Get over £42K in potential incentives when you start selling with Amazon. Learn howGet over £42K in potential incentives when you start selling with Amazon. Learn howOn this site, we use cookies and similar tools (collectively, "cookies") to provide and improve services to you and to show ads. To learn more about how Amazon uses cookies, please read the Amazon Cookies Notice.
Summary
Sites like Amazon offer many opportunities to earn income, from selling products to creating content. This guide explains the primary ways to make money with Amazon UK, with tips and answers to common questions.
Selling on Amazon UK
Selling products on Amazon UK is a popular way to earn money. In 2023, about 100,000 UK small and medium-sized businesses (SMEs) sold on Amazon.
Here’s what you need to do:
- Start by creating an account on Amazon Seller Central. For this, you’ll need to provide basic information (contact details, proof of identity, a credit/debit card, and bank account details).
- Choose your seller plan. Amazon offers two types of seller plans: Individual and Professional. The Individual plan has no monthly fee but charges £0.75 per item sold (excluding VAT) if you are looking to sell under 35 items/month, while the Professional plan costs £25 per month (excluding VAT) no matter how many items you sell. Both plans incur Amazon’s standard selling fees (a referral fee on each sale, any FBA warehousing/shipping fees if you use Amazon’s fulfilment service, as well as certain other costs that may apply in different cases).
- Next, decide what to sell. Some entrepreneurs create or source their own products (private-label goods or handmade crafts), while others use retail arbitrage – buying items at low prices and reselling them on Amazon.
- Decide how you will fulfil your orders. If you consider dropshipping, make sure to follow Amazon’s rules (you must be the seller of record on the package). Before listing anything, verify that your products comply with Amazon UK’s policies, since certain categories or items may be restricted or require approval.
- Make your product listings appealing. Use clear titles, high-quality images, and detailed descriptions with relevant keywords to help customers find your products. Competitive pricing and good customer service (such as fast shipping and helpful communication) will encourage positive feedback and repeat sales.
With careful research and dedication, selling on Amazon UK can become a reliable source of income.
Amazon FBA vs FBM
When you sell on Amazon, you have a choice in how orders are fulfilled: Fulfilment by Amazon (FBA) or Fulfilled by Merchant (FBM).
- Fulfilment by Amazon: With FBA, you send your inventory to Amazon’s warehouse and Amazon handles storage, packaging, and delivery to customers (for a fee). Your products become Prime-eligible, meaning Amazon can ship them quickly to customers, which can boost your sales.
- Fulfilled by Merchant: With FBM, you list products on Amazon’s site but you handle all storage and shipping yourself. You avoid FBA service fees, but you’re responsible for all the logistics and customer service for those orders
Deciding between FBA and FBM depends on your business. FBA can be more convenient and is also scalable, enabling sellers to save time and offer fast shipping – but its fees need to be factored into your profit margins. FBM can be more cost-effective for certain products (especially if they are large, slow-moving, or low-margin items where FBA fees can potentially be high), and it gives you direct control over packing and shipping. However, with FBM you’ll need to put in more effort to meet delivery standards, and all of the responsibility for storage and packing will lie with you.
Some sellers adopt a hybrid strategy: using FBA for products that benefit from Prime shipping and using FBM for others to reduce costs. It would be wise to evaluate the costs and benefits of each approach for your products so you can choose the fulfilment method that maximises your earnings.
Some sellers adopt a hybrid strategy: using FBA for products that benefit from Prime shipping and using FBM for others to reduce costs. It would be wise to evaluate the costs and benefits of each approach for your products so you can choose the fulfilment method that maximises your earnings.
Amazon Associates (Affiliate Program)
If managing products isn’t for you, consider joining Amazon’s Affiliate Program (Amazon Associates). As an affiliate, you can earn commissions by referring people to products on Amazon via special tracking links. It costs nothing to join – Amazon doesn’t charge any fees to apply or participate in this program.
Once your Associate account is approved, you can generate unique referral links for millions of products. Share these links on your website, blog, YouTube channel, or social media. When someone clicks your link and then buys something on Amazon, you earn a percentage of the sale as commission.
Commission rates vary by product category, but you could earn up to 12% in commission from qualifying purchases and programs. While each individual commission may be small, the earnings add up if you can drive significant traffic.
Once your Associate account is approved, you can generate unique referral links for millions of products. Share these links on your website, blog, YouTube channel, or social media. When someone clicks your link and then buys something on Amazon, you earn a percentage of the sale as commission.
Commission rates vary by product category, but you could earn up to 12% in commission from qualifying purchases and programs. While each individual commission may be small, the earnings add up if you can drive significant traffic.
Be sure to follow Amazon’s rules for Associates:
- Always disclose that your content contains affiliate links
- Create content that naturally features Amazon products like product reviews, gift guides, or tutorials
- Provide genuine, useful recommendations and build an audience so you can generate a steady stream of referral income over time
Amazon’s vast product selection and strong reputation make it easier to earn as an affiliate compared to many other programmes.
Kindle Direct Publishing (KDP)
Are you a writer or content creator? Then Kindle Direct Publishing (KDP), Amazon’s platform for self-publishing e-books, is an avenue through which you can explore earning money through your writing. With KDP, you can publish your book to the Kindle store at no upfront cost and reach readers worldwide. Whenever someone buys your e-book on Amazon, you’ll earn royalties on each sale. KDP allows you to choose between two royalty rates – 35% or 70% for your e-book, depending on the book’s price and other factors. You can check out the eligibility requirements for each option before you choose.
Publishing on KDP is straightforward. You write and format your book, then upload it through the KDP website with details like the title, author name, cover image, description, and pricing. Amazon usually makes your e-book available within 24 to 48 hours. After that, whenever someone purchases your e-book (or borrows it via Kindle Unlimited, if you enrol in the KDP Select programme), you earn money. Royalties are paid monthly (approximately 60 days after the month of sale) directly to your bank account.
To maximise success on KDP, put effort into making your book professional. A compelling cover design and an informative, well-written description will help attract readers. Use relevant keywords so your book appears in search results for your topic or genre. Keep in mind that millions of books are available on Amazon, so you may need to promote your book through social media, blogging, or Amazon’s advertising to get noticed. Many people earn a side income through KDP, and some have even turned self-publishing into a full-time career. Like any venture, it requires effort – quality writing, good presentation, and marketing – but KDP provides a powerful platform to reach a wide audience.
Publishing on KDP is straightforward. You write and format your book, then upload it through the KDP website with details like the title, author name, cover image, description, and pricing. Amazon usually makes your e-book available within 24 to 48 hours. After that, whenever someone purchases your e-book (or borrows it via Kindle Unlimited, if you enrol in the KDP Select programme), you earn money. Royalties are paid monthly (approximately 60 days after the month of sale) directly to your bank account.
To maximise success on KDP, put effort into making your book professional. A compelling cover design and an informative, well-written description will help attract readers. Use relevant keywords so your book appears in search results for your topic or genre. Keep in mind that millions of books are available on Amazon, so you may need to promote your book through social media, blogging, or Amazon’s advertising to get noticed. Many people earn a side income through KDP, and some have even turned self-publishing into a full-time career. Like any venture, it requires effort – quality writing, good presentation, and marketing – but KDP provides a powerful platform to reach a wide audience.
Amazon Merch on Demand
Amazon Merch on Demand (formerly Merch by Amazon) lets you make money by selling your custom designs on merchandise without dealing with inventory or shipping. You provide the designs, and Amazon handles production and delivery. The process is simple:
- You upload an original design for a product (such as a t-shirt, hoodie, or coffee mug) to your Merch on Demand account and set your sale price.
- Amazon then creates a product listing for you.
- When a customer orders that item, Amazon will print your design on the product and ship it out, handling customer service as well.
- You earn a royalty on each sale – essentially the profit margin after Amazon’s base production cost is covered.
To join Merch on Demand, you have to request an invitation and wait for Amazon’s approval (due to high demand to join the programme). Once you’re accepted, you can start creating product listings with your designs. You can visit the Royalty calculations page to understand more on this topic.
Success on Merch on Demand comes down to your designs and targeting the right niche. It’s a competitive space, so do some research on popular themes and make sure your work is original (avoid any copyright or trademark infringements). Your work also needs to abide by Amazon’s Content Policy. High-quality, unique designs that appeal to a specific audience or trend are more likely to sell. As you make sales and build a track record, Amazon will allow you to upload more designs (using a tier system for Merch sellers based on performance). Over time, this can become a source of passive income – once your designs are uploaded, you can earn royalties whenever those products sell without any additional effort.
Success on Merch on Demand comes down to your designs and targeting the right niche. It’s a competitive space, so do some research on popular themes and make sure your work is original (avoid any copyright or trademark infringements). Your work also needs to abide by Amazon’s Content Policy. High-quality, unique designs that appeal to a specific audience or trend are more likely to sell. As you make sales and build a track record, Amazon will allow you to upload more designs (using a tier system for Merch sellers based on performance). Over time, this can become a source of passive income – once your designs are uploaded, you can earn royalties whenever those products sell without any additional effort.
Amazon Flex (Delivery)
Amazon isn’t only about selling products online – you can also earn money by delivering packages through Amazon Flex. This is a gig-economy programme that lets you work as an independent delivery driver on your own schedule. In the UK, Amazon Flex drivers can earn roughly £14 to £18 per hour, though your actual earnings will depend on factors like location, demand, and how many packages you deliver within an estimated period of time (called a block), while driving a standard motorised vehicle.
To join Amazon Flex, you need to meet a few basic requirements. You must:
- be at least 18 years old,
- live in an area where Amazon Flex operates,
- have a valid UK driving license and a valid UK National Insurance Number,
- have a mid-size vehicle with at least 5 seats or larger,
- have commercial vehicle insurance (also referred to as ‘Hire and Reward’ insurance),
- have a smartphone (only iPhone or Android phones can use the Flex app) and
- pass a background check,
Once you’re signed up, you use the app to reserve available delivery blocks (time slots) in your area. You then go to the designated Amazon location, collect packages, and deliver them to customers during that block. Each block has a set payment for its duration. As a self-employed Flex driver, your payments will be processed via direct deposit once a week and can be tracked on the app.
The biggest potential advantage of Amazon Flex is flexibility: you can choose when and how often you work. However, remember that as an independent contractor you have to cover your own expenses like fuel and car maintenance, and you’re responsible for handling your own taxes on this income. Many people use Flex as a convenient side job to earn extra cash in their free time.
The biggest potential advantage of Amazon Flex is flexibility: you can choose when and how often you work. However, remember that as an independent contractor you have to cover your own expenses like fuel and car maintenance, and you’re responsible for handling your own taxes on this income. Many people use Flex as a convenient side job to earn extra cash in their free time.
FAQs
Do I need to register as a business or pay taxes on money earned from Amazon UK?
Yes, all income you earn through Amazon or any other online website is subject to UK tax laws. You can check the tax requirements and liabilities for selling goods or services online, and how to report that income.
How does Amazon pay out the money I earn (from sales or commissions)?
Each Amazon programme has its own payment schedule and method.
- For Amazon sellers, your sale proceeds (minus Amazon’s fees) are typically disbursed to your bank account every 14 days.
- Amazon Associates (affiliate) commissions are paid out monthly if your minimum threshold requirements are met.
- Royalties from Kindle Direct Publishing are also paid monthly, about 60 days after the month in which the sales occur (90 for Expanded Distribution).
- Amazon Flex earnings are paid out weekly via bank transfer for the deliveries completed in the previous week.
Always make sure your bank details are correctly set in your account, and be aware of any minimum payout amounts or payment timelines specific to the programme you’re using.
Is it easy to make money on Amazon UK?
It’s possible to make good money on Amazon UK, but it isn’t easy money. Amazon provides the platform and tools, but your success will depend on your effort, strategy, and patience.
For example, selling on Amazon is competitive – you need to find the right products, price them competitively, and maintain strong seller metrics (like good customer feedback and on-time shipping). Many new sellers reinvest their initial earnings into advertising or offer discounts to grow their reputation, and not every product will succeed. Affiliate marketing requires you to build up an audience or web traffic; if you don’t have visitors clicking your links, you won’t earn commissions.
Publishing on KDP means creating a book people want to read and possibly investing time or money into marketing it among millions of other titles. Even driving for Amazon Flex, while straightforward, involves real work and costs (fuel, vehicle wear-and-tear). In short, Amazon is not a get-rich-quick scheme – it’s a business ecosystem. Many people do earn a solid side income or even full-time living through Amazon, but it typically comes after learning the ropes, finding what works, and scaling up over time, rather than overnight.
For example, selling on Amazon is competitive – you need to find the right products, price them competitively, and maintain strong seller metrics (like good customer feedback and on-time shipping). Many new sellers reinvest their initial earnings into advertising or offer discounts to grow their reputation, and not every product will succeed. Affiliate marketing requires you to build up an audience or web traffic; if you don’t have visitors clicking your links, you won’t earn commissions.
Publishing on KDP means creating a book people want to read and possibly investing time or money into marketing it among millions of other titles. Even driving for Amazon Flex, while straightforward, involves real work and costs (fuel, vehicle wear-and-tear). In short, Amazon is not a get-rich-quick scheme – it’s a business ecosystem. Many people do earn a solid side income or even full-time living through Amazon, but it typically comes after learning the ropes, finding what works, and scaling up over time, rather than overnight.
What fees does Amazon charge for these programs?
If you’re selling products on Amazon, the main fees include a referral fee on each item sold (roughly 8% to 15% of the sale price, depending on the category) and, if you use FBA, additional fulfilment fees based on the item’s size and weight. Sellers on the Professional plan also pay a flat £25 monthly subscription (Individual sellers instead pay £0.75 per item sold).
There are also storage fees if your inventory is kept in Amazon’s warehouses for a long time, and you might invest in advertising, which is an optional cost. For Amazon Associates (affiliates), there are no direct fees – you can join free; Amazon pays you a cut of each sale (and keeps the rest as their margin).
Kindle Direct Publishing is free to use – Amazon simply retains a portion of each book sale (for a 70% royalty to you, Amazon’s share is 30%). With Amazon Merch on Demand, there’s no listing fee – Amazon’s base product cost covers their share, and you get the remaining margin as a royalty.
Amazon Flex doesn’t charge drivers anything to sign up or use the app; your costs there are mainly fuel and car maintenance, and Amazon pays you for each delivery block you complete.
There are also storage fees if your inventory is kept in Amazon’s warehouses for a long time, and you might invest in advertising, which is an optional cost. For Amazon Associates (affiliates), there are no direct fees – you can join free; Amazon pays you a cut of each sale (and keeps the rest as their margin).
Kindle Direct Publishing is free to use – Amazon simply retains a portion of each book sale (for a 70% royalty to you, Amazon’s share is 30%). With Amazon Merch on Demand, there’s no listing fee – Amazon’s base product cost covers their share, and you get the remaining margin as a royalty.
Amazon Flex doesn’t charge drivers anything to sign up or use the app; your costs there are mainly fuel and car maintenance, and Amazon pays you for each delivery block you complete.
Do I need approval to join these Amazon programs, or can anyone sign up?
It depends on the program:
- To sell on Amazon UK, you can simply sign up for a Seller account (anyone who provides the required information can register), but Amazon will verify your identity and bank details before you can start listing products. Note that some product categories are restricted – you might need Amazon’s approval to sell in certain categories or to list specific brands.
- For Fulfillment by Amazon (FBA), no special approval is needed beyond having a Seller account; you can start using FBA as soon as you have a Seller account (just ensure your products meet the FBA requirements).
- The Amazon Associates program is open to most people – you fill out an online application and can begin right away, but you must get at least three qualifying sales within 180 days of joining to remain in the program, and Amazon will check that your website or channel meets their content guidelines.
- Kindle Direct Publishing is open to everyone; there’s no formal approval process to publish a book, though each new title you upload will go through a quick review for content and formatting compliance.
- Amazon Merch on Demand is not automatically open – you have to request an invitation and be approved by Amazon. This review process helps Amazon manage the volume of designers on the platform and maintain quality.
- Amazon Flex requires you to apply via the app and be approved (they’ll confirm you meet the requirements and that there’s demand for drivers in your area).
