Amazon.com is an online store that cares about its customers. It also makes electronic devices and offers online services. Initially, it only sold books, but it now sells a variety of goods.
It also sells its own electronics, like the Kindle e-book reader and the Kindle Fire tablet. In 2020, Amazon only sold goods and made $215.915 billion. Amazon has a lot of active users, so dropshippers can use it as an extra sales channel to start their Amazon dropshipping business.
Dropshipping is the new way to do business online. Dropshipping lets sellers give the job of filling orders to their suppliers, so they don’t have to deal with packing and shipping the goods themselves. Also, they don’t have to deal with inventory, so it costs less and takes less time than other ways to sell things. Since you can start a dropshipping business with very little money and no costs up front, starting an online dropshipping business in 2023 might not be too hard.
When you dropship on Amazon, you can share the traffic on its website. This makes it cheaper for dropshippers to get people to visit their sites. But if you want to do dropshipping on Amazon, you should first answer the following questions:
What Is Dropshipping on Amazon?
Amazon dropshipping is the same as traditional dropshipping on other platforms, except that you sell the product on the Amazon marketplace instead of on other e-commerce sites like Shopify and Wix.
Because it has such a large market share, a lot of dropshippers choose the extra sales channel to do dropshipping. Dropshippers can also use Amazon’s ads to get the word out about their business.
Since the Amazon dropshipping model is the same as dropshipping on other e-commerce platforms, you should know a lot of things about dropshipping, such as how to find reliable suppliers and if there are any tools that can help you. You can find the answer in our article on How to Find Trustworthy AliExpress Suppliers.
How Does Drop Shipping on Amazon Work?
Dropshipping is an e-commerce method in which the seller takes orders and then sends the orders to the manufacturer, distributor, or supplier. That is, when customers buy something, the sale is made directly by the supplier. So how does drop shipping on Amazon work?
Even though the whole dropshipping process sounds complicated, it can be broken down into just three easy steps:
- A customer of Amazon, who is also a customer of your online store, buys the product you listed on Amazon.
- Once the customer has placed the order and paid for it, you buy the product directly from your trusted supplier (who you find to fill your order) and give them information about the customer and the order.
- The supplier gets the product ready and sends it to your customer with this information.
The person in the picture below shows you exactly how to learn the basics of dropshipping on Amazon. In this way, you act as a link between your customers and your suppliers.
How to Do Dropshipping on Amazon: Steps and Needs
Now that you know how dropshipping on Amazon works, you should find out how to start and if there are any restrictions on how you can start dropshipping on Amazon.
It’s easy to start dropshipping on Amazon; all you need to do is follow steps.
Set up your account to sell on Amazon
Set up an Amazon seller account. This is the first thing you should do. If you want to sell a lot of products, you should choose a professional plan when choosing a plan. Keep in mind that you also need to have prices that are competitive if you want to attract customers or make sales. You can add your information and sign up at Amazon Seller Central.
Find Products That People Want
When it comes to the goods, they should be in high demand. If that doesn’t happen, the profits won’t be very big. But you should also know that it might be hard to get your money back if you choose to sell products that are in high demand.
So, when you choose a product, you should think about all of these things and then choose the one that fits you best. Read Best Dropshipping
Pick an online store platform
If you want to start an online business with a dropshipping model and already have an account and a product to sell, you don’t have to stick to Amazon. You can also dropship on eBay, Shopify, and other sites.
Since Amazon now supports Shopify, Shopify users can add Amazon as an extra sales channel to their Shopify online store to make it easier to manage orders on both platforms. Shopify lets you change the look of your online store and gives you professionally made themes. This will make your store look better.
Find Suppliers
Once you know what to sell, you need to find a place to get it from. No matter where you find the supplier, you should make sure they are trustworthy and can meet your needs. AliExpress is the largest platform for dropshipping suppliers. With lower prices, suppliers on AliExpress are good options for online dropshipping.
List your products on Amazon.
Now, you need to list your products on Amazon. Go to Seller Central, click on Inventory, and then click on “Add a product.” Use the template it gives you to add a product so you don’t mess up the information or layout of your product.
Get Your Products Approved for Their Category
For some types of goods, you need to ask permission to sell them. You can find out about these categories by going to Seller central > Account health > Policy. If they are on the lists, you should ask permission to dropship from them before you start.
Your Amazon account can be linked to Shopify
You can skip this step. If you already have a Shopify online store and want to add Amazon as an extra sales channel for your dropshipping business, you should go to Shopify to connect your Amazon seller account. Go to Shopify, click “Add Sales Channel,” find Amazon, and click “Add Channels.” Then, click “Connect to Amazon” to move on. Then you’ve made a link between the two.
Get the word out about your store.
Now you have a store and something to sell. You can start your business. You need to let people know about your store before they can buy from it. You can count on Amazon’s advertising services, which will help you get the word out about your store and products.
What else you should know about Amazon dropshipping
Dropshipping on Amazon might have pros and cons that you should look into for the success of your dropshipping business.
Then what’s the point? Everyone knows that Amazon has millions of active users. This means that Amazon has a large database of customers. So, when you start your Amazon dropshipping business, you don’t have to worry too much about marketing and SEO to get people to buy your goods. If your products and store are on Amazone, people may be more likely to trust and rely on them.
But there are still some things that can’t be done:
Policy Restrictions: As was said above, you can’t sell in some categories on Amazon, and you have to ask permission to sell in other categories. This can cause you some problems. If your products ever don’t follow the rules, they will be taken off the store, and you will have to work to get them back online. Also, this will affect how loyal your customers are to your store.
Customization Limits: When you do dropshipping on Amazon, you don’t have any control over how things are customized. Amazon is in charge of branding, user interface, marketing, and other things that have to do with customization, so you can’t change much about your products or stores.
You can use AliExpress to find reliable suppliers no matter where you open your online store for your dropshipping business.
Why does everyone use AliExpress?
It gives dropshippers cheap but useful products to sell, and the price is reasonable and the quality is guaranteed. And AliExpress has a lot of reliable suppliers that can help your dropshipping business.
On this marketplace, dropshippers can look at different kinds of best-selling items. If you want to do dropshipping but aren’t sure what to sell, these lists will help you come up with ideas.
Final Word
A lot of sellers like the dropshipping business model because it’s a good way to cut down on the risks of handling inventory and it could cut down on costs. It could help you make money even if you have little or no money.
There are pros and cons to dropshipping on Amazon. You can easily find suppliers for your dropshipping business with the help of marketplaces like AliExpress. Also, there are many ways to sell online, like Amazon, Shopify, and Wix, which can help you open your own online store. Last but not least, a dropshipping tool like dropship-empire can help you solve many of the problems you’ll face when dealing with orders, which will save you a lot of work. We hope that you find these channels and tools useful.
And now that you know the 8 steps to start an Amazon dropshipping business, it’s time to use your great business idea to start your Amazon dropshipping business.