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Making money online is not easy. A lot of people out there don't take it seriously enough and think they could get rich over the night.
It's not working. And that's the bad news.
The good news is that you can work hard to build an online business that makes thousands, tens of thousands or hundreds of thousands of dollars a month.
It is possible to achieve something in this field if you work hard for it. It took me about 2 years until my sales increased by five times from one month to the next.
Well, let's get down to business.
Of course, there are different ways to build an online business, such as dropshipping, blogging, affiliate marketing, etc...
You can learn more here.
However, an online business on Amazon is a popular opportunity. In recent years, the E-Commerce marketplace has experienced a tremendous boom.
This article is about 19 ways to make money on Amazon in 2020.
You will learn...
Selling private label products on Amazon is one of the most lucrative ways to make money on Amazon. But what does private labeling mean?
Private label products are products manufactured for a particular retailer and then sold under the retailer's own brand name.
This allows the retailer to coordinate certain product characteristics with the manufacturer and create his own brand.
The trend of private labeling comes from the USA and is especially popular among young entrepreneurs who want to establish their own brand.
But how can you sell your private label products on Amazon?
The answer to this question is quite simple. Amazon offers an FBA service (Fulfillment by Amazon). This service allows you to ship your products from your manufacturer directly to Amazon.
As soon as a customer orders one of your products on Amazon, this order will be fulfilled by Amazon. This means that Amazon provides complete customer service and all other logistic processes for you.
All you have to do is make sure your product is delivered to an Amazon warehouse. Once your goods have arrived at a warehouse, all logistics processes and customer services are outsourced to Amazon.
Of course, for these services, you will have to pay Amazon a small fee, the rest goes in your pocket.
The delivery and manufacturing process of your product is also very simple. You can order your products directly from Alibaba or Alieexpress (online B2B trade) online and let them be shipped directly to an Amazon department store.
There are many articles and instructions on different Amazon FBA strategies, on which products to sell on Amazon, how to set up ads on Amazon, how to find a supplier, etc...
In this article, I will break down the process to the essential steps and link to useful resources explaining the topic in more detail.
Selling products on Amazon means running a business. Accordingly, no revenue limits are set upwards.
However, you have to deal with Amazon FBA in detail to succeed.
Here are a few articles that can help you:
These articles will give you a first impression of what you have to do, but you should look at the topic in more detail.
Here are the best Amazon FBA tools:
Amazon FBA tools are indispensable when you think about selling on Amazon. These, in my opinion, are by far the best tools on the market.
You can also read the blog of these Amazon Seller Tools, which will help you.
Here are the best resources:
These are the best blogs (except ours) that I can recommend.
If you're serious, check out Kevin King's Freedom Ticket. This course usually costs $997. If you have a Helium 10 membership, you can use the course for free.
There are no limits to the top. The average product makes about $1000 to $3000 net profit per month. Of course, you can scale your online business and earn tens of thousands of dollars or even hundreds of thousands of dollars.
The sale of wholesale goods is similar to selling private label products on Amazon. However, there is one difference: as a seller, you do not sell your own products branded by yourself, but the products from other companies.
That has an advantage. You don't have to worry about manufacturing, branding, certificates or other annoying tasks.
This saves you a lot of time and allows you to focus on the main task of your company.
However, the sale of wholesale goods on Amazon also has a serious disadvantage. The competition is much higher, and in recent years competition has increased once again.
Moreover, this business model is not as scalable as the sale of private label products. The competition is very high and sooner or later you will reach a limit.
The process is roughly the same as when selling private label products. The only serious difference is the sourcing, i.e. buying the products from your manufacturer.
You don't buy your products from a manufacturer who produces them especially for you, rather you buy products that have already been produced.
If you want to learn more about this topic, I recommend you visit "The WholeSale Formula".
Dan Meadors & Eric Lambert are quite successful Amazon wholesalers and have lots of tips and tricks for you.
As mentioned above, selling wholesale products on Amazon is not as scalable as selling private label products.
However, you will be able to earn a few thousand dollars a month.
This is a completely different approach to make money on Amazon. This is not about selling products on the Amazon platform, but delivering Amazon products to customers.
The Flex program of Amazon is very simple. The first thing to do is create a normal Amazon account.
With this account, you can sign in to Amazon Flex. After logging in, you'll need to watch some videos that show you the best practices.
Then answer a short questionnaire and download the mobile app.
Once Amazon accepts you as a driver, you can start delivering products for Amazon.
The Amazon Flex program has the following benefits:
The Amazon Flex app provides you with a cool user interface to track your revenue in real-time.
A good way to learn about Amazon Flex is the Amazon Flex FAQ.
The hourly wages are $18-$25. The shifts usually last five hours. I've heard from several Flex employees that even if shifts are done faster, they are paid every five hours.
Specifically, you can earn between $90 and $125 a day. According to Amazon Flex, you can work seven days a week.
That would mean that you can earn between $2700 and $3750 a month. Then you'd have to work seven days a week.
Amazon Kindle Direct Publishing (KDP) is a very popular way to make money on Amazon.
KDP allows you to publish your books on Amazon and then sell them on Amazon.
You can even earn money with KDP without writing a book. To do this, you have to hire a professional author and purchase the rights of the book.
Here are a few good ways to order your E-Book:
You can then sell the E-Book as a printed version on Amazon later. Yes, Amazon prints the book for you and sends it to your customer.
The first step is to sign in to Amazon KDP here. Then you write a book or hire someone to do it.
Then upload this E-Book to Amazon KDP, edit the cover, and you're good to go.
Of course, you should think carefully about what you want to write a book about. The subject that the book deals with should be less competitive and have a lot of demand.
Of course, such a topic is hard to find. But please don't write a book about a topic that has been covered a hundred times.
To solve this problem, you can use tools like Helium 10 or Jungle Scout. These tools show you how often a book sells and whether it's worth writing a book on a particular topic.
Here's a screenshot where I use Helium 10 XRay to check if selling a product is worth it or not (this screenshot is not about books):
On the screenshot, you can see what data you can find out with Helium 10.
Now all you need to do is check if there are hundreds or thousands of books on your topic already.
Here are more tools you can use for Amazon KDP Business:
If you want to learn more about Amazon KDP, I recommend this article.
Many authors make up to $40,000 a month. However, these authors are very professional, have hundreds of books on Amazon and regularly write new books.
I would claim that you can make $1500 to $2000 per month with Amazon KDP.
Of course you can hang in there and publish a new book every day. Then you will earn a lot more.
As far as the administrative effort of Amazon KDP is concerned, this is ZERO.
Affiliate marketing has been around for a thousand years. It is based on the principle that you refer a product and get a commission for it.
This is exactly how the Amazon Affiliate Program works. You recommend a product and other people buy it via your affiliate link.
The average margin of the Amazon affiliate program varies from about 7% to 15%.
With the Amazon Affiliate Program, you can earn money in two different ways. Either you recommend products to your friends and they buy the product via your link, or you build an affiliate site or social media presence where you can share your links.
In the first case, you will probably earn (much) less money, as the margins are correspondingly low.
If you take it seriously, you should build your own affiliate site.
There are countless resources on the Internet about affiliate marketing. Affiliate marketing isn't just about creating a website and hoping people will buy products through your website. There is more to it, such as email marketing, CR optimization, etc...
Here I give you the best resources you can find on the internet about affiliate marketing:
Since SEO & Online Marketing is very important in terms of affiliate marketing, you can find the best resources on these topics here:
Depending on the size of your audience, you'll make between $500 and $50,000.
According to Wikipedia, Amazon currently has around 647,500 employees. A large proportion of these employees work from home.
So why not earn money from home as an Amazon employee?
How much money can I earn as an Amazon representative?
As in any company, your income depends on your position. However, Amazon has a minimum wage of $15 per hour. You can find out more here.
Have you ever heard of Amazon Alexa? Alexa is a virtual assistant who can help you with your everyday tasks, similar to Apple's Siri.
Similar to Apple's App Store, there is a store for so-called Alexa Skills. Alexa Skills are special skills you can buy for your Alexa version.
If you buy an Alexa Skill, your version of Alexa is equipped with this “ability” and you can use it every day.
Here is an example of an Alexa Skill:
"Alexa, open Sleep Sound" will automatically open the music player and play music to fall asleep.
But how can you make money on Amazon with Alexa Skills?
As a developer, you can program your own Alexa skills and offer them on the Alexa Skill Store. You can determine the price for your skill by yourself.
You get 70% of sales when a customer buys your Alexa Skill. 30% goes to Amazon.
It is up to you whether you set a one-time price or whether you demand a monthly payment.
If you want to develop an Amazon Alexa Skill, this is your first step.
That depends on how many customers you have. For example, Nick Schwab developed an Alexa Skill with 10,000 paying customers.
The average price of the Premium subscription is $0.99 to $1,99, which is $9,900 to $19,900 per month.
I think that if you put work into this thing, you can quickly earn $1,000 to $2,000 a month.
We've talked about how you can make money on Amazon by publishing your E-Books via Amazon KDP.
This chapter is about publishing your audiobooks and making money on Amazon.
Many people out there prefer to listen to content instead of reading it. According to Google Trends, interest in audiobooks has fallen from 2004 to today, but I think that by creating some audiobooks, you can still reach a target audience and make money.
From my own experience, I can say that many of my friends listen to audiobooks, for example when driving a car, because they want to use the time in the car effectively.
To create an audiobook on Amazon, first go to Amazon Audiobook Creation Exchange.
Here you can find professional speakers who produce your audiobook, or upload your audiobook yourself if you can create it yourself.
What's interesting is that you can either pay the speakers for your audiobook a one-time fee or share the later earnings with them.
This means that you can have your audiobook produced free of charge, but you have to share later earnings with the speaker.
The profit margins on Amazon ACX are somewhat more complex and are structured as follows:
For production by a spokesperson with a one-time fee:
Production by a speaker without a one-time fee:
Retail Arbitrage is based on the principle of buying items in so-called retail stores such as Walmart, Target, Barnes & Noble etc... and then reselling on Amazon for a more expensive price.
For example, you buy a product for $9 and sell it on Amazon for $25. After deducting all fees and delivery costs, you earn a profit of $8.
Of course, you can also sell your products on other marketplaces such as eBay. The principle is the same. However, it has been proven that you can make the most profit with Amazon.
This is mainly because Amazon allows you to reach a much larger audience than other online sales channels.
OnlineSellingExperiment generated total sales of $2 million in 2019 with Retail Arbitrage products.
According to Statista, Amazon has an average of 209.7 million website visitors per month in 2019, while eBay has only 65,91 million website visitors and Etsy 39,4 million active users.
Below, you can see the development of web search for Amazon and eBay (200-today, worldwide):
The main steps are defined in the following points:
List of Popular Retail Arbitrage Stores:
OnlineSellingExpert has written a detailed article about Retail Arbitrage that you should read through.
In this article, everything will be explained step by step, so that no single question remains open.
An alternative is the article from StartupBros about Retail Arbitrage.
Unfortunately, retail arbitrage has become very competitive in recent years. Also, Amazon is making it harder to sell well-known brands. So there is a risk that you will end up sitting on your products.
However, with a little effort, I think you can earn $100 - $2000 a month.
Online Arbitrage is based on the same principle as Retail Arbitrage with an important difference. You do not purchase your products in retail stores, but on other online marketplaces such as eBay.
What is the step-by-step process?
Online Arbitrage is the same process as Retail Arbitrage. The only difference is that you buy your products on eBay or other E-Commerce marketplaces.
You can also find a detailed article on Online Arbitrage at OnlineSellingExperiment.
Just like Retail Arbitrage, Online Arbitrage has the same problems. It's hard to scale and you have plenty of competition.
There is also a risk that you will remain sitting on your products.
Winning opportunities are roughly the same as Retail Arbitrage, ranging from $100 to $2000 per month.
Amazon's Mechanical Turk Program is a crowdsourcing platform that enables companies to outsource their processes to professional workers.
These tasks can include everything from simple data validation and research to tasks such as survey participation, content moderation, and more.
Mechanical Turk enables companies to leverage the collective intelligence, skills, and insights of the whole world.
Organizations can streamline their business processes, accelerate data collection and analysis, and drive machine learning development.
It is well known that the future of work will change. A large part of this change will be influenced by crowdsourcing.
There are already freelance platforms such as Fiverr or Upwork where companies can buy services.
With the Mechanical Turk program, Amazon has also jumped on this train and now offers its own crowdsourcing platform.
Online reports claim that Mechanical Turk workers can expect to earn between $6 and $10 per hour.13. Sell your products through Amazon Handmade
Are you creative and talented? Amazon Handmade enables artisans to offer and sell their products on Amazon.
Of course, you have a little more work to do here, because you have to create your products yourself.
But with Amazon Handmade you can reach a huge target group and sell your products all over the world.
An artisanal application and audit process to ensure that Amazon is building a business for real needlework
Participation in Amazon Handmade, creating your store, and listing your products is free. Amazon Handmade deducts a 15% referral fee on a sale
Your craftsman profile has a custom URL so customers can easily find your store
The fees on Amazon are higher than the fees on eBay or Etsy. However, as an artisan, you can reach a much larger audience with Amazon Handmade than with eBay or Etsy.
Amazon Handmade even offers the opportunity to promote your products with sponsored ads.
Unfortunately, I have no personal experience with Amazon Handmade. However, according to Jungle Scout, a talented craftsman can earn $30 a day.
My research has shown that resources about Amazon Handmade are limited. Below are two articles I can recommend:
Originally, Amazon started as an online marketplace for products, but now the company also offers services.
Essentially, Amazon Services enables entrepreneurs to sell their services online.
As you can see in this screenshot, Amazon Services is mostly about the following tasks:
To use Amazon Services, you must provide services. Whether you're a gardener, a plumber or a craftsman, Amazon Services lets you connect with people who need your services.
You can offer as many services as you want on Amazon Services. The only important thing is that customers are willing to buy your services and pay your prices.
To learn more about Amazon Services, I recommend you visit the Amazon Services home page.
Amazon employees pick, pack, store, and ship products for Amazon and its direct and third-party vendors.
Working in an Amazon warehouse is a tough job, but the pay is fair.
Amazon has a minimum wage of $15 per hour, but you can earn significantly more. To work in an Amazon department store you have to apply here.
You can also find more information about a job at Amazon here.
Amazon has established the CamperPerforce program to provide a job to RV travelers.
In seasonal rushes, these workers help out. The campers have two advantages. They earn money and get to know other enthusiastic campers.
As a Camper Force employee, you can also choose your tasks from different locations depending on availability.
CamperForce employees can perform tasks such as picking, packing, stowing and receiving parcels.
Amazon CamperForce allows you to drive across the country, do a job at Amazon, earn money, and then drive to your next vacation destination.
Amazon has an hourly wage of $15, and as a CamPerforce employee, you will also be paid your pitch for your RV.
Also, you have many more advantages. You can find them in the following screenshot or directly on the CamperForce homepage.
Amazon strives to create honest and unbiased reviews for products and services.
That's why Amazon has introduced the Vine program, which allows customers to receive free goods from Amazon and its third parties in exchange for reviews.
You won't get paid for your reviews, but you can get them for free and then resell them.
Many Amazon Vine testers turn around and sell the products on eBay to make money.
Since the products cost you nothing, the full turnover is your net profit.
To get free products from Amazon and test them, you need an invitation.
My recommendation is to write meaningful reviews on Amazon over a few weeks.
You have to establish yourself as an expert in a certain field. Then you will most likely be invited to join the Amazon Vine program.
That's what Amazon says about the admission requirements:
Are you creative? Do you have a good idea for a particular garment or logo, but don't want to invest in making your idea a reality?
In this case, you should immediately take a closer look at Merch by Amazon.
Merch by Amazon is a print-on-demand service that prints your logos and patterns on a specific garment or bag when a customer orders something.
Every sale made on Amazon earns you money.
If you would like more information about the Merch by Amazon theme, I recommend the following articles:
According to some statements, a seller can earn an average of about $1.50 per product and per month.
So if you have 100 designs, you can earn about $150. If you have 1,000 designs, you can earn about $1,500 a month, and so on.
The trade-in program is not a way to make money on Amazon. The program allows you to exchange used goods for Amazon vouchers.
No matter what you don't need anymore, you can send anything to Amazon and get vouchers that you can redeem for great Amazon products.
So Amazon's trade-in program is more of a way to exchange old products for new ones, rather than making money with them.
What is positive, however, is that Amazon credits you with about 25% of the purchase price. Not bad, I'd say.
But you have to keep in mind that Amazon does not accept every "scrap". Amazon is very careful to only accept good goods. There is nothing here to give as a gift.