How to Do Amazon FBA Product Research
Amazon FBA Product Research is a simple task, researching the right products to sell on Amazon. But, it is not as simple as it seems.
Most sellers don’t know that carrying out product research is skillful, time-consuming, and can be a little more complicated. Then, how to perform Amazon FBA product research effectively? and Why it is a crucial step for your Amazon FBA business success.
Today, We look at Amazon FBA Product Research to help you step forward in the right direction. Also, we will learn why and what makes Amazon FBA product research necessary for the success of any Amazon Seller.
What is Amazon FBA Product Research?
Amazon Product Research is about observing and analyzing the existing product trends in the market to pick good and profitable products, anything that can bring high sales for you.The aim is to look for items with a decent profit margin in exchange that you can buy at a low price and still sell at reasonable prices.
In other words, Amazon FBA Product research is finding the most profitable products for the FBA business. FBA enables sellers to store their goods in Amazon’s warehouses while Amazon manages order fulfillment, shipping, and customer support.
Product research is essential to the Amazon FBA process because it enables sellers to identify profitable products in high demand and low competition.
Using tools and data analysis, sellers can understand sales volumes, trends, and seasonality to gauge product demand. Evaluating the competition helps identify niches with a reasonable chance of success and reveals the saturation level. Ultimately, Amazon FBA product research empowers sellers to make informed decisions and increase their chances of success on the platform.
Why is Product Research Important For Amazon FBA?
Performing Product Research is necessary to find the best products to sell on Amazon FBA. Amazon FBA product research brings you the right insights while offering your customers the right and valuable products. Several other key points make Amazon FBA product research a critical step. Like,
- Generate more sales and leads with a good profit margin.
- Finding suitable Amazon FBA suppliers for your Amazon FBA business.
- It helps to Source products that are easy to manufacture and has low competition.
- Find product creation concepts.
- Measure your competition’s success.
In simple words, product research helps you get an item with a great opportunity, good demand, and still below competitive.
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Key Features of an Amazing Product Opportunity
Note the requirements listed below, as they will help you make a better decision for your business.
Amazon FBA Product Requirements
Must-Have | Great To Have |
Huge demand | Lightweight items |
Decent profit margins | Small items |
Low competition | Products with space for improvement |
Low seasonality | |
No legal issues | |
Products > 18 dollars |
To be successful in Amazon business, these are the key points to remember for Amazon FBA products requirements:
- Low Seasonality: Look for items that can be sold throughout the year and are not restricted to seasonal sales.
- No Legal Problems: Avoid picking up goods with the trademark label or legal problems.
- A Price That is Greater Than 18 Dollars: By having 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: The primary requirement for Amazon FBA products is that they should be light and small in size. Such types of items get fast delivery and achieve high sales. This is because of two reasons- one: lower shipping costs, and two, lower space.
- Space For Improvement: If you choose a product that will perform better than your competitors, the chances of making additional sales are enhanced.
Checklist- Amazon Product Research Requirements
Check out a quick list of successful product qualifications. Amazon’s product research criteria list will make your work easy and effective.
- Select a product with a price range between $10 and $50.
- Products that make at least 10-15 sales per day.
- Similar products feature a best-seller rank of at least 5000 in the main category.
- Products Top 3-5 keywords must have at least 50,000+ monthly searches on Amazon.
- The product should not be seasonal. It can be sold throughout the year.
- Must have 2-3 products with less than 50 reviews on the first page.
- Small size and lightweight products (under 2 to 3 pounds).
- The product doesn’t have any label or copyright trademark.
- A product can be set for 25% or less than the sale price.
- Multiple product-related keyword opportunities.
- Quick and easy product sourcing.
- The product should not be fragile (not glass).
- Ability to expand your brand with related products.
- A product that creates demands over competitive products in the market.
- The product does not have any legal issues.
How To Find Popular and Profitable Products To Sell On Amazon FBA?
For beginners, selling on Amazon is a perfect first step towards learning about eCommerce. Amazon’s FBA (Fulfilled by Amazon) service solves many of the problems associated with online order fulfillment. Although this model is not perfect for everyone equally. Selling on Amazon has its own pros and cons as well.
The key to Amazon FBA’s success is finding the right product. As a successful Amazon business agency, we ensure everything is perfect for our customers.
Our Amazon FBA product research services are committed to offering you the best product to launch on Amazon, which costs you less FBA fee and provides good profit.
How to Do Amazon FBA Product Research?
10 Simple Ways to Find High Demand and Less Competitive Products
The primary step for selling products on Amazon is to first research the popular and trending products customers demand most. Here are the simple ways to find trending products (High Demand and Less Competitive) for Amazon FBA:
Ways to find profitable products for Amazon FBA-
- Find a Niche in Popular Categories: There is more competition in the main category, along with more sales. But in the subcategories, there is an opportunity for more sales with less competition.
- Explore Products: There are many categories on Amazon; search for products with demand. Check the products with a price range of $20 to $50 to get a good profit margin after sourcing.
- Prefer Lightweight Items: I always prefer lightweight and durable products in product research as light products are easy to handle and cost lesser FBA fees.
- While sourcing heavy products can lead to higher shipping costs.
- Check Monthly Sales, Price, and Sales History: Using the Chrome extensions as they provide various Amazon product research tools free. This gives you an analysis of the products available on Amazon. It shows the monthly sales, pricing history, estimated FBA fees, and other sales-related information.
- Look For a Supplier: Once you have shortlisted good products that fit your criteria, you can search for a supplier. There are wholesale suppliers available from all around the world. You can contact them for the product quotation. Most of the sellers prefer suppliers from Alibaba due to their cheaper rates.
- Compare Pricing: The pricing of a product can affect its sales. You need to analyze the pricing of some competitors for particular products.
- 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% of ROI. Some products have low competition. Low-competition products are easy to rank higher with lesser investment and effort.
- Check The Number of Sellers: To check the competition, see the number of sellers for a particular product-related keyword (shown on the left side of the page). A lesser number of results for any keyword means less competition.
- Analyze Reviews: Check the reviews on the first page of the search results. If the reviews of more than 10 sellers are less than 100 and others have reviews under 300, then it is considered medium competition.
- Check Amazon Best Selling Categories: Check the Amazon best sellers list to find new product ideas that sell the most.
Power Browse Amazon Listings With A Chrome Extension
The best way to choose a hot-selling product is to browse Amazon listings using a Google Chrome extension. Use Chrome extensions that show product performance from its launch to today. Prefer Google Chrome extensions that Amazon sellers use to research products to know how well any products can sell on Amazon.
Top Chrome extensions for Amazon FBA research are:
- Jungle Scout
- Unicorn Smasher
- AMZScout Pro
- SellerApp
- Helium 10
- AMZ Base
- AmazeOwl
Is It Profitable To Sell On Amazon?
In one word, YES! Amazon is the most popular platform to grow business online, and it’s getting even more perfect every day, especially with third-party sellers.
Third-party Amazon sales are growing every year. The third-party seller’s growth rate reached 58% in 2018, per the report. (Source Credit: Amazon)
Conclusion
Amazon FBA product research Generates more sales and leads with a good profit margin. It also helps you to find suitable suppliers for your Amazon FBA business. Overall your business’s success depends on the quality of its products.