Amazon is a versatile market and engages different groups of customers daily. According to the data collected as of February 2022, over two billion people have visited Amazon for shopping. Moreover, Forbes’ finding indicates that more than 89% of customers prefer Amazon over any other e-commerce platform, making it one of the biggest retail platforms of the 21st century.
This means its market is expanding and getting more challenging for aspiring entrepreneurs.
Now the question is, is it easy to establish a new business on Amazon as a young entrepreneur? And most importantly, how to find products to sell on Amazon, and what should be the criteria for your preferred product if you are double-minded?
Selling on Amazon is easy once you know the right places to search for answers. And right now, you are at the right place.
This post will focus on helping you find the right product to start your business on Amazon. By the end of the article, you will be able to decide:
In a market with sellers providing similar products, it is essential to ensure that your product stands out and offers a better utility and user experience.
Before launching your product, you must be aware of the consumer's requirements to design your offer accordingly and strike the right audience without facing too much competition.
Also, remember that a product of your liking may not be the best choice to sell in the market.
According to research, some of the main categories that had a lot of sales in previous years include:
Kitchen appliances like blenders, juicers, coffeemakers, and faucets are some of the best items to sell on Amazon. A large number of Amazon sellers have products listed in this section. Due to a wide range of home and kitchen items, this product category offers numerous options for an aspiring seller.
A wide range of items, from electric kettles, toasters, ovens, and air fryers to trimmers and electric toothbrushes, also have a widespread demand on Amazon. So, you can also explore the electronics category.
Beauty and skincare is an extensive section on Amazon with many listings. New sellers are likely to face less customer engagement due to intense competition. However, it can be tackled with the right strategies—for instance, selling a famous brand not present on Amazon via the Wholesale model.
Toys and board games can also be a successful option to start your business on Amazon.
From baby lotions, diapers, and baby monitors to teeth soothing gels and vacuum cleaners to door stoppers, baby care, and household categories offer gazillions of options to sellers. This product diversity also provides you with numerous options when it comes to investment options and demographics.
While Amazon sells a lot of other products, it also caters to the needs of gamers. You can sell video games for a reasonable price on Amazon.
Diaries, notebooks, paints, glitters, pens, and everything related to art has many sellers on Amazon's Arts and Crafts section. However, the market in arts and crafts is relatively tough considering the category's diversity.
Amazon's clothing section includes a wide range of items— from formal wear to workout gear. Selling footwear collections on Amazon can also be a good option.
Amazon respects the adventurers in us. They have a great collection of travel gear that ranges from travel bags to portable tents, where everything one may need for a long trip can be accessed. This category is less competitive than apparel, electronics, or household categories. So, you may get a good start with your new gig.
This diverse list of items shows that every section has the potential to do good business if handled the right way.
There are several items that Amazon does not allow its sellers to sell. For instance, Amazon doesn't allow sales of alcohol, explosives, animals, and expensive jewelry or stones. Apart from these and a few more restricted items, one can sell pretty much everything on this platform.
Finding products to sell on Amazon is a little tricky, but if you know where to look, you will easily get the hang of it.
Following are the few recommended methods for your product research.
The first thing that you need to do is to check the Amazon Best Sellers Page. This page is updated hourly and gives you all the information about the products sold in a larger number on the platform. It is, however, essential to note that this list changes with the sales trends. Therefore, remember to cross-check this information, so you do not make a decision based on a seasonal trend.
After opening the Amazon Best Sellers Page, you can open a niche and decide on an item by checking the subcategories. You will find multiple items that can make a good start. After some research, you should be able to determine the following:
Is the product type you want to sell being sold by several other business owners? Do their listings have hundreds and thousands of reviews?
If yes, you will have difficulty reaching the top rankings due to the existing, stable sellers. A saturated market leaves few chances for you to promote and sell your product successfully.
On the other hand, even if top best sellers in any product category have fewer reviews and ratings, it shows that you may have a chance to break in and make your place.
Even among the top 10 Best Sellers in the category of Golf club Drivers, some listings have less than 100 ratings. So, if a seller can come up with quality drivers, they may have a chance to get a place among the best sellers.
The BSR page suggests that baby diapers experience fierce competition on Amazon, where every listing among the top 100 has thousands of ratings and reviews.
It is not a hard and fast rule, but if you look for smaller products, it will be more beneficial for you.
Bigger items take up more space which automatically means higher storage and shipping costs, ultimately resulting in lesser profit for you.
You can choose any product of a smaller size instead of large and bulkier items.
One should strive to find a product on Amazon that can be sold for about four times its original cost. While sourcing the product from a wholesale market or ordering private label products, keep in mind that its cost should be 25-30% of its sale price. Keeping this margin is crucial because the operational costs of your business, profit and money required for reinvestment will be extracted from the sales prices.
Products needed every day are some of the best options for selling on Amazon. This is because such items have a higher demand and tend to sell well on e-commerce giants like Amazon. From kitchen accessories to baby and beauty products, you can find a lot of best-seller categories that cater to daily consumption.
Looking for the above-listed traits among Amazon Best Sellers will narrow down your choice of products to sell on Amazon. If not, we have multiple other ways to find the best product to sell on Amazon.
Amazon provides a trend report that gives users a view of the most popular products in the last 12 months. You can look at the trending products and see which one interests you as a seller. Based on this trend, you can shortlist and cross-reference the products you want to list and sell on Amazon.
At the time of writing, fitness wear along with electrical devices like All-New Fire TV Cube are among some of the trending products on Amazon.
One way to determine product demand is to do keyword research. This method will give you a direct report of how many times a shopping query has been made on Amazon. It is important to remember that the more a product is searched for, the higher its chances of sales are.
For example, put "acrylic paints for children" in an intuitive Amazon keyword research tool like Keywords on Fire (KWOF) and observe the search reports for the month. If your product has high search volume all year round, you will likely begin your business on stable grounds.
When you search for “acrylic paints for children” on ZonGuru's keyword research tool, you get a list of relevant keywords with the top 25 relevant ASINs. In addition, the list comes with several KPIs for every keyword, including estimated combined monthly revenue, monthly search volume, average ratings, average units sold, as well as average PPC bids.
In simpler words,
Another effective way to do your product research is to observe the Google search trends for a specific keyword.
The data for the last five years suggest a steady search trend of smart watches in the US with recurring spikes.
You can also see the trend data by sub-regions.
Scroll down the Trends page, and you can see two sections Related topics and Related queries. This is where you can find the most popular products relevant to that search trend.
You can sift through the existing ASINs in any given product category to find out its FBA prospects for both Wholesale and Private Label models.
However, it is only possible if you use something like ZonGuru’s Chrome Extension. First, install the extension, run it in the background, and then search for any product type on Amazon. Next, click on the ZonGuru icon in the bottom right corner, and you will get a popup window with all the data.
You can see the overall Niche rating of the search product category. It is calculated based on demand, competition, investment, and revenue potential. Then, you also get to find the average monthly sales of the listings associated with niche, average price, monthly revenue, and estimated launch budget.
So, within a few seconds, you can find out if a niche is in line with the competition you want to take on, the budget you can spend, and the revenue you aim for.
One of the easiest ways to know what product is not available on Amazon is doing a cross verification on other e-commerce platforms like Alibaba, eBay, Shopify, AliExpress, etc.
Trending products on Shopify
Best selling items on eBay
If you do not find any top sellers of those products on Amazon, you know that it is your dream product to sell.
You can use the same five methods discussed above to find popular items.
Now that you’ve sorted where to get products to sell on Amazon, the next thing is where to find the inventory of the required quality and at reasonable rates.
The following subheadings will answer this question in detail.
Dropshipping means creating an Amazon listing and taking orders on behalf of a manufacturer and brand. Once you make a sale for them as a third party, they fulfill the order by shipping the product off to their customer.
Dropshipping is a convenient way of selling products on Amazon, as your engagement with the customers solely depends on the orders received. In short, it is one of the hassle-free ways of doing business as it does not require warehouses, storing inventory, or signing up for FBA.
To run a Wholesale business model of Amazon, you will have to buy products in bulk from the manufacturer and sell them on Amazon (more on it in the later section).
The great thing about the Wholesale business model is that it saves you from extensive advertising and promotional runs, as you resell the products that already have a large consumer base due to the reputation of the respective brand e.g. selling Procter & Gamble’s products won’t need aggressive advertising.
It is a tried and true way of starting out small for aspiring entrepreneurs who wish to run a seller's account on Amazon. Retail Arbitrage means buying your product at a discounted price from retail stores and selling them at a profitable price.
Like retail arbitrage, you can purchase your products online in bulk and resell them on Amazon. People mainly choose eBay and Alibaba for this purpose, where they can find products at reasonable prices.
Private label Listings on Amazon mean searching for a product that already has Amazon listings. You can simply purchase a product from a manufacturer, label it, and redesign it according to your own liking. In other words, you will be upgrading the presentation of a specific product.
Let's break it down a little more:
The product you choose for your Private Label Listing needs to have a high demand and sale in the Amazon market. Always go for a good quality product that you can sell all year round, is easier to ship, and can be sold at three times higher price.
Procure the product you want to sell with your own branding. You can find many manufacturers, particularly in China, that can fulfill your white-label demands. You can also use this tool to find the most reliable (vetted) product suppliers from Alibaba.
Make your product appealing to the customer. You can do that with neat packaging, effective branding, and convincing advertisements.
Your listings are the source of your customer base. Make sure to add the crucial details to your product title of about 150 characters. Keep your product description simple, engaging, and detailed. Attach well-photographed visuals of your products for a bonus!
In the Private Label model, you can build your own brand by making any product you are good at. For example, you can design your own fashion brand, stationery store, and cosmetics company! By creating your own products, you can make exactly what you aspire to sell without any restrictions from a product distributor or a brand.
However, this method is the most time-consuming and, to some extent, inefficient and difficult for aspiring Amazon Sellers. But on a brighter note, it gives you total control of your products, and you can also expand and scale to other marketplaces.
If you want to opt for the Wholesale model, you must know where to buy bulk products to sell on Amazon.
Finding a wholesale supplier may have been difficult in the 90s, but today it is a mere tap of your thumb.
By using wholesale supplier databases like this, you can find a distributor of your liking and negotiate the requirements and demands before setting your deal. In addition, these online wholesale supplier databases make it easier for you to find a distributor offering your preferred brands without going anywhere, keeping you from the trouble of having in-person meetings, particularly with overseas suppliers.
To make a deal with your wholesale distributor, you are usually required to give the following information:
You must register your business as its sole owner in your state/province/country. It is an essential requirement in the wholesale contracts of different brands or distributors.
This certificate allows you to resell the wholesale products purchased from the manufacturer. Most wholesale distributors and brands add this certificate as a non-negotiable requirement in their forms.
An Employer Identification Number works as your business's social security number. It can be obtained from the Inland Revenue Service of your given jurisdiction.
Once you have fulfilled all the requirements of your wholesale distributor, the next step is to get the items shipped to your warehouse of Amazon fulfillment centers and put your items up for sale.
Before wrapping this discussion up, let’s try to answer some questions related to finding products to sell on Amazon.
Any product with high demand and significant margin can be profitable to sell online. On Amazon, household items, apparel, and electronics are some of the most profitable product categories.
Electronic appliances or household items that are smaller in size and can be used in everyday life can be the best product to start your selling journey on Amazon.
Data is your friend here. By keyword research, Amazon Best Sellers look-up, and Google Trend analysis, you will be able to find the most in-demand and profitable products as your first listing to sell on Amazon.
Selling on Amazon is easy once you know the right tools to use. By using multiple methods of research that involve Amazon Best Sellers, Keyword Research, Amazon and Google Trends, and other e-commerce platforms, you can gather data and shortlist the products you may want to sell on Amazon.
Selecting a product with high demand and a less saturated market can build a successful business on Amazon over time.
For first-timers, product research can become a lot of hassle. However, these ZonGuru tools can ensure you can find the right products to launch your Amazon selling gig.
Niche Finder: It’s the easiest way to find your next best-selling FBA product. Just type in a keyword set a filter (or customize your own!), and browse a list of hot products in seconds. All are backed by the most reliable sales data in the business. It is also available as a Chrome extension that’s been mentioned above.
Sales Spy: It's your next step in quickly validating your next hot FBA product. Just pop in an ASIN, and a year's worth of historical sales data is at your fingertips so you can see trend data. Quickly find out what makes any product tick with BSR and revenue data charted out over any date range you need (within a year). This reconnaissance ability of Sales Spy comes in very handy when you’re looking to sell a popular branded product (via Wholesale model).
Love-Hate: Are you looking for insight on how to differentiate your product? Who better to get conversion-grabbing ideas from than actual customers? Generate intuitive, elegant word clouds full of commonly used words/phrases from every 1- and 5-star review for any ASIN of the given product type. This hands-on feedback will help you come up with a similar product in which everything your customers love and nothing they hate.
Discover opportunities. Maximize your sales. Grow your Amazon business!