Need some additional cash? You might find a great match with Amazon’s side hustles.
With Amazon business, you can launch your brand with only a few hundred dollars, unlike other enterprises that need far larger expenditures.
Within this article, you’ll discover tons of info on how you can generate passive income, and if Amazon can be the partner, you need to do so.
Amazon Side Hustle is pretty similar to most other FBA programs. They pitch you on the “dream” of running a profitable e-commerce business that can generate cash while you sleep.
All without having to invest much money upfront into things like inventory & advertising…
Too good to be true?
Not necessarily – Amazon FBA programs have certainly minted a few online millionaires.
It was actually one of the first online business models I made money with.
So as far as making money online goes, there are A LOT worse things you could be doing than Amazon FBA.
That being said, you shouldn’t start a business because “it’s not as bad” as some other type of business – it needs to stand on its own merits.
Choosing between the lesser of two evils always results in, ya know – evil.
So in this Amazon Side Hustle review, I’m going to break down exactly who FBA is good for, and who should avoid it.
There are a few important things you need to keep in mind when considering FBA as a business:
- Finding winning products
- Time (the most valuable thing of all)
Again, it’s 100% possible to make legitimate money with FBA, but it’s NOT a simple business.
Let’s talk about why:
Operations: The big pitch with FBA is that you don’t really need to do much, because Amazon handles all the heavy lifting (shipping, packing, returns, etc.).
That’s cool and all, except for the fact that Amazon actually has incredibly strict guidelines that you need to follow to even be able to ship out of their warehouses – something most programs don’t tell you about in their “awesome” marketing materials.
This process typically takes a solid 4-5 hours alone. So unless you have a very large team, this step is going to take up a lot of your time.
That doesn’t mean FBA is bad – it just means you need to know what you’re getting into. A “passive income business” is not what you’re going to get with an Amazon Side Hustle.
Some courses will teach you how to outsource all of this prep to another company, but that eats into your margins significantly. Amazon is already taking 30-40% just for being part of the FBA program, so you don’t exactly have a lot of wiggle room.
Finding winning products: “Hot” products are typically only popular for a few glorious months, and then they fall off. Again, that doesn’t make FBA a bad business – it just means you need to be constantly on the lookout for the next hot thing.
If you have a supplier that you’re on really good terms with, sometimes they’ll drop you hints and tell you what’s about to trend. But this won’t happen until you have a history of making 6-figures with one another.
What this really means is that you need to be innovative and detail-oriented when it comes to staying on top of trends. You want to be the first one to the product, not the last one struggling to turn a profit off of the big dog’s leftovers.
There’s always the option of serving the “evergreen” markets that have always been around, but to that, I say good luck selling meal prep containers against the Tupperwares of the world.
So – we can safely add on another 3-4 hours worth of time each day trying to hunt for hot products.
Time: Despite what any Amazon FBA course seller tries to tell you, when it comes to FBA (or any e-commerce business model), you’re looking at about 3 months of serious trial, error, & testing before even making $1 back.
It could easily take 6 months or more before you’re even at break even.
And this all assumes you’re actually getting it right out of the gate, which isn’t impossible with a good program – but it’s not necessarily the norm.
To be honest, it’s not uncommon to operate at a LOSS for the first year of any new business, so I’m not bashing FBA here – I’m just talking facts based on my own personal experience selling on Amazon.
But what if you could build a different (non-FBA) income stream, and start seeing profits within your first few days?
I’m talking about a system that doesn’t have:
- Crappy margins
- A 12-month wait time before you turn a profit
- A continuous guessing wheel trying to find “hot products”
Something that you could make anywhere from $2,000 – $10,000 with consistently, month after month?
A stream of income that you can build as high (or low) as you feel like building it?
If that sounds interesting, you might want to think about becoming a Digital Landlord.
If you wanna see what Amazon Side Hustle looks like on the inside, keep reading.
Amazon: How It Came To Be?
Amazon began as an idea by Jeff Bezos on July 5, 1994, and eventually hatched. Where did it start? Jeff’s storage space in Bellevue! He had no clue that what began as a standard online bookshop would become known as The Everything Store due to its incredible variety of goods. It feels like there’s no stopping its growth.
Amazon Web Services, Zoox (autonomous cars), Kuiper Systems (satellite Internet), and Amazon Lab126 (computer hardware R&D), now this enterprise owns several subsidiary companies. Ring, Twitch, IMDb, and Whole Foods Market are some of the Amazon associates. Its purchase of Whole Foods Market in August 2017 for $13.4 billion significantly extended its physical retail reach.
As of now, Amazon continues its legacy by being Kindle’s exclusive publisher. Now you know where your kindle book came from. Currently, Amazon is home to 9.1 million sellers, and its profits are off the charts!
How Do You Start Your Own Amazon Side Hustle?
You won’t even need paper and a pen to write this down.
Fortunately, this one is simple.
Since it’s a digital marketplace, Amazon is open to everyone with an internet connection. These are the essentials for launching your label:
- Bank Account
- Credit Card
- Government Issued ID
- Tax Info
- Phone number
If you have all of these and the drive to sell, all you need now is the Amazon seller app on your phone. Like I said, easy peasy lemon squeezy! No need to grab a pen and notepads to take this down.
Who Can Become An Amazon Seller?
To start selling merchandise on Amazon, you must be a billionaire. JUST KIDDING! Even a substantial capital expenditure is not necessary. A hundred dollars can get you started on the job. Money aside, a fantastic concept is what will work for you, whether you are a single shop or part of a collective.
It’s a product-based business, so it’s best for you and your brand name to be somewhat edgy and different from the rest. Take this advice and do your research. As intimidating as Amazon sounds like it’s actually a very chill place to set up shop. So, if your phone or laptop is on you, and your WiFi is not acting up, you can immediately sign up for it!
Choosing The Right Products
Amazon is a marketplace where you may sell almost anything. Consequently, the success or failure of your Amazon company hinges on your final product selection. Wouldn’t you want to see rapid gains even if this is simply a side job for you? If that’s the case, read for some researched suggestions about where to look for those products.
The first thing you need to decide on is what your products will be. I’ve read an article that actually encourages beginners to sell the simple stuff. Maybe a cute mug or a toothbrush holder, anything you might just suddenly see and say, “I don’t know why, but I think I need this.” There are flocks of impulse buyers on Amazon, so start channeling your impulsive spirit and list down all the things you might buy.
Finding a manufacturer is the second step. You can produce your own product. You can even sell your creation on Amazon Handmade. But if you’re just here to earn extra cash and not commit to a full-time job, I suggest you find yourself a second party to do the work for you. Quality, time efficiency, and price 3 are the things you should look out for in a manufacturer. Low quality, time delay, and unwarranted prices equal low sales. Remember that formula.
Lastly, try to spy on your competitors’ products. If you have specific products that you want to sell, it’s better to outsource for prices and feedback before heading into the battle. It’s easy to do this, just go to Amazon and search for your product. I recommend seeing what customers usually dislike and complain about, then avoiding doing the same thing to the best of your abilities. It’s like your very own cheat code! You’ll be surprised how these three tips can help you.
Using The Right Business Model
Okay, now that I’ve covered product selection, let’s move on to the many business models already in use by Amazon sellers, any of which you may potentially adopt. You’ll find this a useful tool in your self-management toolkit.
Retail arbitrage is not as unfamiliar as it sounds. If you read through the previous sections, you might even think of using this, but you don’t know the term. Basically, this is just buying a product in a local retail store and then selling it for more than half its purchase price. This model is pretty popular you’re when it comes to a side hustle. To help further price your item, the Amazon seller app helps you in many ways.
This one’s pretty much the same as retail arbitrage. Both are about reselling products. Although the difference is in wholesaling, instead of buying small numbers, you’ll buy products in bulk, which is sometimes cheaper. The advantage of this model is that it has inventory upfront. After buying a lot, you won’t need to order from manufacturers for some time, creating a three-way process. It’s going to be just you, Amazon, and the customer. Selling wholesale is faster and gives you a good reputation for always being delivery-ready.
This must be the most different plan from the three if you resell ready-made products under the two models. In selling private label products, you bring out your own touch with the items you’ll be putting on the market. Many private label sellers buy generic products from wholesale distributors and customize them as their own, and also introduce them as an item they personally manufacture. Private labeling is something I don’t recommend to side hustlers simply because it can be time-consuming due to its meticulous process.
Before choosing a Model, you’ll have to consider 3 things first:
- Your expectation of profit; Amazon as a side hustle greatly differs from doing it full-time.
- What you can give/invest in is also vital; money and time are of the essence in figuring out what model you should use.
- Current commitments; even a side hustle demands time in your life.
Leveling Up From Extra Money To Full-Time Income
If you’ve reached this part, you’re probably interested in how you can earn money from Amazon, enough to make it your full-time income generator.
Here are some of the tips that may help you if you ever want to take your side hustle to the next level:
- Make Use of the Best Keywords and Listings Possible in Amazon Seller Central.
- Join Prime.
- Select the Most Appropriate Type of Fulfillment
- Aim for Buy Box
- Make the Most of Your Advertising Budgets
- Maintaining a competitive price
- Improve Your Customer Metrics is Secret
- A+ content is a must
- Open Your Own Customized Retail Store
Are There Alternatives To Amazon Side Hustles?
Yes, there are plenty of other business models to choose from if you want to pursue making money online. Here are just a few:
Can Amazon Side Hustles Be A Scam?
Time for the million-dollar question: is Amazon Side Hustle a scam?
No, it’s not a “scam,” technically speaking. They aren’t going to take your money and run away, leaving you empty-handed.
You can make money with the program, but not nearly as easily as Amazon Side Hustles want you to think it is.
As with most FBA businesses, there is A LOT of work that needs to be done up-front, and there is really no guarantee of you being successful.
You’ll need to get very lucky and find an awesome product no one’s heard of, and then pump a ton of volume into it while it lasts.
Don’t get me wrong; I’m a big proponent of front-loading work now so that you can make money later and sip out of coconuts on the beach.
But if I’m gonna do that, I want the rewards to be HIGH and virtually guaranteed.
I’d rather put in that same 3 months of work (in my spare time) & build a handful of Digital Rental Properties that each produce $500-$2,000 checks every single month afterward (AKA recurring income).
And the cool part is that you can do it in a lot less time than 3-months (I personally did it in my first 2 weeks of being a Digital Landlord).
Unlike Amazon FBA, you can do it from anywhere in the world, so it’s a genuine “laptop-lifestyle” business.
All you need is an internet connection.
Some of my friends are Digital Landlords that run their 6-figure businesses from:
- Camping trips at national parks
- Beachfront in Hawaii
- On the road in a camper van (with a pet pig!)
They focus on living an enjoyable life first, and focus on income second. All thanks to this program.
They can take weeks or months off, and money keeps rolling in.
Living happily is the top priority.
If the thought of living perpetually at your dream vacation spot interests you, being a Digital Landlord might be for you!
What’s My #1 Recommendation For Making Money Online In 2022?
I’ve personally tried all of the major online business models:
- I’ve sold fidget spinners through Amazon FBA
- I’ve drop-shipped a toilet bowl putting green on Shopify
- I’ve sold women’s health supplements via Clickbank affiliate marketing
And I made money with all of them, so trust me when I say: there is no “perfect” business model.
That being said, my #1 recommendation for making real money online is, hands-down: being a Digital Landlord.
Whether you’re a complete newbie, or you’ve been around the block before but have never had that “big win” to propel you forward, becoming a Digital Landlord is for you.
1)Time: If you’ve got a spare hour or two each day, you can do this. If you want to drop everything and go all in, you can do this. More time obviously means faster results, but even putting in a few hours per day is enough to see real success.
And because of that flexibility, you don’t need to trade your time for money. Once the income starts, it’s recurring.
That means you can take a month off, travel the country, pursue a passion project, chill on the beach, or charter a boat across the world.
But you can only do that once you’ve created an income stream that doesn’t require YOU to be there all day, every day.
2) Ownership & Control: With Amazon FBA, you don’t technically own the customer base.
Amazon could literally shut you down overnight. They have a history of kicking suppliers off their platform, or stopping payouts to affiliates for certain products once they’ve built their own.
Why pour your soul into a business that could be taken away from you at the drop of a dime?
When you’re a Digital Landlord, you literally own all of the assets, which means you have ultimate control.
3) Big Margins: With FBA, you’re often going to have really slim margins. That means you need to hit a serious scale to make serious money. This usually entails spending A LOT of money on ads and other methods for growing traffic to your product.
Being a Digital Landlord, your profit margin is nearly 100%. Watch here to learn how.
Just a reminder: these Digital Rental Properties are worth (at a minimum) $500/mo in semi-passive income. And each time you create another one, your income increases, and the effort put into creating the next property decreases.
Best-case scenario, you have properties bringing in over $3,000+/mo on auto-pilot.
4) It’s Effectively Copy-Paste: Here’s my favorite part: once you have your first Digital Rental Property up, you can literally copy-paste another version of it and find another willing “renter” in a few days. DOUBLING your income doesn’t get much easier than that…
If you wanted to double your income with Amazon FBA, you would need to sell twice as much inventory, or double your profit margins. And I can guarantee you (from my fidget-spinner FBA days) that’s a lot harder than a few clicks & a phone call.
5) You’re Helping REAL People: My biggest gripe with FBA is that you’re basically only helping yourself. The world doesn’t need another B.S. gadget to consume.
It’s cool in the short term to make a quick buck, but in the long term, it gets really old fast.
But when you’re a Digital Landlord, you’re helping solve REAL problems that people are ASKING for help with:
Small local businesses around the world need one thing: customers. Without them, their business would fall apart. If you can provide those customers, they’re going to be really happy – and they’re going to pay you for it.
We’re not helping Jeff Bezos shoot another rocket into space – you’re helping a struggling mother or father put food on the table for their families, put their kids through college, or simply live life a little bit more comfortably.
Having this type of impact on the world is what will help you sleep soundly at night.
So, the rest is up to you. You could keep looking at other FBA programs like Amazon Side Hustles, which might make you money 12 months from now.
You could keep researching and researching for the next few months (or few years), never making a concrete decision.
OR, you can look deep inside, think about those dreams, hopes, & desires, and make the decision to ACTUALLY make it happen, just like it has for thousands of other students before you.
Making a fortune while actually helping real people that need it.
If this sounds like you, click here to see how it all works.