How to Sell on Amazon – A Complete Beginner’s Guide

Amazon is the world’s largest e-commerce platform, giving millions of sellers the opportunity to reach customers globally. This guide will take you step by step through everything you need to know as a beginner — from setting up your seller account to making your first sale.

A laptop displays an Amazon Seller dashboard showing recent sales data, including total sales of $6,550.73 and 855 units sold. In the background, Amazon shipping boxes emphasize the connection to e-commerce success.

Table of Contents

• What is Amazon and Why Sell on Amazon?

• How to Create an Amazon Seller Account

• Methods to Sell on Amazon

  • Amazon FBA

  • Dropshipping

  • Private Labeling

• Choosing Products to Sell

• Checking Product Restrictions & Ungating

• Pricing, Inventory, and Managing Orders

• Advertising vs Organic Sales

• Receiving Payments from Amazon

• Avoiding Account Deactivation

• Final Tips for Beginners

What is Amazon and Why Sell on Amazon?

Amazon is a global marketplace with millions of daily customers. Selling on Amazon allows you to:

• Reach millions of buyers without building your own store

• Start with small investment (especially for Individual seller accounts)

• Scale globally with Amazon FBA logistics

• Benefit from Amazon’s reputation and trust

Illustration depicting Amazon's global logistics and data management, highlighting employees handling packages alongside analytics and location markers on a world map.

References / Links:

• Amazon Seller Central

• Statista: Amazon Marketplace Stats

How to Create an Amazon Seller Account

Step 0: Decide Account Type

• Individual Account: For personal, part-time sellers

• Business Account: For companies, high-volume selling, multiple users

Step 1: Prepare Required Documents

For Individual Account:

• Valid email address

• Phone number

• Personal bank account → Name must match ID

• National ID or residence card

• Home address → Amazon verification via postal code or video

For Business Account:

• Business registration documents

• Business bank account → must match business name

• Tax ID / VAT registration

• Authorized signatory ID

• Business address verification → postal or video

Step 2: Open Amazon Seller Central Signup

• Go to Amazon Seller Central

• Click “Register Now”

• Choose Individual or Business account

Laptop screen displaying Amazon Seller Central's account registration page, offering options for Individual with no subscription fee and Business at $39.99 monthly, enabling users to select their preferred account type to start selling.

Step 3: Enter Personal or Business Details

• Full legal name or business name

• Email and phone number → verification code sent via SMS

• Password setup

A laptop screen displaying the Amazon seller registration page, inviting new users to enter their details and start selling online.

Step 4: Bank & Tax Information

• Enter bank account info (name must match ID/business)

• Add tax info (SSN for individuals, Tax ID for business)

Laptop screen displaying Amazon Seller Central setup page for entering bank account information.

Step 5: Address Verification

• Amazon sends postal code verification

• Enter code once received

• Video verification if required

Laptop screen displaying a video call for identity verification next to an Amazon envelope with a verification code card on a desk.

Step 6: Final Review & Submit

• Check all information

• Accept Amazon terms & conditions

• Submit application

Tip: Use real info only. Keep documents ready to speed up verification.

Methods to Sell on Amazon

Amazon FBA (Fulfillment by Amazon)

• Amazon stores, packs, and ships your products

• Pros: Prime eligibility, easier logistics

• Cons: FBA fees, inventory management

Dropshipping

• Seller does not hold inventory

• Pros: Low startup cost

• Cons: Supplier reliability, slower shipping

Private Labeling

• Create your own brand

• Pros: Higher profit margins, brand ownership

• Cons: Higher initial investment

Comparison of E-commerce Models: An overview of Amazon FBA, Dropshipping, and Private Labeling, highlighting differences in inventory management, shipping responsibilities, branding strategies, startup costs, and profit margins.

Choosing Products to Sell

• Use tools like Jungle Scout, Helium 10

• Analyze demand, competition, and profit margins

• Avoid restricted or dangerous products

Laptop displaying Amazon product research data, including sales trends, pricing, and top products, alongside a cup of coffee and a notebook on a wooden desk.

References / Links:

• Amazon Best Sellers

• Jungle Scout

Checking Product Restrictions & Ungating

• Certain categories require approval (Ungating)

• Submit invoices, business documents, Amazon forms

• Avoid selling restricted items

A laptop screen displays an Amazon Seller Central dashboard with a pop-up alert stating that a category requires approval, indicating that ungating is necessary for selling restricted products.

Pricing, Inventory, & Managing Orders

• Use Amazon fee calculator

• Track inventory carefully

• Automate fulfillment where possible

Advertising vs Organic Sales

• Sponsored products vs SEO optimization

• When to advertise vs when organic sales work

• Budgeting for ads

A laptop displaying an Amazon Advertising dashboard shows detailed analytics of sales, orders, and ACOS percentages. The screen features graphs tracking sales and order trends, along with a comparison of ACOS versus ROAS metrics and sponsored product performance data.

Receiving Payments from Amazon

• Amazon pays every 14 days (depends on account type/country)

• Ensure bank account & tax info are correct

Avoiding Account Deactivation

• Maintain product quality

• Handle complaints promptly

• Avoid policy violations

• Respond to performance notifications

References / Links:

• Amazon Seller Policies

Final Tips for Beginners

• Start small, test products

• Use data to scale

• Keep learning from communities & resources

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