How Much Money Do Amazon Sellers Make?

Amazon is the first name that comes to mind when you think of online shopping.

In the United States, 55% of customers start their online shopping search from Amazon. Besides, 90% of shoppers price check Amazon’s product offerings.

Amazon has 300 million active users and about 200 million Prime subscribers in the U.S alone, as per Statista.

How is Amazon making money?

More than 50% of Amazon’s sales are generated by third-party sellers on its marketplace platform. 

Over 140,000 third-party sellers exceeded $100,000 in their annual sales in 2017 which increased by 20% from 2016. 

A study by Feedvisor reveals that third-party sellers on Amazon sold 56% of their units on it, while only 44% were sold on other marketplaces. 

The study also found that seller-service revenues account for Amazon’s second-biggest revenue segment. 

In 2020, Amazon made approximately 80.5 billion dollars in third-party seller services alone. 

Also remember that a huge number of customers come to Amazon to buy products directly from them as well so you can see how big this platform really is!

How much can you make?

Many people are aware of Amazon’s Fulfillment-by-Amazon (FBA) program, but did you know it’s also possible to buy and sell on Amazon as a merchant?

There are a number of different methods for selling on Amazon, but the most common is Amazon’s Fulfillment-by-Amazon (FBA) program.

Before we dive into how the program works and what it takes to get started

Selling on Amazon is not a passive income stream nor does it mean you can work from home in your pajamas. While anyone can get started as an Amazon seller, there is a lot that goes into building and growing a successful business. It requires work.

While getting started selling on Amazon will involve some expenses and fees on the seller’s part, what makes Amazon FBA so appealing is that it simplifies that for sellers. Simply put, you choose a product, get it to Amazon’s warehouses, set up your Amazon listing, and then you start seeing sales and profits.

Its comes to the question how much money can you make selling on amazon Some super-sellers make upwards of $250,000 each month in sales — that amounts to $3 million in annual sales!

Nearly half (44%) of Amazon sellers make from $1,000-$25,000/month, which could mean annual sales from $12,000-$300,000. 

One in five makes $25,000-$250,000/month, amounting to annual sales between $300,000 and $3,000,000.

Another 6% make more than $250,000 in monthly sales.

Only 26% of sellers make under $1,000/month in sales.