December 2, 2025

Common Myths About Selling on Amazon

It's easy to believe the myths about selling on Amazon. Learn what's real and what's hype.
Common Myths About Selling on Amazon
Common Myths About Selling on Amazon

Key takeaways: 

  1. Selling on Amazon isn’t as difficult as many believe. With the right mindset and use of Amazon tools and programs like Fulfillment by Amazon (FBA), sellers can simplify operations, making it easier to focus on growth.
  2. Despite millions of active sellers, Amazon’s vast customer base offers opportunities for everyone. Success depends on employing smart strategies such as effective product listing optimization and differentiation.
  3. Amazon selling is not a get-rich-quick scheme. Consistent effort in marketing, listing optimization, and customer engagement is key. Real results take time, especially for new sellers.

Let's face it. Amazon is the king of ecommerce. At ePlaybooks, we meet thousands of new clients who want to sell their products on this platform. Amazon owns over half of the online market, and selling on Amazon opens up possibilities for business owners and retailers to increase sales and profit. 

But to be a successful Amazon seller, you must know how to play and win the game. Why do some Amazon sellers fail? They fail to discern facts from myths. 

In this article, we are going to highlight 10 common myths about Amazon and show you reasons why you need to debunk them if you want to sell successfully on the Amazon marketplace. 

Myth #1 - “Selling on Amazon has to be difficult” 

Your mindset plays an important role when it comes to succeeding at anything, including your Amazon business. One of the Amazon FBA mistakes sellers make is to go into business thinking it's going to be difficult to sell on Amazon. And while selling your products on one of the largest ecommerce platforms may seem overwhelming, there are lots of opportunities for success. Amazon has several programs that make selling easier. Fulfillment by Amazon (FBA) is a fulfillment service that takes away the responsibility of order fulfillment. With Amazon FBA, Amazon handles everything from storing your product to packing, shipping, and customer service. This allows you to focus on many other areas of your business. 

Amazon also has many other programs, including a customer support team to help you every step of the way. 

Myth #2 - “The Amazon marketplace is too competitive to go into” 

With over two million sellers, Amazon is one of the most competitive online marketplaces. However, with this competition, billions of products are still being sold by sellers all over the world. 

Amazon also has a large customer base with over  2.5 billion monthly visits to the website. 

With these statistics, we can see that Amazon isn't slowing down, and despite the competition, there is room for everyone to succeed on the platform. To stand out from the competition, you only need to employ the right selling strategies. 

Myth #3: “All you need to do is list your product on Amazon and you will be successful.”

Perhaps the most dangerous myth is that Amazon selling is passive income requiring minimal effort. Just like with any venture, success requires putting in the effort. To succeed at selling products online or on the Amazon marketplace, you need to put in the work. 

Just because the Amazon platform is successful itself doesn't mean that all you have to do is list your product and watch sales roll in.

Optimizing your listing is an important strategy to rank high on search engines, attract qualified leads, and increase sales on Amazon. 

From incorporating the right keywords to writing a killer copy and using high-quality images. You can't afford to skimp on listing optimization and marketing.

Myth #4 - “Customers always choose the cheapest product” 

While prices play a major role in a customer’s buying decision, this is not all that there is. 

Some sellers think that the only way to get buyers to click on their product is to set prices that are lower than the competition. 

While some customers may buy a product solely based on the price, many customers choose products based on several other factors, including quality, need, and other factors. 

In fact, setting your prices too low can hurt your brand. Products that appear too cheap may come across as low-quality to prospective buyers. 

When creating your pricing strategy, consider your product and how you want your brand to be perceived. Ensure your prices are competitive. Not too low or too high. 

Myth #5 - “Amazon is too complicated to figure out” 

Some sellers feel that Amazon is a complicated site with working parts that can never be understood. 

If you are selling on Amazon and especially if you are just starting on the platform, you may feel overwhelmed and not know where to begin. 

However, just like starting any business, there's a lot to learn and experience. This is no different when selling on Amazon. The truth is, it takes getting the right information, putting in the work, and learning from your mistakes to succeed on Amazon. 

Start by accepting that there's a lot to learn and begin to gain knowledge on the different parts of selling on the platform. From opening your Amazon Seller account to creating and optimizing your product listing and selling with fulfillment by Amazon. 

However, with lots of misinformation, you want to make sure you are getting your knowledge from experts and credible sources.  

Myth #6 - “You can start earning thousands of dollars in a week” 

We are not saying that this is completely impossible. But for the most part, getting a substantial income takes some time. You need to put in the right marketing strategies to generate traffic and quality leads that ultimately impact sales and revenue over time. If you just started on the platform, the process may take weeks or even months. 

Myth 7: “You need to develop new products to succeed on Amazon.” 

With millions of products being sold on the Amazon marketplace, some sellers believe that to stand out from the competition, you need to invent a new product. However, this is not the case. 

While you may decide to create a new product in the market, it is not a guaranteed path to succeeding on Amazon. 

You can still sell products that are similar to your competitors. The secret is to improve on existing products. The easiest way to gain market share is to solve an existing problem in the market. 

Do some research on your competitor’s products and find out what customers like and hate about the product, and improve on the product. When customers see that your product can solve their problems better, they will naturally tilt toward you. 

Myth #8: “To run your Amazon business successfully, you need to hire many employees.”

Selling on Amazon requires sourcing your products, optimizing your product listings, accounting, and a whole lot more. This might make you believe that you need a ton of employees to carry out every task. However, this is not the case. While many processes require expertise, you don't need to recruit a new employee now and then. 

To work effectively, you can outsource some of your Amazon FBA tasks while making use of services and tools. For example, instead of handling your shipping and customer service, you can pay to make use of Fulfillment by Amazon (FBA). With the FBA service, Amazon helps you pick, pack, and ship your orders. They also help you with customer service. This saves you time and the extra cost of hiring employees.

Myth #9: “Amazon SEO works just like Google SEO” 

Some sellers may believe that optimizing for Amazon SEO works just like Google. However, this is not the case. While both have similarities, there are major differences to take note of. 

Amazon is an ecommerce platform, and the major focus is conversions. So while Google and Amazon algorithms consider relevance, Amazon incorporates performance metrics. Much of your success on the platform is dependent on the sales generated, as well as what your customers think of your product (reviews), instead of simply how well your website performs. For proper Amazon SEO, you will need to consider factors like customer search terms, reviews, and ratings. 

Myth #10: “To succeed on Amazon, you need to sell to everyone” 

If you are trying to sell to everyone, you are selling to no one. While you may be tempted to sell to as many people as possible, it can be bad for business. 

Selling your product as what it is not can create a wrong impression for your brand. Not only does it hurt the credibility of your brand, but it can also lead to high return rates and negative reviews. If your product is for a specific group of people, you want to clearly state that on your product listing. 

Avoid exaggerating your product. Simply highlight the benefits of using your product and give them all the information they need to make a buying decision. 

Myth #11: “You need thousands of dollars to start selling on Amazon”

Another common myth about selling on Amazon is that you need thousands of dollars to start. While having capital certainly helps, the barrier to entry isn't as high as many believe. Amazon offers multiple selling models to accommodate different budgets. With retail arbitrage (buying discounted products from retail stores to resell), you can start with just a few hundred dollars. Print-on-demand and dropshipping models require even less upfront investment since you don't purchase inventory until after making a sale.

That said, if you're pursuing private label products or wholesale, you'll need more capital for inventory, branding, and initial marketing. The key here is choosing a business model that aligns with your available resources and risk tolerance.

Myth #12: “Amazon will suspend your account without any warning.” 

Account suspension anxiety runs high among Amazon sellers, sometimes unnecessarily. While Amazon does enforce strict policies and can suspend accounts, it's rarely for no reason. Most suspensions result from clear policy violations like selling counterfeit goods, manipulating reviews, poor performance metrics, or selling restricted products without approval.

Sellers who follow Amazon's terms of service, maintain good performance metrics, and respond promptly to any issues rarely face sudden suspensions. If problems arise, Amazon typically provides warnings and opportunities to create plans of action. The key is staying informed about policies and maintaining excellent seller performance.

Myth #13: "Amazon will handle all the marketing"

Amazon does provide organic traffic through its search engine, but this doesn't mean marketing happens automatically. Products that rank well in search results typically combine strong sales history, positive reviews, and strategic use of Amazon's advertising tools like Sponsored Products.

Successful sellers invest in Amazon PPC campaigns, external traffic sources, and social media marketing. They understand that Amazon's algorithms favor products with momentum, and generating that initial traction requires deliberate marketing efforts both on and off the platform.

Conclusion 

Selling on Amazon doesn't have to be a confusing and terrifying experience. With the right knowledge, you can launch your product, take on any challenge, and increase sales on Amazon. 

If you are a new or existing Amazon seller and you need the help of Amazon experts to grow and scale your business, ePlaybooks is here to help you.

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Frequently Asked Questions (FAQs)

What are some myths about Amazon?

Some common myths about selling on Amazon include: 

  • Selling on Amazon has to be difficult: Many believe Amazon selling is overwhelming, but programs like FBA and robust support systems make it manageable.
  • The Amazon marketplace is too competitive to go into: Despite having over two million sellers, Amazon's massive customer base and billions in sales prove there's room for everyone with the right strategies.
  • All you need to do is list your product on Amazon, and you will be successful: Simply listing products isn't enough. Success requires effort in optimization, marketing, and using quality images and copy.
  • Customers always choose the cheapest product: While price matters, customers also consider quality, need, and other factors, and pricing too low can make products appear cheap or low-quality.
  • Amazon is too complicated to figure out: Though Amazon has many components to learn, gaining knowledge from credible sources and learning from experience makes it manageable, like any business.

Can I make $1000 a month selling on Amazon?

Yes, making $1,000 per month in profit on Amazon is achievable, but it requires realistic expectations and strategic planning. Many sellers reach this milestone within 6-12 months of consistent effort. Different models have different timelines. For example, retail arbitrage can generate returns quickly but requires constant sourcing. Private label typically takes longer to build but can become more passive over time. Wholesale offers a more middle-ground stability with already established products. 

Don't expect $1,000 in your first month. Most sellers start smaller, learn the system, reinvest profits, and scale gradually. 

What are the downsides of selling on Amazon?

While selling on Amazon comes with numerous advantages, it is not without some downsides. These include: 

  • High fees: Amazon's fee structure includes referral fees (typically 8-15% of sale price), FBA fees for storage and fulfillment, monthly subscription costs, and advertising expenses. These can consume 30-50% of your revenue before accounting for product costs.
  • Intense competition: With millions of Amazon sellers, standing out is challenging. Competitors may also copy successful products, especially in private label categories.
  • Limited customer relationship: Amazon owns the customer relationship. You can't build an email list or directly market to buyers, limiting your ability to create repeat customers or build a brand outside Amazon's ecosystem.
  • Policy changes: Amazon frequently updates its rules, fee structures, and algorithms. Changes can dramatically impact profitability overnight, requiring that sellers constantly adapt to these changes.
  • Inventory challenges: FBA storage fees, especially long-term storage charges, can erode profits. Out-of-stock situations hurt your ranking, but overstocking ties up capital and incurs fees.

How to make up to $10,000 per month on Amazon without selling physical products?

Making $10,000 monthly on Amazon without physical products is possible through several digital business models:

  • Kindle Direct Publishing (KDP): Publishing ebooks on Amazon can generate substantial passive income. Successful authors in profitable niches can earn five figures monthly. This requires either writing skills or investment in ghostwriters, plus an understanding of keywords, cover design, and book marketing. Making $10,000 per month will typically require selling multiple books and consistent publishing.
  • Amazon Merch on Demand: This print-on-demand service lets you design t-shirts, hoodies, and other apparel without inventory. Amazon handles production and shipping.  
  • Audiobook Creation (ACX): Amazon's audiobook platform allows you to produce and sell audiobooks. You can narrate books yourself or hire narrators. Revenue comes from sales and Audible subscriptions.
  • Amazon Influencer Program: As a content creator, you can earn commissions by recommending products through storefronts and shoppable videos. Success requires building an engaged audience on social media and creating valuable product review content. Top influencers can earn five figures monthly, though building this takes significant time.
  • Amazon Associates (Affiliate Marketing): While technically outside Amazon's selling platform, you can earn substantial commissions promoting Amazon products through niche websites, YouTube channels, or social media. 

While these models don't require physical inventory, they're not effortless. Each requires specific skills, consistent content creation, and time to scale. Most people earning $10,000 every month in these areas have spent months or years building their presence.

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