Amazon Handmade is a marketplace for artisans and crafters to sell their unique, handcrafted goods to Amazon’s massive customer base. With the right strategies, Amazon Handmade can be a highly profitable sales channel for creative entrepreneurs. This comprehensive guide covers everything you need to know to succeed when selling on Amazon Handmade.
Table of Contents
What is Amazon Handmade?
Launched in 2015, Amazon Handmade is Amazon’s marketplace specifically for handcrafted items. Some key things to know:
- Focused on handmade, vintage, and craft supplies
- All products must be handcrafted or contain handcrafted components
- Sellers must apply and be approved
- $0.99 listing fee per product
- 15% referral fee on each sale
- Optional 50% off first month of selling fees for new sellers
Overall, Amazon Handmade brings the massive traffic of Amazon to artisans and provides a sales channel to reach millions of customers.
Benefits of Selling on Amazon Handmade
There are several compelling benefits for crafters and artisans to sell on Amazon Handmade:
Huge Audience of Buyers
- Over 197 million monthly visitors on Amazon
- 65% of Amazon customers have purchased handmade items
- Handmade has high intent buyers looking for unique items
- Items are eligible for Prime free 2-day shipping
- Prime customers spend 4X more than non-Prime
- Customers trust buying handmade items on Amazon
- Amazon handles payments and fulfillment
- Only 15% referral fee compared to up to 45% on Amazon
- Low $0.99 listing fee per product
Marketing and Merchandising
- Amazon provides marketing tools and support
- Items eligible for personalized recommendations
The combination of Amazon’s reach, Prime advantage, and tailored marketplace make Handmade hugely appealing for selling handcrafted goods online.
Types of Handmade Products Sold on Amazon
Many types of genuine handmade products can be listed on Amazon Handmade across multiple categories:
One of the most popular Handmade categories. Handcrafted bracelets, necklaces, rings, etc.
Home & Kitchen
Handmade pottery, ceramics, quilts, placemats, aprons, etc.
Clothing & Accessories
Handknit sweaters, unique bags, handcrafted belts, hats, etc.
Arts & Crafts
Supplies like specialty paper, fabrics, yarns, as well as finished crafts and art.
Toys & Games
Handmade plush animals, dolls, puzzles, educational toys.
Handmade soaps, candles, skincare, cosmetics.
Nearly any handcrafted item has a place on Amazon Handmade in their relevant product categories.
Requirements to Sell on Amazon Handmade
Amazon has specific requirements vendors must meet to sell on Handmade:
Everything listed must be handmade or have handmade components. You must be the designer and maker, or work directly with artisans.
All sellers must submit an application and be approved to sell. Approval can take a few weeks.
Listings must meet Amazon requirements like product descriptions, images, shipping times.
You must provide receipts proving the origins of materials if requested by Amazon.
collects Sales Tax
Amazon collects state sales tax on Handmade sales where required.
You don’t need to be a business entity to apply. Individual artisans can sign up. But you must carefully follow Amazon’s policies.
Getting Approved for Amazon Handmade
The approval process is an important first step to selling on Amazon Handmade. Here are some tips:
Choose Your Account Type
Apply as an individual or business account – both are allowed. Use a permanent email.
Provide details on your handmade process, materials, experience, inventory levels.
Send Sample Products
Amazon may request you mail sample products to review your quality.
It can take up to three weeks for Amazon to review your info and samples and approve you.
Once approved, you can begin creating product listings in Seller Central.
Take your time with the application and provide plenty of details showcasing your genuine handcrafted items. This helps speed up the approval process.
Creating Amazon Handmade Listings
High-quality listings are crucial to success on Amazon Handmade. Here are some listing best practices:
Include important keywords like product type, materials, attributes.
Highlight key product features, crafting details, and benefits for customers.
Useful Product Description
Share your brand story and crafting process to connect with buyers.
Create separate listings for variations like different colors, sizes, materials.
Include keywords naturally throughout listing text, dont just jam in keywords.
Add high-res photos showing product details. Follow Amazon image rules.
Set correct shipping cost and processing time that matches your fulfillment.
Optimized, complete listings help Handmade products surface in search and convert browsers to buyers.
How to Price Handmade Products on Amazon
Pricing is an important balancing act on Amazon Handmade. Some pricing best practices:
See what comparable bestselling items are priced at.
Factor in the cost of materials plus fair wage for time spent designing and crafting.
Price Ending Numbers
Odd numbers like $19.99 or $29.95 appear discounted. Even numbers seem premium priced.
Having a range of prices for different product variants appeals to more buyers.
Avoid Race to Bottom
Don’t price solely to be the lowest cost. Value your time and brand.
Running limited promotions helps spur sales and reviews to boost ranking.
Finding the optimal price that maximizes profit on Amazon Handmade takes testing and analyzing competitors. Price too high and sales slow, too low leaves money on the table.
Amazon Handmade Seller Fees
Amazon Handmade has lower fees compared to regular Amazon seller accounts. The fees consist of:
$39.99 per month – waived first 3 months for new sellers
15% of each item sale price
$0.99 per product listing
Optional Add-on Services
Extra fees for advertising, product photography, account management etc.
There are no fees for opening a Handmade seller account, just the monthly subscription once active. The 15% referral fee is quite reasonable compared to standard Amazon fees.
Handmade Seller Account Payment Options
Amazon offers Handmade sellers two options to get paid:
1. Direct Bank Deposit
- Funds deposited every 2 weeks into your bank account
- No fees or transaction costs
- Deposits can take 5-7 days to appear
2. Amazon Payments
- Funds go to your Amazon Payments account
- Can transfer to bank or use to buy on Amazon
- Minimal fees to transfer funds
Ensure your payout method is properly set up when you open your Handmade seller account. Direct deposit is the fastest and cheapest way to get paid.
Shipping and Fulfillment for Amazon Handmade
Handling shipping for Handmade products takes extra care. Here are some fulfillment tips:
Use high-quality shipping materials – don’t skimp on boxes, bubble wrap, padding.
Vary Package Sizes
Keep an assortment of box sizes to accommodate different products.
Take extra time to carefully pack and secure items to prevent damages.
Ship orders within your advertised processing time, ideally within 1-2 days.
Get tracking numbers and upload them to Amazon for all shipments.
Insure valuable items in case of losses – either individually or with a policy.
Accept returns gracefully – it’s part of business. Refund once item is returned.
Handmade products need personalized care when fulfilling orders. Take the time to package well and ship promptly.
Growing Your Amazon Handmade Business
Once you’ve successfully launched on Amazon Handmade, focus on scaling and growth with these tips:
Expand Product Catalog
Add new listings and product lines over time to give customers more variety.
Offer coupons, sales, free shipping promotions to attract new buyers.
Build Your Brand
Leverage Amazon’s branding tools and enhance your storefront.
Politely ask happy buyers to leave reviews to build social proof.
Use reporting to see which products sell best and identify opportunities.
Notice hot sellers in your category and consider developing related products.
Drive external traffic to your listings through social media, email lists, etc.
Slowly expanding your catalog, promotions, and brand builds a snowball effect for sales over time on Amazon Handmade.
Amazon Handmade versus Etsy
Etsy is another major marketplace for handmade and vintage items. How does Amazon Handmade compare?
|Fees||$39.99/month + 15% sales||$0.20 listing fee + 5% transaction fee + payment processing|
|Audience Reach||197 million monthly visitors||90 million monthly visits|
|Fulfillment||Seller handles||Seller handles|
|Product Guidelines||Handmade or vintage only||Handmade manufacturing required|
|Shop Customization||Basic storefront||Full customizable shop pages|
|Sales Volume Potential||Very high due to Amazon’s reach||Lower overall due to smaller audience|
Sellers should consider listing on both marketplaces to maximize reach. But Amazon tends to drive higher volume. Etsy focuses more on fostering community.
Pros and Cons of Selling on Amazon Handmade
Here are some key pros and cons of using Amazon Handmade:
- Massive reach and built-in audience
- Prime eligibility increases sales
- Handmade focused features and support
- Lower selling fees than regular Amazon
- Scalable sales channel as you grow
- Very competitive marketplace
- Less customizable than standalone store
- Amazon may reject applications
- Handmade artisans only, no manufacturers
- Must personally handle fulfillment
Amazon Handmade provides a major opportunity for handcrafters, but also requires hard work building listings and promotions to thrive.
Top Amazon Handmade Sellers
Here are some top-performing sellers on Amazon Handmade who have built very successful brands:
300K followers. Popular for minimalist jewelry, kitchenware, home decor like macrame wall hangings and boho style products.
The Urban Pear
80K followers. Focus on unique hand stamped and engraved jewelry. Offers popular motivational bracelets.
230K followers. Sells fabric baby wraps, slings and carriers. Known for cute custom prints and designs.
180K followers. Specializes in creative chef apparel and kitchenware like aprons, mittens, utensil holders.
18K followers. Sells fabric accessories and jewelry with inspirational messaging. Known for high-quality materials.
Studying these top sellers provides inspiration on successful product lines, brand building, and promotions on Amazon Handmade.
Should You Sell on Amazon Handmade?
Selling on Amazon Handmade offers huge potential, but also requires hard work. It’s a good fit for sellers who:
- Create authentic, high-quality handmade products
- Can personally handle fulfillment and shipping
- Are willing to provide great customer service
- Will invest significant time into listings and branding
- Want to leverage Amazon’s audience to scale sales
Overall, Amazon Handmade is an excellent sales channel for motivated artisans ready to manage the workload required to connect with Amazon’s buyers.
Selling on Amazon Handmade: Step-by-Step
Here are the key steps required to get up and running on Amazon Handmade:
- Research product and market opportunity
- Determine account details (individual/business)
- Submit seller application with products samples
- Optimize account settings, banking, and tax information
- Create highly optimized product listings
- Set competitive yet profitable pricing
- Establish shipping process and integrate tracking
- Drive traffic to listings via promotions and marketing
- Provide amazing customer service and seek reviews
- Analyze performance data and refine approach
Following these steps helps craft a successful and sustainable Amazon Handmade business.
Tips for Thriving on Amazon Handmade
To maximize your chances of success on Amazon Handmade, keep these additional tips in mind:
- Show your maker’s journey – help customers connect with your crafting process and passion
- Offer fast shipping – Prime has raised expectations, ship orders within 1-2 days
- Know your niche – focus on a narrow product line where you can excel
- Make listings pop – compelling titles, bullets, images capture attention
- Promote smartly -use coupons, sales, giveaways to incentivize purchases
- Focus on reviews – ask happy buyers, follow up, offer discounts for reviews
- Stay active – keep adding new listings and inventory to give shoppers variety
Amazon Handmade is competitive but highly rewarding. With hard work optimizing your presence and promotions, talented artisans can build very successful brands.
The key takeaways for selling on Amazon Handmade:
- Caters to genuine handmade and craft products
- Offers sellers access to millions of buyers
- Requires an application and approval process
- Lower 15% referral fee compared to Amazon standard
- Need to personally handle fulfillment and shipping
- Allows creators to scale by leveraging Amazon’s platform
With the right expectations and effort, Amazon Handmade can become a high-volume sales engine for talented crafters and artisans.