Discover how to sell on Amazon without inventory, avoiding the hassle of storage space and high upfront investments. Whether it’s dropshipping, print-on-demand (POD) with Printify, or selling digital products, getting started is simple.
In this article, we’ll cover different methods to help you launch a successful online business. Let’s explore the pros and cons of each and find the best fit for your goals.
Key takeaways
- There are many ways to sell products on Amazon without inventory, including dropshipping, print-on-demand, selling digital products, Fulfillment by Amazon (FBA), Fulfillment by Merchant (FBM), Amazon Merch on Demand, and the Amazon Associates Program.
- Dropshipping and POD are low-cost entry options, with fulfillment managed by third-party suppliers. Dropshipping allows access to wholesale products, while POD enables product customization.
- FBA offers storage space and order fulfillment for sellers with inventory, while FBM and third-party logistics (3PL) give sellers more control over operations and product quality, but they require managing inventory and customer service.
- Digital products and affiliate marketing offer inventory-free options, perfect for content creators and sellers who want to avoid physical stock.
- Printify’s integration with Amazon streamlines POD selling, letting merchants design custom products and have them printed and shipped on demand.
- To succeed on Amazon without inventory, pick the right business model, do some market research, set competitive prices, and keep your customers updated on delivery times.
How to sell on Amazon without inventory – 7 proven ways
How do you start your Amazon selling journey as a new business? Let’s explore the most popular and effective methods for selling products without inventory, so you can choose the model that best aligns with your goals and budget.
1. Dropshipping
Amazon dropshipping is a popular choice that allows you to sell products without managing inventory. Unlike traditional selling, you partner with suppliers who handle storage and shipping for you.
How it works:
- Research reliable suppliers with products that fit your brand.
- Create your Amazon storefront and list the items.
- The supplier ships the product directly when a customer places an order.
- You manage pricing, promotions, and customer service, earning profit from your markup.
Pros:
- Low startup costs.
- No need to manage inventory.
- Automated order fulfillment.
- A large variety of products.
- Global fulfillment centers.
Cons:
- Little to no customization.
- Dependency on third parties.
- Lack of quality control.
- Long shipping and delivery times.
- High competition.
2. Print on Demand
Print on Demand is an evolution of dropshipping that includes product customization, addressing many of the traditional model’s limitations.
You create designs for products – from apparel and custom-printed phone cases to custom mugs – and they’re only printed when an order is placed, allowing you to offer unique items without holding stock. With platforms like Printify, you can easily manage designs and products.
How it works:
- Sign up with a POD platform like Printify.
- Design products and upload them to your Amazon store.
- When a customer purchases a product, the provider prints, packs, and ships the item.
- Track orders and focus on marketing while earning from the markup.
Pros:
- Products are printed on demand, so nothing is left unsold.
- No need to manage inventory.
- Zero upfront costs.
- Branding opportunities provide a competitive edge.
- Global fulfillment centers.
Cons:
- Higher retail costs mean lower profit margins.
- Limited product selection compared to dropshipping wholesalers.
- Designing requires a longer product development process.
- Dependency on third-party Print Providers.
Make it happen today!
Increase your eCommerce sales with print-on-demand products. Partner with Printify today.
3. Selling digital products
While you explore how to make money on Amazon without inventory, consider offering items that aren’t tangible.The most popular option is selling eBooks via Amazon Kindle Direct Publishing (KDP), but this category also includes audiobooks, printables, art prints, and music.
Familiarize yourself with Amazon’s strict eBook guidelines.
To sell music on Amazon, you can choose the Amazon service TuneCore or DistroKid. Tunecore is a proprietary service, but doesn’t offer direct digital rights management (DRM). On the other hand, DistroKid is a more flexible option, providing a broader range of features for musicians looking to distribute their music.
- Amazon TuneCore charges $22.99/year for singles and $39.99/year for albums. Distribution to social media platforms is free with the Unlimited plan.
- DistroKid plans start from $22.99 per year for unlimited songs and albums.
How it works:
- Prepare your digital product and choose your target audience.
- Sign up for a platform like Kindle Direct Publishing (for eBooks) or DistroKid (for music).
- Upload your content, set pricing, and promote it.
- Customers buy and download instantly, and you receive payments via the platform.
Pros:
- Inventory-free selling.
- Low startup costs, depending on the digital product.
- Full control over price and profit margins.
- Higher chances of creating your own private-label business.
Cons:
- Requires specific skills and talent.
- Needs extra marketing efforts to gain visibility and traffic.
- High competition, depending on the niche.
4. Fulfillment by Amazon (FBA)
Fulfillment by Amazon lets you outsource storage and shipping to Amazon. While you won’t need to store products yourself, you still need to purchase your inventory upfront and send it to Amazon’s warehouses. They handle packing, shipping, and customer service.
This model is popular with sellers who buy items at a discount and then resell them on Amazon for a profit. Plus, using FBA gives you access to Amazon Prime customers, who love fast delivery. Just be sure to choose high-quality, in-demand products to keep shoppers happy and drive more sales.
How it works:
- Subscribe to an Amazon seller account with an Individual ($0.99 per sale) or Professional ($39.99 per month) plan.
- Create listings following Amazon’s requirements and specify your choice to sell using FBA inventory.
- Register using the FBA seller platform to send your inventory to a fulfillment center according to Amazon’s guidelines for packing and shipping.
- Once connected, Amazon handles the fulfillment process, including shipping and customer service.
Pros:
- Physical inventory is handled elsewhere.
- Doesn’t involve an external network or third-party supplier.
- Strong prestige and customer loyalty.
- Exceptional customer service.
Cons:
- Amazon sellers are subject to referral, commission and storage costs.
- No low-stock notifications – FBA inventory is tracked manually.
- You’ll need to hold or purchase upfront inventory before connecting to FBA.
- Strict shipping guidelines and little control over pricing and fees.
5. Fulfillment by Merchant (FBM) or Third-Party Logistics (3PL)
Instead of relying on Amazon’s fulfillment centers, sellers can choose Amazon FBM to handle their own inventory, packaging, shipping, and customer service. You can do that through dropshipping custom products or using a third-party logistics provider.
3PLs differ from typical dropshipping by offering complete storage, packing, and shipping services, and many also manage returns. With a 3PL, you maintain control over fulfillment quality while keeping logistics separate from Amazon.
Do thorough research to select reliable third-party providers able to meet your shipping needs.
How it works:
- Set up your Amazon store with FBM, list your products, and build your brand.
- Partner with a trusted dropshipper or 3PL to store and ship your items.
- For each sale, your dropshipper or 3PL handles packing and shipping to the customer while you manage product listings and customer service.
Pros:
- Full control to create and customize your products.
- Flexible options with 3PLs that help you scale quickly as demand changes.
- Third-party providers can offer personalized shipping and handling solutions.
Cons:
- Requires upfront investment to purchase and store inventory.
- Product quality and consistency can be challenging to monitor.
- Limited control over stock levels and delivery timing.
6. Amazon Merch on Demand
Amazon Merch on Demand enables sellers to design custom products, like t-shirts and hoodies, which Amazon prints and ships as orders come in. This print-on-demand option requires no upfront investment or inventory, making it a low-risk entry to the Amazon marketplace.
How it works:
- Sign up and get approval.
- Upload designs and select products.
- Amazon creates and manages listings.
- Once a sale is made, Amazon handles production and shipping.
Pros:
- Zero inventory.
- Wide Amazon reach.
- Prime-eligible shipping.
Cons:
- Limited product types.
- Competitive market.
- Royalty-based earnings.
7. Amazon Associates Program
The Amazon Associates Program allows you to earn a commission by promoting Amazon products through affiliate links. Perfect for bloggers, content creators, or influencers, it doesn’t require inventory or product management, as you simply link to Amazon listings and earn when followers purchase.
How it works:
- Sign up for the Amazon Associates Program.
- Share unique affiliate links to Amazon products.
- Earn a commission when a follower clicks and makes a purchase.
Pros:
- No inventory management.
- Easy to integrate with content platforms like blogs and social media.
Cons:
- Lower commission rates for some categories.
- Limited control over product selection and availability.
Make it happen today!
Pros of selling on Amazon without inventory
Selling on Amazon without inventory offers flexibility and reduced costs, making it an attractive option for many sellers. Here’s why it works for so many entrepreneurs:
Fast and easy launch
Amazon’s platform helps you start selling quickly. With an easy account setup and built-in logistics support, you can begin selling without the need to store or ship products yourself.
Low overhead costs
Since you’re not buying or storing large amounts of inventory, you avoid large upfront expenses. This means it’s easier and cheaper to grow your business over time.
Reduced financial risk
Without buying products in bulk, you won’t end up with unsold inventory. This flexibility lets you experiment and adjust to product trends without extra risk.
Global reach
Selling without inventory lets you reach customers worldwide without dealing with complex shipping and customs. Whether you’re selling physical or digital products, you can easily expand to an international audience.
Easy to scale
Amazon’s resources, from fulfillment centers to digital sales channels, make it easy to adapt to demand. Quickly add new products, adjust listings, and grow without the hassle of inventory management.
Customization and personalization
With POD, create and sell unique designs without keeping stock. It’s a great way to test niche products or build a brand without high upfront costs.
Tips for success
Here are some quick tips to help you stand out, attract customers, streamline operations, and maximize your success selling on Amazon without inventory.
1. Do your market research
Before you start, check market trends and see if Amazon has any product restrictions. This will help you identify profitable products and avoid restricted items.
2. Find your niche
Choosing a specific niche helps you stand out and attract a loyal customer base. Plus, niche products often have less competition than popular, broad categories.
3. Set the right price
Pricing is key! Account for costs, profit margins, and competitor offerings when setting your product’s selling price. Setting fair and competitive prices can help you stay profitable and increase customer satisfaction.
4. Look for lower-competition areas
High-competition categories can make it tough to stand out. Targeting a niche or finding products with moderate demand and fewer sellers can help your items get more visibility.
5. Keep customers in the loop
Be upfront about shipping times, product availability, or any potential delays. This way, customers know what to expect and are more likely to shop with you again.
How to sell items on Amazon without inventory using Printify
Why sell on Amazon with Printify? Because we’ve partnered with them to make selling without holding inventory a breeze.
Follow these steps to create and sell a diverse range of products, each made-to-order using your designs. Our automated fulfillment is cost-effective without any storage costs. Plus, our product customization tools are super easy to use!
1. Create an account
Sign up for a free account. Once you’re ready, explore the dashboard and familiarize yourself with our helpful resources and awesome features.
2. Choose what to sell
Printify offers an extensive Catalog with over 1,000 high-quality products, from apparel to accessories and home decor. Identify trending products that fit your niche and have the potential for good profit margins.
Explore the manufacturing features, production costs, fulfillment locations, customizable designs, and branding options available on each product’s page.
3. Connect your store
To sell on Amazon using Printify, register as an Amazon seller with a Professional seller plan.
Once your seller account is active, go to your Printify dashboard and connect your Amazon store via My stores – Add new store.
When adding a custom product to your Amazon store, request a GTIN (Global Trade Item Number) exemption to list your Printify merchandise without needing a product barcode.
4. Create products and edit listings
Design your products with our easy-to-use Product Creator (formerly the Mockup Generator). Upload and edit your designs or create new ones from scratch.When creating your listings, optimize them using relevant keywords potential customers will use when searching for your products. Upload high-quality images, and ensure your product titles and descriptions are clear, consistent, and appealing to encourage customer reviews and positive feedback.
Check out our article on how to sell shirts on Amazon without inventory.
5. Promote your store
Marketing your Amazon store is crucial for attracting buyers. Capture your customer preferences using Amazon’s advertising, such as Sponsored Products and Brands.
Additionally, leverage social media platforms, email marketing, and content marketing to drive traffic to your listings. Also, consider running promotions or discounts to encourage first-time purchases and focus on providing excellent customer service to build a loyal customer base.
6. Monitor your performance
Check sales performance and customer feedback on Amazon regularly. Use Amazon’s analytics tools to track sales and see which products are selling and which aren’t.
Pay attention to customer reviews to track product and service quality. Consistently adjust your strategies to enhance your store’s performance and increase sales.
FAQ
Yes, sell on Amazon without holding physical inventory by using dropshipping, Print on Demand, or selling digital art and similar items. These methods allow third parties to handle storage and shipping or let customers download items directly.
If you’re looking to learn how to sell on Amazon without holding physical products, consider partnering with suppliers through dropshipping, using a POD service for custom items, or selling digital products like eBooks or music. These methods streamline order fulfillment and eliminate the need for inventory management.
No, an LLC isn’t required to sell on Amazon. You can operate as a sole proprietor, though an LLC may provide benefits like liability protection and tax advantages, depending on your business needs.
Conclusion
You now know how to start selling on Amazon without inventory. We’ve explored POD with Printify, dropshipping suppliers, Amazon FBA, and FBM.
All that’s left is to pick the business model that works for you, do your product research, assess market demand, curate your listings, and create a thriving online business.
Sell on Amazon today and enjoy making profits without holding inventory.
