Is Amazon 1P or 3P?

Asked by: Jasper O'Reilly  |  Last update: May 31, 2026
Score: 4.9/5 (44 votes)

Amazon 1P (First-Party) means you sell wholesale to Amazon (Vendor Central), making them the retailer who sets prices and handles fulfillment, while 3P (Third-Party) means you sell directly to customers on Amazon's marketplace (Seller Central), retaining control over pricing, branding, and logistics, often using FBA. 1P offers brand reach but less control and lower margins, with Amazon managing inventory and customer service; 3P gives full control, higher margins, and brand building but requires managing inventory and customer support (or paying for FBA).

What is 1P and 3P on Amazon?

You could opt for a first-party (1P model), where Amazon buys your products wholesale and fulfills orders on your behalf. You could also choose a third-party (3P selling model), where you sell independently on Amazon marketplace and handle the logistics yourself.

Is Amazon a third-party platform?

Amazon Marketplace is the e-commerce platform of Amazon that enables third-party sellers to sell new or used products directly to consumers on a fixed-price online marketplace alongside Amazon's regular offerings.

What is Amazon's third-party model?

The third-party marketplace on Amazon is where you operate as an independent business, meaning you take charge of your own sales, inventory, fulfillment, customer service, returns — everything. As a Amazon 3P seller, you use Amazon's platform to market your store.

What are 1P brands?

In a first-party (1P) marketplace, the brand serves a wholesale supplier for the marketplace, which acts as the retailer and sells directly to the customer.

Amazon 1P vs. 3P | What's the difference?

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What is a 3P seller in Amazon?

Amazon 3P is Amazon's third-party selling option that allows businesses to sell their products on Amazon's marketplace through Seller Central. In the Amazon 3P model, the third-party seller lists their products on Amazon and has the option to fulfill orders through FBA or Fulfillment-by-Merchant (FBM).

What is Amazon classified as?

Amazon.com is a Seattle, Washington–based e-commerce and cloud computing giant whose humble beginnings can be traced to founder Jeff Bezos's garage, where he began selling books on the still-emerging World Wide Web.

What is Amazon 3P business model?

The third-party (3P) model positions brands as independent sellers on Amazon's marketplace, providing significantly more control over pricing, marketing, and brand presentation while simultaneously increasing operational responsibilities.

How much of Amazon is a 3rd party?

Latest 2025 count

As of early 2025, Amazon hosts about 1.9 million active third-party sellers worldwide, with roughly 1.1 million based in the United States. Third-party merchants now supply over 60% of all sales on the platform, representing continued dominance in Amazon's marketplace ecosystem.

How to become a 1P seller on Amazon?

If you're interested in becoming a first-party seller, you must be invited by Amazon to operate on the Vendor Central platform. First-party sellers supply their products directly to Amazon in a wholesale relationship. There are several benefits of becoming an Amazon first-party seller.

Is Amazon considered a 3PL?

Yes. Amazon functions as a 3PL because it offers third-party warehousing, inventory management, pick-pack-ship, and reverse logistics services for outside sellers through Fulfillment by Amazon (FBA) and Multi-Channel Fulfillment (MCF).

How to tell if Amazon or third-party?

To find out who sells and fulfills an item, check the Sold by and Ships from information under the Buy Now button: Items that are both sold and fulfilled by a third-party seller are displayed as: Sold by (Seller Name)

What type of platform is Amazon?

Amazon.com is an e-commerce platform that sells many product lines, including media (books, movies, music, and software), apparel, baby products, consumer electronics, beauty products, gourmet food, groceries, health and personal care products, industrial & scientific supplies, kitchen items, jewelry, watches, lawn and ...

What is the Amazon third-party model?

Amazon 1P model - in a first-party relationship, the manufacturer (you) sells directly to Amazon as a reseller. Amazon 3P model - as a third-party seller, you sell your products through Amazon as a platform. Amazon 1P/3P model - a hybrid model where you maintain control over profit margins and inventory risk.

Is Amazon seller central 1P?

Vendor Central: If you're a Vendor Central (1P) vendor, you effectively hand this decision to Amazon (more specifically, their pricing algorithm). They set prices at their discretion, even if this means selling below your MAP (Minimum Advertised Price). Seller Central: Seller Central (3P) sellers set their own prices.

How much do Amazon 3rd party sellers make?

Most Amazon sellers make at least $1,000 per month in sales, and some super-sellers make more than $100,000 each month in sales. 40% of Amazon sellers make $1,000 to $25,000/month, which could mean $12,000 to $300,000 in annual sales.

What is a 3rd party on Amazon?

Amazon offers sellers on its platform the opportunity to market and sell products as first-party or third-party sellers in the global e-commerce marketplace. Third-party sellers (3P) are individuals and businesses selling and shipping products directly to customers shopping through the marketplace or Amazon Business.

How to be a 3P seller on Amazon?

How to Become an Amazon 3P Seller

  1. Set Up an Amazon 3P Seller Account.
  2. Set Up a Seller Profile.
  3. List Your Products.
  4. Choose Your Fulfillment Method.
  5. Additional Considerations for Running Your 3P Account.
  6. 3P Authorized Wholesale Partner: The Pattern Model.

Is FBA a 3PL?

There is no separate "Amazon 3PL." Amazon FBA is their fulfillment service, while a 3PL is a third-party logistics provider offering warehousing and fulfillment services. The key difference lies in the service provider and the level of flexibility and customization offered.