Overview

In 2023 Amazon wholesale remains a fast‑growing route for sellers who prefer buying ready‑made inventory from manufacturers or distributors and reselling it through Amazon’s marketplace. The model avoids the time‑intensive work of creating a private‑label brand while still tapping into Amazon’s massive buyer base and fulfillment network. Sellers who master the wholesale workflow can scale revenue more predictably and reduce many of the risks associated with product development.

Key Points

• Low upfront design risk — Because the products are already manufactured, sellers skip the costly design, prototyping, and testing phases that private‑label brands typically endure. A seller can launch a line of stainless‑steel kitchen utensils without spending months on product engineering.
• Established demand signals — Wholesale items usually come with a sales history, existing reviews, and known price points, giving sellers clear data to gauge market potential. For example, a home‑organization accessory that consistently ranks in Amazon’s top 200 provides a reliable sales velocity benchmark.
• Bulk purchasing discounts — Ordering larger quantities often unlocks volume‑based price reductions, which translate into higher profit margins when the goods are sold at Amazon’s standard price. A supplier might offer a 15 % discount on a repeat order of 500 units, improving the margin by several dollars per unit.
• Eligibility for Amazon programs — Wholesale sellers can qualify for initiatives such as Subscribe & Save, Amazon Business, or Amazon’s B2B marketplace, expanding reach to recurring‑purchase customers and corporate buyers. A seller of office supplies can tap into Amazon Business to sell directly to enterprises that prefer bulk ordering.
• Inventory stewardship responsibility — Maintaining optimal stock levels is critical; running out of inventory triggers the “out‑of‑stock” penalty that can hurt organic rankings and sales velocity. Sellers must monitor inventory dashboards daily and set reorder thresholds to avoid gaps.
• Brand‑authorization compliance — Some manufacturers enforce strict resale policies, so sellers need documented permission to list the products on Amazon. Without a written authorization email, a seller risks account suspension or removal of listings.