amazon for manufacturers 2026, is amazon worth it for manufacturers

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Is Amazon profitable for manufacturers in 2026?

23 Jun 2026

amazon for manufacturers 2026, is amazon worth it for manufacturers

Last updated: 23/06/2026

This question is increasingly coming back in conversations with manufacturers. Amazon remains one of the largest online sales channels in Europe and for many brands, it is a natural direction for expansion. At the same time, entering the platform without a proper strategy, cost analysis, and knowledge of the sales model can quickly turn into an expensive experiment. Is Amazon still profitable for manufacturers in 2026? The answer is yes, but under certain conditions.

Table of contents:

  1. German e-commerce is still growing, and Amazon remains a key sales channel

  2. Why manufacturers are increasingly choosing the Seller model instead of Vendor

  3. However, the biggest mistake manufacturers make is still an overly simplified calculation of profitability.

  4. Is Amazon profitable for manufacturers in 2026?

  5. FAQ - manufacturers on Amazon

You will read this article in 4 minutes.

German e-commerce is still growing, and Amazon remains a key sales channel

According to the HDE Online-Monitor 2026 report, prepared by IFH Köln on behalf of the Handelsverband Deutschland, the German e-commerce market continues to grow. In 2025, net online sales of new goods reached EUR 92.3 billion, representing an increase of 3.9% year-on-year. E-commerce already accounts for 13.5% of German retail trade.

For manufacturers, this means one thing: online sales are no longer just an addition to traditional distribution. It is one of the main channels for building scale, visibility, and access to customers.

And Amazon remains one of the most important places where this customer actually starts their purchasing process.

They don't just buy there. They search. They compare. They check opinions. They verify the brand.

If a product is not on the digital shelf of Amazon, for some Western European customers, the brand simply does not exist at the moment of making a purchasing decision.

Why manufacturers are increasingly choosing the Seller model instead of Vendor

In recent years, we have seen a particularly strong shift in how manufacturers approach their sales models. For a long time, many of them chose the Vendor model, where Amazon bought goods in bulk and managed the sales itself.

Today, more and more companies are moving away from this solution in favour of the Seller model, most often using FBA.

The reason is simple: control.

For manufacturers, the Vendor model can mean limited influence on price, more difficult offer management, the risk of sudden changes on the order side, and complex settlements.

The Seller model with FBA provides significantly greater control over the final price, product range structure, content, advertising, and brand positioning. At the same time, it allows them to leverage Amazon's infrastructure, including FBA logistics and access to Prime customers.

This is often not just a technical change, but a shift in how the entire sales channel is managed.

Find out more: What is Amazon FBA

However, the biggest mistake manufacturers make is still an overly simplified calculation of profitability.

Amazon can be a highly profitable channel, but only if the manufacturer understands the cost structure from the very beginning.

In practice, a mature business assumption suggests that around 50% of the final selling price can be consumed by the platform's ecosystem and its maintenance.

This value includes, among other things:

  • Amazon selling commission fees

  • FBA logistics costs

  • Storage fees

  • Amazon Ads advertising

  • Analytical tools

  • Account management

  • Compliance

  • Operational coordination

  • Management of local markets and languages

And this is exactly where it is decided whether Amazon will be an engine of growth for the manufacturer, or a source of frustration.

  • A product with a good manufacturer margin, correct dimensions, sensible turnover, and real demand can scale very well through Amazon across multiple markets simultaneously.

  • A product with a low margin, poor logistics, poorly calculated FBA, and haphazard content can lose profitability faster than it starts to build its position.

Therefore, in 2026, the question is no longer