Wholesale On Amazon, What is it and how to sell it?

Wholesale On Amazon, What is it and how to sell it?

Wholesale on Amazon is a great and one of the best model of e-commerce because we live in a consumerist culture, and Amazon is one of the greatest platforms to get started when it comes to e-commerce. When it comes to selling on Amazon there isn't just one way to go.

There are numerous models that you could follow to make money on Amazon. Today Amazon Wholesale model can be one of the best models for beginners. If you've never made a dollar online this could be a model that really resonates with you in your current circumstances.

Better Understanding Of What Amazon Wholesale Is?

1. Don't worry about making a large investment

First of all when we talk about  wholesale on Amazon we don't need to worry about making a large investment. This is one of the biggest barriers of entry when it comes to other models bearing to pay a lot of money upfront for your stock, for your business expenses, marketing, etc.

This model has minimal investment you don't have to worry about time restrictions. You don't have to worry about product development. You're not going to be building your own brand, you're not going to be selling your own products, but in fact, you're going to be selling other people's products.

So all that time that you put into product development packaging, labeling, certifications all of that you know you don't have to worry about that. It's one of the lowest risk models and that's really important for people who are just getting started.

2. Low Risk involved

You know this model may not be the model that's going to make you the best returns, but it's going to be lower risk and if you're just getting started, you are a complete beginner; you've never built an online business before. What's more important to you is having less risk because oftentimes you know the high-risk high return and so when you're first getting started lower risk just so that you can actually get started because if you know it's a high risk you probably won't get started, and you have to be realistic that when you've never done anything online earlier there's going to be a learning curve and so you're going to have much to learn. You're probably going to make mistakes, so you don't want to put a lot of money on the line and risk a lot.

3. Don’t worry about marketing

You also don't have to worry about marketing campaigns this is a big one because when it comes to other models one thing people struggle with a lot in marketing. Marketing your product means how are you going to get people to view your Amazon listing. With this model, you don't have to worry about PPC marketing, social media marketing none of that.

4. Don't worry about unpredictable sales

At last, you don't have to concern about unpredictable sales as you're not launching a product on Amazon for the very first time. You will not indulge in a product that's never been sold on Amazon before.

All you're doing is you're looking for products that have been selling on Amazon for a while they have historical sales data and that historical sales data will allow you to forecast future sales. So there's a lot less unpredictability when it comes to sales and if you do it right you find products that the day that you list them on Amazon you start making sales.

How to start Amazon wholesale?

First, you have to find established products that are selling on Amazon, and then you have to reach out to these brands and, in reaching out to these brands, you have to communicate the value that you can add to them and request to become an authorized reseller of their products. Then you build a relationship with them, and you purchase their inventory at the wholesale price which you will later sell at retail price. Then you just have to make sure that once you're selling on Amazon and you don't run out of stock, and you will reorder before you run out of stock.

That is the gist of this model, it's so simple which is another reason why it's great for beginners and because it's so simple you can actually outsource this model. Once you've done it yourself a couple of times you will figure out how to do it yourself and you can basically hire a virtual assistant to develop your business for you, and you can invest your time practicing other things.

Key to Success on Amazon Wholesale

The key to success with this model is in the number of brands you reach out. Quantity is important because you have to factor in that well not every brand is going to say yes. Some brands are going to say no, so if you only reach out to three brands well your likelihood of success will increase. If you reach out to 10, 20, 30, or 40 brands, your likelihood of success increases as you reach out to more brands. Second is your ability to communicate and your value. If you can communicate how you can add value to the brand then the brands are going to allow you resell their product on Amazon.

How to add value to these brands?

It's important to understand what kind of brands you'd be reaching out to versus the ones that you wouldn't be reaching out to. Because they are very different. For example, you're not going to be reaching out to private label sellers because people wouldn't want someone to resell their products on Amazon since they are selling their products themselves.

So you're going to reach out to brands who are making 5 to 6 figures a month with nearly five-star reviews in spite of his listing having only one picture, which is repeated more than three times, and the bullet points being utterly non-descriptive. Those whose Amazon listing leaving potential customers in the dark, leaving the customers asking basic questions like what size should I get which could be addressed with a simple size chart.

So the value that you'll add is by helping to drive more traffic to the Amazon listing to increase their sales and to improve the overall quality of the Amazon listing.

Those brands are not professional Amazon sellers, so they don't know how to sell on Amazon, they have other things that they need to be putting their time and attention into, and they would like if someone could just  email them and say " hey you know I've been thinking of improving your Amazon listing and resell your product on Amazon. I have time and experience to do this for you!"

Summarize Process of Wholesale on Amazon

So we can summarize the process of wholesale selling on Amazon in three steps:

1. Scouting

You're going to be looking for awesome products with loyal established customers on Amazon. You're not looking for people who just launched a product for the first time have no reviews no historical sales you're looking for established products on Amazon with reviews and sales data. You can look for products in all categories you're not limited to any one single category.

What is important is that they are replenishable wholesale products, which means products that have sustainable supply so that you can reorder from the brand continuously. That's very essential, you're going to need to look for consistent sales. You don't want a product that's selling really well one month not selling well the next month.

You will also be looking for the estimated profit margins. Before you move forward with contacting a brand you want to try and calculate what would be my return on this product because at the end of the day profit is everything.

2. Sourcing

Contacting the brand owners forging a mutually beneficial relationship again mutually beneficial. This is so significant that you're going to benefit by being able to purchase their products at a wholesale price. You're going to try out and negotiate with the brand owners, to become an approved reseller of their product so other individuals can't sell their products on Amazon, and what you're going to do in return, is that you're going to help improve their brand assets on Amazon, improve their Amazon listing, by improving their listing, you can improve their conversion rate overall. We want a win-win situation for everyone, that's the key and that's how you're going to be able to score these relationships with these brand owners.

3. Selling

This is the easy part. Once you purchase the products at wholesale price, you just need to resell them on Amazon. It's easy because you don't have to marketing these products. These are products that are already selling every single day in high numbers, what you are doing is just sit back and enjoy the sales. The only thing you want to make sure is that you're replenishing inventory. You don't want to run out of stock because even out of stock for one day means a loss potential sales for you.  It's a very simple model which is why it's a great option for those just getting started.


Wholesale on Amazon is a business model that can be very hands-off and there isn't really a cap that you'd be more limited with this business model. There's more opportunity with private labeling and there can be because you make way more profit margins with private labeling, but you can definitely scale this business without having to invest so much time.

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Taib Bilal
April 10, 2024
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