A Step-by-Step Guide to Reselling Items on Amazon Step-by-Step and Making Money

Reselling on Amazon is one of the most accessible ways to start a business and make money online. By buying low and selling high, you can tap into Amazon’s global marketplace and reach millions of customers. But to truly thrive, sellers need to understand how to choose profitable products, and source and market them effectively.

In this guide, we’ll provide a guide for beginners on how to become an Amazon reseller and share tips to ensure that you generate a profit.

How Reselling on Amazon Works

Reselling on Amazon involves purchasing products at a lower price from various sources (such as online marketplaces, physical stores, or distributors), and then listing them for sale on Amazon for a higher price. The difference between your purchase price and selling price is your profit.

Before diving into this venture, it’s important to note that reselling on Amazon is legal as long as you comply with the platform’s policies. For example, some categories (like electronics or branded goods) may require approval or authorization letters. Always check Amazon’s guidelines to avoid violations that could lead to account suspension.

Now let’s review how to resell items on Amazon.

How to Resell Things on Amazon Successfully in Five Steps

Reselling products online might seem simple, but without the right approach, it can lead to wasted time and money. This brief guide will help you get started on the right foot, so you can make informed decisions and maximize your chances of success:

Step 1: Set Up Your Amazon Seller Account

To kick off your selling journey on Amazon, setting up your seller account is a must. The process is simple and can be broken down into three simple steps:
1. Select your selling plan.
Go to the Amazon website and pick the plan that suits your needs—either the Individual plan ($0.99 for each item you sell) or the Professional plan ($39.99/month).
Tip: If you're just starting out, the Individual plan is a better option for lower-volume sellers. You can always upgrade to the Professional plan as your sales increase.
2. Submit your information.
Enter your personal and business details, and upload necessary documents including your ID and credit card for verification.
3. Complete the verification process.
Amazon will schedule a video call to verify your documents and identity.
Once your account is verified, you’ll be able to begin making sales on Amazon.

Step 2: Find a Product to Resell

Choosing the right product for your resale business can be challenging, especially with millions of options on Amazon. It’s easy to feel overwhelmed, but knowing where to look can help you generate ideas and make informed decisions. Here are some of the best resources for finding potential products to resell.
Social Media Platforms
Platforms like Instagram and TikTok are great for spotting trending products and understanding what consumers are excited about. Follow influencers, check viral product videos, and explore hashtags related to your niche. Pay attention to products that get a lot of engagement, as they often indicate strong demand.
Amazon Best Sellers List
Amazon itself provides valuable insights into high-demand products through its Best Sellers list. This section updates hourly, and shows which items are currently selling well. Browsing through different categories can help you identify trending products, seasonal opportunities, and potential gaps in the market.
Other Marketplaces
Expand your research beyond Amazon by checking marketplaces like eBay, Walmart, and Etsy. These platforms reveal what kinds of things are popular in different customer segments. For example, looking at top-selling and recently sold items on eBay, can help you find in-demand products with proven sales potential.
Online Forums and Communities
Niche forums and Reddit threads can also provide unique product ideas that aren’t yet oversaturated. Customers often discuss their pain points and wish lists in these spaces, giving you insights into potential products with unmet demand. Engaging in these communities can also help you stay ahead of upcoming trends.
Analytical Tools
Tools like Jungle Scout, AMZScout, SellerApp, and Helium 10 are designed to spot profitable products based on market analysis. These platforms provide essential metrics such as search volume, sales history, profit margins, and competition levels. Instead of guessing, you can analyze real numbers to ensure that your chosen product has demand and manageable competition.

While social media, marketplaces, and online forums can help you brainstorm product ideas, analytical tools offer reliable data to validate your choices. They allow you to assess profitability, track competition, and avoid investing in products with low potential. Many of these tools also offer free trials, so consider testing them out before making a final decision.

Step 3: Source Your Products

After identifying profitable products to buy and resell, the next step is finding reliable sources. Choosing the right supplier impacts your costs, product quality, and overall success. Here are top four sourcing strategies to consider:
  • Online marketplaces: Platforms like Alibaba and Temu offer a vast selection of products at competitive prices. If you have a specific type of product in mind, choose a platform that specializes in it (for example, Shein is a great option for clothing).
  • Physical stores and outlets: Retail arbitrage, which is the process of buying discounted products from local stores and reselling them, can be a profitable strategy. Look for clearance sales, seasonal discounts, and liquidation events to find high-margin items. While this method requires time and travel, it can also yield unique opportunities that aren’t readily available online.
  • Online retailers and outlets: Major retailers often run online sales and offer discounts that can make reselling profitable. Sites like Walmart, Target, and outlet stores frequently offer limited-time deals on brand-name products. Using price-tracking tools can help you spot the best opportunities.
  • Second-hand and used items: Selling used products, such as books, electronics, or collectibles, can also be a viable option. Sourcing from garage sales, thrift stores, and estate sales can uncover valuable items at low prices. However, when listing used goods on Amazon, you must clearly state their condition to avoid account issues.
Don’t focus solely on getting the lowest price or sourcing items quickly—prioritizing product quality is just as important. Poor-quality items can lead to high return rates, which can hurt your Amazon rating and, ultimately, your sales. By ensuring quality from the start, you’ll build a stronger reputation and attract more customers in the long run.

Step 4: List Your Products

Now that you’re set up, it’s time to list your products and get to selling. Follow these steps to get started:
1. Enter your product details: Add your SKU, price, and stock quantity to an existing listing in Seller Central.
2. Set competitive pricing: Research competitors and calculate your potential profit to find an optimal price.
3. Choose a fulfillment method:
  • FBA (Fulfillment by Amazon): Amazon handles all of your storage, shipping, and customer service; ideal for high-volume sellers.
  • FBM (Fulfillment by Merchant): You handle everything on your own; better suited for niche or fragile products.
If you choose FBM, efficient shipping is essential. Partner with a reliable courier that meets Amazon’s packaging requirements to ensure smooth deliveries.

Now that your foundation is set, let’s move on to the next crucial step of your business—marketing.

Step 5: Market Your Products

Even the best products won’t sell without proper marketing. Here are key strategies to boost your visibility and drive more sales:
  • Run PPC ads: Use Amazon’s pay-per-click advertising to help you target relevant keywords and attract potential buyers. Monitor performance and adjust your bids to maximize your return on investment.
  • Create bundles: Offer complementary products as a set to increase perceived value and encourage larger purchases. Bundles also help to differentiate your listing from competitors.
  • Offer discounts: Run limited-time promotions, coupons, or lightning deals to help you attract more buyers and improve your sales rank. Strategic discounts can boost visibility and lead to long-term organic sales growth.
Marketing requires patience and consistent effort. Over time, you’ll refine your strategy, identify what works best, and build a steady stream of sales.

With this guide, you’ll be able to flip products efficiently and grow your business. Success takes time, but with smart strategies and continuous learning, you’ll build a profitable and sustainable reselling venture.

Conclusion

To succeed in reselling, you need a well-planned strategy. By using analytical tools, you can streamline your product research, identify profitable opportunities, and boost your chances of success. Making data-driven decisions will help you achieve long-term growth and build a sustainable reselling business.
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