Overview

Amazon’s marketplace has become the most attractive entry point for new entrepreneurs, driven by a pandemic‑induced surge in online buying and a logistics network that eliminates most shipping obstacles. With more than 150 million U.S. shoppers using the Amazon app and Prime’s two‑day promise, sellers who launch now can capture expanding demand for home, health, entertainment and fitness categories.

Key Points

• Mobile dominance — Over 150 million U.S. consumers browse and purchase on Amazon’s mobile app, many of them attracted by Prime’s guaranteed two‑day delivery, which shortens the buyer decision cycle.
• Revenue explosion — Amazon’s net sales have climbed from roughly $34 billion ten years ago to exceed $230 billion today, illustrating the platform’s massive growth and the scale of opportunity for new brands.
• Seller profitability — About 200 000 Amazon sellers now report annual revenues of at least $100 k, and roughly 25 000 have broken the $1 million threshold, proving that substantial earnings are attainable for disciplined merchants.
• COVID‑driven shift — Lockdowns accelerated e‑commerce adoption, especially for home‑goods, medical supplies and indoor fitness equipment, creating a lasting demand tail that continues to benefit new listings.
• FBA advantage — Fulfillment by Amazon (FBA) grants instant access to Prime shipping, automated returns handling and a global network of warehouses, dramatically lowering the entry barrier for first‑time sellers.
• Category momentum – Products such as ergonomic home office accessories, portable air purifiers and compact workout gear have seen double‑digit month‑over‑month growth since 2020, signaling fertile ground for niche private‑label launches.

How Amazon FBA Works

1. Product shipment to Amazon — You send a batch of inventory—say, 500 silicone kitchen spatulas—to an Amazon fulfillment center, where the items are logged and stored in a regional warehouse like the Dallas hub.
2. Storage and order processing — Amazon continuously tracks stock levels, automatically picks the spatulas when a customer places an order, and packs them in Prime‑eligible packaging that bears the Amazon logo.