Introduction
Millions shop on Amazon daily, but only a few know how to turn it into a steady income stream.
With opportunities ranging from private-label selling and retail arbitrage to wholesale and passive income streams like merch and affiliate marketing, the potential is huge—but knowing where to start can be overwhelming.
In this guide, we’ll break down six proven ways to make money on Amazon, explaining when and why to choose one approach over another and how to take the needed steps to get started. Let’s dive in!
1) Private Label: Build Your Brand on Amazon
Private labeling is one of the most powerful ways to make money on Amazon, with 59% of sellers using this model to build profitable businesses.
This approach allows you to create your brand by selecting an, improving it, and adding your unique logo and packaging before selling it as your own.
Anyone who manufactures their own products or owns the intellectual property (IP) qualifies as a private-label seller.
What makes private label selling so irresistible? One word: Control.
You can customize your product, enjoy higher profit margins by sourcing directly from manufacturers, and dominate your listing without competing for the Buy Box.
However, private labeling isn’t all smooth sailing since it needs a high initial investment, the time and effort required for product development, and the risks of manufacturing falling short of your quality standards.
But if you’re prepared to tackle these challenges, the rewards can be worth it. So, let’s see how you can get started:
1. Develop Your Product Idea
Start by identifying a product you’re excited to sell.
Look for gaps in the market, research trending items, and explore ways to improve existing products.
A successful private-label product should have strong demand, a unique value proposition, and clear branding opportunities.
2. Find, Test, and Order Your Product
Find a reliable manufacturer who meets your quality and cost expectations, then request samples to test durability and design before committing to a large order.
Once you’re satisfied, place your first bulk order while finalizing your branding elements—packaging, logo, and labeling—to ensure your product stands out in the market.
With your products ready, it’s time to launch.
You can list your products on Amazon through Seller Central or Vendor Central, optimizing your product page with compelling descriptions, high-quality images, and targeted keywords to attract shoppers.
Once live, you need to focus on advertising strategies, customer service, and inventory management to scale your business successfully.
2) Amazon Wholesale: Reselling High-Demand Products
Wholesale selling on Amazon is one of the fastest ways to start making money, with 26% of sellers using this method and 61% earning at least $5,000 per month.
Unlike private labeling, where you create your own brand, wholesaling involves purchasing large quantities of products from established brands and reselling them on Amazon.
This eliminates manufacturing costs and branding efforts, allowing you to focus purely on sales.
The key advantage of wholesaling is speed: you can kickstart your business quickly by selling high-demand products that require minimal marketing.
However, its popularity also makes it highly competitive. Unlike private-label sellers, wholesalers will compete for the “Buy Box” with other resellers, which means they often need to lower their prices to win sales.
It’s also important to note that the real profit in wholesaling isn’t made at the point of sale—it’s determined by how low you can buy your inventory in the first place.
Finally, keep in mind that securing supplier agreements can be a challenge, as many brands are selective about who represents their products on Amazon.
3) Retail Arbitrage
Retail arbitrage is one of the simplest ways to start making money on Amazon.
The concept is straightforward: you visit a physical retail store like Walmart, find discounted or clearance products, purchase them, and resell them on Amazon at a higher price for a profit.
This method requires minimal upfront investment compared to private labeling or wholesaling, making it an accessible entry point for new sellers.
While retail arbitrage offers a quick and relatively low-cost way to break into e-commerce, it comes with its set of challenges.
The biggest hurdle is competition since many sellers are using the same strategy.
Additionally, the process itself can be time-consuming, requiring patience and persistence. Sellers often spend hours, even entire weekends, sifting through stores for products that will sell well on Amazon, only to come up empty-handed at times.
Despite these challenges, retail arbitrage remains a viable way to generate income. Some sellers earn a few hundred dollars a month as a side hustle, while others scale up to make thousands.
The key to success lies in researching high-demand products, monitoring Amazon’s marketplace for pricing trends, and developing a keen eye for spotting profitable deals.
4) Amazon Merch on Demand
Ever had a great idea for a t-shirt or mug design and wondered if you could make money from it?
With Amazon Merch on Demand, you can turn that creativity into cash, without worrying about inventory or shipping.
All you need to do is create your design and let Amazon handle printing, fulfillment, and delivery.
Every sale earns you a royalty between 13% and 37%, making it a hassle-free way to generate passive income.
Best of all? It’s completely free to get started. Just sign up and start selling. Here’s how to do it:
Step 1: Visit merch.amazon.com and click “Sign Up.” You’ll be directed to the sign-in page, where you can log in using your personal Amazon account—no professional seller account is required!
Step 2: Once you sign in, you’ll land on this page to fill out the required information.
Step 3: Add your bank account information.
Step 4: Complete your tax information.
Step 5: Fill out the additional information on your application.
Here are some tips to speed up the review process for your application:
- Keep your additional information concise—stay within the 500-character limit.
- If you have a social media following, mention it! Showing that you’ll promote your designs helps Amazon see the value you bring in driving external traffic.
- Emphasize that your designs are original and do not infringe on any copyrights, trademarks, or intellectual properties.
- Make sure your application is free from typos and grammatical errors to increase your chances of approval.
Once your application is approved, you can start uploading your designs to Amazon, set your prices, and see your estimated royalty earnings.
5) Amazon Affiliate Program
Want to make money by recommending products you love?
The Amazon Affiliate Program lets you earn commissions simply by sharing special affiliate links to Amazon products. When someone clicks your link and makes a purchase within a set timeframe, you get paid.
This program is perfect for content creators, bloggers, YouTubers, and social media influencers looking to monetize their platforms.
Whether you have a niche blog, a growing TikTok following, or a dedicated YouTube audience, you can earn 3–5% per sale (sometimes more) just by promoting products that resonate with your audience.
If you’re not regularly posting content and engaging with your audience, succeeding as an Amazon affiliate can be tough. But if you build a strong following and share products you genuinely love, affiliate marketing can turn into a solid passive income stream.
Here’s how to become an Amazon affiliate.
Sign Up
Step 1: Head to https://affiliate-program.amazon.com/ and click on “Sign up”.
Step 2: Fill out the account information.
Step 3: Add links to your website and/or social media platforms.
Step 4: Provide information about your content as well as your Associates Store ID, which is a unique identifier assigned to your affiliate account.
Example of Associates Store ID
Once you join the Amazon Affiliate Program, you can pick any product from Amazon’s vast catalog and generate a unique affiliate link.
Share this link on your website and/or other social media platforms. Every time someone clicks your link and makes a purchase, you earn a commission.
6) Amazon Influencer Program
The Amazon Influencer Program lets social media creators turn their influence into income with a custom Amazon storefront featuring their favorite products.
Unlike the Amazon Affiliate Program, which uses direct links, influencers get a dedicated page where followers can browse and buy their recommendations.
This method thrives on TikTok, Instagram, and YouTube, making it easy to direct audiences to products.
You don’t need millions of followers. Even micro-influencers can apply using their Instagram, Facebook, TikTok, or YouTube accounts (business or creator accounts are required for Facebook and Instagram).
Earnings? Commissions range from 1% to 20% per sale, with top influencers making thousands per month. The key is engagement: the more effort you put into promotion, the more you earn.
Can’t wait to join the program? Here’s how to sign up:
Step 1: Head to https://affiliate-program.amazon.com/influencers and click on “Sign up”.
Step 2: Choose the platform with the largest audience to maximize your reach and sales potential.
Step 3: Upload your profile photo and cover image.
Step 4: Provide your social media links.
Step 5: Fill out the account information.
Step 6: Once you’ve completed the signup process, access your Amazon storefront by clicking the link provided.
Step 7: You can create the content you’ll share with your followers.
Wrapping Up
Making money on Amazon isn’t just for big businesses; it’s for anyone willing to take the leap.
Whether you’re building a private-label brand, flipping products through arbitrage, selling wholesale, designing merch, or leveraging your audience through affiliate and influencer programs, there’s an opportunity for you.
So, start today, and turn Amazon into your next big income stream!
