How To Sell Your Private Label Products on Amazon

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How To Sell Your Private Label Products on Amazon


Amazon has exploded from the online bookstore is began as in 1994 to being the world’s single largest online retailer. It is a household name and staple, and continues to expand with increasingly diversified product listings and its own growing portfolio of successful private label brands. The company has international influence with separate sites in the US, the UK and Ireland, France, Canada, Germany, Italy, Spain, Netherlands, Australia, Brazil, Japan, China, India, and Mexico. This far-reaching platform presents exciting financial opportunity to anyone looking to sell private label products.

Why Should I Sell My Private Label Products On Amazon?

Amazon Warehouse

As of 2015, 44% of shoppers check Amazon first whenever looking to make an online purchase, and the number has only increased. It is easily the biggest online retailer, and is in the top 5 of the most valuable public companies in the US. It has surpassed the once thought to be untouchable Walmart as the most valuable retailer in the US, and reaches hundreds of millions of people yearly. Amazon’s annual revenue in 2016 was $136 billion, a 27% increase to the previous year’s revenue. In 2017, the projected growth rate is even higher.

Of these impressive numbers, it’s been speculated that 41% of the revenue is generated by third-party sellers, which is pretty astonishing and great news for you. Third-party merchants have been wildly successful working with Amazon.

Amazon’s great track record with customer service, ease of use, and reliability has instilled trust and loyalty in its users, and when you use it as an eCommerce platform you reap the benefits of that customer trust and loyalty. Their user interface for sellers is extremely straightforward and user-friendly, so it is really an amazing platform choice for selling your private label products.

How To Sell Your Private Label Products On Amazon

Selling on Amazon

If you’re at the very beginning of the process to start your own private label company, I’d encourage you to read what we’ve already written about researching and selecting a product to sell, finding a manufacturer to create it, and branding your company.

For those of you who have completed those steps (congratulations!), the next step is to create a seller account and create product listings. Your listings should be eye-catching with high quality, aesthetically pleasing images and should include a compelling product description focusing on the product’s value and what sets it apart from similar items. You can highlight certain key points and make the description more dynamic by utilizing bullet points and bolded text where appropriate. If there is another product on Amazon identical to yours, locate it and click “Sell yours here”. Choose the price of your item, select the item condition, choose the shipping method of your item, set SKUs to help you keep track of your sold products, and confirm the listing.

What Is Fulfillment By Amazon (FBA)?

Fulfillment by Amazon (FBA)

Fulfillment by Amazon, or FBA for short, is a service in which a team of Amazon’s helpful elves takes care of fulfilling your orders while you sit in Tahiti sipping margaritas (or, you know, work on expanding your business.) Your items are stored, packaged and shipped by Amazon, and they also take care of any necessary returns and customer service for you. Using this services also makes your product an Amazon Prime item, with the Prime logo displayed next to listings, increasing credibility perception in potential buyers and motivating Prime members to choose your product.

Should I Use Amazon FBA To Sell Private Label Products?

There are many benefits to using the Fulfilment by Amazon program, and it is one of the key elements that sets Amazon above the rest of the pack for online sellers. The most basic, obvious reward of using FBA is that Amazon takes care of nitty-gritty work while you focus on establishing your brand and increasing your bottom line. Here a few more:

  • If you are working out of your home, there will (hopefully) come a time when you will have simply too much inventory to store yourself, and too much product coming in and going out to handle without a larger team. With the Amazon fulfillment program, you can continue to expand without limitations of space or manpower.
  • Once you establish a reliable relationship with your manufacturer(s), you can have your inventory shipped directly from the manufacturer to Amazon’s warehouse, cutting out hassle and shipping costs.
  • There are rumors that FBA products are ranked higher on the search result list than non-FBA products, helping you reach more potential customers.
  • Another benefit of using FBA is that it can give you an edge in winning the Buy Box, which is a crucial component to successful Amazon sales as somewhere between 80% and 90% of all Amazon sales go through the Buy Box.
  • The program allows for worthwhile low-margin sales that would otherwise not be worth the time is takes to fulfill an order.
  • Approximately 45% of US households have Amazon Prime, and as a number in that statistic I can tell you with absolute confidence that a
  • Prime user will almost never purchase a non-Prime item.

Once paying for a subscription, if there are two sellers selling the same product and one is Prime and one isn’t, the Prime option is a no-brainer. In fact, when I personally search up something on Amazon, I always filter it to show me only Prime items. That means that if you don’t sell your products through FBA, you significantly marginalize your consumer base, and the potential costumers you’d be losing are actually the most valuable. Amazon is pretty hush hush about hard numbers, but researchers have estimated that Prime members spend more than double on the site than non-Prime members. So even if you insist that you don’t mind the hassle that selling through FBA can alleviate, this sole benefit makes it worth considering.


Selling private label products on Amazon has been very lucrative for many third party sellers, and being successful through the site is made very accessible. FBA cuts out the manual work required to pack and ship orders. While they do take a small percentage from the sale for their efforts, it frees up substantial time investment. This is time that can then be devoted to growing the company and getting more inventory out there. Selling private label products successfully on Amazon can be challenging, but with all of the great resources out there outlining the process in detail it can be very accessible, exciting and rewarding.

Thanks for reading our Amazon feature. Check out our Walmart, Target, Rite-Aid, and Walgreens features while you’re here at Innovative Private Label.

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