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How to Resell on Amazon

If you're wondering how to resell on Amazon, check out our dedicated resource online today!
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Learning how to resell on Amazon is a great way to make money, and many people find success using the e-commerce platform this way. With any money-generating endeavor though, it is best to do your research, set everything up correctly, and have a plan. By creating a strategy for your unique business, you can generate a profit. There are several steps involved when reselling on the retail giant, including determining the right items to sell, finding the proper manufacturer, and more.

While that is simple enough, you can gain a deeper understanding of the concepts above with our full guide explaining how to become an Amazon seller. On top of that, we are going to dive into the best ways of reselling on Amazon.

1. Determine What to Sell

Amazon is a prominent company, and its vast platform is used around the world. There are millions of Amazon buyers out there, and there are also numerous Amazon sellers. So, the competition is real and intense. 

Determining what to sell may sound easy, but you must conduct research and know the market. It also involves figuring out the specific quantity of items you need and the niche you want to target.

An excellent place to start is with your business plan. Think about what buying categories you are interested in as a seller. What is your demographic? What is your niche? Are you going to stand out from the competition? What are the trending products right now? What products are readily available through a wholesaler or a manufacturer for a reasonable price? These questions can help guide you in the right direction.

Helium 10 is also a great resource resellers can leverage to identify the best products to sell. With our Amazon product research tool, you can find the most profitable products on the platform to meet the demand of your customers with ease. 

Another way to determine what to sell is by viewing Amazon’s Best Seller list. Doing so will give you an idea of what is currently trending on the retail giant’s platform.

These are just a handful of options to help you formulate a plan of attack for reselling on Amazon.

2. Register and Become an Amazon Seller

To resell products on Amazon, you will have to register to become a seller. Amazon conveniently has a “Become an Amazon seller” page, so all you have to do is follow the directions closely and pay the ongoing monthly fee of $39.99.

3. Find a Quality Supplier

Once you know what you want to sell and set up your account, it is time to source your products. Working with a quality supplier is essential since they will be responsible for your final product. 

To find a reliable supplier or manufacturer, you may have to read customer reviews and conduct interviews to ensure you get top-quality items.

4. Create Your Listing

Everything you need to create a product listing is available via your Amazon seller account. To ensure your listings stand out, make sure to use our listing optimization tools.

How to Resell on Amazon

There are five main ways to buy and resell on Amazon:

  • Online arbitrage
  • Retail arbitrage
  • Wholesale reselling
  • Reselling manufacturer-made products
  • Reselling used products

Determining the correct method for you depends on your business approach, model, interests, and overall goals. There are some businesses that zoom in and focus on just one method and others that use multiple. However, the choice is ultimately yours as a business owner. Below, we will look over the five top ways to resell on Amazon to help you gain a better understanding of these methods and ensure you pick the right one for your company.

Online arbitrage

Online arbitrage means that you buy products online from a retailer with the intent to resell. Some examples of retailers include more prominent names like Walmart, but it can also involve smaller online stores or even individuals on platforms like eBay or Facebook Marketplace.

Items are purchased individually or in bulk online and then are turned around and resold at a higher price through Amazon.

To help you learn how to resell on Amazon with this method, you can look at our guide on powerful Amazon arbitrage tools.

Retail arbitrage 

Retail arbitrage is a larger catch-all for buying discounted products through a retailer. This can include purchasing from a retail store in person or online, marking up the price, and selling it on Amazon.

Many businesses who use this strategy seek out clearance, discounted, overstock, and even discontinued items.

Think large consumer goods stores like:

  • Target
  • Walmart
  • Kohl’s
  • Bed, Bath, and Beyond
  • Ross
  • T.J. Maxx
  • Big Lots
  • Department stores
  • Chain office/hardware supply stores like Staples, Lowe’s, and Home Depot
  • Chain pharmacies like Walgreens, Rite Aid, CVS
  • Pet stores like Petsmart and Petco

To make price comparisons even easier, there are apps you can use to scan the barcodes of items in-store. The app will take you to the Amazon page of that item (if one exists) so you can quickly see the product’s price, other sellers, ranking, and other essential data.

Pros:

  • Low financial barrier to entry
  • Great place to start if you want to get familiar with Amazon/e-commerce
  • You can stick to a free “Individual” Amazon account (if you sell under 40 items/month)
  • Fun for those that like to bargain hunt in-store
  • You can choose virtually any product space

Cons:

  • Physically traveling from store to store
  • You can’t predict what items you may find day to day
  • Potential for competition – resulting in fighting over the Buy Box
  • You don’t “own” or control your brand or listings

To get deeper into this topic, check out our retail arbitrage guide.

Wholesale reselling 

When learning how to resell on Amazon, wholesale reselling is a powerful option. Wholesale arbitrage involves buying products in bulk or large quantities of an item. This allows a business to usually negotiate an extremely low price per unit. This has the benefit of a better profit margin for you (vs. purchasing at retail value), as well as the assurance that you’re purchasing authentic products directly from the brand. Businesses that operate using a wholesale arbitrage strategy may have extra storage space and can afford to buy many products.

Because this is a bulk purchase investment, a lot of planning should take place to ensure that the items will get sold and will get sold quickly. The last thing you want is to buy a big shipment of bulk products and have them sit in a garage or storage unit.

Laws vary from state to state, so for US sellers, you’ll need to find what laws apply to small businesses and wholesalers. Amazon will also ask for proof that you’re licensed to sell a certain brand if you’re reselling products from an established brand.

Reselling Manufacturer-Made Products

Many resellers on Amazon have great relationships directly with manufacturers and utilize this method to resell products. This cuts unnecessary “middle-man” costs and processes, and many business owners like the control and ownership maintained through this strategy.

Reselling manufacturer-made products also allows businesses to have private labels on their products for resale or unique branding. Manufacturers usually only set up bulk buying accounts, so upfront capital and storage space is also needed for this method.

Reselling Used Products on Amazon

Reselling used products is as simple as it sounds. Do you have something you currently own that you want to sell? That is all this method involves. Many people learning how to resell on Amazon and use this strategy may be downsizing their homes or are in the process of liquidating their estate.

However, this strategy can be short-term and limited since you can run out of used items to sell. If moving forward with this method, you will have to be on the lookout for functioning used items to sell on an ongoing basis.

Frequently Asked Questions

Reselling on Amazon: Wrapping Up 

If you think learning how to resell on Amazon is the right thing for your business, our team at Helium 10 is here to help you manage everything in one place. Our platform is specifically designed for Amazon sellers and features several tools that can boost your sales.


Want to Know More?

Now that you’re aware of the different ways to sell on Amazon that don’t involve private label products, are you ready to explore your options?

Explore Helium 10’s Amazon product research tools such as Black Box, Profitability Calculator, and Xray tools to research and narrow down potential product spaces and specific items for arbitrage or wholesale purposes.

And if you haven’t already, also see some Chrome extensions he found that can be helpful to online arbitrage sellers.

Want to talk more about non-private label selling methods? Let us know in the comments, or start a discussion in the Helium 10 sellers Facebook group.

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