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How to Sell on Amazon Without Inventory

If you’re looking to sell anything online, Amazon is the place to be. The Amazon marketplace is the undisputed leader in e-commerce with over 2.5 million individual sellers and countless potential customers. Amazon sells more than4,000 items per minute in the United States alone, ranging from almost anything you could imagine to buy.

Amazon’s selection, prices, and quick delivery have shaped its stellar reputation and made it one of the world’s largest companies. If you’re an online seller, you need to be taking advantage of this online marketplace. Amazon makes it simple to set up your store and start selling instantly.

But what if you have limited space for inventory? More than that—what if you don’t have any inventory? Believe it or not, but you can sell on Amazon (and make considerable profits) with limited or zero inventory. Let’s be honest: few if any of us have the space of a warehouse to fill with products and inventory. That’s why, here, we’re looking at a few ways to sell on Amazon without inventory. You can also make it easy by using the Amazon sellers app.

DROP SHIPPING

What isdropshipping? This unique order fulfillment method allows sellers to turn a profit without ever maintaining a physical inventory. With drop shipping, you sign up with a third-party company (Shopify is a popular one) and select which products you’re looking to sell. Essentially, you’re working as an intermediary between the product manufacturers, who are often overseas, and online shoppers.

For drop shipping, you can work with various companies, and it’s important to do your research to determine which will best fit your individual needs. While dropshipping allows you to sell on Amazon without inventory, that doesn’t mean you don’t have any work ahead of you. To be successful, you’ll still need to do product research and keep track of what’s selling on your store.

AMAZON FBA

Without a doubt, the most popular way to sell on Amazon without inventory is by using Amazon’s very own FBA service. FBA, or Fulfillment by Amazon, allows you to integrate your personal store with Amazon’s infrastructure. What does this mean? Simply ship your products to Amazon and they handle the storage, shipping, fulfillment, and returns. With FBA, Amazon does what they do best with fulfillment logistics while you’re allowed to focus on your products.

BENEFITS OF AMAZON FBA

There are many benefits to using Amazon’s FBA service. Partnering with Amazon, for a fee (of course), moves you to the top of the pack of sellers on Amazon. Here are just a few of the advantages of signing up for Amazon FBA:

1. Amazon Prime Customers

By joining Amazon FBA, you’ll be given access to the most valuable segment of Amazon’s millions of customers—Amazon Prime users. Currently, Amazon Prime has over 112 million members, which gives these users a host of perks, including music and movies, Prime Day deals, and free two-day shipping on thousands of items. On average, Prime users spend more money and purchase more frequently than non-Prime users.

2. Storage Space

The size of your inventory will determine your growth in the online marketplace. As your store grows, the diversity of products and the size of inventory will also increase. However, few of us have the physical space for all these products, not to mention room for boxes, bubble wrap, and packing tape. With Amazon’s FBA, you let Amazon handle all your storage needs at one of their many warehouses around the world.

3. Shipping and Returns

Amazon has evolved into the world’s greatest online retailer through their efficient shipping and fulfillment logistics—that’s one of the reasons they grew out of Bezos’ garage to be able to deliver products all over the world. Instead of worrying about shipping logistics and costs, Amazon’s FBA takes care of all the fulfillment tasks and ensures your products are delivered quickly and efficiently.

Amazon’s FBA also handles all customer returns. While every seller hopes their customers will be happy with their purchases, returns are an inevitable part of online retail. Amazon takes over the entire return process so you can focus on your products.

4. The Amazon Brand

Another great advantage of using Amazon’s FBA is the ability to benefit from the company’s stellar reputation. In the giant online marketplace, it can be a challenge, as a shopper, to determine which sellers are trustworthy. Sure, reviews help, but how can you really know who to trust? The answer, often, is Amazon. As an FBA seller, your store gets the Amazon badge of approval, which could directly lead to an increase in sales.

5. Time is Money

At the end of the day, don’t we all wish we had more free time? While Amazon FBA offers so many benefits, perhaps the most valuable is also intangible: time and convenience. When you let Amazon take over all the shipping and fulfillment duties, you have time to focus on improving your store (or just enjoying your free time). We’re not here to tell you how to spend your free time, but we do know one thing for sure—Amazon FBA will give you a lot more of it.

CONCLUSION – SELLING ON AMAZON WITHOUT INVENTORY

With 2.5 million individual sellers on Amazon, one could use countless methods and strategies to run a successful store. Selling on Amazon without inventory isn’t for everybody. Dropshipping gives you much less control over stock and product availability while Amazon FBA (which isn’t free) asks you to adhere to Amazon’s playbook. Essentially, by working without an inventory, you lose some control over the selling and fulfillment process.

However, if you don’t mind working with a third-party fulfillment company, or actually prefer the more structured fulfillment process, selling on Amazon without inventory could be beneficial for you and your online store. Selling without inventory creates new possibilities for what and how you sell online and has proven to be profitable for many online sellers. Take the time to do your research and see if this method could be right for you.

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