What to sell on Amazon’s FBA?

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If you’re a small business owner, you have probably come across Amazon FBA. It’s an amazing platform for aspiring entrepreneurs to start an online business without having to put down a lot of initial capital. However, it isn’t enough just to know about the platform. You should also understand what kinds of products are most appropriate for FBA.

If you’re still in the early stages of figuring out what you want to sell and you’d like to take advantage of Amazon’s fulfillment service, this article is for you. We will be covering five factors that influence the success of FBA products, and then we will point out the three highest selling product categories on Amazon.

 

Choosing the product

Running an online business is difficult, and selling an item that is not right for an online market could make it even worse. Here are five steps you can take to zero in on the right product for your FBA business.

1. Set basic parameters

Even before you start writing down a list of potential items into your notebook, ask yourself these questions:

  • What is the right price range for the product that I want to sell?

  • What are my target profit margins?

  • How many units am I comfortable selling each day?

  • What are the product characteristics (weight, size, color, etc.) that I need to emphasize on?

2. Choose the right supplier

It is important to understand what to look for in a supplier. Good relations with your vendor will ensure a regular supply of goods and more sales. When you are choosing your supplier, ask yourself:

Do I want a single supplier to distribute all of my items or do I want to source from multiple vendors and assemble them in one place?

How will I pay my supplier? What are the options for paying them online?

What are the payment terms that I want them to follow?

How will I evaluate their work if they send work samples?

3. Count the reviews

The number of customer reviews for an item can help you discover opportunities in the market. A product category where most listings have less than 50 reviews indicates a higher chance for your item’s success. Amazon ranks products based on the number of reviews they have and gives preference to listings with a higher review count. Targeting markets where the products have fewer reviews means a higher chance of your product getting shown or recommended to customers.

4. Identify the gaps

Identifying gaps in an already existing and thriving market is a good foundation for your business. To do this, observe what reviews people are writing and what keywords they are using to search for products online. For example, there are popular string lights selling on Amazon, but they are only available at a length of up to 3 feet. If you find that there are users demanding longer lengths, you can target that. You can also use keyword research tools to identify these gaps.

5. Keep an eye on the ads 

When you visit the Amazon website, you will always come across a few sponsored ads. As an aspiring entrepreneur, you can keep a tab on these sponsored ads to find out which category of items are most displayed. If a product is advertised extensively on Amazon, then it’s a good indication that the product has a strong potential for sale.

 

The three best-selling items on Amazon

One of the easiest ways to find out what people prefer buying on Amazon is to check their list of best-selling items. It’s one of the best places to start when deciding what to sell on Amazon FBA. To give you a head start, here’s a list of the top three best-selling item categories on Amazon.

1. Fashion and footwear

This is probably the largest category with the widest range of items. One of the factors that keeps this category popular is the constant change in consumer tastes and preferences and trends in the market. While this keeps the market vibrant, it also makes it quite challenging for new entrants to establish their foothold. Despite many competitors and cut-throat pricing tactics, there is a huge array of choice in this category. This range means that there are more opportunities to find market gaps. It may take more work, but sometimes choosing the hardest path yields the greatest success.

2. Electronics and accessories

As technology gets better and better, the demand for the latest electronics rises. A lot of consumers prefer to buy electronics through online marketplaces where they can easily compare reviews or specifications. Items like cameras, smartphones, and headphones top the list in this category. If you’re an entrepreneur with the ability to manufacture or source these products, then this could be the product category for you.

3. Beauty products  

The beauty and personal care product market is expected to grow at a rate of 7.2% from 2019-2024. It’s safe to say that there will be a rise in the online demand for these products in the coming years. Offerings for hair and skin care, grooming, and personal hygiene leave a substantial amount of room for many entrepreneurs to break into this market.

 

The saying of “well begun is half done” fits perfectly in the case of online selling. It’s always advisable to spend some time researching the market before taking a plunge. Capitalizing on the right price range and supplier, and identifying market gaps are some good ways to start. If it gets frustrating and you feel lost for ideas, check out the best-selling section of Amazon and see where the world is spending its money.

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