Is It Worth Selling on Amazon FBA in 2023?

Is It Worth Selling on Amazon FBA in 2023?

You might be wondering if starting an Amazon FBA business is the right move for you in 2023.

As the new year sets in, the prospect of this venture can be daunting, but also exciting. Before you decide to take on the challenge of Amazon FBA selling, it’s crucial to consider the state of the market, the relevant statistics, and your goals.

Let’s take a look at the pros and cons of launching your own Amazon FBA business in 2023.

What Makes Amazon FBA Worth it?

Even if you’ve been living under a rock, you likely realize that e-commerce is now a permanent fixture in today’s world. However, this is more than a casual observation as analysts predict that e-commerce will expand from $5.2 trillion in 2022 to $8.1 trillion by 2026.

These staggering numbers are put into a new light when you consider that Amazon currently snags 37.8% of e-commerce sales in the US. If you are wondering how you could be part of this impressive performance as an Amazon FBA seller, you are not alone.

person clicking on amazon

Amazon FBA Pros and Cons

Before undertaking a new business venture, you must frankly consider the pros and cons. But what are the upsides and downsides of becoming an Amazon FBA seller in 2023?


  1.  Trust in Amazon: By selling as an Amazon FBA seller, you can benefit from the trust customers feel in the company. If a potential buyer is on the fence about making a purchase, conducting the transaction on Amazon gives them a level of certainty they might not have elsewhere.
  2. Scalable: Whether you have a large established enterprise, or you’re just starting out, Amazon FBA selling can be scaled to your needs. More importantly, Amazon FBA selling can facilitate the growth of your business.
  3. Excellent investment potential: When you compare Amazon FBA selling to a traditional savings account, the potential for greater earnings is undeniable. For many, this makes the higher risk acceptable.
  4. Quality customer service: Thanks to Amazon FBA’s efficient procedures, your customers will receive swift shipping and responsive customer service. This saves you both time and effort and allows you to focus on other aspects of your business.
  5. Passive Income: Since Amazon FBA takes care of many of the time-consuming aspects of e-commerce selling, your business can bring in cash with less effort.
  6. High exposure: The number of customers visiting Amazon is unparalleled, and this means you will be tapping into an enormous customer base.


  1. Rigid requirements: Unlike other e-commerce platforms, Amazon FBA has strict regulations that mean its sellers will have to jump through some hoops before getting started.
  2. Competition: The downside of Amazon’s titanic size is that you will be competing with many sellers for customers’ attention. This means you’ll have to stay at the top of your game to stand out.


person counting money

Does it Pay to be an Amazon FBA Seller?

If you start an Amazon FBA business in 2023, you will be able to skip many of the overheads that opening a physical shop would require. Without rent or staff needs, you can begin selling faster, and with less upfront investment.

Importantly, these lower overheads mean that your profit margins will usually be higher. Let’s see how the stats add up:

  • Half of Amazon sellers sell between $1,000 and $25,000 per month.
  • 13% of Amazon sellers have sales between $25,000 and $250,000 per month.
  • Sales under $500 per month are conducted by 22% of Amazon sellers.
  • Profit margins higher than 20% are reported by 32% of sellers.
  • Profit margins higher than 10% are reported by 65% of sellers.

For a new seller starting out, these numbers paint a promising picture.


Amazon FBA seller 2023 forecast

Several factors have made the last few years unpredictable for the global economy.

This was reflected in higher Cost Per Unit (or CPU) for Amazon FBA sellers as fuel prices increased. Costs of shipping also went up, and inflation meant customer spending could be unpredictable.

However, the forecast for 2023 is looking hopeful as Amazon stock climbs, and customers are spending more. Overall, the outlook for the coming year for Amazon FBA sellers is a positive one.


Succeeding on Amazon in 2023

In order to make the most of Amazon FBA in 2023, you’ll need to put your best foot forward. But what are some of the best ways to stay ahead of the game?

  1. Negotiate with your suppliers: Communicating effectively with your suppliers about your expectations is critical to your success as an Amazon FBA seller. Do not shy away from having respectful negotiations in order to obtain the best deal.
  2. Upgrade your keywords: The quality of your keywords will directly impact the number of customers viewing your listings. Taking the time to finesse your keywords means your products will have more eyes on them, and this translates to more potential sales.
  3. Consider higher ticket items: As shipping fees and production costs grow, consider selling products with higher RRPs to achieve favorable profit margins. Lower ticket items have less room for you to adjust for increasing costs than higher ticket items.
  4. Invest in Amazon PPC ads: In the e-commerce world, ads are a dynamic tool for increasing your sales. This means that understanding Amazon PPC ads and how they can work for you makes all the difference when it comes to connecting to customers.
  5. Enlist a currency exchange service: If you conduct business in a different currency than you sell in, using a professional currency exchange service can save you a lot in the long run. This is especially important for international sellers, and those who sell internationally.
  6. Diversify your online presence: Rather than depending on Amazon alone to draw customers to your listings, think about developing your business on multiple platforms. For example, creating strong social media profiles can help you catch the attention of new customers, and direct them to your Amazon listings.
  7. Don’t shy away from the numbers: Last, but not least, understanding your cash flow, and your Actual Cost Of Sales (or ACoS) is everything when you grow any business. For those vying to be their own boss as an Amazon FBA seller, keeping a sharp eye on the numbers is everything.


Jan 2023 Calendar

Going Forward into 2023

So, is it worth selling on Amazon in 2023?

Absolutely, Amazon FBA selling is a great opportunity in 2023 as e-commerce continues to thrive, and Amazon makes launching a business scalable.

Remember that staying ahead of the competition is essential and this means considering the items you sell, negotiating for the best deals, keeping your keywords on point, and targeting your marketing efforts.

Whether you plan to be a small seller, or you have ambitions to rise through the ranks, Amazon FBA selling can be tailored to meet your needs. Launching your Amazon FBA business might just be the wisest choice you make in 2023. So what are you waiting for?

Special Offer

GETIDA (GET Intelligent Data Analytics) is a powerful software tool that examines the previous 18 months of inventory management transactions to flag errors eligible for FBA reimbursement. It is free to run the report.

It’s also free for a GETIDA team composed of former experienced Amazon employees to file and follow up on reimbursement claims on your behalf. The only charge is a percentage of claims that are approved. And the first $400 of FBA reimbursement is free without charge.
Given the time and effort, GETIDA saves you so you can focus on running your business, it’s a small price to pay to recover potentially substantial reimbursement of FBA errors likely to occur while handling your inventory management.