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Last Updated on 2 December 2021 by Gertrude

There is nothing as amazing as getting paid by the richest e-commerce store in the world, Amazon.

Amazon is my favourite shopping site in the world.

There are products to satisfy any need/niche without searching for other stores.

You can shop on Amazon and also make money/get paid by Amazon, how amazing?

One of the best ways to get paid by Amazon is by the Fulfilled By Amazon way.

Search for best-selling products, of course after conducting market research, then you send your product to the Amazon warehouse.

You get paid by how fast your products sell, that’s why it’s important to research the market. Because the more your products stay in the Amazon warehouse, the more you pay.

The service is called Fulfilled By Amazon because Amazon sends products to your customers as if they were you.

In other words, your responsibility is searching for products, the rest like packaging, marketing, shipping is done by Amazon.

Fulfilled By Amazon is attractive to newbie online entrepreneurs because they avoid the shipping, storage and calculating of shipping costs.

As a Fulfilled By Amazon merchant, you pay for the subscription of about 2000 shillings a month.

To succeed or make 10M/month like Jessica’s Lawrew or The Selling Family, you have to treat your Amazon business as a business.

Identify your target customers, do thorough market research, analyse your competitors, get to know your suppliers.

Fulfilled By Amazon is related to the dropshipping business.

If you want to not only get an in-depth idea of how to start a successful FBA/Dropshipping or any online business, keep reading.

If you have questions on how to succeed as an Amazon seller or any business or work online, write to me on GERTRUDE DOT AKINYI AT GMAIL DOT COM.

Is Amazon FBA a Profitable Business?

I’ll tell you this: Amazon FBA is still a force to be reckoned with even in 2021.

I know there are people who will tell you that it is a huge scam and has a boatload of cons and losses, but if you want to start your FBA business, you really want to block your ears from these slackers.

Amazon FBA is a legit and lucrative business and you can easily make multiple six or seven figures with it.

There are people who have made millionaires just by starting and running their Amazon FBA business.

All you have to do is to sign up and take action. 

What is Amazon FBA?

The FBA in Amazon means Fulfillment By Amazon.

When we say Fulfilment by Amazon, it means that Amazon is taking care of the shipping and packaging process of your products from their warehouses and then distributing them to your buyer(customer) on your behalf.

I love how this sounds.

Amazon FBA is the popular route that is used by people who are selling on Amazon.

There are many other options like Amazon FBM (Fulfillment By Merchant) where you will be doing the shipping out yourself. 

How Does Amazon FBA Work?

This is what happens: you send your products to Amazon warehouse ( Amazon will give you their warehouse address) where they will keep it for you until you start getting an order(s).

These warehouses are what they call fulfilment centres.

Once you get an order for your product on Amazon, they will ship it for you to your customers so that your only concern is taking your inventory to Amazon and making sales on their platform.

You don’t have to worry about how your customers will get your products. Amazon takes care of that.

Amazon also allows you to monitor your inventory through a tracking system and for the order to be made through your site.

What Do You Do as an Amazon FBA Entrepreneur?

In order to understand how Amazon FBA works, I will explain briefly how they operate, then outline the duties and responsibilities that you have to take on so that you do your part and do not fail.

So what Amazon takes care of the following thing:

  • Sending your products to your customers
  • Storing your products in their warehouses
  • Dealing with customer transactions 
  • Packaging and shipping products to your customers 
  • Practicing customer service. 
  • Depositing money on sales into your bank account every two weeks.

You will take care of the following:

  • Choose the niche and products you want to sell
  • Making sure that your inventory is up to date.
  • Creating product listings and marketing your products effectively. 

Know what role you play so that you do not mess things up when you are just launching your FBA business.

How Do I Start an Amazon FBA Business?

You now want to start your Amazon FBA business.

How do you do it? 

Like I said there are many tutorials on YouTube and on blog posts that will take you round manoeuvres, telling you this and that, so I will try to break it down into simple guidelines that will be understandable and useful to you as a beginner.

Find your products

Choose a niche and find the product you want to start with for your FBA business.

Make sure that you do thorough research on the products so that you will get started on something that is profitable which will give you high returns. 

Set up as an Amazon seller

Create your Amazon seller account and fill in your personal details and business information.

Learn the Amazon seller platform

Go through Amazon’s training program and learn everything you want to know about what you will be doing and how you will conduct your FBA business.

Make your products prime for FBA

Selling prime on Amazon FBA allows you to sell more and this is very profitable as you start your FBA business.

Market your products

Do on Amazon and off Amazon promotions so that you will drive more traffic and have more sales conversions for your business.

What Can I Sell on Amazon FBA?

There is a wide range of product niches you can choose from and sell on Amazon for your FBA business.

You have to be very keen when you pick one because their competition is fairly high and you do not want to pick a product that will not sell and start blaming Amazon for zero sales.

Examples of products or sell on Amazon include:

  • Clothes
  • Gym wear and equipment 
  • Books
  • Home decor
  • Food
  • Beauty products
  • Electronics 

How Do I Find Products to Sell on Amazon FBA?

Finding good products that have high-profit margins for your Amazon FBA business may be hard but still possible. There are two strategies that you can use to know what suitable products you can sell.

For the first method, you may want to randomly just type in what interests you in the Amazon search engine and see what comes up.

For example if you want to sell cloth hangers.

You will just input that into the search bar and see all the listings Amazon has based on the types and prices.

You also have the option of using JungleScout, which is a suitable software that is used as an Amazon product finder and research tool.

With JungleScout, you will know the average monthly sales data, price and opportunity score in terms of demand for any product you choose.

You only have to pay some fee to use this software.

How Do I Find a Supplier for Amazon FBA?

After choosing the products you want to sell for your FBA business, you now want to get a reliable manufacturer or supplier who is going to replenish your stock in case you run out.

A lot of Amazon FBA business products are sourced from China, as it is so obvious that Amazon is notorious for “made in China” products.

Get in touch with a manufacturer and supplier and ask for samples of the products that you want to sell before making the actual purchases so that you do not end up stuck with products that can’t sell.

How Do I Choose a Niche for My Amazon FBA Business?

Here are ways in which you can choose a profitable niche for your Amazon FBA business. 

Know what an ideal product is

You can check the most common products that sell fast on Amazon and see if you can base your choices from there.

Avoid seasonal products

There are some products that only sell more at peak seasons, for example, snow paraphernalia. 

Look at what your competitors are doing

This will give you the right approach as you get into your business.

Use the Amazon Product Research tool

The Amazon research tool will give you all the information about the products you are looking for.

Look at products that are in continual demand

This will ensure that you are always generating more leads and sales conversions.

What are the Requirements For Starting a Profitable Amazon FBA Business?

You are probably wondering what you need for your FBA business.  Here is what you need:

  • Inventory requirements. This includes labelling, packaging, and shipping etc.  Inventory must only be sold using Amazon FBA.
  • FBA product restrictions. You have to know that some products may not be sold on Amazon and you should be well aware of what can or cannot be sold under Amazon FBA.

What are the Costs of Starting an Amazon FBA Business?

There are different costs that are incurred when you are starting an Amazon FBA business so I will break it down for you so that you can have a rough estimate of how much it will cost you to start your FBA business.

There are mandatory costs and optional costs and I will list them below.

For mandatory costs we have:

  • Amazon Seller Central account which you will need to pay $39.99 and renew every month.
  • Sample purchases for the products you want to sell to see if they are of good quality.
  • Inventory orders. These are for the number of units you want to start selling.
  • Barcodes for each product you sell. Use GS1US.org since it’s the only variation of barcodes that Amazon accepts.
  • Packaging costs
  • Logo
  • Amazon photos if you want a professional to do your photos.
  • Product research tool.

For optional costs:

  • Product launch costs
  • Amazon training program
  • Inspection fees
  • Freight forwarder
  • Trademark
  • Legal entity fees

How Much Do I Need to Start an Amazon FBA Business?

On average, you will need around $1,000 to get started with Amazon FBA but this is on the low end of the investment.

If you want to meet all of the above costs, your startup costs have to go higher.

You can start with as little as $1,000 to $5,000 for your Amazon FBA business.

How Much Money Can I Make From Amazon FBA?

Amazon FBA has made millionaires.

You can easily make a whopping $100 to $500 a day from your Amazon FBA business.

Of course, this is dependent on your marketing efforts, quality products and sales conversions.

You have to be very patient because your business will not kick-off as fast and it might take you some time to make a sale.

But once you start, you will be surprised when you start getting thousands of dollars in cash as your income.

Also, don’t forget that Amazon will only be depositing your profits into your bank account after every 2 weeks.

What are the Skills Needed for an Amazon FBA Business?

It is ridiculous to go into any business without knowing how you are going to go about it and what skills can help you keep afloat in the business.

There are some skills that you need to have if you want to efficiently start and run an Amazon FBA business.

Sales and marketing skills

Since you are selling products, you have to know how you are going to promote them so that you can get customers.

Your target audience should be able to find out about you through your advertising and marketing efforts both on and off Amazon. 

Product research and analysis

Getting the right product to sell for your Amazon FBA business is very important.

That is why I stress that you do thorough research on the product you want to sell before you start.

Communication skills

Good communication will help you respond to customer needs and provide solutions that offer better quality products and services.

How Do I Find Amazon Clients?

Finding your first Amazon clients is something that you should really be looking forward to. 

Survey customers

Examine the prospective customers that you have and prepare survey questions for them.

This will allow you to generate new leads.

Ask for referrals

Have a referral program, whereby if a client is satisfied with your products, they can recommend someone else to your Amazon FBA business. 

Use social media

Use the connections you have built online to showcase your products.

Go to Facebook or Instagram and have your business set up so that people will contact you.

Create a website

Your website should have good content of your Amazon products and you should optimise it so that it appears on top of the lists when someone searches for it on Google.

You can also choose to start a blog about your FBA business so that you can drive more traffic to your business.

Word of mouth

If you pay extra attention to your Amazon listings, you will soon be the expert everyone knows about and within no time, people will start contacting you for your products.

How Do I Promote Amazon Clients?

If you want to market your landscaping business to create more leads and make yourself known, consider doing this. 

Word-of-mouth

When people can acknowledge how great your business is, they will most definitely tell people who you are and how they can get in touch with you for your services.

Ask for referrals and testimonials to get more clients. 

Website

Go online and showcase your products.

Take time to optimise your website for SEO and also build content.

Your website will create a first impression on your customers and this will determine if they visit your FBA business or not.

Social Media

Leverage the connections you have on social media and use that to showcase your products on Facebook and Instagram, share relevant contents and hold promotions and advertisements to create more sales and leads. 

Email Marketing

Run an email sequence on your customers and offer solutions and tips to take care of their pain points.

You can offer free resources or provide educational content if you want to build trust and authority with them.

This will also encourage sales conversions

 Business Listings and Directories

Make your FBA business available in sites such as Google or Yelp so that people can come online and search for it easily.

Create a business profile, showcase your products and ask for customer reviews if you want to make it to these directories.

Advantages of Amazon FBA

These are some of the benefits that you will get from starting an Amazon FBA business. 

Selling more

Amazon Prime shipping is usually a blast and you will sell more products this way.

Since you are not worried about how your products get to your customers, you will just be focused on sales conversions.

Saving time

You don’t have to go to the mail to do your deliveries because Amazon takes care of that for you.

You just need to sell.

Leveraging Amazon’s built reputation

Amazon is a trusted brand so this means that you can use their reputation to gain credibility for your FBA business.

Customer satisfaction

Your customers will be satisfied with the excellent customer service that Amazon offer.

For example, taking care of the shipping and delivery and also responding to any questions.

No storage space

You do not have to look for space to keep your inventory because they will be stored in Amazon fulfilment centres.

No shipping costs

Amazon takes care of the shipping costs for your business and the exchanges with your customers. 

Amazon takes care of your returns

They will take the product to the buyer or send them a  new product on your behalf. 

You can use other people’s listings

If you are in the same niche, you can use another person’s listings and generate leads for your site.

Disadvantages of Amazon FBA

There are some challenges you will face when you are starting your Amazon FBA business.

If you know this is what you want to do, it should not deter you from starting, but it is good to go in with an open mind.

Amazon can be expensive

Amazon takes a lot of fees and sometimes without good reason.

If you have parted with a lot of money to start this business, you may be frustrated when you don’t see results.

Lack of control

You may feel like you are not in charge of your business because Amazon packages and shops everything for you.

Competition

You have to put maximum effort into your listings so that you can stand out from the competitors’ crowd.

Takes time to realise a profit

It can take you months to realise a profit from an Amazon FBA business especially if you are not making any sales.

It is difficult to choose what you want to sell

Knowing what is the right product that is likely to sell and is more profitable can be hard for some sellers.

Commingling of products

Since inventory is sorted out by like, your products are likely to get mixed up with another seller’s products.

Mistakes to Avoidas an Amazon FBA Entrepreneur

If you want to start and run a successful Amazon FBA business, there are some mistakes that you should avoid making because they will cost you.

You do not want to be careless in your business as there are many scammers online.

You also want to get more sales so that you can achieve your desired amount of income.

Here are some tips and advice on starting a successful Amazon FBA business. 

There are certain mistakes you do not want to make in your FBA business.

I will discuss some of these common mistakes so that you steer clear of them in the near future.

Failing to do thorough research

This is on the products and the market you are going to serve. You have to analyse the product and check to see the available competition so that you can know if it is the right niche or not.

Sourcing low-quality products

When your products are of low quality, no one is likely to buy from you. You will have close to zero sales conversions. 

Selling expensive products

If you do not carefully look at Amazon pricing, you may charge too much on a product and this will make customers not buy from you.

Zero effort into your listings

Your listings will give you a competitive advantage over other Amazon sellers.

If you do not maximise on it, your business will always be operating under the shadows.

Placing your product in the wrong category

Make sure that your products are in the right category to avoid confusion.

Having wrong sources

Wrong supply sources can really mess you up.

If your sources cannot ensure a steady supply of products or are incompetent in any way, you need to let them go.

Violating terms of service

When you isolate the terms of service with reviews or by attacking competition, you may be suspended by Amazon. 

Selling a product you are passionate about

Selling products that you like may cloud your judgement on pricing and this is not good for your business.

How to Get More FBA Sales

It is quite possible to get more sales on Amazon and have a successful business. You just might want to consider the following tips:

Optimise your listings

Optimising your Amazon FBA listing is important because you will drive more traffic this way and have a higher chance at sales conversions.

Right pricing

  Choose the right pricing for your business.

Do not charge too high or too low. You want to be fair to your customers and still be profitable.

Have quality product photos

If you cannot take good photos, you can hire a professional photographer.

Your product photos are what will instantly attract customers to your business so make them good.

Use Amazon branding tools

You can brand your products with Amazon because it will not only build your credibility but it shows it’s a trustworthy brand.

Promote your business on other platforms

Do not just focus on Amazon advertising, you can promote your FBA business on social media platforms like Facebook, Instagram or Twitter. 

Drive more reviews

When you get reviews about your customers, then it shows that you have many customers interacting with your product and you will go up in the listings and make more sales.

Ideas to Make You More Money as an Amazon FBA Entrepreneur

When you are starting your FBA business, remember to keep it unique.

You do not want to pick a product that is already being shared by hundreds of people as this will not distinguish your work from theirs.

You want to be as original as possible. So here are some of the business product ideas you can try on Amazon.

Books

Selling books in your Amazon FBA business is still considered a very profitable business idea.

You will never fall short of people who want to read.

Electronic items

Electronic items and related accessories are still a viable product idea for your Amazon FBA business and you can make more sales from this.

Workout clothes

There are so many people adopting a healthy lifestyle today.

People are looking for gym clothes and equipment to keep fit so this is always a plus.

Household items

You can sell home decor items or other items that are needed at home for your FBA business. 

Repricing

You can choose to reprice products for your other Amazon sellers who have no clue on how they can price their own products and make them profitable.

Resources Related to Earning 10M+/Month With an Amazon FBA Business

How to Make Amazon Pay You in Kenya

Make Money Self-Publishing on Amazon

What to Sell on Amazon FBA

Make Money on Amazon Without Selling Anything

Trending and Evergreen Products to Sell in Kenya

How to Start an Online Business in Kenya

How to Start a Homebased Business in Kenya

Side Businesses to Begin Online in Kenya

Starting an online business is a dream come true for today’s millennials.

You get to work from any location and your customers aren’t in Kenya only.

An Amazon FBA helps you begin a business from home, work from home and make as much money as you want.

The secret to succeeding with an Amazon business, research what customers want.

If you don’t know what customers want, you will make losses on Amazon FBA business.

Instead of jumping into the many courses available, it’s best if you start by learning how Amazon FBA works for free on YouTube and reading blogs.

Then start by investing as little as 50k or less as you keep learning and building your FBA business.

The amazing thing with an Amazon FBA business, you can earn money working full-time, part-time, passive or as a side income.

When I first started my search for available online businesses, I remember there were a lot of options and it was difficult to choose which one to recommend.

I started studying all the businesses available online.

Before jumping into any online business, including an Amazon FBA, don’t think you will get rich quick, there’s no scheme like that online.

You must put in the hours before seeing results.

Are you excited to start an Amazon FBA business?


stephanie

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