How to Sell on Amazon: A Complete Guide for Beginners

Why Sell on Amazon?

Amazon is among the most reliable online marketplaces in the world. Millions of customers are dependent on Amazon to shop quickly, safely, and securely. There is a large number of independent sellers who constitute the Amazon sales, with small and medium-sized businesses flourishing in such an ecosystem. Selling on Amazon will enable you to:

• Access millions of potential customers across the world.
• Vend own brand products or generic.
• Use powerful applications and software to simplify your business.
• Outsource your business to Amazon and its fulfilment and advertising services.

It is either as an individual seeking extra income or as a business seeking to grow its operations with a global presence, Amazon offers the infrastructure to facilitate growth.

Step 1: Get Ready to Sell

Choose a Selling Plan

Amazon provides two selling plans:

• Personal plan: 0.99 on each item sold. Appropriate in the case of novice sellers.
• Professional Plan: $39.99/month with no consideration of the quantity of items sold. The best choice in case of selling in large volumes or frequently.

Besides plan fees, Amazon will charge a referral fee per sale, and optional services such as advertising or fulfilment are subject to extra charges.

Build and Customize Your Seller Central Account.

First, create an account on Seller Central, which is the seller centre of Amazon. Key steps include:

• Creating a seller profile in the public.
• Inclusion of payment and business details.
• Shipping, returns and tax details.
• Control of notifications, user authentication and user permissions.

Other users can be added to your account as well, in case you require assistance in listing or fulfilment.

Enroll Your Brand

If you own a brand, enrolling in Amazon Brand Registry is recommended. Brand Registry offers:

• Protection tools against counterfeit products
• Enhanced listing options like A+ Content
• Access to analytics and marketing experiments

This step helps build customer trust and increases your chances of winning the Buy Box, the coveted “Add to Cart” and “Buy Now” position on product pages.

Step 2: List Products

Understand the Product Detail Page

A well-optimized product listing is crucial. The product detail page includes:

• Title: Up to 200 characters; capitalize the first letter of each word
• Images: 500×500 or 1000×1000 pixels
• Variations: Colour, size, or scent options
• Bullet Points: Highlight key features
• Description: Use relevant keywords to improve visibility
• Featured Offer & Other Offers: Compete for the Buy Box

Match or Create a Product Listing

If your product already exists on Amazon, you can match it using its GTIN (Global Trade Item Number). If it’s new, create a unique product page. Professional sellers can list items in bulk, while individuals can list one by one.

Ensure Product Compliance

All products must comply with local laws and Amazon policies. Check:

• Product safety regulations
• Restricted products list
• FBA-specific restrictions, if using Fulfilment by Amazon

Step 3: Price Products Effectively

Pricing your products strategically is essential to remain competitive. Key concepts include:

• Competitive External Price: Lowest price from major retailers outside Amazon
• Featured Offer: Often displayed at the top of the listing; requires a competitive price and Professional plan
• Lowest Amazon Price: Helps you match or beat competitor offers

Amazon’s Automate Pricing tool can adjust prices automatically to help you win the Buy Box.

Step 4: Choose a Fulfilment Method

Amazon gives sellers two options:

FBA is highly recommended for beginners who want to save time and provide fast shipping. Use the Revenue Calculator to compare profitability between FBA and FBM.

Step 5: Monitor Your Performance

Maintaining high seller performance is critical for long-term success. Amazon evaluates sellers using:

• Order Defect Rate (ODR): Percentage of orders with complaints, returns, or negative feedback
• Account Health: Overall compliance with Amazon policies
• Shipping Metrics: Late shipment rate, pre-fulfilment cancel rate, valid tracking rate, and on-time delivery rate

A strong performance record increases your chances of winning the Buy Box and boosts sales.

Step 6: Promote and Advertise Products

Amazon offers multiple promotional tools:

• Coupons, Deals, and Discounts: Encourage purchases and improve product visibility
• Sponsored Ads: Pay-per-click advertising to reach targeted customers
• Amazon Ads Analytics: Track ROI and optimize campaigns

Small businesses often see significant sales growth using Amazon Ads, sometimes attributing up to 30% of revenue to advertising efforts.

Step 7: Get Product Reviews

Customer reviews are critical for credibility and sales. Encourage positive reviews by:

• Accurately representing products in listings
• Packaging items carefully to prevent damage
• Responding to customer messages promptly
• Providing valid tracking information

Eligible brands can use Amazon Vine to generate reviews, which increases visibility and trust.

Tips for Beginners

Finding Profitable Products

Some items sell better than others. Consider:

• High-demand items with low competition
• Products that are lightweight and easy to ship
• Niches with repeat purchase potential

Popular beginner products include electronics accessories, beauty items, books, and home essentials.

Selling on Amazon from Pakistan

Pakistan-based sellers can start selling internationally by:

1. Opening a Professional or Individual Amazon seller account
2. Linking a valid bank account to receive payments
3. Managing international shipping or using third-party logistics
4. Understanding GST and local tax requirements

Starting small is possible with budgets as low as $500, especially if you focus on digital products like eBooks or low-cost items.

Amazon Fees and Profit Potential

Selling Fees

Example: On a $100 sale, Amazon typically takes 15–20%, depending on the product and fulfilment method.

Earnings Potential

• $1,000/month: Possible for beginners, part-time
• $10,000/month: Achievable with optimized listings and ads
• $100,000/year: Possible for top-performing sellers

Fastest-Selling and Most Profitable Items

Some high-demand categories include:

• Electronics and accessories
• Health and beauty products
• Home and kitchen essentials
• Books and eBooks
• Fitness and hobby items

Tips for Maximizing Earnings

• Pick the Right Products: Use tools like Jungle Scout or Helium 10 to research demand and competition
• Leverage FBA: Save time, attract Prime customers, and increase conversions
• Optimize Listings: High-quality images, SEO-friendly titles, and keyword-rich descriptions
• Promote Strategically: Combine Amazon Ads with deals and promotions
• Monitor Performance: Keep ODR, shipping, and customer satisfaction metrics high

Additional Insights

• Amazon Business Accounts: Ideal for B2B sales; not free, but comes with additional tools for bulk orders
• No LLC Needed: You can sell as an individual; registering a company is optional
• Multiple Products: There is no strict limit on how many items you can sell
• Shipping Responsibility: Varies by fulfilment method; FBM sellers ship directly, FBA is handled by Amazon
• Earnings Outside the U.S.: Amazon pays sellers in countries including Pakistan, though some restrictions may apply

Final Thoughts

Learning how to sell on Amazon effectively requires planning, research, and consistent effort. Beginners can start small, using either the Individual or Professional plan, and gradually scale by:

• Picking high-demand products
• Optimizing listings for search and sales
• Using FBA to simplify operations
• Running strategic promotions and ads
• Monitoring performance to maintain seller health

Amazon offers a pathway for individuals, small businesses, and even part-time sellers to earn significant income. With careful planning, attention to detail, and leveraging Amazon’s tools, selling on Amazon can become a profitable and scalable business opportunity.

Frequently Asked Questions (FAQs)

Q1: Can beginners sell on Amazon?
Absolutely. Anyone can start with an Individual or Professional plan and scale over time.

Q2: How much does it cost to start?
You can start with as little as $500 for inventory. Plan fees are $0.99 per item (Individual) or $39.99/month (Professional).

Q3: Is Fulfilment by Amazon worth it?
Yes. FBA handles storage, shipping, and customer service while making your products eligible for Prime.

Q4: Can someone from Pakistan sell on Amazon?
Yes. Pakistani sellers can register, link a bank account, and ship internationally.

Q5: How much does Amazon take from sales?
Amazon charges referral fees (6–20%) and optional fulfilment fees. A $100 sale typically incurs 15–20% in fees.

Q6: Do you need a business or GST?
You don’t need an LLC to start. GST rules depend on local tax regulations, but individuals can sell in many cases without registering a company.

Q7: How do I pick profitable products?
Focus on high-demand, low-competition items with repeat purchase potential, such as electronics, home essentials, or books.