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Amazon Product Manager Salary — All Levels

Last updated by Abhinav Rawat on Sep 25, 2024 at 10:27 PM | Reading time: 6 minutes

Amazon is known to pay lucrative salaries for engineering and product roles. The company extensively hires Product Managers for various business categories, namely e-commerce, AWS, digital streaming, logistics, and aerospace. While there’s almost always a vacancy for a Product Manager at Amazon, cracking the Amazon product manager interview isn’t all that straightforward. Besides possessing the required analytical and product management skills, there are a bunch of other aspects that need to come together in your interview in order to get an offer. 

If you’re preparing for technical interviews, check out our interview questions page and salary negotiation ebook to get interview-ready! 

Also, read Amazon Leadership Principles Questions and Amazon Phone Interview Questions for specific insights and guidance on Amazon tech interviews.

Having trained over 13,500 software engineers, we know what it takes to crack the toughest tech interviews. Since 2014, Interview Kickstart alums have been landing lucrative offers from FAANG and Tier-1 tech companies. The highest ever offer received by an IK alum is a whopping $1.267 Million!

At IK, you get the unique opportunity to learn from expert instructors who are hiring managers and tech leads at Amazon, Facebook, Apple, and other top Silicon Valley tech companies.

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In this article, we’ll take a look at Product Manager salaries at Amazon. We’ll cover:

  • Amazon Product Manager Levels
  • Factors Influencing Salaries
  • Amazon Product Manager Salaries
  • Stock Options Offered to Amazon Product Managers
  • Additional Compensation Components
  • Other Benefits Offered to Amazon Product Managers

Amazon Product Manager Levels

If you’re applying for a Product Manager role at Amazon, your tier level will depend on your level of experience and the skills you bring to the table. Product Manager roles are essentially senior roles, so they naturally attract higher salaries. Below are the Product Manager Levels at Amazon:

  1. L5 - Associate Product Manager  
  2. L6 - Senior Product Manager
  3. L7 - Principal Product Manager
  4. L8 - Director
  5. L9 - Senior Director

Positions L8 and L9 are reached mostly through seniority. Suppose you’re already a Senior Director in Product Management in a different company and apply to Amazon. In that case, you’d most likely be offered a position in the L8 tier, although your designation could remain the same.

Factors Influencing Salaries

Factors influencing salary of a product manager

Experience (Years in Role): A Product Manager's salary at Amazon is significantly influenced by their experience level. Those with more years in the role typically command higher compensation packages due to their proven track record and expertise.

Location (Cost of Living): The city or region where a Product Manager works can greatly impact their salary. Amazon adjusts salaries to account for differences in the cost of living, meaning employees in high-cost areas receive higher base pay.

Performance (Merit-Based Rewards): Amazon is known for its performance-driven culture. Exceptional Product Managers are often rewarded with bonuses and stock grants that substantially boost their overall compensation.

Specialization (Domain Knowledge): Product Managers with specialized knowledge in specific industries or domains may receive additional compensation for their expertise, as they bring unique value to the company.

Negotiation Skills: Negotiation can be pivotal in determining a Product Manager's salary. Skilled negotiators can secure higher starting salaries and better overall packages, maximizing their earnings potential.

Amazon Product Manager Salaries

Here’s a breakdown of the average annual salaries of Amazon Product Managers at different levels:


Related read:
How to prepare for the Amazon Data Engineer Interview? 

As you can see in the following chart, with increasing seniority, the compensation gets more and more stock-heavy at Amazon:

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Stock Options Offered to Amazon Product Managers

Amazon offers Product Managers exciting stock options in addition to other compensation-related benefits. Product Managers are offered Restricted Stock Units that usually have a vesting period of 4 years. The extent of units offered is proportional to the level of seniority. Directors and Senior Directors are usually offered less in bonuses and more in stock options. Additionally, the vesting period depends on the total number of stock units received. Usually, it is 4 years. 

Here’s how the vesting period pans out for Product Managers at Amazon over the 4 years:

  • 5% of units vest in the first year
  • 15% in the second year
  • 20% in the third year
  • 20% in the fourth year 

Other Benefits Offered to Amazon Product Managers

In addition to the attractive packages and stock options, Amazon also offers a bunch of perks. Here are some of the benefits you can expect:

  • Wellness and Insurance: Includes free breakfast, lunch, and dinner at the on-site, unlimited sick days, paternity and maternity benefits, and paid leaves up to 25 days for senior roles. 
  • Transportation benefits: Includes travel to and from the campus, as well as within the on-site facility. 
  • Financial benefits: Includes stock options, 401k, surrogacy assistance (up to $40,000), and employee discount on Amazon products.

Preparing for a Product Manager Interview?

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Author

Abhinav Rawat

Product Manager @ Interview Kickstart | Ex-upGrad | BITS Pilani. Working with hiring managers from top companies like Meta, Apple, Google, Amazon etc to build structured interview process BootCamps across domains

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