Should you sell on Amazon or your own website?
Both, for most product brands. Amazon brings ready-to-buy shoppers; your own store keeps more margin and the customer relationship. Start where demand already is.
For most product brands, the answer is both. Amazon puts you in front of shoppers who are ready to buy today, but it takes a referral fee of around 15% in most categories plus fulfillment and ad costs, and it keeps the customer. Your own store keeps more of each sale and the customer data, but you have to bring every visitor yourself. Start where demand already exists, which is usually Amazon, and use your own site for repeat buyers, bundles and email.
What does Amazon cost per sale?
- Referral fee: around 15% in most categories.
- FBA fulfillment fees, by size and weight, if Amazon ships for you.
- Monthly Professional plan: $39.99 on Amazon.com.
- Advertising: often the biggest variable cost.
What does your own website cost per sale?
Payment processing, your platform plan and apps, shipping, and whatever it costs to bring the visitor, through ads, search or email. The fees are lower than Amazon’s, but acquisition is all on you.
When should you start on Amazon first?
When people already search Amazon for what you sell, your product ships easily, and you don’t yet have an audience of your own. Amazon’s search traffic is the fastest way to prove demand.
When should you start with your own store?
When your product is customized, made to order, sold on subscription, or needs explaining. Also when margins are too thin to carry marketplace fees.
How do the two channels work together?
Amazon brings the first sale; your store and email bring the second and third. Packaging inserts can point buyers to register a warranty or join your list, within Amazon’s rules. Keep prices consistent across channels so you don’t lose the Buy Box.
We run both sides: marketplaces and Shopify builds.
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