Amazon has taken over the world of e-commerce. Why don’t you earn your share of the profit? Time to earn handsome selling your products on the virtual marketplace.
Fulfillment by Amazon makes the processing and shipping of orders simple. The system streamlines filling online orders, making it easier for anyone to start selling online. Amazon handles storage, fulfillment, and customer service. This allows you to focus on the best merchandise selection.
But with the number of products being sold on Amazon, it can be tricky to find your niche. Luckily there are tools that you can use to find the products. This process is likely to result in the highest sales and profit. Here are some simple ways to identify the most profitable items to sell.
1. Find the Right Price Point
Customers head to Amazon for a faster and advanced shopping experience. Large shoppers order items on impulse. Having an effective pricing strategy influences purchase decisions as well as boosts your sales. You can use things like Amazon fee and profit calculator to figure out what kind of price point will bring more profit, and entice customers to buy from you.
Consider how shoppers purchase items of different price brackets. Higher priced items demand investment. They usually require more research and purchase strength of consumers. Shoppers often want to visit stores to try out more expensive items in person.
Try to choose items that are priced ideally under $50. Think about at what price point you are willing to buy an item with little groundwork. The more you act on buyers’ impulses, the higher your sales numbers will be.
2. Keep Your Investment Low
Obviously, the less you invest in your product, the more profit you will incur. Keeping your costs low should be a priority parameter in choosing products. You will also need to evaluate options for sourcing your product.
One of the most popular ways to keep costs under control is by importing items from overseas. Many China-based companies sell products at an extremely reasonable price. This allows you to enable a mark-up window to attain a higher profit.
Vet your suppliers carefully. You want to reach out to several manufacturers and get quotes to compare. Once you narrow it down to a few, it’s a good idea to order an item from the decided category. Make sure you are stocking and selling a quality item.
Consider overhead costs include Amazon fulfillment fees in your calculation. The charges for storing your items will need to be fit into your margins. You will also need to consider inevitable losses that are likely to derive from damaged products and customer returns.
3. Look For Popularity
Do some research on finding out what consumers are buying? This includes buyer behavior on Amazon, as well as elsewhere on the web. Also, track what people are searching on Amazon. It will help you decide on products that are more likely to be found and bought by shoppers.
Check out the best-selling categories on Amazon. Books and movies always have been popular categories. Consider the time of year you are entering the marketplace. Rack up your products as per the time slot.
Jungle Scout is a great site to determine the popularity of products. It will provide you with an insight into what shoppers are searching for and ultimately end up purchasing. It offers several planning tools to help you start your sales plans. Many experienced sellers offer tutorials on this.
You can also use an SEO tool to determine how customers are searching for products on Amazon. This will help you figure out the most in-demand items so you can decide what product to sell. It will also help you create product listings from popular searches.
4. Avoid Strong Competition
Everyone wants to find a niche target on Amazon. The best bet is to find an item with the least possible competition. You will never want your product to lose the chance of being considered against leading brands in the same category.
Focus on category selection that isn’t already familiar with the sellers. Search the targeting keywords for the products you are considering. The fewer results for your product-specific keywords, the more likely it will be successful.
Also, look for categories and products focusing on an open market share. If your product falls into the same search results as a big brand, it isn’t likely to be competitive. You will be more successful in categories where sales accumulate a variety of brands.
Reviews drive online sales. So look for a category where the competing products have as few reviews as possible. The number of reviews determines where items are listed in the search results. Your product will gain a higher listing position faster without fighting your competitors clearing a huge number of reviews.
5. Consider Size and Shipping
In online sales, shipping is a large component of the business. Think about your costs of making your product market-ready. It’s also important that you should consider the storage of your items.
Your shipping costs are decided by the size and weight of your item. Your Amazon fulfillment fees to fall in that category. An over-sized product eats the profit percentage. Thus, make sure you label the market price rightly.
People are likely to invest more in merchandise if you choose a large item. You might make a larger profit margin. But you will need to calculate overhead fees and shipping in the profit pie.
You will have to consider the ease of shipping the item. A complicated check out and shipping can turn off buyers from purchasing items online
Conclusion
Amazon is a great platform to reach your product to millions of consumers. The trick is to find a product that stands out in the crowded marketplace. Make your product appealing and easy to understand from the shoppers’ standpoint.
Finding the best product to sell needs a multi-factored approach. But once you figure out how to select and market products, you have to expand your offerings and grow your profits in synch. Witness success as part of the booming e-commerce industry.