The ultimate success of an Amazon seller depends on the products you choose. However, selecting products is not always a simple task as there are hundreds or thousands of options out there throughout different Amazon Marketplaces, like Amazon U.S., Amazon UK, Amazon Germany, and more.
Sellers need to keep in mind the size of the market, online store infrastructure, geographical location, logistics, pricing, and the advantages or disadvantages of the product. If that sounds like a lot to keep in mind, don’t worry, we’ll break it down for you. The Competition
When picking a product to sell on Amazon, it is crucial to consider the level of competition. Products in demand with a high level of competition will need a competitive advantage to stand out above the rest. This edge can be found by studying the competition’s stores, analyzing strengths and weaknesses, and using that intel to improve your online store. Additionally, it’s imperative sellers keep in mind the geographic location of other sellers. It’s possible that one product will sell wildly in one country, and in another, the interest is low and taxes and shipping high. Additionally, marketing methods and costs can come into play when trying to get your very competitive product seen by more customers.
The method behind the success
Perhaps just as crucial to the product is the method with which you will source, buy, and ship the product. Today, customers want products as soon as possible, and to remain competitive may need to offer quick and free shipping. Sellers need to thoroughly research options like Fulfillment by Amazon and Fulfillment by Merchant, to understand the benefits of each and know which works best for your specific circumstances. In addition to fulfillment methods, other factors that should be given careful thought include customs clearance, taxes, and shipping costs. Fulfillment and shipping logistics are instrumental in finding the perfect product, as the product and back office must work together to become genuinely lucrative.
How to find the right products
Discerning competition and building the logistics for your online business does not have to take up a lot of time and resources. By implementing a product research tool like Algopix, sellers can gain nearly instant access to valuable information like product identifiers, analyze market demand, possible margins and shipping costs for current and future inventory. With data points like product demand level, estimated expenses, and profit, you can get a better understanding of how you’re performing in your current market. Additionally, you can use Algopix to vet new products and markets without the hassle of performing tedious and time consuming manual research.
Beyond the product: customer service and reviews
Sellers first need to lay the foundation for their stores and find the best products, but the next step in the process that should not be forgotten is customer service and reviews. Merely finding a great product is not enough, you should be accessible for questions and comments and answer quickly and thoroughly, as well as provide timely shipping and processing for returns or exchanges. Excellent customer service leads to great reviews which can be an added boost to selling your products on Amazon successfully.
With some careful thought and a little research, you can be well on your way to success on Amazon. Happy selling!