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How to Make Money on Amazon in 2021?

ways-to-make-money-on-Amazon-in-2021

Amazon is the world’s largest online retailer, which is capable of selling anything and everything. The best thing about the platform is that it provides a secure and reliable platform for the users so that they can purchase required things from the platform worry-free. But do you know that besides purchasing things and spending money on the world’s largest online retail platform, you can actually earn good cash as well?

Amazon offers a lot of opportunities for its users to earn extra income. Recent stats have confirmed that 1.9 million sellers are actively selling on its marketplace. When the majority of the people were busy shopping on the e-commerce platform, there were a few who already learned to earn money online from e-commerce websites. Also, the surprising part is that the people are making money from Amazon by selling items even when they do not own or have manufactured any of the products they are selling. Besides providing a platform to sell products, Amazon also offers various other work opportunities, including work from home jobs, regular jobs, etc.

The world’s largest online retailer with a net worth of more than $1.7 Trillion actually started by selling old and used books. Besides selling products of almost every possible category, the online retailer is also involved in the entertainment business that produces movies and TV shows via Amazon Studios. To add more, the biggest e0commerce platform actually owns a few more firms, including Goodreads, Zappos, Twitch.tv, etc.

As Amazon saw a decent growth with time, its marketplace also grew for sellers. And now, as the company has dozens of services and products to offer to its users, new options to earn money on the platform are already open.  In this blog post, we will discuss in detail how to earn money on Amazon in 2021, but let’s start with the basics first.

Why Amazon in 2021?

We all know that Amazon is the world’s largest online retail platform, and it is the only one to make a gross market value of 344 billion US dollars on the online marketplace since it was launched in 1994. There is no other e-commerce platform or website till now that has seen such growth in less than three decades.

Yes, it is true that there are many other online shopping platforms on which people can make money, but the reason to choose Amazon in 2021 is that it is the biggest in comparison to all and is currently the most versatile online retailer platform available in terms of selling or generating income from both products and services. There are already a lot of people who are making money on the e-commerce platform in 2021 successfully, by outsourcing services like Amazon Store Development and marketing like Amazon SEO services to increase the visibility of their products and services which will ultimately help increase sales figures and get them to earn more cash with each passing day.

Besides being the world’s largest online retail platform, Amazon has a trusted customer base. According to the recent stats, around 89% of US customers like to purchase products and services from Amazon in comparison to other e-commerce websites available in the market. The e-commerce platform is gaining the trust of more and more customers with each passing day by providing vast product and services inventory and unmatchable customer experience.

So, if you are one of those who is looking forward to earning money online from e-commerce websites in 2021, then Amazon is the best website to go with due to its exponential growth, trusted customer base, and long-term reliability. To know about the ways to make money on Amazon in 2021, continue reading the blog post.

10 Proven Ways to Make Money on Amazon

1. Retail Arbitrage on Amazon

Retail arbitrage on Amazon means purchasing a product or a service in bulk from a big retailer and selling it on the platform at a higher profit. The product that one wants to sell at Amazon can be purchased at a cheap price in bulk from other retailers like Walmart and eBay. Retail arbitrage is pretty much common nowadays on Amazon, and many sellers are earning good profits and living a good life by just purchasing cheap from big retailers and selling high on the e-commerce platform.

Making money with retail arbitrage on Amazon completely depends upon your capability to make the desired number of sales each day and also on the profit margin per sale. Sellers who are able to sell more on the platform can earn good cash, while those who are not able to make enough sales have to manage with average income.

Most of the sellers who are involved in retail arbitrage with Amazon avoid shipping costs by directly reaching the retailer and picking up the items which they think are demanding and will sell quickly on the platform. Also, many sellers invest their time in searching for the retailers with the cheapest products during the clearance sale so that they can sell them at high prices on the retail platform. By reaching directly to the retailer to avoid shipping costs and purchasing cheap products helps sellers increase the profit margins on the products they are selling on the e-commerce website.

Following are the various key features of the Retail arbitrage on Amazon:

  • No initial investment or monthly subscription is required.
  • No need to manufacture your own products to sell them on the e-commerce platform.
  • Earn good profits easily by increasing the sales figures.

2. Sell Private Label Products on Amazon

If you are one of those sellers who are not satisfied with the retail arbitrage and rather want to earn big profits, then you should go with selling private label products on the platform. Private label products are those products that the seller manufactures for a particular retailer, and then the product is sold by the retailer under its own brand name.

Selling private label products on Amazon has a big advantage that the seller will be the only one selling the specific product on Amazon. This ultimately leads to less competition in the market regarding the product, and the seller does not have to reduce the prices of the product to get good sales figures. Also, you can take Amazon A+ Content Writing Services from third party vendors to improve the visibility of your private label products on the e-commerce platform and boost your sales figures to get good ROI.

Though it may sound that manufacturing your own product is very challenging and might require a professional setup that will attract a handsome cost, it is not the case here. A seller can easily purchase an existing product and make a few modifications and improvements to sell it under his/her brand name. Also, sellers can take Fulfillment by Amazon(FBA) services provided by Amazon that have been specifically designed to take care of all your time and effort-consuming work, including storing, packaging, shipping, returns, etc.

With FBA services, whenever a customer will purchase a product from you, Amazon will completely take care of your business processes, and all you need to do is pay a specific fee for the service that you are taking.

Following are the various key features of selling private label products on Amazon:

  • You can set your own price and keep big profit margins.
  • No or less competition as you are the only one selling the specific product.
  • Can generate stable income by fixing your profit margins.

3. Become a Wholesale Seller

One of the other ways to make money on Amazon in 2021 is by selling wholesale goods on the online e-commerce website. Becoming a wholesale seller and selling wholesale goods is pretty much similar to selling private label products. If you are a wholesaler, you can sell products manufactured by other manufacturers and companies but if you are selling private label products you have to manufacture your own products before selling them on the platform. We can say that selling wholesale goods is easier than selling your own private label products on Amazon as you need not worry about the manufacturing of the products. All you need to do is purchase goods in huge quantities at cheap prices and sell them on Amazon at high prices with a good profit margin.

Selling wholesale goods on Amazon has become one of the best ways for many sellers to earn money on Amazon and the reason behind this is easy earnings with less effort and time utilized on manufacturing the product. But as we know that for every positive side, there is a negative too, so selling wholesale goods on Amazon is very competitive as compared to selling the private label products on the website. The reason for this is that you are not the only seller who will be selling the products as you have not manufactured them on your own. So when other wholesalers also step into the market with similar product categories, there may be a time when one of them will have to decrease the prices of the product to attract the customers, which ultimately decreases profit margins and increases competition. Also, wholesalers on Amazon can take the Amazon EBC product listings service from third party firms to get good visibility of the products on the biggest eCommerce platform. This will not only help in increasing the sales figures of the products but will also let you take your business to new heights.

The profit margins and the monthly income not only depend upon the sales that the wholesalers are able to make, but these also depend upon the prices at which they have purchased a product that they are selling on the website.

Following are the various key features of selling wholesale goods on Amazon:

  • No need for digital marketing and advertising your products; just decrease your profit margins to attract customers.
  • Can generate huge income by increasing your sales figures.

4. Amazon Affiliate

Amazon’s affiliate marketing program is one of the best ways to earn money on the e-commerce website in 2021. The basic concept of the Amazon affiliate is that you will earn a commission for every purchase that will be made by the customer referred by you on the platform. To refer a customer to Amazon, all you need to do is just recommend a product or service to the customer, and they have to purchase the product or service using your affiliate link. The commission that you will get with the Amazon affiliate marketing program will vary between 7% to 15%.

While doing affiliate marketing for Amazon, one thing that you should keep in mind is that affiliate marketing is not just getting a click on your links by creating an attractive website, blog, or something similar to that, it is a time-consuming and effort-making activity that requires various marketing processes, including Amazon PPC optimization, CR optimization, email marketing, etc.

How Much Money Do You Need to Start?

To start with the Amazon affiliate marketing program, there is no specific fee that you need to pay for the service. All you need is just an online presence in the form of a website or a blog page, and you are good to go with it.

Following are the various key features of Amazon affiliate marketing:

  • It is very easy and highly lucrative.
  • Good opportunity to make money online without any major investment.
  • Just need an online presence to get started.

5. Amazon Handmade

If you are an artisan and like to craft your own products, then crafting and selling your own products on Amazon can be one of the best ways for you to earn money online on Amazon in 2021. With Amazon Handmade, you can reach a huge audience from every corner of the world and sell your handmade crafted products worldwide. All you need to do is apply for Amazon Handmade, and the e-commerce website will allow you to craft and sell your goods on the platform.

Though the process of crafting and selling your products with Amazon Handmade is time taking and laborious as you have to craft the product by yourself before selling it on the platform, the exposure offered by Amazon for your brand is worth the efforts. We can say that Amazon Handmade is one of the biggest platforms where you can get a large audience to know about your unique and original products. With Amazon Handmade, you can craft and sell a variety of products, including jewelry, clothes, handmade utensils, accessories, etc.

Usually, to get a professional selling account on Amazon, a user has to pay $39.99 per month, but if you are a handmade seller, then this fee would be waived by Amazon. To do business with Amazon Handmade, all you need to do is just pay a referral fee of 15% on your total sales. With Amazon Handmade, a seller can earn between $100 to $50,000 per month.

Following are the pros and cons of Amazon Handmade:

Pros

  • No need to pay a monthly fee, rather you have to pay a cut on your monthly sales.
  • Get the URL when you subscribe, which helps customers locate your online shop easily.
  • Best platform for artisans who craft their own goods.

Cons

  • Seller has to pay a 15% referral fee on the total sales.

6. Publish Your Own Book on Amazon Kindle

Nowadays, you do not need to get your book published by a publisher to sell books and make money. With Amazon Kindle Direct Publishing (KDP), you can now easily create your own digital books (e-books) and sell them on the e-commerce website and start making money today itself. Also, if you already have your books printed you can still get them converted for suitable format by Content conversion services offered by platforms like OneRead.

To earn money with Amazon KDP, you can write both nonfiction or fiction books and publish them on the platform. Many of the authors write non-fiction books as it is somewhat hard to sell and market fiction books, which ultimately requires more time and effort. One can easily come on the top searches on the Amazon Kindle section by targeting a specific audience and using the correct keywords for the SEO part. 

If you are a writer and prefer writing a book by yourself, then the cost to write a book will not be much. The major expenses to create a book will be on the cover design, and the rest amount will be paid to the editor that will format the e-book to make it more presentable. So, you will be able to write your own book in a very cost-efficient way. 

Besides writing a book yourself, you will also have the option to earn money with the Amazon Kindle Direct Publishing service without actually writing a book. For this, all you need is a professional author and the rights of the book that you want to make. You can hire one of the authors who will write the book for you, and you can publish it directly on kindle. To hire a professional author, you can reach out to online platforms such as Fiverr or Freelancer.

Following are the key features of Amazon Kindle Direct Publishing:

  • Prolific writers can make good money with the service.
  • Initial investment is very low as only money to create a book is needed.
  • Royalty on sales is 70%

7. Sell Professional Services

Amazon is not just an e-commerce platform to sell products or do advertisements, but it has a lot more to do when it comes to making money. Amazon, in the past few years, has expanded in almost every possible direction, and yes, sellers now can sell services online too on the platform with Amazon Services.

Whether you are a plumber, musical instruments teacher, a lawyer, or a mechanic, all you need to do is subscribe with Amazon Services, and it will get you to connect with the required audience that you want to provide services to.

The best part about Amazon services is that you need not pay any subscription fee, and all you need to do is general liability insurance that should have an occurrence cap of $1,000,000. Also, you must have a clean business background check to provide the services on Amazon.

Following are the key features of Amazon Services:

  • No need to pay if you are not making money.
  • No need to spend on advertisements and publicity.
  • Get the desired audience easily.

8. Amazon M Turk

Amazon Mechanical Turk, abbreviated as Amazon M Turk, is a program designed by Amazon in which people are hired for simple and virtual tasks as per the business requirement. The idea behind Amazon coming up with M Turk is that humans are innovative creatures that are capable of doing much more than a computer can do. The activities that humans can do range from research to data validation, so Amazon created a program to fulfill business requirements by hiring people that can fulfill surveys via Amazon Mechanical Turk.

The program is especially for those who want to make an extra income without making an investment, setting up a big project, selling anything, or doing marketing. All they need to do is get themselves involved in validating and moderating content and participate in surveys as per the business requirement. Participating in Amazon Mechanical Turk is one of the easiest ways of making money on Amazon in 2021.

Participating in the Amazon Mechanical Turk program is pretty much easy, and there is no monthly or annual fee for it. All you need to do is sign up for the program and choose the tasks that you are interested in completing. After picking and completing the tasks, you have to submit them so that Amazon can pay you for the work that you have completed. The best part about these tasks is that there is no time limit or set schedule, and you can do these tasks whenever you are free or whenever you like to do them.

Before signing up with the Amazon Mechanical Turk program, the very first thing that you need to know is that it is not one of the ways to get rich or earn good cash. You will only be able to make an average of $15 per hour by completing the activities that you will be taking up. The program is best suited for those who are looking for ways to earn some extra money online in their free time. So, if you think you have some free time and want to earn some extra cash, then it is definitely worth a shot.

Following are the key features of the Amazon Mechanical Turk Program:

  • No initial investment or monthly subscription is required.
  • No need to sell products or services to earn money.
  • Simple tasks that can be completed remotely in free time.

9. Work for Amazon

Amazon being one of the world’s largest online e-commerce platforms has millions of jobs available worldwide. So, we can say that working for Amazon is one of the best ways to earn money online on Amazon in 2021. 

Amazon offers work opportunities for both work from home and works from office profiles. If you want to earn some hard cash working from home, then you can apply for various work from home positions, including Amazon’s virtual customer service profile. Though Amazon has a good number of work-from-home opportunities like Amazon data entry, virtual assistance, etc, the sad part is that they are available in specific locations only. Also, anybody cannot apply for Amazon’s work-from-home positions as you need to have the required qualifications and skill set to apply for the positions.

Amazon has multiple work profiles to fit in the employees as per the business requirement. A few of them are listed below:

  • Customer support
  • Human resources
  • Design
  • Administration
  • Legal
  • Software development
  • Marketing
  • Warehouse worker

You can even work as an Amazon product description writer, which is one of the best ways to earn money online working for Amazon. Amazon product description writers are the professionals who write product descriptions for the product pages of the sellers. The tasks performed by these professionals are not just random research before writing as they have to make efforts to learn about the seller’s products in detail so that they can create content that can help the products gain maximum visibility on the e-commerce platform.

10. Amazon Trade-in Program

This option is not for those who are looking for ways to earn money online on Amazon in 2021, as you won’t be able to earn cash with the Amazon trade-in program. With the program, you can earn an Amazon gift card if you give away your used gadgets, books, and games to Amazon.

Usually, selling your old items online is quite an effort taking task as you need to take pictures of each product individually and also have to provide measurements (if required) and descriptions of the old product that you are selling on a particular platform. So, if you are one of those who want to sell your used products easily, then Amazon Trade-in Program will be your best bet as you do not have to make an effort in creating an ad or take pictures of your old gadgets or games that you want to sell.

With the Amazon trade-in program, all you need to do is collect your old items and mention them on Amazon, and you will get an estimate of how much you will get for the products that you want to sell on the e-commerce website. If you are a regular Amazon customer, there are chances that you will get some extra perks and gift cards too on the deal.

Though you won’t get to earn any hard cash with the Amazon trade-in program, you will get Amazon gift cards that you can use to purchase daily needed products from Amazon, including groceries, medicines, clothes, etc. As you will be able to purchase most of the items available on Amazon using gift cards, it is actually as good as getting money after selling your old goods.

Trading in your old products with the Amazon trade-in program is one of the best ways to get a good resale value for your products, as the gift cards offered by the e-commerce website are worth the trade. With the program, you will be able to get a credit of around 25% of the amount that you paid for the product when you first purchased it.

Following are the key features of the Amazon trade-in program:

  • Get 25% of the price of the original product.
  • No cash, but gift cards are lucrative too.
  • An effortless way of selling your old goods.

Summary:

From selling a product, offering a service to working as an Amazon customer service representative, there are numerous ways to earn money online on Amazon in 2021. In this blog post, we have covered all the methods one by one that will definitely help you to earn either a major part of your income or the extra bucks that you are looking to make in your free time. 

If you are looking forward to taking your business to an online platform like Amazon but are facing challenges, then you can take eCommerce Development Services from third party vendors that will not only help you move your business to an online platform but will even help you build it from the scratch. Taking your venture to the online platform will help your customers to purchase your products online. 

To know more about the future of the e-commerce platform refer to the blog: The Future Of eCommerce: 7 Trends To Watch Out For In 2021 

Read More: Know about Amazon product optimization services refer to the blog.

By SunTecIndia.net

Welcome to the SunTecIndia.net Blog! This platform is dedicated to the new age, quality-driven eCommerce ecosystem, where we leave no stone unturned to collate the best and latest insights about end-to-end eStore creation, management, SEO, and marketing domains.

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