How To Make Money On Amazon In 2022
Amazon is an American multinational technology company which focuses on e-commerce, cloud computing, digital streaming, and artificial intelligence. It is one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Meta, and Microsoft.
Wondering How To Make Money On Amazon In 2022 ? read on
There are many ways to make money on Amazon, and some of them allow you to do it all from the comfort of your own home
1. You Can sell your own branded products
Selling own branded products on Amazon is one of the best ways to start a business on Amazon.
Private label products are manufactured for a particular retailer and then sold under the retailer’s own brand name.
This allows the retailer to coordinate specific product characteristics with the manufacturer and to build his own brand. Private Labeling comes from the US and is especially popular among young entrepreneurs who want to establish their own brand.
But how can you sell private label products on Amazon?
It’s pretty simple. Amazon provides an FBA service (Fulfillment by Amazon). If you use FBA, Amazon takes care of all the hard work, such as storage, shipping, returns, or customer service.
When a customer orders one of your products, the order will be fulfilled by Amazon. All you have to do is make sure that your inventory reaches an Amazon warehouse. However, you have to pay a small fee to Amazon for this service.
Sourcing your products is also easy. You can order your products on Alibaba or Alieexpress online and let them be shipped directly to an Amazon warehouse. You can also use other platforms, here’re the best Alibaba alternatives.
Resources
If you want to sell on Amazon, you’ll need an Amazon seller tool. Here are by far the best tools on the market:
- Helium 10
- Jungle Scout
2. Sell Wholesale Goods on Amazon
Selling wholesale goods is similar to selling private label products on Amazon. But there is one difference: you do not sell your own branded products but rather the products from other brands.
The benefits:
- You don’t have to worry about manufacturing, branding, certificates, and so on.
- This saves you a lot of time and allows you to focus on growing your business.
Yet, selling wholesale goods on Amazon also has a downside:
The competition is higher.
Moreover, this business model is not as scalable as Private Labeling. It’s very competitive, and sooner or later, you will reach a limit.
How Much Money Can You Make on Amazon Selling Wholesale Goods?
As mentioned above, selling wholesale products on Amazon is not as scalable as selling private label products.
However, you can still make $3,000 to $4,000 a month.
3. Deliver Amazon Products (Amazon Flex)
This is an entirely different approach to making money on Amazon.
The Flex program of Amazon is quite simple. You first have to create an Amazon account. With this account, you can sign in to Amazon Flex.
After logging in, you have to watch some videos showing you the best practices. Then, you will have to answer a short questionnaire and download the mobile app.
Once Amazon accepts you as a driver, you can start delivering products.
The benefits:
- Hourly wage of $18 -$25
- Flexible working time
- You’re your own boss
The Amazon Flex app has an excellent user interface to track your revenue in real-time. You can learn more about Amazon Flex here.
How Much Money Can You Make With Amazon Flex?
The hourly wages are $18-$25. The shifts usually last five hours, and I’ve heard from several Flex employees that they get paid all five hours even if they do shifts faster.
Specifically, you can earn between $90 and $125 a day. According to Amazon Flex, you can work seven days a week. Accordingly, you can make between $2700 and $3750 a month.
4. Kindle Direct Publishing
Amazon Kindle Direct Publishing (KDP) is a very popular way to make money on Amazon.
KDP allows you to publish your books 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
5. Amazon Associates (Amazon Affiliate Program)
Affiliate marketing is a great opportunity to make money online. It is based on the concept that you refer a customer and get a commission for it.
This is also 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%.
Affiliate marketing isn’t just about creating a website and hoping people will click on your links. There is much more to it, such as email marketing, CR optimization, etc…
Here’re the best resources to learn everything you need to become a successful affiliate marketer:
How Much Can You Make With the Amazon Affiliate Program?
Depending on the size of your audience, you can make between $500 and $50,000.
6. Work as an Amazon Rep
According to Wikipedia, Amazon currently has around 798.000 employees (2019). A large proportion of these employees work from home.
So why not earn money from home as an Amazon employee?
How Much Money Can You Earn as an Amazon Rep?
Amazon has a minimum wage of $15 per hour
Amazon Alexa Skills
Have you heard of Amazon Alexa? Alexa is a virtual assistant who can help you with your everyday tasks, like Apple’s Siri.
There’s a store for so-called Alexa Skills, which are special skills you can buy for your Alexa version.
If you buy an Alexa Skill, your version of Alexa can perform this skill, and you can use it every day.
Here are some examples:
“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 develop your own Alexa skills and sell them through the store. You can determine the price of your skill on your own.
You get 70% of the revenue 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 charge a monthly payment.
If you want to develop an Amazon Alexa Skill, this is your first step.
How Much Can You Make on Amazon With Alexa Skills?
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 would be $9.900 to $19.900 per month if you have 10.000 paying customers.
Conclusion
Making money on Amazon 2022 is simple to startup; all you need is an internet audience to get started. Amazon offers a lot of money-making alternatives.
