How To Become An Amazon Reseller and Change Your Life!

If you’ve been wondering how to become an Amazon reseller this year, but you’re not quite certain if it’s the right fit for you or how to get started, you’ve come to the perfect spot.

Embarking on an Amazon reselling journey is undeniably one of the most profitable online business ventures you can undertake today.

In fact, when my partner and I decided to take the plunge into the world of selling on Amazon, we couldn’t have imagined that our modest product selection would eventually transform into a thriving business generating over a million dollars in revenue within just a year!

Achieving a seven-figure income may seem daunting, but all it takes is a single product priced at $30, selling 100 units a day. And with more than 300 million loyal customers on the most trusted e-commerce platform in the world, this goal is entirely achievable.

In this post, I’ll reveal the benefits of joining the ranks of Amazon resellers, such as tapping into a vast customer base, utilizing Amazon’s robust infrastructure, and enjoying the convenience of their support services.

If you’re eager to learn the secrets of building a profitable Amazon reselling business, keep reading, and let’s walk through how to get started on your Amazon journey today.

What is an Amazon Reseller?

An Amazon reseller, sometimes referred to as a third-party seller, is a person or company that acquires products from manufacturers, wholesalers, or various retailers and lists them for sale on the Amazon marketplace with the goal of making a profit.

Resellers capitalize on Amazon’s vast user base, well-established infrastructure, and trusted reputation to expand their audience reach and drive sales.

Amazon resellers can choose from a range of business models, such as:

  1. Retail Arbitrage: This method entails purchasing items at a reduced price from brick-and-mortar or online retail stores, then reselling them on Amazon for a higher price.
  2. Online Arbitrage: Similar to retail arbitrage, this approach focuses on discovering deals and discounts on e-commerce websites other than Amazon and reselling the items on Amazon for a profit.
  3. Wholesale: In this model, resellers forge relationships with manufacturers or wholesalers to procure products in large quantities at a lower cost, and subsequently resell them on Amazon for a profit.
  4. Private Label: This strategy involves developing your own brand and product line, usually by collaborating with manufacturers who produce the items on your behalf, and marketing those products under your brand on Amazon.
  5. Dropshipping: This business model allows resellers to list products on Amazon without physically managing the inventory or shipping. Instead, resellers collaborate with suppliers who ship the items directly to customers once a purchase is made.

Embarking on a journey as an Amazon reseller comes with several advantages, such as minimal initial expenses, access to Amazon’s extensive user base, and the option to leverage the company’s shipping, storage, and customer support solutions through services like Fulfillment by Amazon (FBA).

By grasping the intricacies of the Amazon marketplace and selecting an appropriate business model, as a budding reseller, you can create a thriving and lucrative online venture.

Learn How to Build Your Own 7-Figure Amazon FBA Business

Part of the Junglescout suite of excellent FBA tools, the learning academy is a comprehensive video training library containing hours of content, including training videos, webinars, and interviews with successful Amazon sellers.

Whether you’re just starting your business, or growing your brand, get expert training from Amazon sellers without the hefty price tag.

How To Become A Reseller On Amazon?

Now that you know what reselling on Amazon means let’s run through how to become an Amazon reseller. Here are the four main steps to becoming a reseller on Amazon;

Step 1: Create an Amazon Seller Account


The first thing you need to do is sign up for an Amazon Seller Account. You can use the email address you currently use for your Amazon account or create a brand new account. There are two kinds of seller accounts: Individual and Professional.

For the Individual Account, Amazon charges a $0.99 selling fee per sale, and you cannot sell more than 50 products a month. This plan is best for lifestyle entrepreneurs starting a smaller reselling business only intending to sell in small quantities.

The Professional Seller Account costs $39.99 a month, and there is no restriction on the number of products you can sell monthly. However, you will need to pay Amazons selling fees.

If you use the Professional Account from the start, which is my recommendation, you’ll benefit from extra perks such as Buy Box eligibility, order reports, inventory tools, and more, that will help to scale your Amazon business.

Step 2: Decide On the Products You Want To Sell


Choosing the right product to resell is crucial as your goal is to sell a lot and make a profit. This is why product research is one of the most important elements of starting your Amazon reselling business.

Product research and choosing what to sell on Amazon is a whole post on it’s own, however to get started base your product selection on three key factors:

1. Quality: There’s an old saying which goes something like, you can’t hide a bad product behind good marketing. You’ll get away with it for so long, but bad reviews, negative feedback and no returning customers will soon find you out.

High-quality products will ensure that you mostly get positive product reviews and high seller ratings. Also, the return volumes will be lower for higher-quality products, which will keep your account in good health. When selling on Amazon, keeping your account in good health will help you to win the Buy Box which can boost your sales.

2. High Demand: The product(s) you select needs to be in demand. This gives you a far greater chance of making a lot of sales. The more popular a product, the more people looking to buy it. To find out how popular a product is, you need to look at it’s ‘best seller rank’. The lower the number the more sales the product makes.

An easier way is to use Jungle Scout’s free Amazon sales estimator. This will display roughly how many sales a product makes each month, which will give you not only a great idea of how popular a product is, but also help you to forecast potential income & profitability.


3. Competition: In an ideal world the product you select will have low competition. However this is the golden egg every Amazon seller is looking for. Your best chance in such a competitive marketplace is to find products with medium to low competition, sell a great quality product and build a fantastic brand to out market competition.

To determine how competitive a product is, once again use a tool such as Jungle Scout. But this time use their chrome extension and analyze the reviews and ratings. The higher the amount of reviews and ratings the more established a product/brand and the higher the competition.

If however there are several similar products in the top 10 with lower reviews and ratings, you know there is less competition and you might be in with a chance.

screenshot of jungle scout extension showing rating numbers

I highly recommend a tool such as Jungle Scout throughout your Amazon journey as it can help with product research, finding suppliers, calculating profitability, optimizing your listings and a lot more.

Step 3: Choose Your Selling Strategy


As an Amazon reseller your goal is to buy products at a low price and sell them at a higher price for a profit.

Whether you do this by buying in bulk and selling under your own brand (private label), or shopping for bargains at retail stores and reselling products one by one (arbitrage), or by doing wholesale deals with established brands, is completely up to you. But you need to choose your selling strategy before you get started as each one follows slightly different processes.

For example, the private label strategy means you need to create a brand and work with manufacturers to modify and brand products and packaging. You’ll need to be in it for the long haul, invest up front in stock and build a loyal audience and good word of mouth as well as investing in Amazon PPC, influencer marketing and more.

If you choose the arbitrage route you may want to explore the option of replens, which means being able to resell an item you can continuously restock, or simply picking up bargains at thrift stores and selling them for a higher price on Amazon. Either way the strategy with this model is based more on price than on branding and provided you can sell competitively and still make a profit, that’s your goal.

NB: For more details on arbitrage and replens, check out Jim Cockrum’s Proven Amazon Course. He has many modules and training sessions on these very models and you can join for as little as $39.

Wholesaling is its own strategy, dropshipping and any other route to reselling on Amazon. All come with a distinct set of processes, so choose a strategy that works for you.

Step 4: Know Your Numbers


Your goal is to resell products with high-profit margins. Scaling a business with low-margin products is very difficult, even when selling in bulk.

When researching a product we always try to ensure we can sell it for 5x+ what it costs us landed. So in other words if it costs us to find, buy and ship a product to the Amazon warehouse or customer for $5, we need to be able to sell it for at least $25 or more.

The only exception to this is wholesale, where you’ll find it tough to meet those kind of profit margins. However, if you get the distribution rights for a recognized brand you’re likely going to be selling a massive amount of products, therefore lower profit margins but much higher sales volumes.

The Difference Between an Amazon Reseller and A Private Label Seller

To be honest there is no difference. Reselling on Amazon simply means buying products from another source and selling on Amazon for a profit, no matter how you do it.

However, becoming a private label seller stands out as a more unique business model because you’ll create your own brand and use Amazon as a sales channel for your own branded products.

Here are the main differences between the traditional ‘reselling’ models and private label;

Standard Amazon Reseller:

An Amazon Reseller will do one of the following things:

  • Amazon Arbitrage: The reseller will find and buy discounted products from retailers (online or brick-and-mortar stores) and sell them at higher prices to customers on Amazon. When the retailer is a physical brick-and-mortar store, it is called Retail Arbitrage. When the retailer is an online store, it is called Online Arbitrage.
  • Amazon Wholesale: The reseller will buy products in bulk from an existing brand and then sell the products individually to customers on Amazon. Bulk purchases usually lead to discounted pricing.

In either case, the reseller is free to sell any product, but the reseller needs to respect the existing trademark and copyright laws. The Amazon seller can’t pass it on as their product.

Private Label Seller:

A Private Label Seller will buy generic products from a manufacturer or a supplier and sell them with their own branding. In this case, the seller will have complete control over the products and their prices, branding, packaging, marketing, advertising, inventory, etc.

Usually, Private Label Sellers build their brands around one or just a few selected products that have high demand, low competition and meet the needs of their customers.

Where Do Amazon Resellers Get Their Products?


For Amazon reselling, you have the following options to source products:

Online Marketplaces:

You can check different online marketplaces to find discounted products. While you can perform a manual search, that’s not the most efficient way to do things. Instead, if looking into the arbitrage model, you can use free arbitrage tools like BrickSeek, SlickDeals, and DealNews.

If you’re considering private label you’ll use a more advanced tool like Jungle Scout or Tactical Arbitrage to perform bulk product searches and keyword research. Using a specialized tool can help you stay ahead of the competition.

Retail Stores:

Another way to get products is to visit physical stores during clearance sales. Even if there are no ongoing sales, you can still find discounted products in physical stores.

The goal will be to find products that are already selling on Amazon at higher prices. The best way to do this is to use the Amazon Seller App.

The app has a scanner that you can use to scan the barcode of the product you find in a physical store. If the product is available, the Amazon Seller App will display the details, including the price.

The app will also tell you whether you can resell the product or not due to brand restrictions. While scouting the retail stores is a decent way of finding products for reselling on Amazon, it is not efficient.


You buy products in bulk from wholesale suppliers and then sell the products to customers on Amazon for a profit. The best part of this sourcing method is that the wholesale price of a product is much cheaper than its retail price.

You’ll have to purchase in bulk to enjoy a discounted price, which means you’ll need substantial up front capital. This might not be an option if you are only just starting with the reselling model and don’t have enough funds.


Buying from manufacturers is usually for advanced users who want to start private label brands. As with the wholesalers, you will need to buy in bulk, however, I recommend getting a handful of samples to inspect the quality before placing a bulk order.

Once again tools like Jungle Scout can help you find manufacturers and place orders. Most private-label sellers find suppliers in China, but these days you can find suppliers from all over the world.

Learn How to Build Your Own 7-Figure Amazon FBA Business

Part of the Junglescout suite of excellent FBA tools, the learning academy is a comprehensive video training library containing hours of content, including training videos, webinars, and interviews with successful Amazon sellers.

Whether you’re just starting your business, or growing your brand, get expert training from Amazon sellers without the hefty price tag.

How To Make Money Reselling On Amazon?

You can make significant money reselling on Amazon. My husband & I built a 7 figure business on Amazon FBA as private label sellers and have many friends and colleagues who have done the same.

Here are some tips to become one a successful Amazon reseller:

Win the Buy Box


The Buy Box is the box that contains the buy buttons that pops up on the right of every product page. Customers can choose to ‘add to cart’, ‘buy now’ or view other options displayed by multiple sellers for the same product. Most people will impulsively buy using the Buy Box even though the listing their on may not be the cheapest.

That’s why it’s important that the buy box is for your product.

To win the Buy Box, you must:

  • Use a Professional account.
  • Use Amazon FBA (Fulfillment by Amazon).
  • Optimize your pricing and offer lower prices than competitors. (Recommendation – use an automated repricer)
  • Provide quality products to minimize returns and poor ratings.
  • Keep your account in good standing

Build a Great Reputation for Your Brand


Unfortunately selling on a third party platform is always a risk and Amazon can suspend or ban sellers with poor seller rankings. To avoid this situation, build and maintain a great brand reputation and ensure your seller ranking, which ranges between 0 and 100, stays high. 100 is the best.

Here are some tips to improve your brand reputation:

  • Optimize product listings with accurate descriptions and details before you start selling.
  • Ship on time by using FBA.
  • Ask for positive reviews from buyers if they are satisfied.
  • Register on Amazon’s Brand Registry.
  • Create effective and timely customer service systems.

Respond To Customers’ Questions Quickly


To become a successful seller, you must respond to the questions of your potential customers quickly. This will show that you care about your customers and are willing to resolve their issues.

A quick response helps to build a good reputation and foster good relations with customers, which in turn, boosts sales.

Is Reselling On Amazon Allowed?

Reselling on Amazon is complicated. There are rules to follow. Here are answers to some of the most pressing questions about the legalities/restrictions of selling on Amazon:


Yes, reselling products on Amazon is entirely legal. You can purchase a product at a store or an online marketplace and resell it on Amazon for a higher price.

You don’t need any special permit, and you don’t need to be an authorized reseller for reselling. If you have purchased a product, you legally own it and have the right to resell it.

However, if you buy a product from a retail store or an online store, it is no longer a new product. So if you list products on Amazon using the arbitrage model, you’ll need to list them as ‘Very Good Condition’ or ‘Used.’

The only way you can sell products as new is when you purchase the products from a manufacturer or a wholesaler.

You must also note that Amazon will not allow you to resell products of some brands like Adidas, Samsung, LEGO, Hasbro, Disney, etc.

Amazon doesn’t offer any official list of restricted brands, but you’ll need to do some research before you purchase a product for reselling.

Other laws to remember include:

  • You cannot break trademark and copyright laws.
  • You must respect local regulations.

Yes, you can resell Amazon products, and the process is known as Amazon Flips. Many Amazon sellers use this business model to generate additional revenue.

Amazon Flips involves buying a product at a lower price from one Amazon marketplace and selling it at a higher price on another Amazon marketplace.

However, this method only works if a price difference exists in those marketplaces. Also, you must respect the laws of the country where you’ll sell the products.

Trying to resell a product in the same marketplace makes no sense because you need to sell at a higher price than Amazon to make a profit. People will likely select the product with a lower price.

You can try to take advantage of pricing errors, but Amazon will soon identify that and prohibit you from selling.

Can You Sell Anything On Amazon?

No, you cannot sell just anything on Amazon. There are certain products that Amazon doesn’t allow. Such products are categorized as:

You must consider both lists if you participate in FBA (Fulfilled by Amazon). Some products that are not on the Restricted Items List may have FBA-specific restrictions. But you can sell those products if you select FBM (Fulfilled by Merchant).

Here is a quick list of FBA-specific restrictions:


Here is a screenshot of the restricted products list:


How to Become an Amazon Reseller – FAQ’s

How much do resellers make?

This completely depends on you, the business model you choose and the products you sell. Some sellers might not put the work in and sell nothing, whereas many sellers we know are making upwards of $10 million/year (FBA model). Your best bet is to pick a number that you want to generate every month and then build a business around that number. If you only need an extra $1000 – $2000 a month and can only work weekends, then perhaps arbitrage is for you. If you need $5-$10k/month, maybe the replens strategy or FBA is a better model. If you’re looking for $1million a month or more you may want to look at the wholesale model. Do what works for you and your situation.

Do I need a reseller permit to sell on Amazon?

No, you don’t need a reseller permit to sell on Amazon. If you’ve purchased a product, you own it and resell it. However, certain brands will not allow you to resell their products. So, check with Amazon.

What are other best reseller websites apart from Amazon?

While Amazon is a popular choice for resellers, there are several other great reseller websites that you can explore to expand your online business. Some of the best alternatives include:

  1. eBay: A well-established online marketplace, eBay allows sellers to list their products in an auction or “Buy It Now” format, offering flexibility in pricing and sales strategies.
  2. Etsy: This platform caters to sellers of handmade, vintage, and unique items, making it an ideal choice for niche resellers and artisans.
  3. Walmart Marketplace: As one of the largest retailers globally, Walmart Marketplace offers resellers access to a vast customer base, with the added advantage of Walmart’s trusted brand.
  4. Bonanza: Known for its user-friendly interface and lower fees, Bonanza is a growing marketplace that focuses on fashion, home goods, and other consumer products.
  5. Newegg: This platform is a top choice for resellers specializing in electronics, computer hardware, and software, offering a dedicated customer base for tech-focused sellers.
  6. Rakuten: A leading Japanese e-commerce platform, Rakuten offers a global presence and a diverse range of product categories, making it a suitable option for resellers looking to tap into the Asian market.
  7. Poshmark: A social commerce platform, Poshmark specializes in fashion and accessories, allowing resellers to create a personalized shopping experience for their customers.
  8. Shopify: While not a marketplace like the others, Shopify is a powerful e-commerce platform that allows resellers to create their own online store and reach customers directly.

Each of these platforms has its unique features, target audiences, and seller requirements. It’s essential to research and select the most suitable option for your specific products, target market, and business goals.

Learn How to Build Your Own 7-Figure Amazon FBA Business

Part of the Junglescout suite of excellent FBA tools, the learning academy is a comprehensive video training library containing hours of content, including training videos, webinars, and interviews with successful Amazon sellers.

Whether you’re just starting your business, or growing your brand, get expert training from Amazon sellers without the hefty price tag.

How to Become an Amazon Reseller – Summary

Becoming a successful Amazon reseller has the potential to transform your life and create a thriving online business that generates substantial revenue. As you can see from our journey, it’s possible to turn a humble beginning into a million-dollar success story with the right strategies, persistence, and dedication.

Remember, the key to success as an Amazon reseller lies in selecting the right products, understanding your target market, and effectively leveraging the numerous resources and tools available on the platform.

With consistent effort and the invaluable lessons shared in this post, you’re well on your way to establishing a lucrative Amazon reselling business.

Good luck!

About the author

Disclaimer: Please note this post may contain affiliate links, from which, at no additional cost to you, I may earn a small commission. Also as an Amazon Associate I earn from qualifying purchases. I only recommend products and services I’ve used or would use myself. If you choose to purchase from any of my links, thanks so much for your support! 😊

2 responses to “How To Become An Amazon Reseller and Change Your Life!”

View All Comments

2 thoughts on “How To Become An Amazon Reseller and Change Your Life!”

    • Hi Anthony,

      Amazon is currently their private brands off. I believe that they most sell them all before the end of this year.


Leave a Comment

Share via
Copy link
Powered by Social Snap