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There are plenty of sellers selling lakhs of products and making profits in the present time. So to start a new business online means finding that one product that will stand out from the rest and dominate the market.
Amazon FBA, or Fulfilment by Amazon, is a service where anyone can sell their products without having to worry about storage, packaging, and other details needed when doing business. For a small fee, Amazon will take care of all the logistics for you.
Typically, people get their products made by a manufacturer somewhere else before sending them to the Amazon warehouse. You can also buy ready-made products in bulk instead of making your own. Amazon will store your products, manage them, handle the packaging, and send them to your customers.
Sounds easy, right? It is an ideal alternative to do online business since the service reduces a lot of stress you may get by handling everything all by yourself. However, there are some things you may want to consider before you start on this Amazon venture.
One of the most common questions every beginner is curious about is "What products should I sell?"
This article will help you to understand a little bit better about product demand on Amazon and how to choose the right one to sell.
Ways to Find High Demand Products to Sell on Amazon
Why is it so important to find high demand products to sell on Amazon? The answer is clear: When you start a business, you want to make sure that your business works and is profitable. Having high demand products is very important as they ensure that your business will always have an audience. The market is already there. All you must do is provide the product people want.
1. Amazon Best Sellers
Amazon Best Sellers is a great place to start and probably the easiest thing you can do to identify what products are high in demand. The Amazon best sellers page provides us with a list of the top 100 best selling products. This is an instant way to find the perfect products to start your business.
2. Amazon Best Seller Ranks
After gaining a deeper understanding of what the current trends are, you can go even deeper into the Amazon Best Seller Ranks. You can see the ranks of each product on the product's detail page.
The product's detail page usually provides us with additional information such as the product's weight, customer reviews, and best seller ranks. This is where we should focus on. Pay attention to where the product ranks and in what category. This will help you to choose the most desirable products to sell.
3. Identify Product Demand on Amazon
Aside from finding products that are on the top 100 list, you can also consider the product demand on Amazon based on the categories.
Based on the FBA Empire, the product demand on Amazon can be divided into at least three levels of demand. They are the high demands category, medium demands category, and low demands category.
High demand category products on Amazon are dominated by Home & Kitchen, Health & Personal Care, Sports & Outdoors, and Beauty.
The medium request category products on Amazon are Toys & Games, Pet Supplies, Home Improvement, and Office Products.
Meanwhile, the low demand categories on Amazon are Industrial & Scientific, Automotive, Arts & Crafts, and Musical Instruments.
By knowing the product demand by the category, you can find a product that will help with a more stable flow instead of just a peak of seasonal trends. For example, products in the Beauty and Personal Care categories are always in high demand.
Does it mean that you should only focus on the high demand category then? The answer could be yes if you are ready. The increased demand category must be one of the most wanted categories for sellers. It means you will have more competition in that category.
With so many competitors, it can be hard for you to make your products stand out. So this is the time to consider either a category with less competition or see if you can fill in the gap on a high demand subcategory that has not been covered yet.
Selling products on the low demand category is unlikely to help your business to skyrocket. Still, with fewer competitors, it will help you to get loyal buyers so you will have a more stable selling point. Another thing you can do is try to find a gap in the high demand subcategory and fill it.
Find Profitable Products to Sell on Amazon
There is one crucial thing you should consider. Just because a product is in the high demand category, does not necessarily mean it is a profitable product. There are a lot of factors you should pay attention to.
4. Profit Margins
For example, suppose you want to sell products in the Beauty category. In that case, you will have a lot of competitors selling the same products. One thing you can do to make your products stand out is by selling them at lower prices. However, it also means you will make a lower profit.
It will be different if you are selling more expensive products with lower demand rates, such as Home Improvement products. You may not get the highest selling points, but you can gain more profit.
5. Size and Material
You may want to consider the size and material of your products. Smaller and lighter products are better than bigger and heavier items since they will cost you more in shipping. You should also choose products that are less fragile since fragile materials can be easily damaged during shipping and you will not be able to sell them.
6. Seasonal Products
Some products become more desirable in certain seasons. For example, Christmas decorations are more likely to meet their peak before the holiday season. Of course, keeping up with this kind of demand can be tiring since you will be dependent on the seasonal trends.
If you want a more consistent rate of sales, you should focus on a specific item to sell rather than jumping around trying different categories. However, you can still gain profit from this seasonal demand by releasing products with specific themes following the trends.
Start your Amazon FBA
Now that you have already found the perfect product to sell, you can start your marketplace business. Of course, success will not happen overnight. You must do the hard work to optimize your business.
And now we must answer the question: how can you optimize your business on Amazon?
There are a lot of great tips and training courses out there teaching you how to sell on Amazon. Still, some courses can make beginners scared to even start because they can make it seem very difficult and overwhelming.
That is why finding a good training course is one of the most important things you should do before you start. You can find a hand-curated list of some top Amazon FBA training courses right here on thedoublethink.
On the other hand, you can start to optimize your business by optimizing listing, titles, and descriptions. You need to organize your listing so the customer can find your products more accessible.
Creating a title is also as important. You can make use of the characters provided by Amazon. Use them all to accommodate as many keywords as possible, but you still must make sure that your titles make sense.
You must also optimize your product description using keywords and give your customers as much information as you can provide to help them understand your product.
Finally, do not forget about the images. They are the display of your products. Make sure to upload high-quality images showing the best feature of your products.
Selling products on Amazon FBA is a great alternative to start a business. Even so, you must work hard and learn at the beginning, the service will help you save more time. So, if you are considering something you can do in your free time, this is undoubtedly a fantastic opportunity. Good luck!
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