How to Make a Profit on Amazon


Making a profit on Amazon has never been easier

Amazon is a juggernaut in the e-commerce world, and it’s no secret that the company takes a sizable cut of every sale made through its platform. But did you know that there are actually a few different ways to make a profit on Amazon? In this article, we’ll take a look at three different methods so that you can start generating some income from the world’s largest online retailer.

Is it Easy to Make a Profit on Amazon?

What Do I Need to Do to Make a Profit on Amazon?

Seller Software

The Take Away

business software

Is it Easy to Make a Profit on Amazon?

The answer is a resounding yes. Once you start selling through the giant of eCommerce you can take advantage of the Amazon’s supply chain. As one of the strongest and most efficient supply chains to ever exist, it’s quicker than ever for products to arrive from supplier to consumer.

The supply chain is just the start of the advantages that Amazon offers.

With a wide range of added business tools for Sellers, you can access add-on programs such as Amazon FBA. These opt-in programs can help you with varying parts of your business. They can help you market products, provide cheap inventory storage or help you qualify to win the Amazon Buy Box!

What Do I Need to Do to Make a Profit on Amazon?

Step One: Find a Niche Market

To find a niche market on Amazon, you’ll need to first identify a group of potential customers who are interested in what you have to offer. This can be done by scouring Amazon’s bestseller lists and finding products that are selling well but don’t have a lot of competition.

Once you’ve found a niche market, the next step is to create a product that these customers will want to buy. This product should be unique and fill a void that’s not currently being met by other products on the market.

You’ll also have to draw up a pricing plan with a tool such as Product Finder. Price too high and you may decrease your sales. However if you price too low you will damage your profit margins, and potentially give the impression that your products are low quality! With a product comparison tool you can examine the exact profits margins to promote your products and win the Amazon Buy Box (but we’ll get to that part later!)


Once you’ve created your product, the next step is to list it on Amazon and start driving traffic to your listing. You can do this by using Amazon’s pay-per-click advertising program, which allows you to bid on keywords that potential customers are searching for.

If you can drive traffic to your listing and get people to purchase your product, then you’ll start seeing a profit from your Amazon sales.

Step Two: Research Keywords

Before you can start driving traffic to your Amazon listing, you need to make sure that you are targeting the right keywords. The best way to do this is to use a keyword research tool like Google AdWords Keyword Planner.

With this tool, you can enter different seed keywords related to your product and see how many people are searching for those terms. You can also see how much competition there is for each keyword.

Once you have a list of potential keywords, you need to decide which ones to target. The best way to do this is to look at the search volume and the competition level for each keyword.

keyword researchIf you are selling a unique product, you may be able to rank for some long-tail keywords (specific search phrases involving several words) with relatively low search volume. However, if you are selling a popular product, you will need to target high-volume keywords that have a lot of competition.

The first step is to choose the right keywords. Keywords are the words or phrases that potential customers use when they search for products on Amazon. When choosing keywords, think like a customer. What would they search for if they were looking for a product like yours?

By doing your product research and targeting the right keywords, you can drive traffic to your Amazon listing and start making sales.

Step Three: Create a Listing

After you have selected the products you want to sell on Amazon, it’s time to create a listing. A listing is simply an advertisement for your product on Amazon. Creating a listing is free, but there are some fees associated with selling on Amazon, but they are for another article.

To create a listing, sign into your Amazon account and click on the “Sell Yours” button. From there, you will be able to select the product you want to list and fill out the necessary information. Be sure to include high-quality images and descriptive text so that potential buyers know what they’re getting.

Once your listing is complete, all that’s left to do is wait for someone to purchase your product!

Step Four: Optimise Your Listing for Rankings

Having your products listed on Amazon is great. However, if you actually want to make money on Amazon, you need to optimise your listing for rankings. This means making sure you optimise your products based on your Keyword Research in step number 2. It involves your title, keywords, and descriptions for each and every product.

optimisationAt a basic level, once you have a list of keywords, you use them in your listing. Start by including them in your title. Then, use them throughout your description, using each one a few times. This will help Amazon understand what your listing is about and rank it higher in their search engine.

However, that isn’t optimising your listings. It’s only the bare basics.

Optimising means repeating step #2 as many times as required. Keywords and customer searches are fickle at the best of times. You may notice that your rank drops because many customers are using an alternate phrasing to search for products. Revamp, redo, reoptimise. It will be one part of your job that will never go away because it is a constant science experiment. You review the data periodically, note any rises or falls and then make some changes to check if it makes a difference.

So always to update your keywords regularly. As you get more reviews and sales, you’ll be able to better understand which keywords are working and which ones aren’t. By updating your keywords regularly, you can ensure that your listing is always optimised for the Amazon search engine.

Step Five: PPC Advertising

PPC advertising is a great way to drive traffic to your product listing and make a profit on Amazon. When done correctly, you can pay for ads that target potential customers who are searching for products like yours on Amazon. This can help you get your product in front of more people and increase your chances of making a sale.

To get started with PPC advertising on Amazon, you’ll need to create a campaign. You can do this by going to the Advertising Console and clicking on “Create a new campaign.”

From there, you’ll need to select your campaign type, set your budget, and choose your keywords. Once you’ve done that, you’ll be able to start running your PPC ads on Amazon.

Increase Your Profit on Amazon With Seller Software

There’s one way to increase your Amazon profits that we left out – the power of automation.

Time is money when it comes to running an eCommerce business. You’re juggling one thousand and one different things and trying to maintain profit margins across them all. Automation can ensure that you stay on time, handle your time-consuming tasks and make sure that everything is completed flawlessly.

With Seller Central tools and software such as Seller Central Connect, you can optimise both your time and your business.

You can:

  • Automate administrative tasksproductivity
  • Instantly publish your entire inventory
  • Maximise profits with built-in auto repricer.
  • Synch orders, customer data and sales metrics onto a single platform for easy viewing
  • Calculate Amazon Seller and FBA fees for each product
  • Automate shipping and fulfillment processes
  • Use across multiple international marketplaces

And much more. Check out Seller Central Connect today to see what else could lie in store for your business!

The Take Away

Making a profit on Amazon is essential for eCommerce businesses, but even if being an Amazon Seller is only a side hustle for you, it can be a great way to earn some extra income. By following the tips in this article, you can give yourself a better chance at success. Remember to do your research, choose your products carefully, and price them competitively. With a little effort, you could be making a nice profit in no time.

If you want to learn more about how to make a profit on Amazon, be sure to check out our other business articles in this series. Make sure to get in touch with one of our business specialists today to learn more about the eCommerce tools that you can have at your fingertips!

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