Selling wholesale on Amazon involves buying bulk products directly from the manufacturer or suppliers at a discount, then selling them as a reseller on Amazon for profit. This model allows you to sell products from established brands with existing demand.
Before you can place a wholesale order for most brands, you must open what is known as a “wholesale account”. This account will give you access to their product catalogue and allow you to buy the products in bulk.
Setting up a wholesale account with a good brand or supplier is the biggest barrier to entry for most people trying to get started with wholesale on Amazon. Secondly, is the minimum order quantity that may be applied on your orders, meaning there will be a minimum amount of each product that you have to order from the wholesaler.
This is why most arbitrage sellers start their Amazon selling journey with arbitrage and then leverage the experience they gain to implement wholesale so they can expand and scale.
The Benefits of Selling Wholesale
Selling wholesale on Amazon has multiple benefits and here are a few of them.
Established Customer Base
You are selling a product from a known brand, you can immediately benefit from the existing customer base that the brand has established. Customers already know about this product, like it, and want to purchase it.
Reliable and Efficient Sourcing
With the wholesale model you can rest assured that as long as the product is produced by the manufacturer, you’ll be able to source it and repeatedly, unlike arbitrage products you source from retailers who may go out of stock quickly.
If a product is selling well, you can quickly and easily increase your inventory to keep up with customer demand.
With the wholesale model you don’t carry the risk of your seller account being permanently suspended due to customers submitting inauthentic product complaints, since you source the inventory directly from the manufacturer and you can provide Amazon with the relevant evidence to prove it.
The Challenges of Wholesale
There are always pros and cons with every strategy and here are some of the challenges you may come up against when starting out with wholesale.
If you can find products that aren’t already sold on Amazon then you have a chance to establish yourself as the exclusive seller.
Competition with Other Sellers
When you find a product that sells well on Amazon, there will always be competition. You need to ensure you have enough margin on the products you source and sell via wholesale so that you still make a profit.
Landing Wholesale Accounts
If you are a newer seller, without the correct set up and systems to use to successfully find, communicate with and land wholesale accounts, it can be a long process before you find the winners to work with.
And that’s why we at Online Sellers Circle, have made the wholesale sourcing process a lot easier with The Ultimate List of UK & US-based wholesalers.
Anyone Tom, Dick, or Harry can search for wholesalers on google and most of which you won’t make money from. We tried and tested these suppliers within our elite circle, which are proven and will give you the edge over other resellers. Now you can gain access to our extensive list covering the following categories: Health & Beauty, Health & Personal Care, Groceries, Supplements, Stationery & Gifts, Toys & Games, Electronics, Video Games, Pet Supplies, Books and more.
The value doesn't stop there! We want to provide support to you so that when you get access to your very own Ultimate FBA Wholesale Supplier List, you also get access to a £100 discount for being our dedicated blog reader, learn How to Successfully Land Wholesale Accounts video series - to learn, implement and land opening your wholesale accounts with ease AND get access to our advanced tips showing you the tools, types of products to look for and sourcing mistakes to avoid with wholesale.
While there are pros and cons to selling through wholesale on Amazon, it has been a gamechanger for us and many of those that we teach. Consider the pros and cons, what goals you have for your business scale and take the steps to research and learn from sellers who have had success with this model.
Get Access To The Ultimate FBA Wholesale Supplier List + Video Series Today!
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