Most people think of Amazon as a place to shop, but far fewer realize how many different ways there are to earn money from the platform.
I learned this firsthand when I tried selling private label products through Amazon FBA. My own experiment never grew into a profitable business, although one of our contributors, Marc Andre, used the same model to build and sell a six-figure Amazon FBA brand.
Amazon is one of the few platforms where regular people can create income across a wide mix of options. Some involve selling physical products. Others let you earn without touching inventory. Each comes with different startup costs, different levels of difficulty, and different time commitments.
In this guide, I break down the nine most common ways to make money on Amazon and rank them from the lowest to the highest startup cost. You will also see who each option is best for, how hard it is to start, and what to expect as a beginner.
The goal is simple. Help you choose the method that fits your goals, your skills, and your budget without hype or unrealistic promises.
1. Amazon Associates
The Amazon affiliate program is called Amazon Associates. This is one of the easiest ways to earn money from Amazon because you do not need inventory or a product of your own.
You simply recommend products on a website, blog, email list, or social media account and earn a commission when someone buys through your link.
I do not run a physical product review site, so Amazon Associates has never been a major income source for me. Most of my links point to books and small items. For example, over the past month my Amazon Associates dashboard shows $3.48 in earnings!
People who do well with Amazon Associates usually focus on physical product niches. A camping website that reviews tents and outdoor gear is a good example.
Influencers also use the program heavily. During events like Black Friday, you will often see creators publish simple lists titled something like “10 things I love.” They link to each product on Amazon and earn a commission on anything the visitor buys during that shopping session, which can include additional items placed in the cart.
Pros of Amazon Associates
- Countless products you can promote.
- A real possibility for passive income once your content starts ranking.
- A niche website can become an asset you can sell.
- Newer websites or influencers can often get approved.
Cons of Amazon Associates
- Commission rates are low.
- You only earn money if the visitor buys within 24 hours of clicking your link.
2. Amazon Influencer Program (My Top Pick)
The Amazon Influencer Program allows creators to earn commissions by recommending Amazon products through a personalized storefront and shoppable videos.
The program requires a social media account on TikTok, Instagram, YouTube, or Facebook for acceptance, but your follower count matters only for getting in.
Once Amazon approves your account and your first few videos, most of your commissions come from shoppers who watch your product videos directly on Amazon listing pages.
This is why many influencers in the program earn money even if they rarely post on social media.
After approval, you gain access to tools such as a custom storefront, idea lists, shoppable photos, and short product videos that Amazon can place inside the listings for millions of products.
Our team published a complete guide that covers the top strategies used by successful Amazon influencers, and it explains how creators maximize earnings once their videos are live.
The opportunity is appealing because you can start by creating videos for products you already own, and Amazon handles the distribution by showing your videos to shoppers who are already looking for the item.
Pros of the Amazon Influencer Program
- Low startup cost if you already have products to review.
- Most earnings come from Amazon listing placement rather than your social media audience.
- Access to a customized storefront with a vanity URL.
- Shoppable videos can appear directly on Amazon product pages.
- Ability to earn one time bounties from promoting Amazon services.
Cons of the Amazon Influencer Program
- Commission rates are low.
- Strict program rules can lead to removal if not followed.
- High competition on popular products with many existing videos.
- You need the physical product to create photos or videos.
- Products change often which can make older videos outdated.
3. Kindle Direct Publishing (KDP)
Kindle Direct Publishing is Amazon's platform for self published e books and print books.
There is no cost to publish. You upload your manuscript, choose your book details, and Amazon handles printing, delivery, and customer service.
KDP works well for people who want to create digital products that can earn for months or even years.
Some authors publish short guides in niche subjects while others write full length books.
KDP is a long term business model because only a small percentage of books take off quickly. The authors who tend to do well usually have deep experience in a specific topic and can create several short, helpful books around the problems their audience faces.
For example, a CPA who works with small businesses could write five or six short guides for entrepreneurs, each focused on a narrow accounting question.
AI can help with outlining or drafting, but success still depends on your expertise, the quality of the book, reviews, and how well the topic matches reader demand.
KDP is not a quick win, although it can become a reliable passive income stream for authors who produce multiple titles in a focused niche.
Pros of Kindle Direct Publishing
- No inventory or shipping required.
- Very low startup cost.
- Books can generate passive income for a long time.
- Works well for niche topics that solve specific problems.
Cons of Kindle Direct Publishing
- Most books sell for low prices.
- Success often requires publishing multiple books.
- High competition in popular categories.
4. Merch By Amazon
Merch by Amazon is another way to make money on the site without paying for or dealing with inventory.
This print-on-demand program for apparel allows you to make money by designing t-shirts, hoodies and other items. You'll upload the design and when someone purchases it, Amazon will print and ship the item.
You'll need to get an invite in order to sell through Merch by Amazon (which can be requested from the company). Since the items are printed as they're sold, you'll have no need for inventory.
If you're a designer, Merch by Amazon could be a great fit. But even if you're not a designer, you could outsource the design work and still maintain the ownership and rights to the designs.
Pros of Merch by Amazon:
- Potential for passive income.
- No need to deal with inventory.
- Low startup costs.
Cons of Merch by Amazon:
- You'll need to get an invitation in order to sell.
- Many successful designs will be copied by competitors.
- If you're not a designer, you'll probably need to outsource the design work.
5. Amazon Handmade
Amazon Homemade is Amazon's marketplace for artisans who want to sell genuine handcrafted goods.
It functions as a competitor to Etsy and gives makers access to Amazon's huge customer base.
To join the program, you must apply and be approved. Amazon reviews your products and your production process to confirm that your items are truly handmade.
Once approved, you can create your storefront, set your pricing, and list your products in categories such as jewelry, home decor, accessories, and gifts.
Amazon charges a 15 percent referral fee on each sale, but there are no listing fees.
You can fulfill orders yourself or use FBA if you prefer to have Amazon handle shipping.
For many sellers, Handmade works best when it complements an existing Etsy shop.
One of our team members wrote a detailed guide on how she creates and sells digital artwork on Etsy, which is helpful if you want to explore digital products before moving into physical handmade items.
We also have a full guide on how to make money with Etsy that covers pricing, market research, and how to turn handmade skills into a real income stream.
Amazon Handmade is a good option for artisans who already enjoy making products and want the added reach that Amazon offers.
Pros of Amazon Handmade
- Ideal for artisans who already sell on Etsy or at craft fairs.
- Access to Amazon's large customer base.
- No listing fees.
- Option to use FBA for order fulfillment.
Cons of Amazon Handmade
- Creating handmade products takes significant time.
- Not a good option if you are not already skilled at making crafts.
- FBA can be expensive for heavy or fragile items.
6. Selling Used Items (Including Books)
Another option is to sell used items. While Amazon does have a popular trade-in program, that's more for earning free Amazon gift cards and not a legitimate business.
To start a real business, one of the most common approaches is to sell used books. However, there are other types of used items you can sell.
For example, used cameras and lenses can maintain good value if they're in decent condition, and there's a large market for used photography gear.
Amazon does have some restrictions on the used items that can be sold (mostly for the safety of Amazon's customers), so you will want to be sure that you can sell a product before moving forward.
Pros of selling used items
- Potentially less competition than the other approaches listed above.
- Possibility for good profit margins if you can buy at the right price.
Cons of Selling Used Items
- Constant need to find more items to sell.
- If you're selling low-cost items (like books), you'll make a small dollar amount on each sale.
- Restrictions from Amazon on certain types of products.
7. Retail Arbitrage
Retail arbitrage means buying products at a discount and reselling them for a profit.
Instead of creating your own brand, you source items from existing brands and capitalize on price differences between retail stores and the Amazon marketplace.
To make money with retail arbitrage, two things matter most:
- Finding products that are heavily discounted but still in demand, and
- Accurately estimating your sale price and Amazon fees so there's real profit left.
Sellers typically hunt for clearance and sale items in big‑box stores, discount chains, outlet stores, and online retailers.
Retail arbitrage can be very profitable, but it's also a constant grind. You need to keep scanning, sourcing, and shipping new inventory to maintain sales, because once a profitable item sells out, you have to find the next one.
Amazon also keeps tightening the rules. Many categories and brands are “gated,” meaning you must apply and be approved before listing those products, often by providing invoices from authorized distributors or brand permission.
In some cases, getting approved is extremely difficult for small or new sellers. Policies and brand restrictions can change with little notice, so a product that's fine to sell today might become restricted tomorrow.
Pros of retail arbitrage
- You can get started quickly with relatively little upfront capital.
- No need to develop your own product or brand.
- You can piggyback on the demand and reviews of established products.
Cons of retail arbitrage
- You must constantly search for new profitable products to keep revenue coming in.
- Tightening Amazon policies, gated categories, and brand restrictions make it harder than it used to be.
- Documentation and account‑health issues (like IP or authenticity complaints) can pose real risks, especially if you rely only on retail receipts.
8. Selling Products From Wholesalers
Buying inventory from wholesale distributors is another common way to make money on Amazon. It sits between retail arbitrage and private label in terms of startup cost and difficulty.
You are not creating your own brand. Instead, you purchase existing products in bulk from authorized distributors and resell them on Amazon.
The appeal of wholesale is stability. If you find a product that sells well and your supplier can keep you stocked, you can reorder the same item repeatedly rather than hunting for new deals every week. Many sellers prefer wholesale because it allows for more predictable inventory planning than retail arbitrage.
The main challenge is product selection.
Wholesale works only when you can buy at a low enough price to sell at a profit after Amazon fees. This means running the numbers carefully and often competing with other sellers on the same listing. The strongest wholesale sellers use tools to analyze price history, seller count, profit margins, and brand restrictions.
Amazon has also tightened brand and category gating in recent years. Today, most reputable wholesale suppliers provide the invoices needed for ungating, but approval is never guaranteed. You may need to avoid certain brands or categories entirely.
Despite the hurdles, wholesale remains a scalable business model. Once you find profitable products and build relationships with reliable distributors, it can become a steady, repeatable income stream.
Pros of selling wholesale on Amazon
- Consistent products you can reorder for repeat sales
- No need to develop or market your own brand
- Less reliance on one-off deals compared to arbitrage
- Potential to scale as you build supplier relationships
Cons of selling wholesale on Amazon
- Lower profit margins compared to private label
- Minimum order quantities can require more upfront capital
- Many brands already sell on Amazon directly, increasing competition
- You need approval from Amazon for restricted categories and brands
- Finding winning products takes time and research
9. Selling Private Label Products
Private label means working with a manufacturer to produce an existing product under your own brand, then using Amazon FBA to store, ship, and fulfill orders.
It's one of the most popular Amazon business models because, once a product gains traction, you can reorder the same item and build a consistent sales stream rather than constantly searching for new inventory.
Private label also comes with more risk and more upfront work than most of the lower-cost Amazon options.
One of our contributors built and sold a six-figure private label brand in under two years by choosing a strong first product and expanding into a small line of related items.
On the other hand, my own private label experiment was a reminder that timing and product selection matter. I launched a travel yoga mat brand shortly before COVID disrupted both travel demand and supply chains. We invested about two thousand dollars, made some sales, but ultimately shut the brand down.
That contrast captures private label well: the upside is real, but so are the challenges.
Today competition has increased, Amazon PPC costs are higher, and most categories demand stronger branding, better photos, and a more polished listing. At the same time, Amazon's FBA and Brand Registry tools make it easier than ever for small sellers to operate like a real consumer brand.
Private label is best for people who want to build an asset, enjoy product development, and can invest both time and capital into making a listing stand out.
Pros of selling private label products
- Potential for high profit margins
- Ability to build a real brand that can be sold
- Consistent reorders once you find a winning product
- FBA handles fulfillment and most customer service
Cons of selling private label products
- Higher startup cost than other Amazon methods
- Increased competition and higher ad costs
- Vulnerable if your main product slows down
- Requires strong listing optimization and ongoing inventory management
- Requires ongoing cash flow to grow the brand
10. Sell a Custom Product
With a private label product, manufacturers use one of their own stock products and slap your brand name on. But creating a private label brand isn't the only option if you want to sell your own product.
Another option is to design and create your own custom product by having a manufacturer produce an item according to your specs. Many of the manufacturers you'll find on Alibaba (and elsewhere) are ready and able to do this.
Most Amazon sellers choose to go with one of the manufacturer's stock products and opt for the private label route because it's fast, easy and inexpensive. However, if you're using a stock product, it's usually very easy for other sellers to copy it.
By creating your own unique product, you may be able to get a patent (if there's something patent-worthy about your product), which will protect you from others who may want to copy your success. And if you can't get a patent, you may be able to get an agreement from the manufacturer to not use your design for anyone other than yourself.
Creating and selling a custom product will definitely take more work upfront, but it will give you a better chance to sustain long-term success.
Pros of selling a custom product
- You may be able to get a patent for your product and protect yourself from other sellers who want to copy it.
- Easier to differentiate yourself from your competitors (compared to private labeling).
- Most manufacturers are willing to work with you to create your own unique product.
Cons of selling a custom product
- Requires more work and effort to get your product created and ready to sell (compared to private labeling).
- Requires more cost (compared to private labeling).
- Not all products can be patented. If yours can't be, competitors may still be able to copy your successful products.
Amazon Flex Program 101
Amazon Flex is not technically a way to make money on Amazon in the same sense as selling products or earning commissions. It is closer to a delivery side hustle that lets you earn income by delivering Amazon orders. S
till, with Amazon's growth and the rise in Prime deliveries, many people use Flex as a part time way to bring in extra money.
Flex drivers use their own vehicle to deliver packages for a set period of time, called a delivery block.
Amazon lists the expected pay for each block in advance, along with the estimated time it takes to complete. You must be at least 21 years old, have a qualifying vehicle, pass a background check, and live in an area where Flex is active.
Flex can be a good fit if you want a temporary source of income or a side hustle with flexible hours. It does not involve selling, and the long term earning potential is more limited than other options in this guide.
If you want a complete breakdown of how the program works, how drivers get paid, and what to expect, you can read our full Amazon Flex guide.
What I Would Do If I Were Starting Today
After trying many online business models myself and seeing what works for others, I can say with confidence that the most important part is choosing a path you can stick with.
If you want a small income stream and low startup costs, the Amazon Influencer Program is one of the best places to begin. You can start with items you already own and learn the basics of creating helpful content for shoppers.
None of these methods produce quick results, and Amazon is not a platform where shortcuts last long.
Every option requires time, effort, and a willingness to learn how the system works. The advantage is that Amazon's growth continues to create opportunities for people who understand the ecosystem and can stay consistent.
If you take your time, focus on quality, and keep learning as you go, you can build an income stream that fits your goals and your schedule.
