The study was to evaluate the physico-chemical properties and shelf-life of watermelon jam under ambient storage. Also, economic prospect for watermelon jam under scale production was considered. In the study, eighteen (18) pieces of watermelon fruits with average weight of 3.85kg/fruit were washed under tap water and peeled and the pulp was mixed with sufficient quantity of sugar (500g/kg) and the mixture was boiled until reasonable thick consistency was achieved. Shelf life of the jam stored at room temperature was monitored for 90 days by determining TSS, TA, PH and vitamin C. Sensory evaluation and microbiological changes of the jam was performed to assess consumers’ likeness and safety for human consumption. Cost and return structure analysis was used to determine the economic prospect of watermelon jam production and strawberry jam obtained from supermarket was used as control. Results of this study reveal that, TSS for watermelon and strawberry jams ranged from 65.00% to 65.50% and 80.00% to 80.50% respectivelly.The PH of watermelon jam was 3.70 to 3.80. The total viable count (TVC) for watermelon jam raged from 0.01*103 to 0.8*103. The gross margin analysis showed estimated production cost of N 7,120.00, total revenue was N11, 520.00, while profit margin of N 4,400 was generated. This suggested that processing of watermelon fruits into jam could generate adequate income for prospective small scale processor and also reduce losses