How to Sell Wholesale on Amazon? Guide For 2025

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Want to learn how to sell wholesale on Amazon?

You’re in the right place.

We provide details and guide to help you start wholesale business on Amazon.

Amazon has over 310 million active users who are always searching for suitable products to buy. This makes Amazon one of the biggest marketplaces internationally to start a business.

It offers a wide array of audiences with exceptional selling options. Setting up a business to sell products can be the next big thing for you in 2025. 

Different options exist for the type of business you’re looking to start. However, when it comes to wholesale, it offers more advantages.

Having a private label or sourcing discounted items can make you some profit. However, the sustainability is low, and it can soon fail. With a wholesale business, you create reliable income.

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Here is everything you need to know to get your business up and running by Amazon FBA (Fulfillment by Amazon) in no time!

NOTE: To fast track your success selling Amazon wholesale business, you can learn more about the new traing program called Fast Track Formula.Read my Fast Track Formula review to understand how it works.

What is Amazon Wholesale?

Selling wholesale products means investing in large amounts of products of the same type. After which, you sell them individually to customers on Amazon. You can buy these products from manufacturers directly or even get them from wholesale suppliers.

This way, you don’t have to go through the hassles of creating an audience that wants your product. You can tap into the existing customer base of a renowned brand and supply products to the customers who want them. 

It differs from a retail arbitrage business in which you buy discounted items in bulk and sell them individually. It also differs from a private label that sells items individually by creating a unique product and marketing it as your own. 

How Does Amazon Wholesale Work?

With Amazon wholesale, your primary work is identifying products in demand. Next, start selling and supplying those products to customers. 

Step-by-Step Workflow Of Amazon Wholesale Business

To understand more about the wholesale industry, here is the breakdown of how to sell wholesale on Amazon.

Setting Up an Amazon Seller Account

One of the initial steps is to set up your Seller Central Account by registering yourself as a wholesale seller. Once you get everything set up, you can access the seller dashboards, analytics, and sales platform. You can even get updates on the current marketing trends. 

Researching High-Demand Products

The next step is to search for products that are in demand by a large audience. A wholesale business doesn’t require creating public demand. It all depends on searching for an already booming market.

You can search for these products manually through Amazon dashboards and seller tools. You can install extensions or software like JungleScount, Helium 10, SellerApp, and ProfitGuru!

Contacting Buyers and Suppliers

Managing a wholesale business means building strong connections and relations with loyal suppliers. It may take some time to find a reputable seller. Try to get in contact with a seller who can give you high-quality products at a discounted price. Once your business is stable with multiple orders, you can gradually start to get more profit.

Inventory Management & Shipping To Amazon Warehouse

Simple businesses spend a lot of capital on shipping services. At the same time, managing each order takes a lot of focus and commitment. With Amazon FBA, you can get all that sorted by creating a product listing on Amazon.

Simplify inventory by transferring your products in batches to the Amazon Warehouses. They’ll handle the rest of it for you. 

Revamping Product Listings

After posting listings, you’ll still have to make each product description attractive. Put different pictures of the product from various angles so users know what they’re buying. 

Writing exciting descriptions and sharing details about the product is valuable. You can continually improve your product listing by using SEO.

This means using words that people search for more often. This will make your product appear in the top search pages of Amazon. 

Product Advertising & Marketing

To stay ahead of the game, you need to devise different tactics that will help you boost your sales. You can either choose Amazon PPC and advertising services. Here, your product will be listed in advertisement boxes.

You can also use the Buy Box. Winning the Buy Box highlights your products for different buyers in a way that they’ll only see your offer.

Continuous Inventory Management

Managing your inventory is essential to maintain a seller account on Amazon. You need to monitor and restock all the product shortages before they run out.

Additionally, adding new items to your inventory and listing them can give you a headstart. It is the most challenging yet the most crucial thing. 

Wholesale vs. Retail Arbitrage vs. Private Label

Before you commit to creating a wholesale business account on Amazon, you need to know what you’re signing up for. Understanding each of them is the key to building a proper and sustainable business model.

Here is a brief breakdown of Retail Arbitrage, Private Lable, and Wholesale. 

Wholesale On Amazon

With Wholesale, you sell existing brands and tap into the existing marketplaces. It doesn’t require any branding, and you don’t have to create USPs for your products. 

The purchasing for wholesale is always in bulk and batches, where managing your inventory is the key to balancing your seller account. One downside is that you’ll have to invest more upfront than other business models.

It also has more competitors since most sellers will contact the same suppliers. Thus leaving fewer profit margins due to low prices and more competition. 

On top of that, you’ll have to invest more time in managing your inventory and creating good relationships with your suppliers. 

Retail Arbitrage On Amazon

Like wholesale, it uses existing brands and resells those items individually. You won’t have to do individual branding and don’t have a lot of stock stored in inventory.

The products are found mainly by opportunity and seasons. It requires a lower upfront investment as you’re buying products in smaller batches. 

The competition with retail arbitrage is lower than wholesale because of varying discounts. Similarly, the profit margins are also variable since they depend on the available discount type. You can get more discounts on clearance items. 

Moreover, it is time-consuming since you’ll continuously have to invest time to search for deals and discounts at different places. 

Private Label on Amazon

With private labels, you have to create your brand and market it yourself. It requires more effort and thought as you have to create your branding, look for target audiences, and advertise it differently.

With this, you’ll have complete control over your products, their listing, inventory management, and the product’s quality. As for the investment, it depends on the type of product you’re looking to launch and will change according to the materials used and sources applied. 

One of the upsides of private labels is that you get to be in less competition as your product is unique. But at the same time, you’ll have to advertise it more so that more people can see it. Moreover, you will be the manager of your profits and can change your profit margins with strategies you apply yourself. 

Moreover, it is time-consuming since you’ll have to do the creative work, marketing, quality control, and managing yourself. 

Advantages Of Selling On Amazon Wholesale

Like everything, selling wholesale products on Amazon has its pros and cons that you should consider. Here are a few of the advantages of starting your wholesale business on Amazon in 2025:

Rapid & Effortless Setup

For private labels, it can take from 9 months to 12 months, depending on the product, since it also includes branding and creating websites.

On the other hand, setting up a wholesale business takes a few weeks. Moreover, you’ll see a profit rise in a few months. 

Built-In Demand from Customers

You never have to hustle to create a desirable product since you’re already entering a high-demand market. You just have to target the most in-demand products and restock them with time. It reduces the effort in selling the product’s benefits and features. 

Higher Margins Post-Scaling

Even though 1 or 2 dollars per product seems insignificant, it makes a huge amount when it comes together. Once you start selling 500-1000 items of the same product, you’ll get a clearer picture of the profit margins.

For a cherry on top, try to streamline the Amazon FBA in a constant workflow that doesn’t require a lot of recurrent adjustments. This will save you a lot of effort and capital. 

Ditching Active Management Hustles

You don’t need to manage actively once you get trustworthy suppliers and manufacturers. You can just list your items, stock up your inventory, and let Amazon fulfil and ship your orders. You need to monitor low stocks and restock when needed. 

Flexibility & Customization

Many other business models require commitment and staying dedicated to similar products. However, with wholesale, you can choose between different brands and products. You can also do tests and trials with varying margins of profit.

This way, you get a lot of flexibility about what you’re interested in, and you can even try out different suppliers if one doesn’t work out the way you want. 

Downsides Of Selling On Amazon Wholesale

Now, let’s flip the coin and talk about the other side of Amazon Wholesale. It has its fair share of downsides that you should be ready for before committing to it and investing a lot of capital. Here are a few of the main things you need to look out for:

More Investment Requirments

Since it is wholesale, you’ll have to invest more capital because you are buying bulk items. This can even lead to up to $5000 depending on which item you’re focused on and the volume of those items.

At the same time, the more quantity you buy from the suppliers and the manufacturers, the more likely you’ll get more discounts and lower rates on buying. 

Continuous Time Expenditure

You’ll have to spend a lot of time figuring out which supplier is the best for you. You’ll have to contact various suppliers and manufacturers to get your desired deal. It also includes a lot of negotiation, conversations, and even relationship-building tactics.

This makes it time-consuming at the start. However, once trust is built, and you make recurring orders from a reliable supplier, it becomes more streamlined.

Violation & Restriction Risks

Different terms and conditions vary according to the suppliers. Each of them has its own set of rules that you need to follow to resell the item on Amazon. At the same time, Amazon is severely strict on these rules and terms.

If you accidentally make a mistake in the reselling, it could lead to wiping out your inventory or even removing all your profits collected. You must tread carefully with this and discuss it with the supplier beforehand. 

Active Inventory Management

Inventory management is crucial for Amazon FBA’s wholesale. It requires a lot of forecasting and knowledge about the frequency of the sales. If you buy a lot of items and they are slow-moving products, it will lead to more costs on storage fees. At the same time, if your best-selling products run out, you can risk having an unbalanced sales momentum. 

Recurring Amazon Fees

You’ll be charged fees for everything since you use the Amazon platform and Amazon FBA. With commission fees, Amazon FBA fees, and shipment costs, you’ll give 15-25% of your total sales. You must calculate all of these costs before making purchases to forecast and manage expenses accordingly. 

How to Start Your Amazon Wholesale Business From Scratch

Now that everything else is discussed, the only thing left is getting equipped to start your wholesale business on Amazon in 2025. The main thing to remember is the sales speed since that determines your success in the business. 

Here are the steps you need to follow to set up your business and get it running. 

Step 1: Define Your Niche

First, you need to narrow down your interest to a niche where your interests and expertise are. It could be from kitchen products or electronic gadgets to beauty products or clothes.

If you want more inspiration, you can also search Amazon’s Best sellers so that you’ll get to know what is more in demand. 

Step 2: Setup Product Research Tools

You can use different apps like SellerApp to find the best-selling products on Amazon. You can filter your search to show the things you’re interested in and have the best profit margins. 

Key Indicators

Here are a few things that you need to take care of that are the key pointers for products that you’re going to choose:

  • Look for products that have a high monthly sale value. Products with more than 500 products sold per month are a good start. 
  • Make sure that the seller or supplier sells to more than 4 resellers. This means that the supplier is not committed to one reseller, and you can also get in. 
  • Make sure that the seller has organic and original reviews that are positive. This is a good indicator that the supplier is cooperative and authentic. 
  • Your products should be of average weight and dimensions. Having heavy products with huge dimensions can cost more shipping or storage fees. 
  • Look for a “Minimum Advertised Price” policy when looking for suppliers. This means that you’re getting the lowest price for the product in the market. 

Things To Avoid

Apart from key indicators, there are a few things you should avoid when it comes to Amazon wholesale:

  • Avoid anything against the Amazon FBA terms and conditions, whether size, weight, or illegal items. 
  • Avoid seasonal products that only tend to be famous and in demand for a short period. This will lead to loss or more storage fees if kept for a long time.
  • Some items may require special licenses to resell them. If you do not have the license, it is better to avoid these items altogether. 

Step 3: Take Inspiration From Google Shopping Results

Try to search for the item you’re interested in on Google. It can show many other marketplaces that are successfully selling the item. If there is a lot of representation of the product on Google, there is a strong chance that the product will do well on Amazon.

Step 4: Stay Up To Date With Social Media

Searching for the product on social media can give you real-world insight. You can look at real-world reviews of the product. You can even check the quality, the size, and the “true to description” value of the products.

You can use hashtags and tags on Instagram and Facebook to search for this. It is the best practice to look up “NMR” (Not match as described) products and their durability to avoid them. 

Step 5: Search Brand Wholesale Restrictions

You cannot resell all products and brands. You’ll have to look up brand wholesale applications for insights into whether the brand has sign-up forms or access to request approvals for reselling. 

The sales volume should be more than 25+ units per week, along with competitive sellers, which indicates that it has reselling value. Also, look for brands with higher ratings and expanded brand wholesale requests. 

Step 6: Find Active Suppliers

Once you’ve picked your target product, the next step is to pinpoint active suppliers. Here are a few things you should look for:

Find The Manufacturer/Brand Directly

Use keywords like “Wholesale”, “B2B”, “Distributors” and “Reselling” with the brand name on Google. It helps to check if they provide reselling supplies. If there is no information, you can also call the brand directly. 

Search Industry Directories

Try using Sales directories like Saleshoo, Wholesale Central, or StealthAgents. They can provide a list of distributors for reselling on Amazon. If possible, you should look for US-based suppliers that offer fast shipping. 

Attend Trade Shows & Conventions

Face-to-face interaction is still one of the best ways to track down trustworthy suppliers. By attending tradeshows, conventions, and gatherings, you can meet a lot of direct suppliers who will be ready to provide products to you in no time!

Search Online B2B Marketplaces

Other wholesale marketplaces like Alibaba, Global Sources, and Made in China can provide bulk products for you to resell on Amazon. Like other platforms, check the ratings and reviews to see if the seller is reliable. 

Join Facebook Groups & Interact Regularly

Join Facebook groups and interact with them to stay updated. This can lead to contacting wholesalers to whom you can reach out. 

Step 7: Negotiate With Suppliers

Once you’ve got your list of suppliers and manufacturers ready, you can negotiate with them to agree to terms that benefit both you and them. 

Personalized Proposals

As suppliers get a lot of cold-calling proposals, you can stand out by personalizing each message and adding value to the relationship. 

Offer Steady Order Volumes

Try to order a steady volume of products each month to show you’re a constant and loyal buyer. This can lead to better understanding and discounts. 

Propose Performance Clauses

If the sales performance is as forecasted, you can even ask for a product trial. 

Negotiate Exclusivity Agreement

You can even discuss exclusivity agreements that make you the sole reseller of their product on Amazon. This may require more capital investment. 

Step 8: Operating To Generate Profits

Once you get your things lined up, operations become smoother and you don’t have to manage the products actively. 

Accurate Profitability Calculations

You can use the Amazon Revenue Calculator to calculate all profit and investment requirements. Just enter the unit cost of the product, the FBA fees, the selling price, and net margins. It will give you the profit margin. Try to reach a 30% profit margin, as it is the standard way to be successful. 

Smooth Inventory Management

If you run out of stock for best-selling items, it can result in a ranking loss. You need to keep track of your inventory and update it with forecasting. 

Making Your Wholesale Business Prominent

Since your competition is high, you need to stand out from the crowd and make yourself prominent. Brands will be getting a lot of cold-calling proposals, so you need to do your best. 

Personalization For Proposals

Personalize your proposals with full details and inform the supplier about the requirements of your order. 

Detailed Sales Forecast

Forecast your sales for the next few months to get the estimated profit. This will help you in deciding how much to order. 

Keeping Sales Transparency

You can mention the sale frequency and number to inform buyers that the product is in high demand. This will provide transparency and create more demand. 

Provide Trials

Provide trails for products where possible as this can help your business in the start. You can also provide a test for large orders so buyers can see what they’re buying. 

Provide Marketing Support

You can showcase your presence on Amazon and rank if a brand is not famous. This will represent their brand on your page, and they’ll get more demand from buyers through you making the brand famous. 

Final Thoughts

Now that you know everything about creating a wholesale business on Amazon, 2025 can be the year you start one yourself. Starting a business early can give you a competitive advantage and help you become successful earlier. 

There are more resources you may want to check to help you understand better and learn more on how to sell wholesale on Amazon.

Resources

The Wholesale Formula: The wholesale formula is a complete training on how to sell wholesale products on Amazon. If you want to invest in the online course, check The Wholesale Formula review to learn more.

Amazin Selling Machine: This ia a great course that teaches how to start Amazon FBA business. They provide all the resources to help you start and grow your business. You can learn more about the Amazing Selling Machine.

Helium 10: Another popular Wholesale course to help you is Freedom Ticket from Helium 10. You can get access to their training when you join the best sellers tool to grow your Amazon business.

Best of luck with your new business venture!

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