How to Figure Out What to Sell on Amazon
Amazon is continuing to be a major force in the retail industry, pushing the industry in new directions and absolutely changing the way people traditionally buy products. One of the most attractive things about Amazon is that anyone can take advantage of the platform and tap into its massive user base. As a result, selling on the platform becomes extremely attractive and has a high likelihood of being lucrative for the seller. Unfortunately, many people don’t even know where to start on Amazon, as they don’t know what to sell. So how can a prospective seller get the full effectiveness out of Amazon seller tools and sell the right products? Here’s how to figure out what to sell on Amazon.
Research
The first thing you should do in order to figure out what to sell on Amazon is to conduct some research into the market. What products are selling really well on the platform? What products lead to low overhead costs and can churn out large profits? Are there any products or industries that are on the rise that you can jump on? These are all things that you need to consider when trying to figure out what products to sell on Amazon. You can’t just simply decide to sell a product, as you’re going to need some data and reason behind your decision. If you’re planning on selling on Amazon, you should definitely research the platform’s various markets.
Available Supply
Another thing that you need to consider when trying to decide what to sell on Amazon is the availability of the supply of a product. Your research might indicate that a product sells extremely well on Amazon, but if you have trouble getting a reasonable amount of supply of that product, then it’s not feasible to sell that product. There are several reasons that could lead you to be unable to get the right amount of supply for a product, ranging from a product being entirely sold out to just a regional unavailability. That being said, before you decide on what product to sell, it’s important to ensure that there is an available supply chain that can backup potential demand.
Current Capital
When trying to decide what type of product to sell on Amazon, you’re also going to need to consider the current amount of working capital you have on hand. While there may be an item that will sell well and is available in your area, that doesn’t mean that you can afford it. To make money from Amazon, you’re going to have to spend money buying supplies and materials. It could cost you thousands of dollars to fill up your inventory with certain products, meaning that some items might simply just be out of reach. Before you decide on what products to sell on Amazon, you’re going to need to look at your current finances and see what exactly you can afford.
Prior Industry Experience
Something else that might affect your decision of what to sell on Amazon is your prior industry experience. If you’re someone who has experience in a certain industry, then you’ll likely gravitate towards selling products in that particular industry. People love doing things that are familiar to them, and working with products you have prior expertise with has many advantages. First, you’ll have a better initial understanding of the industry, knowing what sells and what doesn’t. In addition, you’ll be in a better position to understand the consumer base, helping you to know what customers in the industry want out of a product and seller. If you have valuable industry experience, then you have a huge advantage as an Amazon seller.