Key takeaways: 

1. With nearly two-thirds of U.S. consumers shopping on Amazon, the platform offers new and existing sellers huge potential to grow sales.
2. Selling on Amazon requires picking a category, finding a reliable supplier, registering with either an Individual or Professional plan, creating an optimized seller account, and setting up fulfillment (FBA or FBM).
3. Success on Amazon depends on selecting profitable products by considering factors like demand, pricing, size, competition, and using research tools like Jungle Scout or Helium 10.
4. Amazon charges seller fees, referral fees, and FBA fees (storage, fulfillment, and shipping costs), all of which impact profit margins.
5. Amazon gives sellers built-in traffic, FBA logistics, Prime eligibility, a mature advertising platform, and Brand Registry tools, which is why it remains one of the highest-ROI channels for product sellers in 2026.

Do you know that nearly two-thirds of consumers in the United States have bought something on Amazon? 

Undoubtedly, Amazon is a dominant power in the online marketing and ecommerce space and is a very profitable platform even for new sellers.

Selling on Amazon gives you access to its large customer base and an effective distribution network. 

If you are looking to start your business on Amazon or perhaps you are already selling on the platform, we have prepared a guide to help you sell effectively and increase sales on Amazon. 

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In this ePlaybooks guide, we will look at: 

• 10 reasons to sell on Amazon
• How to find out what to sell on Amazon
• A step-by-step guide for selling on Amazon 
• What are the costs of selling on Amazon?
• 4 tips to increase sales on Amazon 

10 reasons to sell on Amazon

With all the complexity and competition that comes with selling on Amazon, it can be easy to lose sight of why it remains one of the most powerful opportunities for product sellers. Here are 10 concrete reasons to sell on Amazon.

1. Access to hundreds of millions of buyers

Amazon has over 300 million active customer accounts globally, with more than 200 million Prime members. These aren't casual browsers. They're buyers with stored payment information and a strong purchase intent. No other marketplace puts your product in front of more purchase-ready customers.

2. You don't need to build your own traffic

Unlike running your own website or Shopify store, Amazon brings the traffic. If your product ranks well for relevant keywords, customers will find you organically. This dramatically reduces the upfront investment needed to get a product business off the ground.

3. FBA handles your logistics

With Amazon FBA, Amazon stores, picks, packs, and ships your orders, and handles customer service and returns. For sellers who want to run a scalable product business without managing a warehouse or fulfillment team, this is a major operational advantage.

4. Prime shipping creates conversion advantages

FBA products are automatically Prime-eligible. The Prime badge signals fast, free shipping, one of the biggest conversion drivers in ecommerce. Competing on delivery speed without this infrastructure would cost significantly more to build independently.

5. Established trust and payment infrastructure

Amazon is one of the most trusted brands in the world. Buyers who might hesitate to purchase from an unknown website will buy confidently on Amazon. You inherit that trust immediately.

6. Amazon's advertising platform is mature and powerful

Sponsored Products, Sponsored Brands, and Sponsored Display give sellers a sophisticated, data-rich advertising platform with direct conversion tracking. Amazon advertising delivers measurable ROI that many other platforms struggle to match for product sellers.

7. Brand Registry unlocks powerful brand protection and content tools

Amazon Brand Registry gives brand owners tools to protect against listing hijacking, access A+ Content, run Stores, and use Amazon's brand analytics and insights. For sellers building a brand, these tools add real competitive value.

8. Global marketplace access

Amazon operates in over 20 countries. Once you've established a product on Amazon US, expanding to international marketplaces is significantly more accessible than building direct international ecommerce.

9. Data-driven feedback loops

Amazon provides sellers with detailed sales data, search term reports, conversion metrics, and customer feedback. This data infrastructure lets you make informed decisions about product development, pricing, and advertising with a speed that physical retail can't match.

10. It's still one of the best businesses to build in 2026

Despite rising fees and increased competition, Amazon FBA remains one of the most accessible paths to building a scalable, profitable product business. The barriers to entry are lower than traditional retail, the upside is real, and the infrastructure advantages are significant.

How to find out what to sell on Amazon 

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The most important part of selling on Amazon is choosing the right product to sell on the platform. The product you choose will significantly impact your Amazon marketing strategy and the overall success of your business. There are many things you will need to consider when choosing the best product to sell on Amazon. However, let's look at some of the most important factors to consider: 

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• Understand the market: The first step to choosing a product is to research and choose a niche market. Every niche has a customer base. With a niche, you can secure a space for your business and engage with customers who are interested in your product. Examples of niches on Amazon include electronics, fashion, etc. 
• Consider the demand for the product: In choosing a product, consider the overall demand of the product in the market. You want to avoid products with too many sellers, especially if you are just starting on the platform. You can check Google and use research tools to check search volume, amongst other factors. 
• Consider the pricing: The pricing of your product will affect your profit margin. You want to avoid products that are too expensive. Expensive products may increase profits if you sell at a high rate. However, it might not always be the case. When choosing a product, balance is the watchword. Look out for products that are fair to buy and sell.
• Check the size of the product: Oversized products increase shipping costs, which could negatively affect your profit margin. Look for products that have a smaller size and packaging. 
• Use research tools: Tools like Jungle Scout, Helium 10, Keepa, or AMZScout can help you analyze sales volume and trends, profit margins after Amazon fees, competition levels, seasonality, etc. 
• Talk to potential customers: Identify trends that you can capitalize on, and find a way to improve a product that already exists. You can talk to potential customers about their frustrations and see how you can solve their problems with your product.
• Assess profitability: Assess your costs and find out your business's financial feasibility. This will help you set effective pricing strategies, optimize your costs, and set your business up for long-term profitability.

A step-by-step guide to selling on Amazon 

Here's a step-by-step guide to help you sell on Amazon: 

Step 1: Choose a product category 

The first step to selling on the Amazon platform is to choose the product category and product you want to sell. There are over 27 product categories you can choose from. Consider some of the factors mentioned above. Some of these categories may require approval. This is done to retain the quality of products within the category. 

Step 2: Get a supplier or manufacturer

Getting a supplier is the second most important step to selling on Amazon. You need to find a supplier who can consistently stock inventory that will be sold on the Amazon platform. However, getting a supplier could appear tricky. How will you know the right supplier? Well, here are a few pointers: 

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• They are consistent with manufacturing products 
• The supplier is ethical and law-compliant 
• They are open and willing to communicate with you when needed 
• They allow a third-party inspection to ensure the quality of the product. 

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When looking for a supplier or manufacturer, keep as many options open and compare their deals before choosing your preferred option. 

You can either resell existing products or create your own products. You can use dropshipping or print-on-demand (POD) to sell products, or work with a manufacturer to produce them. Consider factors such as size, weight, and manufacturing costs, and make sure your products meet Amazon's guidelines and standards.

Step 3: Choose an Amazon selling plan and register 

Amazon provides two selling plans for selling on the platform. You can choose the Individual selling plan or the Professional selling plan. 

The most important thing to consider before choosing a selling plan is the number of products you sell or plan to sell on the platform. If you are selling less than 40 items per month, the Individual selling plan would be ideal for you. On the other hand, if you are selling more than 40 items per month, the Professional selling plan would work best for you. 

The Individual plan costs $0.99 for every item you sell on the platform. The Professional plan costs a one-time monthly fee of $39.99. Once you choose a plan, proceed to register your Amazon seller account. 

Step 4: Create your Amazon Seller account 

To create your Amazon Seller account, you will need to fill out a form with your information. Here's what you will be needing: 

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• Business name 
• Legal name
• Contact address
• Banking information 
• Shipping options - select where you want to ship to 
• About the seller - add an interesting introduction about yourself that boosts your credibility on Amazon
• Seller logo
• Return and refund policies 
• Tax information - have your Social Security Number or Employer Identification Number ready
• Identity verification documents - Amazon will ask you to confirm the details you provided

If you need professional help creating your Amazon seller account, you can work with experts at ePlaybooks. 

Step 5: Create your product listing 

Product listings are similar to a showroom. This is where you showcase your products on the platform. Ensure you have enough information to describe each product. Add a descriptive product title that makes it easy for online shoppers to understand. Use high-quality product images capturing different product image shots at different angles. Highlight the benefits of your product in the bullet point section and product descriptions. Research and target the right keywords, and be thorough with your Amazon SEO. 

Also, ensure that your product listings are mobile-friendly, as a significant portion of shoppers use mobile devices for online shopping. Review your listings on various devices to ensure a seamless mobile shopping experience. Optimized listings not only improve search visibility but also contribute to higher conversion rates. See our Amazon product listing guide for more.

Step 6: Set up shipping options

You will need to set up your order fulfillment and shipping method. You have the option of handling your own shipping or having Amazon handle that for you. 

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• Fulfillment by Amazon (FBA): With Amazon FBA, you can relax while Amazon handles the order fulfillment and shipping. All you need to do is register and send your products to the Amazon fulfillment center, where they will be stored, packaged, and shipped directly to your customers. The service will also include handling your customer service and returns. Amazon FBA allows you to focus on other areas of your business. Also, your product is automatically eligible for two-day shipping on Amazon Prime. However, these benefits come with some FBA costs. 
• Fulfillment by Merchant (FBM): This shipping option gives you the liberty to handle your order fulfillment, shipping, customer service, and returns. 

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You can choose to utilize both shipping options. For example, if you sell two products, one oversized and one standard-sized product, you can use FBM to sell the oversized product to minimize costs and maximize profits while using FBA for the standard-sized product. 

Step 7: Start selling and promoting your products 

Once you get your Amazon seller account, order fulfillment, and shipping in place, you can start selling on the platform. Ensure you optimize your product listings, add relevant keywords, and use high-quality images to attract customers. Ensure you include relevant information that tells your customers all they need to know about your product. 

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Promote your product by utilizing PPC campaigns. You can run Sponsored Brand Ads, Sponsored Product Ads, and Display Ads. PPC Ads come at a cost, but this will help you increase your audience reach, brand awareness, and help you rank much faster organically, especially if you are just starting out on Amazon. You can work with Amazon experts at ePlaybooks to advertise your products on Amazon. 

In addition to Amazon advertising, establish a strong presence on social media platforms to drive external traffic to your Amazon store. Use platforms like Instagram, Facebook, and TikTok to showcase your products, engage with your audience, and build a community around your brand.

Step 8: Manage your store and analyze performance

Keep an eye on your overall store performance. Implement effective inventory management and ensure that stock levels remain optimal. Track your business performance with Amazon Analytics to help you understand how your products are performing and where you can make improvements. This can include tracking products winning the most clicks and conversions on strategic search terms, and top products most commonly purchased.

Step 9: Stay compliant with Amazon's guidelines and policies

Amazon has stringent policies and guidelines that all sellers must adhere to. It is important to stay informed about changes in Amazon's terms of service, product category restrictions, and any other policies that may impact your business. Failure to comply with Amazon's rules can result in penalties, suspension, or even account termination. Regularly review Amazon's Seller Central for updates and ensure that your business practices align with the platform's policies.

What are the costs of selling on Amazon?

Just like any other marketplace, Amazon has a set of fees that are charged for its features and services. Knowing these fees will help you know how best to maximize sales. 

Here are some fees you need to keep in mind: 

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• Seller fees: Amazon charges for your Seller account. You can choose between the Individual selling plan, which costs $0.99 with every sale made, or the Professional selling plan, which costs a one-time monthly fee of $39.99.
• Referral fees: Every Amazon seller is charged a referral fee for every item sold on the platform. Referral fees are a percentage of the selling price. They vary depending on the product category and selling price. While most categories charge a referral fee of 15%, these fees typically range from 6% to 45% depending on the category.
• Fulfillment by Amazon (FBA) fees: The FBA service comes with its own set of fees. They also vary depending on the size and weight of the product. Also, it is important to know the total fees of storing and shipping your product to maximize sales. Here are a few FBA fees.

• Pick and pack fees: This fee is calculated based on the size and weight of the product. It includes fees for storing, packing, shipping your product, customer service, and returns. 
• Monthly storage inventory fees: This fee is for using the Amazon warehouse. This is charged every month. 
• Inventory placement fees: This fee is charged to FBA sellers who want to control inventory shipment from the Amazon fulfillment center. 
• FBA export fees: FBA allows you to send your product to multiple countries. So, an FBA export fee is charged depending on where you are selling it from. 
• Stock removal fees: Amazon charges this fee for disposing of unsold stock or having it sent back to you.  

4 tips to increase sales on Amazon 

Now that we have a step-by-step guide and we know how much it costs to sell on the platform, how do you attract the right audience, drive traffic to your product listings, and increase company sales? Let's go through four effective tips that can help you attract the right customers and double sales: 

Carry out keyword research 

Optimizing your product listing attracts the right audience, improves your ranking on search results, and increases conversion and sales. To optimize your listing, start by using the right keywords. Research relevant keywords using keyword tools like Ahrefs. Once done, insert these keywords into your product listings. Add them to your product title, bullet point section, and product description. You can also add backend keywords to your Amazon Seller Central account.  

Use high-quality product images.

Product images are one critical part of your product listing. This is what gets online shoppers to stop scrolling and click on your product. So, winning this aspect means you've won half the battle. Use high-quality images and take different shots of your products following Amazon's product image requirements and guidelines. Infuse lifestyle images and videos that effectively communicate the value of using your product. You can take advantage of A+ content, a feature available for sellers registered under the Amazon Brand Registry. 

Earn customer reviews

Customer reviews are critical to building trust, dispelling objections in the minds of potential customers, and improving rankings on search results. Encourage your customers to drop an honest review after they make a purchase. You can use channels like product inserts, emails, social media, or simply use the “Request a Review” button on Amazon. Focus on delivering quality products and services that spur a good customer review. You also want to avoid getting fake reviews, as this could get your account suspended. 

Pay attention to the pricing.

Your product pricing is essential to increasing sales on Amazon. Firstly, if your prices are favorable, you are likely to attract more customers and finalize a sale. Secondly, a competitive price helps you secure the “Buy Box,” which ultimately means more sales. 

Adjusting your prices to the demand of the market and the competition will help you increase sales and maximize your profit margin. Fortunately, there are repricer tools like BQool and RepricerExpress that automatically adjust your products based on the competition and demand for your product. 

Final thoughts. 

Selling on Amazon is profitable if you have the right guidance and implement the right strategies. Hopefully, this guide will spur you into action and help you increase sales, maximize your profit margin, and grow revenue with Amazon.

We know it can get tricky figuring it all out on your own, so you can contact Amazon experts on ePlaybooks for some professional help.