Introduction
Amazon FBA (Fulfillment by Amazon) is one of the most popular eCommerce business models, allowing sellers to store their products in Amazon’s fulfillment centers while Amazon handles storage, packing, and shipping. One effective way to succeed with Amazon FBA is through wholesale sourcing, where sellers buy bulk products from authorized distributors at discounted prices and resell them on Amazon.
What Is Amazon FBA Wholesale?
Amazon fba wholesale distributors usa involves purchasing products from wholesale distributors in bulk and reselling them on Amazon. Unlike private labeling, where sellers create their own brand, wholesale focuses on selling established brands. This method is ideal for entrepreneurs who want a faster way to generate revenue without dealing with manufacturing or branding.
Benefits of Amazon FBA Wholesale
1. Lower Risk
Selling well-known brands eliminates the risk of launching unknown products, reducing the chances of failure.
2. Faster Scaling
Since wholesale products already have market demand, sellers can scale their business faster than with private label products.
3. No Need for Product Development
Unlike private labeling, wholesale sellers do not need to invest in branding, packaging, or product creation, making it easier to get started.
4. Amazon Handles Logistics
With FBA, Amazon manages inventory storage, packing, shipping, and customer service, allowing sellers to focus on growing their business.
How to Find Wholesale Distributors in the USA
1. Use Online Directories
Several online directories list verified wholesale distributors. Some popular ones include:
- Wholesale Central
- SaleHoo
- Worldwide Brands
2. Attend Trade Shows
Trade shows provide opportunities to connect directly with manufacturers and distributors. Some of the best trade shows for wholesale sourcing include:
- ASD Market Week
- National Hardware Show
- Toy Fair New York
3. Contact Brand Manufacturers
Many brand manufacturers have authorized distributors. Sellers can reach out to manufacturers and ask for a list of official wholesale suppliers.
4. Join Wholesale Networks
Wholesale networks and industry groups can help connect sellers with reliable distributors and suppliers.
Best Wholesale Distributors in the USA
1. Dollar Days
A leading distributor offering bulk products at competitive prices, specializing in household goods, clothing, and office supplies.
2. Alibaba (USA Suppliers Section)
Although Alibaba is based in China, it has a section dedicated to USA-based suppliers, making it a good resource for sourcing wholesale products domestically.
3. Faire
A wholesale marketplace that connects retailers with brands and distributors across various product categories.
4. GreenDropShip
A popular supplier offering natural and organic products, ideal for sellers in the health and wellness niche.
5. Tundra
A wholesale platform with a large selection of products from verified suppliers, allowing sellers to purchase without middlemen.
Steps to Start Amazon FBA Wholesale
1. Set Up an Amazon Seller Account
To start selling on Amazon, sign up for a professional seller account through Amazon Seller Central.
2. Get a Reseller Permit
Many distributors require a reseller permit or tax ID before selling wholesale products. This permit allows sellers to buy in bulk without paying sales tax.
3. Find and Contact Distributors
Research and reach out to wholesale distributors that align with your target product category. Negotiate pricing and order terms.
4. Analyze Product Demand and Profitability
Use tools like Keepa, Helium 10, or Jungle Scout to analyze product demand, competition, and potential profit margins before making a purchase.
5. Order and Ship to Amazon FBA
Once you’ve secured a distributor, place your order and send the inventory to Amazon fulfillment centers using Amazon’s FBA guidelines.
6. Optimize Listings and Start Selling
Create optimized product listings with high-quality images, compelling descriptions, and relevant keywords to attract buyers.
Common Challenges and How to Overcome Them
1. High Competition
Selling established brands means competing with other wholesalers. To stand out, focus on securing exclusive deals with distributors and optimizing pricing.
2. Account Approval and Brand Restrictions
Some brands require approval to resell their products on Amazon. Contact the brand directly or choose unrestricted categories.
3. Managing Inventory and Cash Flow
Wholesale requires upfront investment. Manage your cash flow wisely and use Amazon’s inventory management tools to track stock levels.
Conclusion
Amazon FBA wholesale is a profitable business model for sellers who want to leverage existing brand demand and scale quickly. By finding reliable wholesale distributors in the USA and following a strategic sourcing approach, sellers can build a successful and sustainable eCommerce business.
