Is it worth selling on Amazon if you're a small business? I ask this because after you pay the $40 monthly fee, the advertising fees to get people to go to your product hopefully buy and all the other fees, seems like you're lucky if you break even or make anything here. Am I wrong or Is it just my thinking? Any advice would be great. Thanks.
View the reply ilovelife22 selected as correct
Is being a small business worth it with all the start up costs, overhead, and uncertainty?
Up to you to evaluate potential here vs cost. Amazon has tons of traffic.
We would have to know more about the products to judge at all. Is it one product or many? What are they?
Overall, it's a very small cost to try.
It depends on what you're selling. You cannot compete with large sellers or Amazon, so don't stock what they are selling.
If you're breaking even, you're doing it wrong. You have to adjust your pricing to offset the seller and marketing fees. It's surprising how people are willing to pay more on Amazon, but they are.
It is not just the product which is required to answer. It is also how you do business.
Many merchants make to transition to Amazon easily because of their business model. Their profit margins and customer service model are compatible. Their shipping practices and risk assessment are compatible.
Some businesses do not transfer easily. The no recourse, as is or final sale model. The undercapitalized business who has to turn their merchandise fast to pay their bills.
These businesses can make the transition but it is harder.
Not all merchants have the skill to adequately describe the condition of their product or the product itself. And some resent the time required to do it.
You do not have to pay Amazon for advertising. If your products have a market, the buyers will come. But as has been said, without details on what you want to sell, nobody can give you detailed help.
If you have appropriate product it is a huge opportunity. You will have to do the math. Cost of good sold, over head, return on investment.
If you are not sure of your math start very small so you can see how it ACTUALLY goes. Then decide if it is a good business model for you, or not.
Very good idea. I will charge more. Thanks for all of your advice, but Melodi May gave me something to think about. Thanks to you all!