Why You Cannot Make Money Selling On Amazon

This is how sellers actually make money - in the first pinned comment.

Selling on Amazon sounds easy, but once you factor in GST, Amazon’s fees, shipping, and ads, most of your ₹1,000 sale is gone. After all that, you’re barely left with ₹250.

And that's without counting returns, packaging, or other costs.

Those "zero investment" success stories? They don’t tell you the full story.

#amazon #flipkart #ecommerce #d2c #business #startups

[shankar_unravelled]

Here is how the few sellers that actually make profits on Amazon do it:

🔵 In 2019, of Amazon’s 400, 000 sellers in India, JUST 35 were responsible for about two-thirds of its online sales. And Amazon held equity stakes in several of these sellers, blurring the lines between being a middleman and acting as a direct seller. So it's really Amazon who is taking all the sales.

🔵 Third-party sellers that actually end up making money on Amazon usually sell items where they have extremely high margins and low return rates. Even in these cases, it usually takes months before a product listing gets ratings and reviews and starts bringing regular, organic orders.

🔵 A great example of this is sellers selling artificial jewellery. Imitation earrings that cost Rs. 20 can easily sold at a 15x price of Rs. 300 on Amazon. But beware - the competition here is very high and you will have to burn a lot of money initially on ads to get sales and build reviews for your product.

🔵 Another category of sellers successful on Amazon are D2C brands that have already built an organic presence and brand identity, so people search for their products on Amazon. A great example is BOAT - they sell on Amazon, on their own website, as well as via offline channels. But even BOAT was not profitable last year.

🔵 Avoid apparel: You will find very few sellers who are able to make money by selling Apparel on Amazon. It's often manufacturers of apparel following the factory-to-customer model and selling on razor-thin margins.

[sabahsan]

From my experience with zero investment we can't make anything from Amazon. If you need to make profit you need to sell High margin products not cheap or trending products but products which can sell in between 500-1000rs. in india it's not so easy to make profits by selling products below 500 online. And minimum you need 7-10 Lakh investment per product. And everything lies on your unit economics but still you can make profits but not as the online grus saying 😂 without any investment.

[VA]

Actually he doent know what to sell, how to source, how to sell to make money on amazon and he is giving gyan. I am a seller on amazon and I am doing great. Am not a manufacturer even. And even with so much competion, I am still hopeful of continue selling fuitfully in coming years. However dont ask me how I do it. Its not something which can be sold as a course. And anyways why woulf a seller reveal his business tricks, which he has learned over the years putting in so much efforts, to other. Start, keep trying, keep learning, and eventually you will find out what works for you.

[ManishGupta-zvep]

No what he says is correct, making money on amazon is not possible.

[Aryansingh_-jk]

So why even other people are selling products for 1000 rs oor less then 1000rs ??

[pk.organic]

U shld know what products have to be sold, from where to buy, Thats the secret.
Which only an idiot will say.
Thats sectret

[gauravtyagi]

सेलर घाटे में प्लेटफार्म घाटे में बहचो कमा कौन रहा है😂😂😂😂

[MichaelFernandez]

😂 what did he say? lol BS bro I sell on Amazon and I do great.