.

Heres how.

There are two ways to sell through Amazon:

  • Sell directly to Amazon
  • Sell on Amazon yourself
  • Lets break each of these down and look at a couple case studies so you can determine which is right for you.

    Chapter : Rules And Regulations

    Naturally, there are some rules to follow if you expect to sell through this method. Weve split them up to reflect rules in the United States and the United Kingdom. Some of them may overlap.

    FBA Rules In The United States

    • If youre shipping to an Amazon US warehouse from some other country, you need to be the Importer of Record for the shipment. An IOR ensures that products comply with local laws and the relevant number needs to be mandatorily supplied to Amazon for them to begin listing your products.
    • Should you choose to return products from the warehouse to your manufacturer, Amazon will not be shipping internationally. You need to provide a return address, collect the consignment and ship it back to the manufacturer.
    • The choice of fulfillment center rests with Amazon alone.
    • Some products which cannot be part of FBA can still be sold by you as a third-party seller.

    FBA Rules In The United Kingdom

    • If youre not physically present in the UK and want to sell products from another country through Amazon UK, you will have to hire someone to look after the consignment until customs clearance.
    • As with the US, Amazon decides which fulfillment center your products must be sent to.
    • Liability for products damaged in transit to a fulfillment center lies with your carrier of choice.
    • If you have mislabeled your product, Amazon will relabel it for an additional fee or return it to you.
    • You can quit the FBA program whenever you wish, and there is no minimum lock-in period.

    Recommended Reading: Cancel An Amazon Account

    How Does Amazon Fba Work

    As a seller, you first have to choose the products youd like to sell online. Once you have products in mind, you add their details to your Amazon account, including titles, descriptions, prices, images, and other additional Amazon-specific product information.

    Next, your listed items are prepared and shipped to an Amazon FBA warehouse.

    Once your items are packed and shipped to Amazon, they will take care of the fulfillment for you. Amazon first goes through a verification process to ensure your items were delivered correctly and in the right condition.

    After this verification, Amazon activates your listings. Once activated, your seller name is visible on your new product detail pages where you can now sell your items.

    These items are then stored in Amazons warehouses until a buyer orders them.

    When Amazon receives the order, they handle the fulfillment and can ship it as Prime Two-Day Shipping.

    Generally, Amazon FBA first settles your account balance 14 days after you start, and youll get paid every two weeks.

    The most significant advantage of the Amazon FBA program is that you, as a merchant, dont have to focus on logistics software, returns, and customer service, and only focus on generating sales. Additionally, your customers enjoy the benefits of Amazon Prime Two-Day Shipping. Its a win-win.

    Now that weve discussed with Amazon FBA is, how to get started, and the benefits of joining, lets go over the total cost.

    Fulfill And Ship Your Products

    How to Sell Products on Amazon and eBay without an Inventory?

    Listing products for sale in the Amazon marketplace and managing your inventory are the hardest parts of learning how to sell on Amazon. This being said, once a customer places an order, the next step is to get that product into their hands.

    Amazon offers two options for product fulfillment and shipment:

  • Fulfillment by Merchant : You, as the Amazon Seller, are responsible for maintaining inventory, packaging, labeling, and shipping products to individual customers.
  • Fulfillment by Amazon : Amazon stores your products in their fulfillment centers, and theyll handle packaging and shipping products to customers.
  • Fulfillment by Merchant

    Self-shipping is typically a good option for small sellers and those with smaller margins. You can opt to charge for shipping or offer free shipping. The biggest advantage of FBM is that you can keep everything in-house and not lose more of your profits to Amazon fees.

    The disadvantages are that its harder to qualify as an Amazon Prime shipper when you do FBM, so you could lose out on customers with Prime accounts. The other downside is that its more difficult to win the buy box when you choose FBM.

    Fulfillment by Amazon

    If the nitty-gritty of processing and shipping orders yourself feels overwhelming, go for the shipping method. Through FBA, you can use Amazonâs world-class fulfillment centers, customer support, and other operational tools to scale your business faster than you ever could on your own.

    Image source:

    How FBA Works

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    Optimize Your Product Titles For User Intent

    Amazon favors listings whose titles are relevant to buyers search terms, rather than being stuffed with keywords.

    Put simply, titles that focus on user intent get the attention of people. As such, its worth spending some time thinking about what buyers hope to find when conducting searches related to your products.

    Information that matters to buyers includes product attributes such as model, size, color, quantity, etc.

    Pro tip: Use the brand name as the first word in the title. Blueboard found that 93% of best-selling Amazon products started with the name of the brand. Even if youre considering dropshipping items from China, dont neglect using the local brand name in your titles.

    Learn How To Get Paid Traffic

    While free traffic is great, paid traffic is arguably even better.

    While you do have to be careful with paid traffic because its very easy to blow a lot of money and get nothing back, it is one hell of a skill to master and incredibly valuable for any business .

    Take a look on YouTube for some tutorials on Facebook Ads & Google Adwords.

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    + Best Ways How To Sell On Amazon In 2022

    The global ecommerce market is expanding rapidly, and Amazon is at the forefront. Two day shipping. Almost any product imaginable. A high-performing supply chain and logistics powerhouse. A company focused on customer service. If you want to join this phenomenon and start learning how to sell on Amazon, keep reading.

    As they say, in the end, if you cant beat em, join em. In 2018, Amazons share of the US ecommerce market hit an unbelievable 49%.

    Having built trust for over two decades and amassed 2.5 billion shoppers every month, Amazon, which is the worlds largest online retailer, presents new ways to make money online for every seller that joins their ranks.

    In this article, we will discuss how to make money on Amazon, how to sell on Amazon FBA, how to price products, and how much money you need to get started.

    How To Sell Other Peoples Products Online As An Affiliate

    Dropshipping, 3PLs and Amazon FBA – How To Sell Products Without Inventory

    Affiliate marketing is the business model which allows you to sell products created by other people and then you make a small commission of that sale.

    The best way to do affiliate marketing, in my opinion, is by selling digital goods but since were talking about not holding inventory, I guess well just keep this focused on physical items.

    So how can you sell peoples products?

    One of the most known & most-used affiliate programs is the website.

    Any item on there, no matter the price, can be sold by you and you get to keep a small percentage of that sale you can find more details about that in .

    This is the simplest way to sell products without holding inventory since your job is only to get people to Amazon .

    Once you do that, then you just get to keep the small profit and youre done.

    Its best to see my affiliate marketing getting started guide for more information.

    Read Also: How Does Amazon Pickup Locker Work

    Benefits Of Amazon Fba

    There are many benefits to using Amazons FBA service. Partnering with Amazon, for a fee , moves you to the top of the pack of sellers on Amazon. Here are just a few of the advantages of signing up for Amazon FBA:

    1. Amazon Prime Customers

    2. Storage Space

    The size of your inventory will determine your growth in the online marketplace. As your store grows, the diversity of products and the size of inventory will also increase. However, few of us have the physical space for all these products, not to mention room for boxes, bubble wrap, and packing tape. With Amazons FBA, you let Amazon handle all your storage needs at one of their many warehouses around the world.

    3. Shipping and Returns

    Amazon has evolved into the worlds greatest online retailer through their efficient shipping and fulfillment logisticsthats one of the reasons they grew out of Bezos garage to be able to deliver products all over the world. Instead of worrying about shipping logistics and costs, Amazons FBA takes care of all the fulfillment tasks and ensures your products are delivered quickly and efficiently.

    Amazons FBA also handles all customer returns. While every seller hopes their customers will be happy with their purchases, returns are an inevitable part of online retail. Amazon takes over the entire return process so you can focus on your products.

    4. The Amazon Brand

    5. Time is Money

    The No Inventory Approach

    When it comes to inventory, a business owner or manager must evaluate all factors that could directly impact the ROI. For an online T-shirt store, carrying excess inventory could likely hurt ROI, making it more difficult to earn a profit and become cash-fluid. Not having inventory offers flexibility for start-ups to allocate funds for other business expenses. Overall, its less risky, more cost-effective, and pretty convenient. Countless online shirt apparel stores dont carry inventory, and they are thriving.

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    Sell On Amazon Yourself

    This isnt a contradiction to the previous section.

    if you find it easier to get up and going, or use this to complement your sales to Amazon.

    Selling on Amazon along with selling to Amazon keeps Amazon honest and doesnt allow the whims of their algorithm to lead to stockouts of your products.

    Selling to Amazon also allows you to jump-start sales of new products by giving Amazons bots the confidence they need to start bringing it in themselves.


    This practice is not recommended for most sellers, especially sellers that are novice to selling on Amazon.

    Consult an Amazon consultant before using this method.

    A Case Study: How to Sell to and on Amazon:

    A sheet metal factory in the industrial space wanted to come out with a line of consumer products to sell on Amazon.

    Based on some cursory searches on Amazon for sheet metal products and knowing the limits of their machinery, they created a simple folding work bench to be used in congested garages and sheds.

    It was made with the machines they already had, hardware they were already buying and sheet metal they already stocked.

    Actual Factory

    Actual Prototype of Product on a Wall in a Factory Hallway

    Their initial production run was four units.

    Yup, four.

    The total cost of labor and materials was less than most peoples weekly grocery bill.

    They put up an Amazon listing and sold two units in the first week.

    Actual Amazon Listing Taken Shortly After Product Went Live

    It is highly unusual, but it is doable.

    Can I Sell On Amazon From Home


    Yes, you can sell on Amazon from home Amazon does not require that you have a separate business location or storefront to sell on their platform. In fact, most beginners on the platform more than likely start selling on Amazon from home.

    This being said, like all Amazon merchants, home-based sellers will have the option of fulfilling and shipping their own orders or using Fulfillment by Amazon . To this point, if youre looking to avoid storing inventory at your home and shipping orders yourself, using FBA will give you these capabilitiesâof course, with associated fees.

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    Listing Your Products To Amazon

    After this, we need to list our products on Amazon at this time, your listing is brand new because of it, either it would not appear in amazon search, or it would be in the last position.

    Along with spending enough money in making your organic sales, you also need to be aware of so many other things to get your product on the first page of amazon.

    All those things are not possible to cover in this post and out of its context, so there is no other way to wait for our entire course in which we would guide you to build your business on amazon just from scratch successfully.

    After your initial investment of time and money on your business, once it gains stability on the first page of amazon, definitely your product would start getting organic sales.

    Once your product starts getting sales and gets stability in the top organic positions, its your time to sit back and collect the profit on autopilot from the product you have discovered. That is the power of amazon sellers passive income.

    Amazon FBA is so powerful that it doesnt require you to do work for a long time.

    Furthermore, you dont have to test anything because its already a profitable eCommerce platform.

    You dont have to worry about testing like you dont have to worry about driving traffic to your listing from other social channels. Amazon already has many potential customers.

    It has all the valuable traffic available for you you need to sell your products on their marketplace using their eCommerce platform.

    Sign Up For An Amazon Seller Account

    In order to set up your Amazon seller account and get started selling on Amazon, youll need to choose a seller plan, provide some information about your business, and understand Amazons seller policies.

    Choose a Seller Plan

    When you sign up to sell on Amazon, youâll choose one of three different selling plans, depending on the scale of your business:

    • Amazon Individual Seller: If you own a very small business and plan to sell fewer than 40 items per month, you can sign up as an Amazon individual seller. This will cost you just $0.99 per sale, plus a few other transaction fees.
    • Amazon Professional Seller: If you plan to sell more than 40 individual items per month, youll need to sign up for a professional account. Amazon will charge a subscription fee of $39.99 per month, plus some transaction fees on each sale.
    • Amazon Vendor: If you manufacture products yourself, you can sell these goods as a wholesale business to Amazon. They will handle product listings, fulfillment, and shipping, and when they run out of stock, they will order more from you.

    Be aware that certain products require approval to sellâand, if approved, only sellers with professional accounts are eligible to sell those products. Some products that require approval include specific software, laser pointers, and hoverboards.

    Amazon recommends that you use the professional seller plan. Image source:

    Create Your Amazon Seller Account

    Image source:

    Set up Your Seller Profile

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    Create Your Own Products

    Fully control the manufacturing of a particular item

    If you want to have total control over your products and brand, you can make your own.

    For example, you could develop your own cosmetics line. Youd come up with your own formula for foundations, mascaras, lipsticks, etc., find a manufacturer that will make and package the products for you, and then sell them on Amazon. Learn more about finding your own eCommerce niche.

    Of course, this is more expensive and time-consuming than wholesale or private label, but youd be in total control.

    Pro Tip: Look into trademarking your brand and/or products to protect yourself from counterfeiters and scammers.

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