Embarking on an ecommerce venture can offer a slew of irresistible benefits.
With Amazon, in particular, you’ll be able to reach a massive customer base while also having a good chance of selling; 89% of Amazon sellers are profitable.
But what if you’re not ready just yet to invest in starting an online business? The good news is that you don’t have to!
Continue reading to learn the ins and outs of how to sell on Amazon for free.
Can You Sell on Amazon for Free?
Yes, you can sell on Amazon without spending money, or maybe just a few bucks. That’s one of the reasons it’s a go-to for anyone wanting to test the waters before starting an ecommerce business.
Related: Amazon vs. Kickstarter
However, to sell on Amazon for free, there are some steps and factors to consider, which we’ll go over below.
What Are Amazon’s Fees for Sellers?
As you launch your journey of becoming an Amazon seller, you should be aware of the basic seller fees it charges.
The fees vary depending on the selling plan you select when you create your account; there are two options: Individual Plan and Professional Plan.
Note that referral fees remain the same regardless of the plan you choose.
Let’s take a closer look at each of them:
Individual Plan
Since you want to start small, signing up as an individual seller is your best bet. This plan doesn’t impose any kind of upfront costs on sellers.
That said, you’ll be limited to selling less than 40 items per month and aren’t qualified for many benefits, such as running product ads.
The main fee deducted while on this plan is a flat rate of $0.99 per item sold.
Then there are fulfillment fees, which cover the costs of shipping the product to the buyer. There are two shipping options, and the fee is determined by which one you select: Fulfillment by Amazon (FBA) or Fulfillment by Merchant (FBM).
Related: Starting an Amazon FBA Business
Professional Plan
You’ll need to subscribe to the professional plan when you’re ready to take your online business to the next level.
Experienced sellers favor this plan as it allows them to sell over 40 products per month and unlocks some pretty cool features. Some of them include qualifying for top placement on product pages and integrating advanced seller tools like API.
This plan costs $39.99 per month, excluding any other associated selling fees, such as fulfillment and referral fees.
Referral Fees
For each item sold, Amazon will charge you a referral fee, which is deducted in one of two ways.
The first is a percentage—which varies depending on the product category—of the order’s total cost, including the product price, shipping costs, and any additional charges.
Alternatively, you’re charged a minimum amount, which is currently $0.30 across all categories.
Amazon charges sellers using the method that generates the higher value. For example, if the percentage resulted in $0.20, you’ll be charged the minimum amount of $0.30.
Free Products You Can Sell on Amazon
You’re probably wondering what to sell on Amazon without spending a penny. There are primarily two free things you can easily turn into extra cash:
Items You Have at Home Already
Posting items that you already have lying around your house is a good place to start. It could be a brand-new item, like a T-shirt that you had a change of heart about after purchasing, or something used.
Surprisingly, 93% of Americans now shop for secondhand products online, increasing your chances of selling used goods.
It’s worth noting that Amazon only allows certain categories to be listed as used; for instance, you can’t sell used watches or shoes.
A Book You Wrote
Selling books on Amazon can be your launchpad to turning your skill into an extra source of income.
You can use Amazon to publish and sell your books in a variety of formats, including ebooks and paperbacks, for free. Of course, Amazon’s post-sale fees remain.
How to Sell on Amazon for Free
Sit tight as we walk you through the four simple steps on how to sell on Amazon successfully for free:
Step 1: Find a Free Product to Sell
First, find free goods you can sell for a decent profit margin. Choose one of Amazon’s profitable products, such as books, ebooks, or cameras. Fortunately, all of the items mentioned can be sold secondhand.
If you enjoy making handmade goods, that’ll also work; in fact, Amazon Handmade is a community that specializes solely in selling such items.
Step 2: Create an Account and a Listing
After you’ve decided on a product, you’ll need to open an account as a seller. Go to Amazon Seller Central and begin the registration process for an individual seller account.
After that, you’ll be ready to create a listing for your product, which is a free step on Amazon (We’ll go over how to create an account and a product listing in detail below).
Step 3: Market Your Product
There are some tactics you can use to create a marketing plan at zero expense. One of them is to offer discounts on your products, which will allow you to reach more potential buyers organically.
You can also promote your listings on your most active social media accounts. It’d be fantastic if you could ask some of your friends and family to share these posts!
Lastly, use the “Request a Review” button, which sends an email from Amazon to the buyer requesting a review. Your chances of selling a product increase as you receive more positive customer reviews.
Step 4: Ship Your Product
The final step in the selling process is selecting a shipping method. Both FBA and FBM have benefits and downsides, so do your homework before deciding which is best for your business.
One significant difference between the two methods is that with FBM, you won’t have to pay Amazon’s storage fees, which can be costly.
Meanwhile, using FBA means that you’ll be relieved of all logistics and customer service responsibilities.
Using Amazon’s FBA revenue calculator is a great way to predict which method will cost you less.
How to Create an Amazon Account for Free
It’s time to reveal the three major steps for setting up a free Amazon seller account:
Step 1: Select an Individual Account
Navigate to “Pricing” in Amazon Seller Central and select “Compare Selling Plans” from the dropdown menu.
You’ll be taken to a page that explains both individual and professional accounts. Scroll down until you reach the “Sign Up for Individual” button and click it.
After that, you’ll be prompted to enter your existing account credentials (email and password) or create a new one.
Then, a page will appear showing you what type of information you should expect to fill out. It’ll also specify what you’ll need to have on hand, such as a valid government-issued ID/passport and a chargeable credit card.
Step 2: Add Business, Billing, and Product Information
In this step, you’ll need to enter your business location and type as well as your full name.
Make sure the location is correct because Amazon will confirm it later. As for the business model, you can select “None, I am an individual” since you don’t have an official store yet.
When you agree to the terms and proceed, you’ll go through four self-explanatory stages to complete your seller account.
The first three stages require you to enter personal and billing information, as well as answer some questions about the product you’re selling.
Step 3: Complete Identity Verification
We wanted to point something out when you get to stage four for identity verification. After entering your information and uploading documents to verify your identity, you’ll need to hop on a call with an Amazon associate.
Its main purpose is to validate all the information you’ve entered. But if you weren’t available at the time, you can reschedule the call.
How to Set up an Amazon Listing for Free
Finally, let’s show you a quick and easy way to create product listings free of charge:
Step 1: Find an Identical Product
It’s highly likely you’ll come across lots of products similar to the one you’re selling.
Therefore, instead of starting a listing from scratch, search Amazon for the name of the item you want to list. Once you find it, look for the “Sell on Amazon” button on the bottom right and click it.
Step 2: Enter the Required Information
By clicking the button, you’ll be displaying your product in an existing listing. As a result, you’ll only need to add or tweak minor details.
For example, you’ll need to specify things like product condition, price, and fulfillment method. Naturally, to boost your chances of selling, your offer should be within the lowest price range, which is usually what Amazon will recommend for you.
Wrapping Up
To cut a long story short, yes, you can sell on Amazon for free by signing up for its individual plan and listing products that you make or already have.
Don’t forget to carefully compare Amazon’s shipping methods, as choosing the wrong one can result in marginal profits.
Now, if you have any questions, please leave them in the comments and we’ll gladly answer them!
I find it interesting that Amazon has sponsored ads for products that directly compete with their own private-label brands. Is this a win-win for them?