How to Source Products to Sell on Amazon

Are you looking to sell products on Amazon? Amazon is the leading e-retailer in the United States, and it’s one of the biggest online retailers in the world. In 2020, Amazon was worth $386 billion, and its market cap was up to $1.75 trillion in October of 2021.

Amazon isn’t going anywhere, and it still remains one of the most profitable websites for selling online goods. If you’re looking to sell on Amazon, one of the first things you need to figure out is where to source products from.

Check out this guide to learn how to source products to sell on Amazon.

What is Amazon Product Sourcing?

Amazon product sourcing is when someone sources a product from a third-party and then resells it on Amazon. The third-party dealers can be anything from retailers to distributors to manufacturers to dropshipping agents.

Most Amazon sellers don’t manufacture their own products and instead rely on product sourcing.

How to Find Products to Source on Amazon

Finding products to source on Amazon is simple once you understand your sourcing options. Here are your top options:

Retail Arbitrage

Retail arbitrage involves purchasing deeply discounted products and reselling them on Amazon. While this may sound simple in theory, profiting from this method takes some work.

You’ll need to figure out where to find the best clearance deals, and you’ll need to learn what’s selling well on Amazon and for how much. You can use Amazon store software pricing apps to scan UPC codes and match them to current listings on Amazon.

With this information, you can decide if you should buy a product and how much inventory you should stock.

Print-on-Demand

Print-on-demand (POD) products are custom-made drop-ship items that are created when a customer places an order. The suppliers handle everything for you, from sourcing and storing to printing and shipping.

Most POD sellers create unique artwork and designs and market them using Amazon-approved vendors. POD gives you a unique opportunity to build your own brand, even if you’re on a shoestring budget.

Wholesale Products

Selling wholesale is another very common way to source products on Amazon. You can source products from wholesale suppliers online through wholesale marketplaces such as Alibaba or Thomasnet.

You could also visit tradeshows within your industry to find more wholesale suppliers. Working with wholesale buyers means you’ll be purchasing goods in bulk, typically in units called case packs. You’ll then store your inventory and ship your products as they’re ordered.

Direct-Source Products

Many people find that direct-sourcing is the most profitable way to sell on Amazon. This involves purchasing goods directly from a manufacturer, and you can find these manufacturers using the same tactics you’d use to find wholesale suppliers.

To succeed at direct-source product selling, you’ll need to keep a close eye on your inventory levels, product costs, and reorder quantities.

How to Source Products to Sell on Amazon: Moving Forward

Now that you know how to source products to sell on Amazon, it’s time to get started. While it can take a while to get started, selling on Amazon can be wildly profitable.

Check back in with our guide for more Amazon selling tips!