Royalty math that drives real Merch margin
For 2026 planning, treat Merch by Amazon as a royalty model first and a catalog game second. Start with expected royalties per unit, subtract your design and operating costs, and track net profit by niche. This is the cleanest way to avoid scaling low-earning listings that look good on volume but weak on take-home margin.
The key advantage is operational simplicity: Amazon handles production, fulfillment, and marketplace distribution. The tradeoff is limited pricing control and heavy competition. Your best outcome usually comes from niche targeting plus disciplined royalty expectations.