When you price your products higher than your competition, it can kill both your Amazon venture and any trust with your customers. Once you build trust and start generating sales, you may see that Amazon starts to promote your products. Setting the price for your product involves the following strategy:. Finally, search for other Amazon products similar to yours. Use the same three keywords that you used for your description page and search for other products to see what appears.
You need to have a competitive price and unique product descriptions so that your product ends up on page one of the Amazon search results. Page one results mean that customers are seeing your products first, which will increase the probability of a sale. You can get your products to page one results when you invest in Amazon SEO strategies like the following:. Making sure you have high-quality product photos is also important, which is why I recommend using free photo editing tools to improve your image quality.
Research your competition to continually generate sales from high rankings. Tweak your product title to generate a high click-through rate so that you can continually generate organic sales. Remember that ecommerce promotions often follow retail holidays like Black Friday , Cyber Monday, and even other more general promotions like winter clearance or fall sales. Promotional periods are high sales periods, which is another reason your profit margin should be high.
Most often, sellers choose to deviate from a stable price in the following instances:. However, lowering your price for these reasons means that you usually lower them to near break-even level—sometimes even lowering them below the profitability level. This is not recommended for normal pricing, so you have to deeply understand your profit margin and cost of goods sold COGS.
Remember, your return on ad spend for any marketing should always be Products can be listed in the Amazon Marketplace catalog one at a time. However, if you obtain a professional selling subscription, you have the option to add larger groups of products through the bulk tools.
Then, you describe the attributes of the product, such as a title and detailed description information.
If the product is already listed on Amazon, you need to identify the number of products you have to sell, list the condition, and the shipping options. If you want to make a lot of money on Amazon, simply describing the basics of your product is not good enough.
Amazon keywords are everything for sellers. A good majority of sales on Amazon occur through organic searches for products. Making a profit by selling on Amazon is possible if you think smart, implement a well-planned strategy, and effectively market your business. Of course, this can be done via your own fulfillment setup, using FBA as your Amazon fulfillment tool, or a combination of both.
Likewise, you need a way to track your inventory and product costs and forecast your reorders. The same inventory tracking tools that work for wholesale and direct-source purchasing can help you organize your private label product sales on Amazon. Give InventoryLab. Pros and cons of private label sourcing. A major pro to selling private label products on Amazon is that you establish your own brand via Amazon, usually with reasonable upfront costs and low minimums.
The only other sourcing options that offer equivalent branding power are handmade products and direct-source goods. Both of these generally require more of an investment in funds and time. On the con side, you still have to order private label products in set quantities, so there are upfront costs. Plus, labeling and other customization factors come with added costs, so it might not be as profitable as other product sourcing methods. That said, private label products tend to top the list of recommended sourcing options for startups and small sellers looking to build a brand.
Of course, before you can properly understand how to find products to sell on Amazon, it's helpful to first choose a specific type of product or product category that you'd like to sell. So, if you're trying to decide what to sell on Amazon, you'll want to keep the following things in mind:.
Cost: How much does the product typically cost? You'll want to look for something that isn't too expensive to purchase, but not so cheap that it will be difficult to make a profit.
Shipping: Are these products easy to ship? Shipping costs will play a large role in your business, so the easier an item is to ship, the better. Competition: Just like with cost, you'll want to find the right balance when it comes to competition.
You won't want to get involved with a product or category that has too much competition, however, you also don't want to start selling a product that no one is interested in. Customers: Who is the ideal customer for the product you're looking to sell? Can you enter into a niche market with highly engaged customers? Can you fill a missing need in a specific market? Thinking about these possibilities will help you find the right products to sell. All of this being said, there are a number of research methods you can employ to decide what type of products you want to sell on Amazon—including using tools from Amazon themselves.
Here are three strategies you can use:. One of the easiest ways you can sort through products to decide what might be good to sell on Amazon is by using keyword research. You can simply perform a Google search, or use a keyword tool like SEMRush to see what the search volume is for different terms, products, and categories. As an example, say you think you want to sell customized winter hats. You can perform a search for "customized winter hats," as well as other variations of the term, to see how many people are looking for this item, as well as what the competition looks like.
Through this process, you might also gain some insight on how to find the product you're looking to sell on Amazon as well—as wholesale or direct suppliers may appear in your search. From there, you can click into different items and scroll down to gauge their sales popularity.
The product description detail that Amazon provides on each item tells the story of its overall popularity. For example, this item is pretty popular according to:. As a rule, anything with a BSR under 10, in a major category has respectable sales velocity. Its reviews from customers show that this item has a track record of sales. Reviews add up over time, but each review shows the date, so you can use reviews to gauge how many of a given item sold in a set period of time.
So reviews can equal anywhere from to 1, actual sales. It also helps you see what your competition is doing and uncover ways to improve upon their products.
There are many methods you can use when it comes to how to find products to sell on Amazon—and only a few require an upfront financial commitment. Shoestring startups can try retail arbitrage and print-on-demand to find products to sell on Amazon with few upfront costs. Wholesale, direct, and private label sourcing lets you test the waters with resell products, develop a branded line on a budget, or offer truly unique goods.
Starting the process with research is critical to your success. Best of all, research helps you take advantage of the pros of each sourcing method, and avoid the cons, as you search for profitable, in-demand products to sell on Amazon. This article originally appeared on JustBusiness, a subsidiary of NerdWallet. Finding products to sell on Amazon: 6 methods. Tired of scrolling? Download a PDF version for easier offline reading and sharing with coworkers.
A link to download the PDF will arrive in your inbox shortly. New sellers will find a platform where it takes only minutes to sign up , and a few more minutes beyond that to get product listings live on the site.
Sellers also need a clear understanding of what it takes to have a realistic chance of being successful on Amazon. While Amazon still attracts general merchandise resellers that offer the same products as many other companies, the long-term success of those sorts of companies is very much in question. In a battle of margins and trying to differentiate in a meaningful way, sellers may end up working harder and harder each year to generate the same top line sales, and possibly not the same bottom line revenue.
Amazon has the advantage of collecting massive amounts of customer search and customer purchase data which it shares only the minimum amounts with sellers. Amazon Retail also has sophisticated pricing software which allows it to lower prices to match prices already lowered by competing sellers. Amazon Retail is content not making any money or even losing money on a sale so it is not likely that a competing seller will either get the sale from Amazon Retail or make any margin from the sale.
Bottom Line: Competing directly on the same listings that Amazon Retail offers is not likely to be an effective business model long-term. So while sellers may have sophisticated CRM capabilities for their non-Amazon channels, almost all of that expertise and technology is irrelevant for customers generated through the Amazon marketplace.
Amazon makes clear that it is exclusively the responsibility of the brand to secure its distribution. Namely, Amazon will rarely get involved in helping brands remove unauthorized resellers, thereby allowing anyone to sell any product on Amazon, as long as it is a legitimate product where no harm is inflicted on the Amazon customer. Amazon holds every seller to the highest industry standards regarding shipping times, confirmation emails, order cancellation rates, and a myriad of other criteria.
For many businesses new to Amazon, these standards may well be beyond what they can handle, and hence the Amazon marketplace may be out of the realm of possibility to sell on. Subscribe to our bi-weekly newsletter to get the latest thought leadership content delivered right to your inbox — from blogs and resource articles, to podcast episodes, webinars and more.
A race to the bottom on price eventually lowers margins to an unsustainable level, making it pointless to be selling on Amazon.
0コメント