What is Wholesale Selling on Amazon?

In the wholesale model, you buy genuine, branded products in large quantities directly from authorized suppliers or distributors at a lower cost, then resell them on Amazon (usually via FBA) at a markup.

Advantages of the Wholesale Model

• Access to established, trusted brands with proven demand
• Lower risk since products already sell well
• Easier to scale quickly with consistent supply
• Usually comes with invoices and authorization for Amazon approval
• Less product development or branding work required

Key Challenges in Wholesale

• Higher competition from other wholesalers and the brand itself
• Thinner margins compared to private label
• Need for large upfront capital for bulk purchases
• Strict requirements for invoices and supplier approval
• Risk of account restrictions if sourcing is unauthorized

Best Practices for Wholesale Success

• Build strong relationships with authorized distributors
• Focus on high-velocity, low-competition branded items
• Negotiate better pricing and terms as volume grows
• Maintain excellent account health and fast fulfillment
• Monitor pricing and Buy Box competition closely