Amazon

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

Prime Eligibility

  • Items are eligible for Prime free 2-day shipping
  • Prime customers spend 4X more than non-Prime

Established Trust

  • Customers trust buying handmade items on Amazon
  • Amazon handles payments and fulfillment

Reduced Fees

  • 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:

Jewelry

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.

Personal Care

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:

Handcrafted Products

Everything listed must be handmade or have handmade components. You must be the designer and maker, or work directly with artisans.

Approval Process

All sellers must submit an application and be approved to sell. Approval can take a few weeks.

Meet Standards

Listings must meet Amazon requirements like product descriptions, images, shipping times.

Produce Receipts

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.

Submit Application

Provide details on your handmade process, materials, experience, inventory levels.

Send Sample Products

Amazon may request you mail sample products to review your quality.

Pass Screening

It can take up to three weeks for Amazon to review your info and samples and approve you.

Create Listings

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:

Detailed Titles

Include important keywords like product type, materials, attributes.

Optimized Bullets

Highlight key product features, crafting details, and benefits for customers.

Useful Product Description

Share your brand story and crafting process to connect with buyers.

Variation Listings

Create separate listings for variations like different colors, sizes, materials.

Searchable Keywords

Include keywords naturally throughout listing text, dont just jam in keywords.

Compliant Images

Add high-res photos showing product details. Follow Amazon image rules.

Accurate Shipping

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:

Research Competitors

See what comparable bestselling items are priced at.

Consider Materials

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.

Offer Variations

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.

###occasional Sales

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:

Monthly Subscription

$39.99 per month – waived first 3 months for new sellers

Referral Fee

15% of each item sale price

Listing Fee

$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:

Materials Matter

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.

Careful Packaging

Take extra time to carefully pack and secure items to prevent damages.

Fast Processing

Ship orders within your advertised processing time, ideally within 1-2 days.

Tracking Everything

Get tracking numbers and upload them to Amazon for all shipments.

Insurance

Insure valuable items in case of losses – either individually or with a policy.

###Returns

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.

Run Promotions

Offer coupons, sales, free shipping promotions to attract new buyers.

Build Your Brand

Leverage Amazon’s branding tools and enhance your storefront.

Request Reviews

Politely ask happy buyers to leave reviews to build social proof.

Analyze Performance

Use reporting to see which products sell best and identify opportunities.

Watch Trends

Notice hot sellers in your category and consider developing related products.

Market Externally

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?

FactorAmazon HandmadeEtsy
Fees$39.99/month + 15% sales$0.20 listing fee + 5% transaction fee + payment processing
Audience Reach197 million monthly visitors90 million monthly visits
FulfillmentSeller handlesSeller handles
Product GuidelinesHandmade or vintage onlyHandmade manufacturing required
Shop CustomizationBasic storefrontFull customizable shop pages
Sales Volume PotentialVery high due to Amazon’s reachLower 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:

Pros

  • 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

Cons

  • 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:

MKono

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.

Happy Wraps

230K followers. Sells fabric baby wraps, slings and carriers. Known for cute custom prints and designs.

Bryan Anthonys

180K followers. Specializes in creative chef apparel and kitchenware like aprons, mittens, utensil holders.

Cloth Adorn

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:

  1. Research product and market opportunity
  2. Determine account details (individual/business)
  3. Submit seller application with products samples
  4. Optimize account settings, banking, and tax information
  5. Create highly optimized product listings
  6. Set competitive yet profitable pricing
  7. Establish shipping process and integrate tracking
  8. Drive traffic to listings via promotions and marketing
  9. Provide amazing customer service and seek reviews
  10. 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.

Bottom Line

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.

Author

  • Gio Watts

    Gio Watts brings over 10 years of digital marketing experience to his role as marketing manager at Walletminded. In his current position, Gio oversees brand marketing, campaign management, and audience growth initiatives. Prior to joining Walletminded, Gio held marketing roles at several ecommerce and SaaS startups, most recently serving as senior marketing manager at CloudTable Inc. There, he specialized in paid social advertising and content marketing. Gio holds a bachelor’s degree in business marketing from the University of Oregon. He is a certified content marketing specialist and frequently guest lectures at his alma mater. When he's not devising omni-channel marketing campaigns, you can find Gio coaching youth basketball and indulging his passion for live music.

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