How to sustain business on amazon ?
How do Amazon sellers sustain their business model ,if they are selling a product for $9 but after deduction all fees and expenses, they are not even making a profit of few cents ?
How to sustain business on amazon ?
How do Amazon sellers sustain their business model ,if they are selling a product for $9 but after deduction all fees and expenses, they are not even making a profit of few cents ?
0 replies
Seller_7LrAV0m5llaI7
They buy from wholesale distributors, instead of paying retail from a store.
You will either have to raise your price or get a better wholesale cost from your supplier.
Seller_qB5S3o9bDtJ5E
try to sell more multipacks and bundles and fewer single units to improve overall profit margins.
Seller_T2N9qK9aX55sg
It depends on the product, we used to have a product that we sold for $9.99 FBA, we made 25-30% on profit on the product back, however, you need to sell a lot of it to make profit, but again, if you are selling 1000 units a month, at 25-30% they are small, do not take a lot of space, are light weight to ship, you can make money.
Seller_XWBwqhoudLrgi
I couldn't fully master the subject, can you explain a little more detail?
Christine_Amazon
Hello all!
This is Christine from Amazon.
I would like to thank you for the participation on this post, I know with your responses have helped our seller @Seller_OnE5RCKaTpp3c with this question.
Christine.
Seller_7Yg6mKmvwV8d5
I have very few products under $20 - most in the $100 - $200 range. Selling products in the $9.00 range is very hard, and even if your cost is 50 cents, the profits per sale divided into your time invested may never get you beyond a hobby business. I would strongly advise to focus on higher value products, or maybe bundle 3 or 4 of your $9 item to sell for $30 or $40, where the shipping fees eat up way less of your sales.
