What to Sell On Amazon FBA
In the previous post, we looked at the FBA vs. FBM pros and cons. In today’s post, we will take an in-depth look at what to sell on Amazon FBA and what products sell best on Amazon FBA.
What to Sell on Amazon FBA | What Products Sell Best on Amazon
Fulfillment by Amazon (FBA) is an initiative by Amazon where Amazon fulfils orders as its counterpart (FBM) Fulfillment by the Merchant does. Amazon packs and ships the seller’s products to buyers in return for specific charges.
Today, the FBA business model encourages many buyers who don’t want the hassle of packing and shipping orders with the added benefit that it can also boost your chances of winning the Buy Box.
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As we all know, in today’s market, every seller is searching for one magic item that made him rich on Amazon; some of them are full of it. And, among those sellers, most of them put their time, energy, and effort into researching simple and effective products instead of guessing around.
Here are some ideas and directions to help you decide What to Sell on Amazon FBA?
“Finding Effective Products are More of a Science Than an Art”
What To Sell On Amazon FBA?
Choosing the right products to sell on Amazon FBA can be essential to your success story. Amazon offers up to 400 million items. Beginners and even successful sellers struggle to organize their time and effort in this vast market and find the best niche.
If you are ready to start selling on Amazon, the important question arises, what to sell on Amazon FBA?
Unfortunately, there is no seven-step formula or five-minute solution for finding the perfect product to sell on Amazon, as you may see on the internet. Consider getting the best eCommerce product research.
These are the key points to remember for Amazon FBA product requirements to be successful in the Amazon business. Regarding “What to sell on Amazon FBA,” Prefer Products which is:
- Year-Round Demanding Product: Look for items that can be sold throughout the year and are not restricted to seasonal sales.
- Have No Legal Problems: Avoid picking up goods with the trademark label or legal problems.
- Price >18 Dollars (between $20 and $50): With a higher price per product, you can quickly improve the potential to make hundreds of thousands of dollars and more from sales.
- Lightweight and Small (3 to 5 lbs): The primary requirement for Amazon FBA products should be light and small. This is because of two reasons- one: lower shipping costs, and two, lower space. In product research, I always prefer lightweight and durable products as light products are easy to handle and cost less FBA fees. However, sourcing heavy products can lead to higher shipping costs.
- Compact & Easy to Ship: Compact and easy-to-ship products mainly generate high sales as they are the primary requirement for Amazon Prime (Fast Delivery).
- Prefer High Profit and Low Competition Products: Some products are not profitable due to their heavy weight, leading to higher FBA fees and diminished margins. So, prefer products with 100-150% ROI. Some products have low competition. Low-competition products are easy to rank higher with lesser investment and effort.
- Best Seller Goods: To make sales on Amazon, you must pick the best items, whether you are doing it on your own or using Amazon’s Fulfillment. Always prefer best-selling products such as apparel, clothing, cosmetics, electronics, etc.
Our main job is to analyze the customers’ demand and provide them with solutions through products and items. Your success will depend on how well you can identify and fill the space in the market compared to your competitors. You can succeed in the Amazon market with the right tools, like product research tools and Amazon keyword research tools and strategies.
What Makes a Product Ideal to Sell on Amazon FBA?
Finding the right and effective products to sell on Amazon successfully mainly depends on your Amazon FBA product research and marketing skills. There are numerous markets on Amazon, and every market requires a different level of knowledge and skills.
How to sell on Amazon FBA
Here are a few of the most popular methods:
- Wholesale – Wherever you sell FBA goods, you purchase directly from manufacturers and suppliers. You do not create a new brand/product except for Private Labeling. You are just a reseller. Read more to know Amazon authorized suppliers.
- Retail & Online Arbitrage – Arbitrage is a business model in which sellers buy goods at a discount from retail or online retailers and then resell them at a total price through FBA on Amazon. This model is also the best way to get started on Amazon FBA, but it’s very challenging to scale.
- Private Label – The Amazon private label business model is a method of selling on Amazon. Private labelling is placing your label or logo on products and creating your own brand. This business model involves creating your brand, sourcing manufacturers (to customize products according to your specific needs), and shipping the labelled products to Amazon for sale.
Most business models, such as drop-shipping and retail arbitration, are simpler to begin as they require less initial capital. Although other models, like Private Labels, require more research, they are also highly profitable.
What do experts prefer most? They suggest you go with private labelling; selling physical goods on Amazon is the most significant opportunity in the world.
Amazon’s private-label business is expected to reach $25 billion annually by 2022. ( by SunTrust Robinson Humphrey).
Keys to Amazon FBA Business Success
Differentiation/Identification
How do you add value & identify? This is one of the key factors when purchasing a private label product on Amazon to decide whether you fail or achieve success.
Why will a consumer purchase your product over the competition? It is essential to beat the competition in every industry and distinguish and bring value to the consumer relative to the competitors.
Ways to Add Value and Differentiate
- Make a better assortment of goods
- Provide different colours & features of products to the customer.
- Provide a more effective solution for your customer issues.
- Better marketing to the customer.
Importance of Premium Quality Products
When you choose private labelling for any product, You must have premium products and brands. A big part of the success of Amazon FBA is predicated on having the PREMIUM QUALITY PRODUCT.
Here is why:
- High Value – People view higher quality products at higher prices, so you can charge a lot more if you put a premium product into the market. There’s still a good market there.
- Good Reviews - Having 4- and 5-star reviews on Amazon seems difficult. But, with quality products, you can earn more reviews than your competitors. More reviews mean more leads, and more leads mean more profit.
- Higher Margins – Quality premium product leads to higher margins.
- Customers – Amazon is the most customer-centric company in the world. Ultimately they want to keep customers happy. Bringing quality products to the market will make your customers happy, and Amazon will reward you.
Now that you know what to look for, you need to know how to find those trending products to sell on Amazon.
Which Products Sell Best on Amazon FBA?
Amazon is a price-driven platform, meaning consumers use the Amazon site to find cheap deals for the items they want and need. And, if your price or price range is not the best out of a group of the same things, you’re not going to get the deal, and you’re going to get stuck with the inventory.
You can sell a few better on your site, while others will get the most sales by using the Amazon online marketplace. So, Which Products Sell Best on Amazon FBA?
Amazon sells two types of products:-
1. When Brand Differentiation Doesn’t Matter, and You Have the Lowest Price-
You can sell things on Amazon with brand-generic goods to deliver at the lowest price! It’s not a company’s brand name that attracts the sale; it’s the price tag. The lowest price tag product always wins here.
This is Amazon’s primary theme. If consumers want an original brand-name bag, they shop to get it on that retailer’s website. On the contrary, Amazon is where they would go if they shop for a simple brown crossbody bag where the brand name doesn’t matter and the price does. Amazon is your best option if you’re selling a brandless bag.
2. When You Have Established a New Product Concept-
If your product concept is original, then you can see the sales of Amazon goods take off. This occurs when sellers identify the needs of the consumer and build a product that no one else has. You’ll be able to get exposure to an innovative product idea with the right advertising plan from Amazon.
So, what should be the best products to sell on Amazon?
Best Products To Sell On Amazon FBA
Selling on Amazon and performing in online business means finding the best categories of goods and selling items. To make sales, you must carefully pick your items, whether alone or using Amazon’s Fulfillment. Here is the list of the best-selling product categories available on Amazon.
Best selling product categories on Amazon:
- Apparel & Accessories
- Cosmetics
- Skin Care
- Electronic
- Hair Care
- Health
- Nutrition
- Supplements
- Home Decor
- Home and Garden
- Kids & Toys
- Pet Products
Most Profitable Product Categories For Amazon FBA
Here, we have non-popular but most profitable product categories you can choose from to succeed on Amazon FBA. However, you might get huge competition in any category but keep in mind the purpose of your selling on Amazon PROFITS. You are here to make profits, so you have to beat your competitors.
Let’s have five most profitable product categories to sell on Amazon FBA-
- Books
- Baby Products
- Sports Clothing
- Electronic Items & Accessories
- Cosmetics
Conclusion:
Start selling with Amazon FBA from today, along with all excellent tips for what to sell on Amazon and ways to find trending products on Amazon. Talk to our Amazon consulting experts, for more information.
