How to sell private label products on Amazon FBA:
With private label, you find or produce bulk products to sell under your own brand or label. This is the most common sales method — 71% of all Amazon sellers use it.
What you do:
1.
Product research: Research products that have high demand and low competition on Amazon to find the most profitable opportunity.
2.
Product sourcing: Find a supplier or manufacturer to create your product at the right cost. The supplier can ship your products directly to Amazon’s warehouses.
3.
Product listing: Create a listing for your product within your Amazon seller account and brand your product.
4.
Promotion: Launch and advertise your product to stand out among Amazon’s catalog of millions of products and rank in the product search results.
5.
Sales management: Monitor your inventory and sales, and scale your business to keep those profits coming in!
In short, your job is to find the best product that will sell on Amazon. After a customer orders your product, Amazon takes over.
What Amazon does:
1.
Amazon receives your products (from you or your supplier) and stores them in one or more of their million-acre fulfillment centers, which are massive warehouses run by robots and Amazon employees.
Your products are inventoried and sorted. (It’s in Amazon’s best interests to take good care of your products, but if they are somehow damaged in one of Amazon’s warehouses, Amazon will reimburse you the full retail price!)
2.
When a customer places an order on Amazon for your product, Amazon processes the transaction automatically.
Your product is picked from its place on Amazon’s warehouse shelves, packed into an Amazon box, and shipped to the customer.
3.
Amazon manages communications with the customer, including shipping notifications and tracking, reviews, and even returns.
In contrast, you can sell through Amazon’s Merchant-Fulfilled Network (aka Amazon Fulfillment by Merchant, or Amazon FBM), and you would be responsible for all fulfillment.
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