How Much do Amazon Sellers Make

Wondering how much money you can make selling on Amazon? Here's a look at what sellers earn on average, and how you can make more.

How Much do Amazon Sellers Make

Each year, new influencers, sellers, start-ups, and individual companies are established on the Amazon platform. It is estimated that almost 42% of Amazon's current sellers have joined the eCommerce giant to become independent as far as financial freedom is concerned. On the other hand, 36% of sellers selling on Amazon want to supplement additional revenue. Other business owners are looking for lucrative ways to operate globally and make multiple profits. 


What Is The Average Amazon Seller Income?

Amazon seller profit ranges from $ 1,000 to $ 25,000 per month, with new businesses on the platform making somewhere around $ 42,000 during peak seasons. These numbers are staggering when it comes to 20% of vendors who make about $25,000 - $250,000 a month. It has been reported that one in five, which is around 19% of vendors, make annual sales between $300,000 and $3,000,000, whereas only 26% of sellers earn profits of $1,000/month in sales, and 4% of vendors haven't calculated their sales income.  

Related: Six Best Selling Category and Products on Amazon


How Is Amazon Profitable For Budding Entrepreneurs?

Amazon is considered one of the most successful e-commerce gateways for budding entrepreneurs. It was noted that new business owners could set up their online shop by investing less than $500. When it comes to selling on the platform, various tools and inventory systems are available from Amazon that integrate the product transparently. 


Entrepreneurs do not need to invest capital in kicking start any venture. It has been reported that only 21% of entrepreneurs have invested more than $10,000. Looking at the bigger picture, around 80% of sellers have invested around $500 to $10,000 on their Amazon business. It has also yielded 67% of sellers' profitable income within one year of setting up their online store. 

Related: eBay Vs. Amazon - A Complete Comparison Guide


Why Must Sellers Invest In An Online Business With Amazon?

Amazon remains the number one choice for customers to purchase their favorite items. Potential customers shop on the online portal because of free shipping, discounts, various products, and easy return policies. In contrast, business owners can earn a good profit margin by selling their merchandise to clients worldwide. 


Amazon is a highly profitable platform with an annual revenue income of $ 386 billion in 2020. It has been estimated that the e-commerce giant is making around $ 11.6 billion net income per year. Thus offering to be an ideal online commerce store for business owners to invest in. 

Related: 9 Free Amazon FBA Tools in 2021


Conclusion

So, how much do Amazon sellers really make? The answer may surprise you. It’s not easy to become a successful Amazon seller – there’s a lot of competition out there. But with the help of Simpl, you can take some of the guesswork out of the process and focus on what you do best: running your business. Ready to get started? Contact us today for more information about our services or to partner with us and start making money selling products on Amazon!

Recommended: Top 10 Best Amazon Seller Podcasts to Help Your Business in 2022

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