Product Sourcing for Amazon: A Complete Guide


In today’s business world, the internet has made it possible to sell about anything online, including your private-label products. 

If you’re interested in becoming an Amazon seller, you’ve heard about Amazon product sourcing and are wondering what it entails. How to do it well so you can take advantage of it to make more money on Amazon. 

Starting with product sourcing for Amazon can seem daunting if you’ve never done it before. Luckily, plenty of other Amazon sellers have done this, and you can benefit from the wisdom they gleaned from their successes and mistakes. 

There is no doubt that Amazon is one of the world’s leaders in ecommerce. They have built an empire selling everything from books to furniture and electronics. But just how does Amazon source products for sale on their website? This blog post will discuss product sourcing for Amazon and how you can do it for your business.

What Is Product Sourcing For Amazon?

Product sourcing for Amazon is finding and purchasing products from third-party sellers on the Amazon marketplace. There are many benefits to product sourcing for Amazon, including increased availability and reduced costs. The following are some key points to consider when product sourcing for Amazon: 

1. Choose Suitable Suppliers: The selection of the right suppliers is critical to success with product sourcing for Amazon. You need to find suppliers with a good reputation and offer products that fit your specifications. In addition, be sure to check supplier prices and quality standards before placing an order.

2. Evaluate Supplier Quality: Before placing an order, you should evaluate the quality of the products offered by your suppliers. It includes checking the durability and accuracy of information provided on Amazon marketplace products. Additionally, it would help to inspect supplier warehouses to ensure they are clean and organized.

3. Get Discounts on Products from Amazon Marketplace Partners: Many suppliers offer discounts on their products when purchased through the Amazon marketplace. Use these discounts to reduce your overall cost of goods sold (COGS) while increasing your profit margins on items sold through Amazon.

4. Use Negotiated Shipping Rates with Suppliers: Many suppliers offer negotiated shipping rates that allow you to save on shipping costs. If you deal with lower rates with suppliers for freight, you can reduce your total COGS and get a better ROI on the Amazon marketplace business.

How To Get Started With Product Sourcing On Amazon?

The first step is to decide what kinds of products you want to sell on Amazon. Once you have a list of potential products, the next step is to research your options. You can search for suppliers on websites like Alibaba. You can also contact companies directly to see if they have any products that meet your specifications.

Once you’ve found a supplier, the next step is to set up a meeting to discuss your needs. During this meeting, you’ll want to discuss the price, delivery time, and other essential details. You should also ensure that the supplier has the necessary manufacturing facilities to produce your products correctly. 

Then, you’ll have to sign the contracts. Let’s say that your supplier has 20 items that meet your specifications. You’ll need to negotiate with them about which products will cost from this point forward. The best way to do that is by comparing prices and shipping costs for each of the possible options.

After you’ve chosen a product and signed the contract, they’ll have to begin production. The first step is to start with a prototype, a mock-up of the final product that can be used in the design process. Next, they’ll have to create that product. From there, you can start producing your inventory. Finally, you’ll have a final product indistinguishable from others. 

While starting your own business is not cheap, it is easy and relatively inexpensive. With low startup costs and initial inventory costing less than $100,000, you can easily afford to sell your products before you’ve made a profit.

What Are The Different Types Of Products You Can Source?

There are many different types of products that you can Amazon sourcing. Here is a list of some of the most common types of products that you can find on Amazon: 

-Clothing: You can find clothing items such as T-shirts, sweaters, and hats on Amazon.

-Electronics: You can find electronics items such as smartphones, tablets, and televisions on Amazon.

-Home Goods: You can find home goods items such as beds, couches, and lamps on Amazon.

-Grocery Stores: You can find grocery store items such as food, drinks, and snacks on Amazon.

Ways To Source Products On Amazon In 2022

Wholesale/ Retail Arbitrage

One way to product source Amazon is to wholesale them from other retailers and then sell them on Amazon. It is known as retail arbitrage.

You will need to find a retailer with products you want to buy on Amazon. Then, you will need to contact the retailer and negotiate a price for the product. Once you have the price, you can sell the product on Amazon at a higher price than the original retail price. It will create profit while also saving you time and money on shipping.

Online Arbitrage

One way to source products on Amazon is to do online arbitrage. It involves buying products on Amazon and selling them on another site, such as eBay or Craigslist. You can find products similar to the ones you’re selling on Amazon, and you can make a lot of money this way.

To do online arbitrage, you first need to find the products you want to sell. You can search for these products on Amazon or other sites. Once you find the products you want to sell, you need to find a market for them. You can market the products on eBay or Craigslist or sell them through a direct sales channel such as an MLM or network marketing company.

Online arbitrage is a very profitable way to source products on Amazon. It’s also easy to get started and doesn’t require special skills or financial resources. Many resources are available online if you’re interested in creating online arbitrage.

Auction and Thrift Stores

One way to find products to buy on Amazon is to search for items that are being auctioned or thrift. It can be a great way to find high-quality products that you would not have otherwise found.

Auction websites like eBay and Craigslist offer various furniture and electronics products. These websites often have items that have been donated or are no longer needed. By bidding on these items, you can get them at a fraction of the cost of buying them new.

Thrift stores also offer a wide range of products for Amazon selling. Many of these stores carry discontinued or hard-to-find items. By browsing through the racks, you may be able to find the perfect product for your needs.


If you are looking for ways to source products on Amazon, you may want to consider liquidation/surplus items. These items are usually sold at a reduced price because the company that produced them has finished or has run out of inventory.

You can find products from many different companies in liquidation/surplus condition on Amazon. For example, you can find Nike, Sony, and Apple goods in this condition.

When you are sourcing products on Amazon, be sure to read the product description carefully. You may find additional discounts and deals not included in the original listing. Additionally, be sure to check the customer reviews before making a purchase. People who have often purchased a product in liquidation/surplus condition have had positive experiences with it.

Private Label

One way to source products on Amazon is to create your private label. It is a great way to start selling products on Amazon, having to invest in inventory and spending time and money marketing your product.

To create a private label, you first need to identify the categories in which you want to sell products. You can choose from various products to sell, such as beauty, health, home improvement, and clothing. 

After selecting the categories, you need to find the products that fit your niche and list them on Amazon as your Private label. You can find these products by searching for keywords related to your category or browsing through Amazon’s extensive product catalog.

Once you have found the products you want to sell, you need to set up your seller account and start listing your products. You will need to provide detailed information about each product, including the price, shipping information, and customer reviews. You can also set up your shipping policies and offer free shipping on certain orders.

Creating a private label on Amazon is a great way to start selling products online. Following these simple steps, you can easily find and list quality products that fit your niche.


One way to source products on Amazon is Dropshipping. It is a great way to start selling online without spending much on inventory.

To dropship, you first need to find products you want to sell. You can find products from several different sources, including Amazon itself. Once you have found the products you want to sell, you need to find a supplier.

You can use online marketplaces like Alibaba or eBay to find a supplier. Alternatively, you can contact companies that manufacture the products that you are interested in selling. Finally, you will need to set up an Amazon account and create a shipping address.

Dropshipping is a great way to get started selling on Amazon. It is simple and easy to set up and doesn’t require a significant investment in inventory.


Product Sourcing For Amazon: How To Determine Profitable Products

If you’re looking to start selling products on Amazon, you may be wondering how to source products. For the most part, three metrics factor into the profitability of specific items: 

Calculating Profit Margins

When you start selling products on Amazon, it is important to calculate your profit margins. It will help you to stay profitable and make the most of your sales.

To calculate your profit margins, you first need to figure out your production costs. It includes the cost of materials, labor, and shipping. You also need to factor in the price of Amazon fees and any taxes associated with selling on Amazon.

After calculating your production costs, you can determine your gross profits. It is simply the sum of your production costs plus the revenue you have generated from your sales.

You then must decide how much of your gross profits you want to keep. It will depend on your goals for selling products on Amazon. If you make a lot of money quickly, you may want to keep all of your gross profits. On the other hand, if you are looking to build a long-term business and make more money over time, you may want to reduce your profit margin.

By calculating and applying these simple rules, you can confidently start selling products on Amazon.

Assessing Demand

It can be challenging to determine how many products to order on Amazon. There are numerous factors to consider, such as the product’s popularity and stock availability.

One way to source products on Amazon is to assess the demand for the product. It can be done by looking at past sales data or customer reviews. If a product has been selling well, there is likely enough demand for it. On the other hand, if a product has few reviews or no sales data, it may be best to wait until there is more demand for it.

Another way to determine how much product to order on Amazon is to look at the supplier’s inventory levels. If the supplier has a lot of unsold products in stock, there is likely enough demand for them. However, if the supplier has little or no unsold products in stock, it may be best to wait until there is more demand for the product.

Analyzing all these factors can help you determine how many products to order on Amazon.

Accounting for Competition

When sourcing products on Amazon, it is essential to account for the competition. There are many different brands and types of products available on Amazon, and it can be hard to decide which product to buy.

One way to overcome this difficulty is to research the different brands and products available on Amazon. This information can be found by searching for reviews of other products or by using Amazon’s product database. This database provides information about the ratings and reviews of specific products.

Another way to source products on Amazon is to use the “browse by category” feature. This feature allows users to search through all the different categories available on Amazon. It can help users find the type of product they are looking for.

Overall, it is essential to research the different brands and products available on Amazon. Doing this will help users to choose the best product for their needs.

Smart Tips For Sourcing Reliable Products In China

1. Evaluate Profitability

When sourcing products from China, it is essential to be aware of the factors that affect profitability. Understanding these factors allows you to make better decisions when sourcing products from China.

One crucial factor that affects profitability is shipping costs. When evaluating a product to purchase from China, it is essential to consider the shipping cost and the time it will take to receive the product. When making a purchase, compare the shipping cost and time of delivery of different products.

Another critical factor that affects profitability is quality control. It is essential to ensure that the products you purchase are high quality. It can be done by visiting the manufacturers’ websites and inspecting their products. Additionally, it is essential to ask for references from trusted sources.

Understanding these factors allows you to make better decisions when sourcing products from China. Doing so can ensure that your business stays profitable and reaches its goals efficiently.

2. Evaluate if the Product is Easy to Ship

When sourcing products from China, it is vital to ensure that the product is easy to ship. It means that the product should not require special packaging or shipping arrangements.

Some products that are easy to ship include electronics and appliances. These products can often be shipped in boxes or packages that do not require special preparations.

Another type of product that is easy to ship is food. Many food items, such as meats and seafood, can be sent in boxes or containers that do not require special preparation.

Evaluating the product before purchasing it from a Chinese supplier is essential. It will help you to ensure that the product is easy to ship. It will arrive at your destination without any problems.

3. See if there is Room for Improvement

Regarding reliable sourcing products, it is essential to do your research. You can do a few things to improve your products’ reliability when sourcing them from China.

First, make sure that the supplier you are working with is reputable. Look for companies with good industry reputations, and check their online reviews. It will help you to be confident in their product quality.

Second, make sure that the supplier has a good track record. Ask them about their past experiences with supplying reliable products, and look for any certifications they may have. A good supplier will have certificates from organizations like ISO or TÜV, which show they are certified to provide high-quality products.

Finally, be sure to inspect the product before you buy it. Check for defects or wrongs in the product, and ensure the quality is up to your standards. If there are any problems with the product after you receive it, don’t hesitate to contact the supplier for assistance. By following these tips, you can ensure that your products are reliable and meet your quality standards.

Final Thoughts

Product sourcing for Amazon can be a daunting task, but it can be a breeze with the right tools and strategies. This article covers what product sourcing for Amazon is and how you can do it on Amazon. We also provide a few tips to help make your product sourcing process as smooth as possible. So whether you’re looking to source new products for your Amazon store or need some advice on finding products that meet your specific needs, we are here.


1 thought on “Product Sourcing for Amazon: A Complete Guide”

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