eCommerce is big business across the globe and accounts for roughly 10% of retail spending per year. That percentage goes up annually and its growth is why companies like Amazon are generating billions of dollars.
If you want to take advantage of the tremendous opportunity that exists in the eCommerce space, one of the best ways to do that is to consider a full-time FBA career.
For the uninitiated, FBA stands for "Fulfilled by Amazon". It describes a process where self-employed people set up Amazon shops, ship their inventory into local Amazon warehouses, and allow Amazon to do the rest as far as order fulfillment and customer service are concerned!
If the possibility of making six figures from home sounds good to you, keep reading to learn how to become an FBA seller in 7 simple steps!
1. Brainstorm Niches
The first step to opening any retail shop, online or offline, is understanding what niche you'd like to tackle.
For the uninitiated, a niche is a category.
For example, "pet products" is a broad niche. "Organic dog products" is a specific niche.
Our recommendation when picking a niche for your full-time FBA business is to find one that's not too general so you can avoid harsh competition but is also not too unique so demand still exists.
If you're having trouble brainstorming niches, look around your house. Think about the kinds of things you buy.
People watch. Pay attention to what other people spend their money on.
There's no shortage of inspiration out there when it comes to product niches. You just have to get out there and keep an eye out!
2. Pick Profitable Products
Once you have an idea of what your niche is going to be, your next step is going to be to get an idea of what specific products within your niche you'd like to sell.
When it comes to FBA, not all products are created equal.
Given the fees involved with shipping and Amazon commissions, if you're selling cheap items through FBA you're going to generate meager profits.
That's why you're going to want to sell the most expensive, small products you can that still have good demand. Furthermore, you're going to want to stick to products that don't have different variations (don't come in multiple sizes) as these are subject to frequent returns.
You can use the Amazon profitability calculator to get an idea of how much you can make off of specific items.
3. Source Your Products
You know your niche, you have an idea of specific products you'd like to sell, next up is the process of sourcing your products!
Sourcing products can get done in a few ways.
You can get items directly from manufacturers, you can get items from yard sales or second-hand stores, you can also raid discount outlets if you're lucky enough to have one in your area.
Before you buy your products in bulk, buy a reasonable amount and see how they sell. Also, try and list the product you're thinking of buying on your Amazon Seller account (more on that next) before purchasing it.
Some items get restricted and if you buy a bunch of items in a restricted category, you'll be left with inventory you can't sell on Amazon.
4. Sign Up for an Amazon Seller Account
If you don't have an Amazon seller account already, it's time to sign up for one.
You can get started setting up your Amazon Seller account at this link. Be sure to fill in your information accurately as any mistakes could cause delays in payment when you sell items.
5. Fill Your Inventory
Once your seller account gets created, you'll want to go into your seller inventory panel and start adding the items that you're going to start selling.
When you're adding inventory, hopefully, the item you're selling already has a profile on Amazon. If it does, adding that item to your inventory will be as easy as clicking a few buttons.
If the item you're selling on Amazon has never been sold on the platform, you'll have to create its product profile from scratch.
Be sure to accurately describe your item and do so in a way that inspires readers to take action (in this case, the action would be to buy).
Browse descriptions of other popular items on Amazon to get ideas of how to properly fill in your product description.
6. Ship Your Products to Amazon
Once you have your inventory built in your seller account, it's time to send your inventory into the Amazon warehouse so you can start selling!
This process is called "creating a shipping plan". You can start creating your shipping plan in the same pane you manage your inventory from.
Be sure to abide by Amazon's FBA best practices when sending in shipments and follow instructions carefully during your shipping plan creation process to make sure your inventory doesn't get lost.
You will have to pay to ship your inventory to Amazon but rates offered to Amazon sellers through UPS are deeply discounted as you will soon find out.
7. Promote, Sell, Improve
Once your inventory lands safely at the Amazon warehouse, you'll get an email from Amazon saying your items are for sale. Once that happens, it's all about promoting your merchandise, making sales, and improving.
You can promote your Amazon merchandise on social media or through your own website. As you get sales, be critical or your performance and make improvements.
Should you adjust pricing? Should you alter your product descriptions?
Learn more about getting coaching from successful FBA entrepreneurs to stay on top of the latest full-time FBA trends.
Wrapping Up Steps to Get Rich as a Full-Time FBA Amazon Seller
There you have it! 7 simple steps that will pave the way for your to get rich as a full-time FBA seller.
We recommend doing your diligence when it comes to picking your niche and products. The more insight you can gain before you spend money on inventory the better chances you'll have at being profitable.
For more of the best career advice you can find online, check out more of our content on Washington Post's National Jobs.