7 Ways to Increase Your Profits as an Amazon Reseller


As an Amazon reseller, profits are tight.

And for a good reason. There’s a good chunk of competition, and you need to distance yourself in some way to stay ahead.

Diversification, automation, and exclusivity are three ways that are common.

But how can you implement these in your own business?

And how can you leverage what’s already out there to give yourself a competitive boost?

Let’s dive right in and check out 7 unique ways you can increase your own profits as an Amazon reseller.

1. Automate Your Product Updates

The first step to staying on top of your Amazon game is to automate your product updates.

Depending on what stage you’re at, you may be manually checking the FBA fee calculator on a per-unit basis, or you may have a more advanced product updater solution such as Sellonaut.

If you’re still doing manual SKU updates, we definitely recommend hopping to a solution to do this for you. Then, all you have to do is update sheets when you’re ready.

2. Keep Your Purchase Order Criteria Specific

Keeping purchase order criteria specific is incredibly important. Lots of sellers simply look at the price and see a great deal.

But what they may not look at is the level of competition, historical trend data, and other important factors, such as 90-day profit history.

Keeping your purchase criteria specific – and sticking to it, even when you really want to bend the rules a bit – will help you greatly improve your profits over time.

3. Don’t Overstock

Sometimes, an opportunity may come up where you’re tempted to overstock product as a way to get a discount.

Or perhaps your vendor is low on stock, and doesn’t have an expected lead time.

If you already have a decent amount of inventory in stock, overstocking can become a hassle – especially in those cases where your vendor ends up restocking a week later, greatly increasing the competition on the listing.

Staying lean and making sure you just have enough inventory to last, say, a couple weeks, ensures that you’re never left with too much stale inventory when a profitable listing changes rapidly.

4. Negotiate Exclusivity with Vendors

Another step in upgrading your FBA reselling game is to negotiate exclusivity with your vendors.

Oftentimes, if you can bring the volume, you may have a chance at exclusivity.

And this is where you want to be – there’s no competition, and you can help your vendor out a good deal by optimizing their listings, keeping their sales velocities high, and allowing for a one-stop shop, as opposed to dozens of smaller sellers.

5. Look Around for Lower-Competition Listings

Finally, the last tip to increasing your Amazon profits is to search around for low-competition listings.

In Sellonaut, you can do this by filtering through your ASINs by seller count and historical data.

sellonaut search results page
Filtering down your listings in a tool such as Sellonaut makes finding your winning products much easier.

We recommend looking only at listings you can feasibly expect to sell 24 or more units a month.

Of course, the amount of sellers will vary on these significantly based on their ranks. A listing at say, #50 in Toys may allow for dozens of sellers to achieve this sell-thru, whereas a listing at #150,000 in Toys may not.

Listings with lower than this amount of sell-thru may have great short-term profits, but in the long term are risky. If a few more sellers hop on, you could risk significantly slower sell-thru, ending in costly long-term storage fees.

6. Always Buy Wholesale

This one often goes unnoticed – but buying through the right channels will greatly increase your profits.
Retail and online arbitrage may be great for short periods of time, but to build a sustainable business, it’s important that you secure industry connections.

Connect with brands, distributors, and authorized representatives of brands to supply your products. Go to trade shows such as NRF. Make in-person connections. It’ll only be beneficial to you in the long run.

7. Stay in Stock

Keeping track of restocks is crucial – especially on faster moving items. Factoring in lead times and SKU profitability can be tough if you’re not automating the process.

Keep this process automated by filtering through your inventory. Setup automatic exports of SKUs with low inventory quantity along with a good set of alert criteria.

This will help keep your best performers in stock, while ignoring low-profit SKUs.

Staying ahead of your competition and coming up with unique ways to filter your criteria is crucial in the Amazon reselling game. We hope you can garner some insights into your own business, and create a unique set of criteria that allows you to grow, scale and profit.