Key highlights:
- Amazon is the most visited eCommerce platform in the U.S., making it an attractive choice for sellers.
- Amazon’s vast customer base and search relevance boost exposure, even for new products.
- Fulfillment by Amazon (FBA) handles logistics like inventory management, packaging, shipping and customer support and eases the selling process.
- Sellers must adhere to Amazon’s strict policies and cannot contact customers directly or fully control branding.
- Setting up your own website along with Amazon offers better growth opportunities.
- If the goal is to generate quick revenue, Amazon is ideal. For building a brand, a personal website is better.
Introduction
Have you thought of selling your products online but confused where to start? Amazon is one of the largest eCommerce platforms in the world, attracting millions of sellers and small businesses to tap into its huge customer base. With incredible opportunities for growth, it might seem like a no-brainer to start selling on Amazon. But is selling on Amazon worth it or should you also have your own website?
In this blog, we’ll break down the pros and cons of selling on Amazon, helping you decide if it’s the right fit for your business goals. We will also compare if it is profitable to sell on Amazon compared to running your own eCommerce store, so you can make an informed decision.
Ready to discover whether selling on Amazon is worth it? Let’s dive in!
Is selling on Amazon worth it?
Amazon is an eCommerce platform preferred by buyers and sellers around the globe. As of 2025, Amazon has over 310 million active users. The platform’s huge customer base and programs like Fulfillment by Amazon (FBA) make it attractive for people who want to sell online.
While Amazon’s model might be feasible for many businesses, it all depends on personal preferences and flexibility needed for an online store. You can weigh all the advantages and disadvantages carefully. This will help answer the crucial question: is it profitable to sell on Amazon or is having your online store besides it is better for you?
Pros of selling on Amazon
If you have an offline business and want to set up an online store, Amazon makes it a seamless process by providing several benefits:
1. Access to massive consumer base
Setting up an online store on Amazon provides you with access to a huge customer pool. With millions of people using the Amazon Marketplace around the world, your products can reach many eyes.
Due to this large customer base, your online store’s visibility increases, potentially improving sales figures. While competing with a vast number of sellers may look tough, it also offers a chance to enter a market that is already well known and trusted by users.
2. Handle the logistics with FBA
If you’re new to online selling, handling more than just product sales can get overwhelming. A key advantage of selling on Amazon is its outsourcing service called FBA to help new sellers streamline their eCommerce operations.
Amazon FBA allows you to outsource inventory management, packaging, shipping and even customer support through Amazon’s fulfillment centers.
By becoming an Amazon FBA seller, you can focus on making better business decisions while establishing your store online with minimal risk.
3. Improve your credibility
Positive reviews are essential to building a credible brand. Plus, online shoppers usually read customer reviews before purchasing products on eCommerce platforms.
If you want to establish brand credibility but don’t know how, you can begin with the Amazon Marketplace. According to the statistics, 95% of consumers check for product reviews on Amazon before purchasing anything. Also, if you have your own brand store, it will further boost credibility on Amazon.
4. Explore Amazon advertisement
Sellers enjoy great advantages from Amazon’s strong advertising tools. Tools like Sponsored Products and Amazon DSP (Delivery Service Partner) help sellers make their products more visible and boost sales. By focusing on possible customers’ search habits and buying history, sellers can get the most out of their advertising money and connect with more people. Using Amazon’s advertising options gives sellers an edge in a busy market, helping them advertise their products well and expand their customer base.
Cons of selling on Amazon
Amazon is a great platform to begin your online selling journey, but it comes with a fair set of challenges.
Here are some factors you need to consider before deciding if selling on Amazon is worth it or do you also need to have your own online store:
1. High return and replacement rates
While returns and replacements are part of online selling, they might not work for all types of businesses. Returns will only add to your losses if you deal in customized or made-on-demand products.
Amazon is customer-centric and has a convenient return and replacement policy.
Buyers don’t incur any costs when returning products. Instead, Amazon charges sellers the cost of shipping and replacement, even if the return was the customer’s fault.
If your business can’t afford too many returns, then Amazon’s policy may not work in your favor.
2. Limited control over your business
If brand development is a significant part of your digital marketing strategy, relying just on the Amazon store may not be the right fit for you.
Even if you own the products you sell on Amazon, the platform has several guidelines and restrictions to maintain its integrity.
For example:
- You can’t contact customers directly and can only use Amazon’s Buyer-Seller Messaging Service.
- Amazon can withhold funds if they detect fraudulent or illegal activities (even if that’s not the case).
- Amazon also takes a cut out of your sales depending on your selling plan. This may not be feasible for all businesses.
Due to all the cons, rather than limiting yourself to Amazon, you can consider selling on your own online store as well.
If you want to create a robust store with a user-friendly interface, Bluehost WordPress Commerce Solution can be the right choice for you. Our solution offers you a comprehensive suite of plugins, features and tools to boost sales, manage inventory and simplify online payments. Unlike third-party platforms, it gives you the freedom to customize your site without being restricted by external guidelines.
3. Selling on Amazon incurs high fees
One of the major factors in deciding if it’s worth selling on Amazon is the cost. Depending on your selling plan, the platform has several charges, such as:
- Referral fees
- Amazon FBA fees
- Storage fees
By 2024, Amazon sales-related fees went up to 45% each month.
This high cost is a major disadvantage of having an Amazon business, especially when other methods, such as selling on your own website, can cost less.
While the platform’s policies might be rigid, it’s worth selling on Amazon if you’re new to eCommerce.
4. Market saturation
Owing to the popularity of Amazon, millions of stores are competing on the platform for customers. In this crowded space, it is important to conduct product research to identify your target market to stand out from this vast number of sellers.
Doing detailed market research can help you find less crowded niches. You should also focus on making your products different, improving your product listings and using specific marketing strategies. This way, you can deal with market saturation and create a spot for your business.
5. Competing with counterfeit products
Navigating the Amazon Marketplace can be tough because of counterfeit products. These fake items are found in many product categories and create problems for real Amazon sellers.
It is very important to protect your brand’s image from negative reviews and differentiate itself from this competition. You can use some strategies to fight against counterfeit products such as enrolling with Amazon Brand Registry, watching product listings and using customer feedback.
Consumers are not likely to mistake your products for counterfeits when you have your own site. Using Bluehost as an eCommerce hosting platform for your online store makes the entire process convenient and quick.
The limitations suggest that having both a website and an Amazon storefront adds more value to your business. You can easily create your own online store with the help of a reliable hosting platform.
Create your own website besides selling on Amazon
Creating a personalized website can help you connect with the customers directly, build credibility and lower the overall costs.
Here is how you can create your store:
Here is how you can create your store:
- Choose a domain name: Select a unique, memorable name for your website. Bluehost helps you generate a domain that perfectly represents your brand.
- Pick a hosting provider: Choose a reliable hosting service to ensure your site runs smoothly. Bluehost offers multiple web hosting plans to find the one that suits your requirements.
- Design your site: Use a website builder or CMS like WordPress to design your online store. Bluehost Wondersuite turns your ideas into reality through its suite of powerful tools.
- Set up eCommerce features: Add features like product pages, payment gateways, subscriber lists and shipping options for a seamless user experience.
Bluehost WordPress Commerce Solution offers a suite of tools and plugins to simplify the process of setting up the desired online store.
- Improve the product filtration process through YITH WooCommerce Ajax Product Filter so that customers can find their desired products quickly.
- Secure the transaction process through Stripe and PayPal integration.
- Build a solid contact list and manage subscriber list efficiently through Jetpack Forms.
- The YITH PDF Invoices plugin generates and manages invoices and creates packaging slips to automate the shipping process.
- Optimize for SEO: Ensure your site is optimized to rank higher on search engines. Yoast SEO is designed to simplify site optimization and boost organic traffic.
- Promote your website: Use social media, email marketing and paid ads to drive traffic. YITH WooCommerce Affiliates helps expand your reach and increase sales through affiliate marketing.
By choosing to create your own online store using Bluehost, you can retain greater control, lower fees and potentially increase your profits. We provide the right features and tools you require to optimize the functionality of your store.
Quick comparison table: Your Amazon storefront vs. personalized online store
Understanding the key differences between selling exclusively on Amazon and running your own store helps you make an informed decision based on your business needs.
Feature | Amazon | Your own online store |
Fees | Amazon takes a percentage of each sale (commission fees and shipping fees). | Only pay for hosting and domain plans; no per-sale commission fees. |
Brand control | Limited branding options; Amazon’s branding is prominent. | Full control over branding, theme and user interface. |
Customer data | Amazon owns customer relationships. | Full access to customer data for better relationship-building. |
Platform control | Must adhere to Amazon’s rules and guidelines. | Complete control over your store and operations. |
User experience | Amazon’s platform dictates user experience. | You control the entire user experience, from layout to checkout. |
Payment processing | Amazon handles payments, but fees apply. | You can integrate secure payment gateways with no third-party fee on transactions. |
Customer support | Limited control over customer support options. | Full control over how you offer customer support and services. |
Final thoughts
Selling online is a big step for any business. That’s why you should carefully consider the advantages and disadvantages of selling on Amazon vs. your own website before choosing the best platform for your online business.
But you can get the best of both worlds by selling on your website and the Amazon Marketplace. This will empower you to establish a reliable income source through Amazon while building your brand.
Bluehost WordPress Commerce Solution can help you build an online store and easily improve your online visibility.
Ready to take your business to the next level? Contact our Bluehost experts and set up your store today.
FAQs
Amazon is a good platform to sell products online and generate revenue. It offers several benefits, including order fulfillment and a global customer base. But the platform also has many fees, which can take up a considerable part of your revenue. Bluehost WordPress Commerce Solution is a better choice to save recurring costs and provide you with complete control over your online store.
No, you don’t need a separate website to sell on Amazon. You can create your own storefront through Amazon Seller Central once you register on the platform. Seller Central lets you manage business tasks such as inventory, product listing and prices.
Yes. Amazon doesn’t restrict you from selling on other platforms, including your own website. Note that if you sign up for FBA, Amazon warehouses will hold your inventory. This means you can’t sell it on other platforms.
First, you need to sign up for FBA and create product listings. Amazon will then transport the inventory for these products to one of its fulfillment centers. You can list products, set prices and accept orders as usual through your seller page. Amazon packages and ships these orders based on inventory.
Selling on Amazon and your own website have their distinct benefits. Amazon offers instant access to a massive customer base, making it easier to generate sales quickly. However, Amazon takes fees and gives you less control over your brand. Running your own website can be more profitable in the long run because you keep all the profits.