Reselling on Amazon in 2026: How to Start & Make a Profit | Ecom Brainly

Reselling on Amazon in 2026: How to Start & Make a Profit

Learn the reselling models, product restrictions, sourcing methods, Amazon fees and first-order profit calculations.

Updated October 27, 2026

What Is Reselling on Amazon?

Reselling on Amazon is a business model where you buy existing products from retailers, wholesalers, or manufacturers and sell them to customers on Amazon for a profit. Unlike private-label sellers, you don’t need to manufacture products or create your own brand.

For example, suppose you purchase a branded kitchen accessory for $15 and find that the same product sells on Amazon for $35. The $20 difference isn’t your actual profit because you still need to deduct Amazon’s selling fees, shipping costs, and other expenses.

One important thing about Amazon reselling is that you usually sell through an existing product listing rather than creating a new one. If several sellers offer the same product, customers can compare their prices, delivery options, and seller ratings before purchasing.

As a reseller, you control your selling price, inventory quantities, and how orders are fulfilled. You can use Fulfillment by Amazon (FBA), where Amazon stores and ships your products, or Fulfillment by Merchant (FBM), where you handle shipping yourself.

However, not every product or brand is available for resale by every seller. Before purchasing inventory, you need to check whether Amazon allows your account to sell that specific product.

2. Different Ways to Resell Products on Amazon

There are three common ways to resell products on Amazon: retail arbitrage, online arbitrage, and wholesale reselling. All three involve buying existing products and selling them at a higher price, but they differ in where you purchase inventory, how much you invest, and how consistently you can restock products.

Reselling MethodHow It WorksMain Challenge
Retail ArbitrageBuy discounted products from physical retail stores.Finding consistent inventory and meeting Amazon’s sourcing requirements.
Online ArbitragePurchase discounted products from online retailers.Competing with other resellers and dealing with changing prices.
Wholesale ResellingBuy branded products in bulk from manufacturers or distributors.Finding reliable suppliers, getting approvals, and meeting minimum order quantities.

Retail Arbitrage

Retail arbitrage involves visiting physical stores such as Walmart, Target, or clearance outlets to find products selling below their usual market prices.

For example, you might find a branded kitchen accessory on clearance for $8 that currently sells on Amazon for $24.99. If you’re eligible to sell it and the fees leave enough profit, you could purchase a small quantity to resell.

The main difficulty is finding the same products again. Clearance stock is often limited, and retail receipts may not meet Amazon’s documentation requirements if the brand or category requires approval.

Online Arbitrage

Online arbitrage works similarly, except you source products from websites instead of physical stores.

For example, an online retailer might offer a 40% discount on a branded toy. You can compare that price with its current selling price on Amazon to see whether there’s a potential resale opportunity.

This approach allows you to research products from home and compare multiple retailers. However, other sellers may find the same discounts, increasing competition and pushing prices down.

Online retail purchases can also present documentation problems when Amazon requires invoices from manufacturers or authorized distributors.

Wholesale Reselling

With wholesale reselling, you purchase existing branded products directly from manufacturers or authorized distributors, usually in larger quantities.

For example, you could open a wholesale account with a pet care distributor and purchase 100 units of a branded grooming product at a discounted price. You then resell those units through the product’s existing Amazon listing.

Wholesale suppliers often have minimum order quantities (MOQs), so this approach generally requires more starting capital than buying a few discounted retail products.

However, working with reliable suppliers can give you a consistent source of inventory, proper business invoices, and opportunities to negotiate better purchasing prices.

Which method should you choose? Retail and online arbitrage allow you to explore resale opportunities with smaller purchases, provided the products are eligible and properly sourced. Wholesale is generally more suitable if you want to build a business around products you can regularly reorder.

3. Is Reselling on Amazon Legal and Allowed?

Yes, reselling genuine products on Amazon is legal in the United States, provided you follow applicable laws and Amazon’s selling policies. However, Amazon may restrict who can sell certain brands, products, or categories.

Under the US first-sale doctrine, people can generally resell genuine branded products that were previously sold legally. This protection has exceptions, including products that have been materially altered or differ from the versions sold through authorized channels.

This means buying a genuine product doesn’t automatically guarantee that Amazon will allow you to list it.

Can You Resell Branded Products on Amazon?

Yes. You can resell products from existing brands, but they must be authentic, accurately described, and eligible for sale through your Amazon seller account.

For example, you might purchase branded kitchen accessories from a legitimate distributor and resell them on Amazon. However, if that brand restricts third-party sellers, you may need approval before creating an offer.

Amazon also requires sellers to provide proof of authenticity when requested. This is why purchasing products from reliable sources and maintaining proper invoices is important.

Do You Need Permission From the Brand?

Not every brand requires direct authorization for resale. Some products can be listed without additional approval, while others require permission from Amazon, the brand owner, or both.

For restricted brands, Amazon may ask for:

  • Purchase invoices from the manufacturer or an authorized distributor.
  • A Letter of Authorization (LOA) from the brand owner.
  • Additional documents confirming the product’s authenticity or compliance.

A retail receipt from Walmart, Target, or another store may show that you purchased a product, but it may not satisfy Amazon’s requirements when manufacturer or authorized-distributor invoices are requested.

Which Products Require Approval to Resell?

Amazon places selling restrictions on certain brands, individual products, and product categories.

Examples of categories where additional approval may be required include:

  • Beauty and personal care
  • Grocery and gourmet food
  • Health products and supplements
  • Watches and certain jewelry
  • Shoes, handbags, and selected branded apparel
  • Certain electronics and collectible products

Not every product in these categories is restricted. Approval depends on the specific product, brand, and seller account.

Before purchasing inventory, check the product in Seller Central to confirm whether your account is eligible to sell it. We’ll cover the exact approval process in Section 5.

4. How Much Money Do You Need to Start Reselling on Amazon?

You don’t need thousands of dollars to start reselling on Amazon. You can begin with a small inventory budget, test a few products, and purchase more stock once you understand what sells profitably.

Your starting investment mainly depends on the products you purchase, the quantity you order, and whether you use Amazon FBA or ship orders yourself.

Amazon Seller Account Costs

Amazon offers two selling plans:

Selling PlanCostBest For
Individual$0.99 per item sold, plus applicable feesSellers testing products or expecting fewer than 40 sales per month
Professional$39.99 per month, plus applicable feesSellers planning to sell regularly or use advanced selling tools

Both plans also have referral fees, which vary by product category. If you use FBA, Amazon charges additional fees for fulfillment and inventory storage.

Example: Starting With a $500 Budget

Suppose you want to test one product by purchasing 20 units from a supplier at $12 each.

Here’s an example of your initial expenses:

Startup ExpenseEstimated Cost
Initial inventory (20 × $12)$240.00
Professional seller account (1 month)$39.99
Packaging and labeling supplies$20.00
Shipping inventory to Amazon$40.00
Reserve for unexpected expenses$100.00
Total Starting Budget$439.99

These are illustrative costs, not fixed prices. Actual inventory, shipping, and preparation costs depend on your products and suppliers.

This example leaves a small amount of the $500 budget unused, but most of the available money is already committed. You’ll also need to account for Amazon’s selling and fulfillment fees when products sell.

Should You Buy Inventory in Bulk Immediately?

Buying larger quantities may reduce your purchase cost per unit, but it also increases your risk if products sell slowly or competitors lower their prices.

For your first purchase, consider testing 10–20 units of an eligible product rather than spending your entire budget on a large order.

Before purchasing, make sure you can sell the product on Amazon, have acceptable sourcing documentation, and have calculated the expected profit after fees.

The goal of your first inventory purchase should be to test demand and profitability, not to invest as much money as possible.

5. How to Check If You Can Resell a Product on Amazon

Before buying inventory, you need to confirm that Amazon allows your seller account to sell the product. Some brands and products are open to resellers, while others require approval or aren’t available for third-party sellers.

You can check your selling eligibility directly in Amazon Seller Central.

Step 1. Check Product Restrictions in Seller Central

Follow these steps to check whether you can resell a product:

  1. Sign in to Amazon Seller Central and go to Catalog → Add Products.
  2. Search for the product using its name, UPC, or ASIN.
  3. Find the exact product you want to resell. Check the brand, size, color, and pack quantity.
  4. Select the appropriate product condition, such as New or Used, where available.
  5. Review the selling eligibility shown for that product.

Amazon may display one of the following options:

Seller Central StatusWhat It Means
Sell this productYour account can create an offer for the product without requesting additional selling approval.
Apply to sellYou must obtain approval before selling the product.
Not AvailableYour account cannot list the product at this time.

You can also select Show limitations to check whether restrictions apply to the brand, category, or individual ASIN.

Step 2. Apply for Approval if Required

If Amazon displays Apply to sell, click it to review the requirements.

Depending on the product, Amazon may request:

  • Purchase invoices from a manufacturer or authorized distributor.
  • A Letter of Authorization from the brand owner.
  • Clear photographs of the product and its packaging.
  • Product safety certificates or other compliance documents.

For example, if you’re planning to resell a branded skincare product, Amazon might request invoices showing that your inventory comes from an acceptable supplier.

Submit the required documents through the application. You can check its progress under Catalog → View Selling Applications in Seller Central.

Approval isn’t guaranteed, even when you submit documents.

Step 3. What If Amazon Doesn’t Allow You to Sell the Product?

If Amazon isn’t accepting applications for a particular product, you cannot list it until the restriction changes or your account becomes eligible.

In that situation, look for another product you can sell or contact the brand to explore legitimate reseller authorization.

Always check your eligibility before purchasing inventory. Otherwise, you could spend hundreds or thousands of dollars on products that you cannot list on Amazon.

Even after receiving selling approval, you remain responsible for supplying genuine products and meeting Amazon’s applicable product and condition requirements.

6. Where to Buy Products for Reselling on Amazon

Finding products at a low purchase price is important, but where you buy them matters too. Amazon may ask you to prove that your inventory is genuine, so it’s important to work with reliable suppliers and keep records of your purchases.

Here are the main places to source products for Amazon reselling.

Retail Stores and Clearance Sales

Physical stores such as Walmart, Target, Costco, and local clearance outlets can offer products at discounted prices.

Look for seasonal clearance, discontinued items, and promotional discounts. Before purchasing, check the product’s selling eligibility on Amazon and compare its current selling price with the store price.

Make sure the product is genuine, complete, and in a condition that matches how you intend to list it. Remember that buying from a retail store doesn’t guarantee Amazon will accept your sourcing documents.

Online Retailers

You can also find discounted products on retail websites during seasonal promotions, clearance sales, and limited-time offers.

For example, an online store might reduce the price of a branded kitchen product from $30 to $15. If the same product sells for $35 on Amazon, it may be worth researching.

However, online order confirmations and retail receipts generally won’t satisfy approval requests that require invoices from manufacturers or authorized distributors.

Authorized Wholesale Distributors

Wholesale distributors purchase products from manufacturers and supply them to retailers and other businesses.

To find wholesalers, you can contact brands for their distributor lists, attend trade shows, or search for established distributors in your chosen product category.

Before opening an account, check:

  • Whether the distributor is authorized to supply the brands you’re interested in.
  • Minimum order quantities and wholesale prices.
  • Whether the supplier provides proper commercial invoices.
  • Shipping charges, delivery times, and return policies.
  • Whether the products can be regularly reordered.

A lower wholesale price isn’t always the best deal. A reliable supplier offering consistent inventory and acceptable documentation may be more valuable than a cheaper, unverified source.

Buying Directly From Brands and Manufacturers

Some brands sell inventory directly to approved resellers through wholesale accounts.

You can contact the brand’s sales team and ask whether it accepts new retail partners, provides wholesale pricing, and permits sales through Amazon.

Buying directly from a brand can provide clearer sourcing records and more consistent access to inventory. However, brands may require minimum orders or restrict marketplace sales.

Invoices vs. Retail Receipts: What Does Amazon Accept?

A retail receipt proves you purchased something from a store. A commercial invoice from a manufacturer or authorized distributor provides business purchasing details that Amazon may require when reviewing selling applications.

For approval applications requiring supplier invoices, Amazon generally expects documentation containing:

  • Your business name and address matching your seller account.
  • The supplier’s business name and contact information.
  • The purchase date and itemized products.
  • The quantities purchased.

Additional requirements, including document age and minimum quantities, depend on the application.

Be particularly careful with auction lots and liquidation inventory. These products can have incomplete sourcing records, damaged packaging, or uncertain authenticity. Amazon’s sourcing guidance warns against using auctions and liquidation as acceptable supply sources.

Before placing an order, confirm that you can sell the exact product on Amazon and obtain the documentation you may need. A discounted purchase is not a good investment if you cannot list the inventory.

7. How to Find Profitable Products to Resell on Amazon

Finding a product at a discounted price doesn’t necessarily make it a good resale opportunity. Before purchasing, you need to check whether customers are buying it, how many sellers are competing, and whether its selling price leaves enough profit after Amazon’s fees.

Here’s how to research products before investing in inventory.

Step 1. Use the Amazon Seller App to Scan Products

The free Amazon Seller app allows you to scan product barcodes while visiting retail stores or researching inventory.

Open the app, tap the camera icon, and scan the product’s UPC barcode. You can also search using its name or ASIN.

Once you find the matching product, review:

For example, if you find a kitchen accessory for $10 at Walmart, scan it to check its Amazon selling price before deciding whether to purchase it.

Step 2. Check Product Demand and Sales History

A product needs consistent customer demand, not just an attractive selling price.

Start by checking its Best Sellers Rank (BSR) on the Amazon product detail page. BSR shows how well a product sells compared with others in its category. Generally, a lower BSR indicates stronger sales performance within that category.

However, BSR doesn’t tell you the exact number of units sold, and rankings shouldn’t be compared directly across unrelated categories.

You can use tools such as Keepa to review historical sales rankings and identify whether demand has remained consistent or changed significantly over time.

Step 3. Check How Many Sellers Are Competing

Open the product’s Amazon listing and check the available offers from other sellers.

Pay attention to:

  • How many sellers offer the product in New condition.
  • Their selling prices and delivery options.
  • Whether Amazon itself sells the product.
  • Whether the Featured Offer frequently changes between sellers.

For example, if a product has 15 competing sellers and Amazon is also offering it at a low price, you may struggle to generate sales without reducing your own price.

Remember that strong product demand doesn’t guarantee sales for every reseller. Several sellers may be competing for the same customer orders.

Step 4. Review the Product’s Price History

Don’t base your purchasing decision only on today’s selling price.

Use a price-history tool such as Keepa to examine how prices have changed over the past 90 days or longer.

For example, a product currently selling for $29.99 might have sold for $19.99 during most of the previous three months.

If you calculate your profit using $29.99 and the price returns to $19.99, your expected profit could disappear.

Check the historical Featured Offer price, changes in competing offers, and whether Amazon frequently returns as a seller.

Step 5. Verify the Exact Product and Calculate Potential Profit

Before purchasing, confirm that the product matches the existing Amazon listing.

Check the brand, model, size, color, pack quantity, condition, and expiration date where applicable. A two-pack cannot be sold through a listing for a single unit.

Finally, enter the expected selling price, purchase cost, and fulfillment details into Amazon’s Revenue Calculator.

Use a realistic selling price based on its history, not simply the highest price you find.

A product worth reselling should have consistent demand, manageable competition, acceptable sourcing documentation, and enough profit after all expenses.

We’ll break down the profit calculation in the next section.

8. How Much Profit Can You Make Reselling on Amazon?

The profit you make from reselling on Amazon depends on your inventory purchase price, Amazon fees, shipping costs, and the price customers are willing to pay.

A product selling for $35 might generate $5 in profit or more than $10, depending on how much you paid for it and how the order is fulfilled.

Understanding Amazon Reselling Costs

Before purchasing inventory, calculate these expenses:

  • Product cost: The amount paid to your supplier or retailer.
  • Referral fee: Amazon’s commission on each sale, which varies by product category.
  • FBA or FBM costs: Amazon’s fulfillment fee or your own shipping and handling expenses.
  • Inbound shipping: The cost of transporting products to Amazon’s fulfillment centers.
  • Preparation and labeling: Any packaging or barcode labeling expenses.
  • Storage and returns: Inventory storage fees and expected losses or expenses from returns.

If you use paid advertising, include that expense as well.

Example: Calculating Profit on a $34.99 Product

Suppose you purchase a branded kitchen accessory for $14 and resell it on Amazon for $34.99 using FBA.

Here’s an example of your expected profit:

ExpenseCost Per Unit
Amazon Selling Price$34.99
Product Purchase Cost$14.00
Amazon Referral Fee (Assumed 15%)$5.25
FBA Fulfillment Fee$4.50
Preparation and Labeling$0.35
Inbound Shipping$0.75
Estimated Returns Allowance$1.00
Allocated Inventory Storage$0.20
Estimated Profit Per Unit$8.94

These are illustrative costs, not actual Amazon fee quotations. The calculation excludes selling-plan subscriptions, taxes, advertising, and other expenses not listed.

In this example, you earn approximately $8.94 per unit, representing a 25.5% contribution margin before additional business expenses.

If you sell 100 units at the same price and costs, you could generate approximately $894 before those additional expenses.

What Happens If Competitors Lower Their Prices?

One of the biggest risks of Amazon reselling is that other sellers can reduce their prices at any time.

Using the same example, here’s what happens if the selling price drops:

Original PriceReduced Price
Selling Price$34.99$29.99
Referral Fee (15%)$5.25$4.50
Other Costs$20.80$20.80
Estimated Profit$8.94$4.69

A $5 reduction in selling price cuts your estimated profit by approximately 48%.

This is why you should review historical prices before purchasing inventory and calculate the minimum price at which you can still make a profit.

Profit Margin vs. Return on Investment

Two useful measures for Amazon resellers are:

  • Profit margin: The percentage of your selling price remaining after the expenses included in your calculation.
  • Return on investment (ROI): The profit earned compared with the money invested in acquiring and preparing inventory.

For example, earning $8 on a product purchased for $20 represents a 40% return on the $20 purchase cost, before considering any additional invested costs.

You can use Amazon’s Revenue Calculator to estimate referral fees, fulfillment costs, and profitability before purchasing stock.

The important thing is to calculate profits using a realistic selling price, not the highest price currently shown on Amazon.

9. How to List Resale Products on Amazon

Once you’ve found a profitable product and confirmed that you’re eligible to sell it, the next step is to create your offer in Amazon Seller Central.

Unlike private-label sellers, resellers usually don’t need to create a new product listing. If the exact product already exists on Amazon, you can add your offer to its existing product detail page alongside other sellers.

Step 1. Find the Existing Product Listing

Sign in to Amazon Seller Central and follow these steps:

  1. Go to Catalog → Add Products.
  2. Select Product IDs and enter the product’s ASIN, UPC, EAN, or ISBN. You can also use the Search option to search by product name.
  3. Find the exact product in Amazon’s catalog.
  4. Select the correct product condition, such as New or Used, where permitted.
  5. Click Sell this product to proceed.

If Amazon displays Apply to Sell, you’ll need to obtain approval before listing the product.

Make sure the brand, model, color, size, and pack quantity match your inventory. For example, you cannot sell a two-pack of shampoo through an existing listing for a single bottle.

Step 2. Enter Your Selling Price and Offer Details

Amazon will ask you to provide information about your offer, including:

  • Your Price: The amount customers will pay for the product.
  • Condition: Whether the product is New, Used, or another permitted condition.
  • Seller SKU: A unique identifier you use to track the product in your inventory.
  • Quantity: The number of units available for sale, particularly for seller-fulfilled orders.
  • Fulfillment Method: Whether you’ll ship orders yourself or use Amazon FBA.

For example, if other sellers offer the same product between $29.99 and $32.99, you might initially price yours at $30.99, provided that price leaves enough profit after fees.

Once you’ve entered the required details, click Save and finish.

Step 3. Choose FBA or FBM Fulfillment

If you select Fulfilled by Merchant (FBM), you’ll store the inventory yourself and ship customer orders according to your configured shipping settings.

If you select Fulfillment by Amazon (FBA), you’ll need to prepare and ship your inventory to Amazon’s fulfillment centers. Your FBA units generally become available for purchase after Amazon receives and processes them.

We’ll compare both fulfillment methods in the next section.

Can Resellers Change Existing Amazon Product Listings?

When multiple sellers offer the same product, they generally share one Amazon product detail page containing the title, images, bullet points, and description.

You can manage your own price, inventory, fulfillment method, and other offer details, but you cannot freely replace the shared listing’s product information.

If the product already exists in Amazon’s catalog, don’t create a duplicate ASIN just to sell the same item. Match your offer to the correct existing listing instead.

10. Amazon FBA vs FBM for Resellers

When reselling products on Amazon, you can either send inventory to Amazon’s fulfillment centers or store and ship products yourself. These options are known as Fulfillment by Amazon (FBA) and Fulfilled by Merchant (FBM).

Both methods allow you to sell existing branded products, but their costs, responsibilities, and delivery arrangements differ.

Fulfillment by Amazon (FBA)

With FBA, you send your inventory to Amazon, and Amazon handles storage, order packing, shipping, customer service, and returns.

For example, if you purchase 100 units of a branded kitchen product from a wholesaler, you can prepare the inventory and ship it to an Amazon fulfillment center. Once Amazon receives and processes the units, customers can purchase them without you shipping each order individually.

Eligible FBA products can also receive the Prime badge, offering customers fast delivery.

However, you’ll pay Amazon’s fulfillment and storage fees, along with applicable inbound shipping and inventory-related charges. FBA may be less profitable for bulky products, slow-selling inventory, or items with low selling prices.

Fulfilled by Merchant (FBM)

With FBM, you store inventory at your home, warehouse, or a third-party fulfillment facility and arrange shipping when customers place orders.

For example, if you’re testing five units of a product, you can keep them in your own inventory and ship each order directly to the customer.

FBM gives you direct control over storage, packaging, and shipping. However, you’re responsible for meeting Amazon’s delivery requirements, managing order-related customer service, and handling returns.

It may be suitable for sellers testing small quantities, dealing with oversized products, or already operating an efficient shipping setup.

Amazon FBA vs FBM: Key Differences

FeatureAmazon FBAAmazon FBM
Inventory storageAmazon fulfillment centersYour own storage or fulfillment provider
Order packing and shippingAmazon handles itYou arrange it
Customer service and returnsAmazon handles FBA ordersGenerally managed by the seller
Fulfillment costsFBA fees and storage chargesPackaging, shipping, labor, and storage expenses
Prime eligibilityEligible FBA products qualifyRequires separate Seller Fulfilled Prime eligibility
Best suited forProducts with steady demand and suitable FBA economicsSmall test orders, oversized products, or sellers with efficient shipping

Important FBA Changes for Resellers in 2026

Amazon introduced two changes affecting how resellers prepare and send inventory to US fulfillment centers.

1. Amazon discontinued FBA prep and labeling services on January 1, 2026

Amazon no longer provides these services for new US FBA shipments. Sellers must prepare and label inventory themselves or arrange for a supplier or third-party preparation service to do it before shipment.

2. Amazon changed FBA barcode requirements on March 31, 2026

Resellers who don’t hold the qualifying Brand Representative role in Amazon Brand Registry must use Amazon barcode labels (FNSKUs) on inventory shipped to FBA, even when the products already have manufacturer barcodes such as UPCs.

Amazon also ended its inventory commingling practices. These barcode changes apply to inventory shipped on or after March 31, 2026.

Should You Choose FBA or FBM?

For a small reseller testing a few products, FBM may be easier to start with because you don’t need to send inventory to Amazon before making it available for sale.

If you’re purchasing larger quantities of products with consistent demand, FBA can reduce the work involved in fulfilling individual orders and provide Prime delivery benefits.

Compare the total cost of both methods for each product before deciding. A product that generates a good profit through FBM might be less profitable through FBA once fulfillment, storage, and inbound shipping expenses are included.

You can use Amazon’s Revenue Calculator to compare estimated FBA and seller-fulfilled costs.

11. How to Compete for the Amazon Featured Offer

When multiple resellers sell the same product on Amazon, they compete to have their offers prominently displayed to customers.

The Featured Offer, previously known as the Buy Box, appears in the purchasing area of an Amazon product detail page, alongside options such as Add to Cart and Buy Now. Amazon may display one or more Featured Offers, while customers can also view offers from other sellers.

For resellers, securing the Featured Offer can make it easier to generate orders without relying on customers to browse the full list of competing sellers.

What Determines the Amazon Featured Offer?

Amazon evaluates several factors when selecting which offers to display.

FactorWhat Amazon Considers
Competitive PricingThe total price customers pay, including shipping charges.
Delivery SpeedHow quickly and reliably the product can reach customers.
Seller PerformanceOrder fulfillment reliability, customer complaints, and other service factors.
Inventory AvailabilityWhether the product is available for customers to purchase.
Shipping and ReturnsDelivery costs, shipping promises, and applicable return options.

Amazon also considers prices outside its marketplace. If your offer is significantly more expensive than prices at other retailers or recent selling prices, it may not qualify to appear as a Featured Offer.

Important 2026 update: Amazon began removing its separate seller eligibility requirement in July 2026. As of September 2026, Amazon states that offers from all sellers can be evaluated for the Featured Offer. However, individual offers must still meet Amazon’s pricing and customer experience requirements to be selected.

Using FBA doesn’t automatically give your offer priority over an FBM seller. Amazon evaluates the overall offer, including price, delivery promises, and performance.

How to Check Your Featured Offer Performance

In Seller Central, you can use Business Reports to monitor your Featured Offer percentage.

This metric represents the percentage of product detail page views during which your offer was featured.

You should also check Pricing → Pricing Health to identify pricing issues that may prevent your offer from being featured.

If your Featured Offer percentage is low, investigate competitor prices, delivery promises, inventory availability, and potential pricing restrictions before making changes.

How to Avoid Selling Below Your Profitable Price

Lowering prices can improve your competitiveness, but continuously undercutting other sellers can eliminate your profit.

For example, suppose your product sells for $31.99, and you’ve calculated that you need to sell it for at least $30.49 to maintain your required profit.

If another seller reduces their price to $28.99, matching that price may not make financial sense.

Instead, you can maintain your minimum profitable price and wait for market conditions to change.

Amazon also provides an Automate Pricing tool for Professional sellers. You can find it under Pricing → Automate Pricing in Seller Central.

The tool allows you to create rules that adjust prices in response to competitors while respecting a minimum price you set.

Before enabling automated repricing:

  1. Calculate your minimum profitable selling price, including Amazon fees and other expenses.
  2. Set that amount as your minimum price.
  3. Choose a pricing rule, such as matching the Featured Offer or competing with the lowest offer.
  4. Review sales, profit margins, and price history regularly.

Automated repricing doesn’t guarantee Featured Offer placement.

The objective isn’t to offer the lowest price at any cost. It’s to remain competitive while protecting the profit you need from every sale.

12. How to Start Reselling on Amazon: Your First Inventory Test

Before investing in hundreds of units, start with a small inventory order to see whether a product sells at your expected price.

For this example, suppose you’ve found a branded kitchen accessory that you can purchase from a wholesale supplier for $12 per unit. It currently sells on Amazon for around $29.99, and you want to test 20 units before placing a larger order.

Step 1. Confirm the Product Is Worth Testing

Before purchasing, complete these checks:

  • Selling eligibility: Your seller account is allowed to sell the exact ASIN.
  • Supplier documentation: Your supplier can provide appropriate invoices and sourcing records.
  • Sales demand: The product has a reasonable history of customer purchases.
  • Competition: You’ve reviewed competing offers and historical selling prices.
  • Profitability: Amazon’s estimated fees leave enough profit at a realistic selling price.

Use Amazon’s Revenue Calculator to estimate your expenses. For this example, assume the calculation indicates approximately $6 profit per unit after the estimated purchase, referral, fulfillment, preparation, and inbound shipping costs.

Step 2. Purchase a Small Quantity

Instead of ordering 200 units immediately, purchase 20 units.

Initial TestAmount
Units Purchased20
Purchase Cost Per Unit$12.00
Total Inventory Purchase$240.00
Expected Selling Price$29.99
Estimated Contribution Profit Per Unit$6.00

The $6 profit is hypothetical and excludes any additional business expenses not included in the estimate.

Keep the supplier’s invoice and confirm that the products arrive in the correct condition, packaging, and quantities.

Step 3. List the Products and Make Them Available for Sale

Find the matching ASIN in Seller Central, add your offer, and set your initial selling price.

If you’re using FBM, enter your available inventory and configure your shipping settings.

If you’re using FBA, create an inbound shipment through Amazon’s inventory workflow, prepare and label the units according to its requirements, and send them to the assigned fulfillment locations.

For FBA, monitor the shipment until Amazon receives and processes the inventory. Your products must be available for purchase before you can evaluate customer demand.

Step 4. Monitor Your First 30 Days of Sales

Once the products are available, track how the inventory performs instead of immediately purchasing more units.

Suppose your first 30 days produce these results:

Performance MetricExample Result
Initial Inventory20 units
Units Sold12
Remaining Inventory8 units
Average Selling Price$28.99
Actual Contribution Profit Per Unit$4.90
Total Contribution Profit From Sales$58.80

These results are hypothetical and exclude additional overhead.

In this example, the product generated sales, but the average selling price was $1 lower than expected, reducing the profit per unit.

You also have eight units remaining, so part of your initial investment is still tied up in unsold inventory.

Check your Seller Central sales and inventory reports, along with actual fees and purchase records, to understand these results.

Step 5. Decide Whether to Reorder

After your initial test, ask three questions:

Is the product selling consistently? Selling 12 units in 30 days suggests some demand, but you should examine whether sales are steady or concentrated in a short period.

Is the actual profit acceptable? Compare your original estimate with the amount remaining after actual selling expenses. If margins are too low, consider negotiating a better purchase price.

Can you purchase the product again? A product is easier to build a repeatable business around when your supplier has consistent inventory at a workable price.

If the product performs well, you can consider a larger order based on its sales rate and supplier lead time. If sales are slow or prices fall below your profitable range, avoid committing more money until you understand the problem.

Your first inventory test should help you decide whether a product deserves more investment. Making that decision using actual sales and costs is more reliable than ordering large quantities based on estimated demand alone.

13. How to Grow Beyond Your First Resale Products

Once you’ve found products that consistently generate sales and profit, the next step is to build a reselling business that can support regular inventory purchases.

Rather than continually searching for new clearance deals, focus on products you can purchase again at profitable wholesale prices.

Build Relationships With Reliable Suppliers

Contact manufacturers and authorized distributors to establish wholesale accounts. Ask about volume discounts, minimum order quantities, delivery schedules, and inventory availability.

For example, if you’re regularly selling 100 units of a product each month, negotiating a $1 reduction in its purchase price could save $100 per month at the same sales volume.

Keep invoices and other purchasing records organized as your supplier network grows.

Track Inventory and Know When to Reorder

Monitor sales and available stock for each SKU in Seller Central. Amazon’s inventory management tools can also help FBA sellers identify stock shortages and plan replenishment.

For example, if a product sells three units daily and your supplier takes 14 days to replenish inventory, you’ll need approximately 42 units to cover sales during that lead time, plus additional safety stock.

Ordering too late can result in lost sales, while ordering too much ties up money in inventory.

Expand Based on Profit, Not Product Count

Before adding more products, review your existing inventory’s actual profit, return rates, price changes, and restocking costs.

Reinvest part of your earnings into products with consistent demand and reliable supply rather than purchasing large quantities of untested items.

A successful reselling business doesn’t need hundreds of products. A smaller catalog with dependable suppliers, regular sales, and healthy margins can be easier to manage and more profitable.

14. Frequently Asked Questions About Reselling on Amazon

Can Anyone Start Reselling on Amazon?

Yes, individuals and businesses can start reselling products on Amazon after registering and verifying a seller account. However, not every seller can list every product. Certain brands and categories require approval, and sellers must follow Amazon’s product authenticity, sourcing, and compliance requirements.

Can I Buy Products From Walmart or Target and Resell Them on Amazon?

Yes, you can potentially resell genuine products purchased from retail stores, provided Amazon allows your account to sell them and they meet its policies. However, retail receipts may not satisfy Amazon’s documentation requirements for restricted products or authenticity reviews. Always check eligibility before purchasing inventory.

Do I Need an LLC to Resell Products on Amazon?

No. Amazon allows individuals to register and sell without forming an LLC. During registration, you can select None, I am an individual as your business type. However, wholesale suppliers may require business registration, a resale certificate, or other documentation before opening an account.

Can I Resell Nike, Apple, or Other Branded Products on Amazon?

You may be able to resell branded products, but eligibility depends on the specific brand, ASIN, product condition, and your seller account. Some products require approval or brand authorization. Search for the exact ASIN in Seller Central to see whether you’re eligible before purchasing inventory.

Can I Resell Used Products on Amazon?

Yes, Amazon permits used products in certain categories, including eligible books, electronics, and other goods. You must select the correct condition, such as Used – Like New, Very Good, Good, or Acceptable, and accurately describe the item’s condition. Some categories don’t permit used products.

Is Reselling on Amazon Profitable in 2026?

Amazon reselling can be profitable when you purchase products at competitive prices and maintain enough margin after selling fees, fulfillment, shipping, and returns. However, competition and changing prices can reduce earnings. Profitability depends on the products you source, how much you pay, and how efficiently you manage inventory.

Is Retail Arbitrage Better Than Amazon Wholesale?

Retail arbitrage can be easier to test with a small inventory budget, but discounted products may be difficult to restock, and sourcing documentation can be a problem. Wholesale usually requires more capital and supplier relationships, but it can provide a steadier inventory supply and support a more consistent reselling business.

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