Is Selling on Amazon Worth it in 2022?

Is Selling on Amazon Worth it in 2022?
December 21, 2021
Is Selling on Amazon Worth it in 2022

Is Selling on Amazon Worth it in 2022? If you’re considering entering the world of selling on Amazon, you may be feeling lost in a sea of conflicting information, not knowing where to even begin.


One thing every Amazon seller can agree on is that it is more expensive, more competitive, and more complicated than ever to be successful on Amazon.


This leads potential sellers to the inevitable question…


Is Selling on Amazon Worth it in 2022?

Selling on Amazon can be extremely lucrative, but it can also be expensive and time consuming. That’s why it is imperative that new sellers do extensive research on the costs associated with getting into ecommerce, specifically on Amazon. It is important to get a realistic idea of what to expect in terms of financial and time investments. Further, the more knowledgeable a new seller is, the more likely they are to avoid common mistakes that newcomers make when launching new products.

Can you be successful selling on Amazon?

Success can mean many things to many different people, but the short answer is: Yes! You can absolutely be successful, even in today’s hyper-competitive market.


No matter the metric you’re using to measure your success, a proper understanding of what goes into building an Amazon business, and thorough planning, are key to setting yourself for prosperity.


Start by doing some product research to see what kinds of products you’d be interested in selling. While having an interest in potential products isn’t mandatory, it certainly is helpful as you’re about to be staring at these products for countless hours, trying to write compelling listing copy, select product photography, and come up with engaging marketing content to try to move units through the proverbial door.


Definitely do some research on how flooded the market is on Amazon for each product you’re considering selling. You don’t want to sell a product in a niche that is already dominated by other sellers with deep pockets. At the same time, you want to sell a product that has some demand.


Once you have an idea of what you want to sell, start working out what pricing would look like for manufacturing, customization, etc., and start figuring out what your finances look like in terms of forming a business, getting insurance, paying for product, getting listings set up, and some initial advertising.


Is Selling on Amazon profitable?

It is possible to build a viable, profitable, scalable business on Amazon. It is not a get rich quick gimmick, and it takes a lot (a lot) of work. Everything that goes into building a business is what goes into building a brand on Amazon, and brands (not individual product sellers) are the cash cows of independent Amazon sellers.

There are a ton of YouTube influencers and gurus out there that make promises of millions of dollars with no work, and it simply isn’t a reality of success on Amazon.


But if you’re willing to dedicate yourself to creating and growing your business, Amazon can be the key to your entrepreneurial dreams coming true.


The increased competition tends to scare many would-be sellers away. The below chart shows the incredible increase in sales derived from advertising alone on Amazon (this does not include organic sales). Brands are spending money – a lot of money – to make it on AMZ.

(Source: Marketplace Pulse)


However, take a look at the explosion of Prime Members on Amazon – these are customers who pay extra for better shipping rates and exclusive deals. Prime Members are highly engaged and do a greater portion of their shopping directly with Amazon.

(Source: Marketplace Pulse)


So while there may be increased competition, there is also massive growth in the number of potential customers. Every year, the number of people doing their shopping on Amazon increases without fail. 

The sellers who do their research, plan far ahead, and invest aggressively in their businesses will have the best chances of success. 


Never forget that it always comes down to the product and listing. The best advertising in the world won’t help if you don’t have a product that customers want, at a price they’re willing to pay, and a listing that sells them on the benefits.


If you ever need a little help, consider working with one of our expert coaches at Entourage Consultation Services. Allow us to be your personal guide along your journey to success as an Amazon seller. We can work with you to help you avoid common pitfalls, to launch products, build advertising, and more. We work with sellers of all levels, providing private, one on one calls. 


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About Mike Zagare

He is the owner and founder of PPC Entourage, one of the original amazon ad software and management companies. Mike started off as a physical therapist in 2015 and just knew there had to be a better way so he started his ecommerce journey. Using the power of Amazon Ads, he built a 7 figure brand in less than one year. Now he helps other sellers do the same with free valuable education, PPC Entourage software and the ad agency. He is also the author of the Amazon Ads Playbook series.

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