Diving into the realm of online business? Consider capitalizing on Amazon’s vast market potential. As of June 2022, Amazon is by far the leading retail ecommerce company in the US, accounting for 37.8% of sales. What’s more, setting up an Amazon seller account is a breeze, making this platform ideal for beginners.
But, how to find products to sell on Amazon? Some ecommerce business owners may already have a product in mind, while others may look to popular trends for ideas. Regardless of your approach, product research is crucial to finding profitable products.
Today, I’ll show you how to find products to sell on Amazon that fit your needs, as well as the product criteria experienced sellers recommend. You’ll discover how to conduct product research, narrow down your ideas, and find the right product category for your ecommerce business.
By the end, you’ll be equipped with all the knowledge and tools you need to succeed in the Amazon marketplace. First things first, let’s look at the key characteristics of an Amazon bestseller.
While Amazon is an excellent place to sell private-label products online, competition is fierce. To stand out from the crowd, there are some basic guidelines you must follow. Before searching for products to sell, make sure your business has these Amazon bestseller characteristics.
Understanding your target audience precisely will help you choose the right products to sell on Amazon. Different demographics and segments have specific needs, spending habits, and preferred communication channels.
When you know who you’re selling to, you can organize your marketing efforts accordingly, saving time, money, and energy. Plus, you’ll be able to provide customer service through the channels that work best for your customers.
It’s crucial to deeply understand your target audience on Amazon. This allows you to adapt to market changes and build a loyal customer base. After all, successful online stores get nearly 50% of their sales from repeat customers.
Take a look at what’s in high demand to find bestselling products. According to AMZScout, you should go for top-selling products with at least 300 monthly sales. This equates to 10 sales per day, a good starting point.
But remember, if a product is too popular, it’ll be hard to stand out from the competition. For a better chance of success, pick a niche market where products have poor reviews. That way you’ll be the first to provide a high-quality product in that niche. You can also go for products with fewer reviews. Less than 400 reviews for Amazon’s Best Sellers page is a safe bet.
For example, if you plan on selling to the Indian market, these decorative marbles would be a good option. They rank #2 on Amazon India’s Best Sellers page while having just over 300 reviews.
Millions of sellers fiercely compete on Amazon. Understanding your target audience is key to creating a unique selling proposition (USP). Think of a USP as a defining characteristic that sets your product apart from competitors and communicates its value to your ideal customers.
If you’re having trouble coming up with a USP, opt for niche products with high demand and minimal competition. An effective way to discover profitable products is by scouring popular platforms to pinpoint trending items not yet listed on Amazon. I’ll expand on this approach in the next section.
Top sellers don’t just offer excellent products that happen to be in high demand. What truly makes them stand out from other sellers is stellar customer experience—from order fulfillment to shipping.
When starting a private label company, you must choose your manufacturer wisely. Make sure they’re reliable and you’re satisfied with the product and fulfillment quality, customer support, and shipping speed.
Providing an excellent experience will help you get positive customer feedback, improving your seller ranking. You’ll also cultivate customer loyalty and trust, boosting repeat purchases.
Selling ice makers may seem like a good idea because they’re on the bestsellers page, right? Not so fast. When brainstorming product ideas, consider shipping costs, storage fees, and the ideal product price.
Items weighing more than 5 pounds are more expensive to ship and store. This is especially true if you’re importing from a manufacturer overseas. Look for lightweight items to save money on shipping and inventory costs.
The Amazon Seller app can help you calculate your parcel’s volumetric weight to better understand shipping costs.
Source: Amazon Seller App
As for the size, opt for 18" × 14" × 8" or smaller. Larger products cost more to ship and store because they take up more shelf space. So, if you want to save money, look for smaller items.
Remember, profit margins are higher when expenses are low.
Research shows that customers are willing to spend up to $100 per product on Amazon. As of 2023, most Amazon sellers (58%) choose to price their products within the range of $16 to $50. What’s more, the most successful Amazon sellers list products for under $30.
You can make a profit on Amazon without selling luxury products by setting a sales price that yields a high profit margin. Ideally, you should price your products four times higher than wholesale. The seller app also offers a price tracker to help you stay on top of product prices.
Source: Amazon Seller App
In the highly competitive ecommerce world, customers won’t be willing to wait weeks to receive a product. Nearly 50% of customers say they’ll shop elsewhere if delivery times are too long. When searching for products to sell online, first check how fast they ship.
Pick the closest and most convenient storage facility to maximize your shipping speed. The faster customers receive your product, the higher their satisfaction. 6 out of 10 customers expect delivery within three days.
Complying with laws and regulations will keep your Amazon business safe and reputable. Amazon is bound by a complex web of national and international laws governing operations like consumer protection, product safety, and intellectual property rights. Non-compliance with these regulations can lead to costly legal battles that may ultimately bankrupt your business.
Maintaining legal compliance is crucial for protecting your brand’s reputation and earning customer trust. Adhering to ethical practices fosters loyalty and repeat business.
Make sure you sell products that are copyright-free, safe for shoppers, and legal to sell on an Amazon store. Avoid selling items on the restricted product list. Find out more about Amazon’s legal policies on their website.
Now, let’s get to the gist of it.
Now that you know what makes a top Amazon seller, let’s explore how to find trending products to sell on your own online store.
Wondering which product sells most on Amazon? Research shows that the top-selling products on Amazon are everyday items like electronics, home appliances, clothing, and accessories. Check out our list of 8 profitable products to add to your Amazon store for inspiration.
When browsing product categories, take your time brainstorming, focus on a niche, and consider which product idea works best for you. As your business grows, you can always add new product categories and ideas.
Here are a few awesome hacks for researching products to sell on Amazon.
To maximize your profit, take advantage of Amazon’s insights into trending products. Check out these sections on their platform to research products to sell online.
Best Sellers Page: Amazon’s best sellers page shows you which products are getting the most sales at any given moment. You’ll find plenty of product ideas here—just make sure the competition isn’t too high.
Best Seller Rank (BSR): To gauge demand for a specific product, look at its Best Seller Rank (BSR). A good starting point is to look in the Product Information section of the product listing, find the product’s BSR, and take detailed notes. A product may have more than one BSR if it appears in multiple categories.
Hot New Releases: These products were recently listed on Amazon and are already bestsellers. You can browse trending products by category, making it easy to organize your product ideas.
Movers and Shakers: These are the biggest gainers in sales rank over the last 24 hours. Clicking on any category in the list will reveal the top 100 trending products based on performance, sales rank increase, previous rankings, number of reviews and stars, and pricing range.
Most Wished For: Items marked as “Most Wished For” are frequently added to users’ wishlists, wedding, and baby registries. This means there’s a demand for these items, and there may be a gap in the market. In other words—an opportunity for you!
Most Gifted: Last on the navigation menu, you’ll find “Most Gifted”. These are the most popular items ordered as gifts. Use these insights in your marketing strategy and target gift seekers.
While you could conduct all your product research with the Amazon search bar alone, we have some more excellent resources for you.
Chances are, if a product is trending on one popular platform, it’s already or soon to be in high demand almost everywhere. Browse other online marketplaces like Etsy or eBay to find product ideas. You can also see the number of sales and ratings.
If you plan to sell a trending product with high competition, read customer feedback to identify areas where you can improve your offering. Review the price and shipping costs other sellers have set for that product. Consider how to make that product unique or superior to others sold in online stores.
Some other marketplaces for product research are Alibaba, AliExpress, and Walmart. Besides product research on various marketplaces, you can find product ideas on social media or using keyword research tools, bringing us to our third resource.
Google Trends is a website created by Google that analyzes the popularity of top queries across various regions and languages. The site uses graphs to compare the search volume of different queries over time. It’s an amazing resource available for free and can help you come up with product ideas in high demand.
Source: Google Trends
Simply type your product keywords in Google Trends and compare their popularity. A value of 100 indicates peak popularity, while a value of 50 shows that the term is only half as popular. Scores of 0 indicate insufficient data or search volume for the selected term.
Source: Google Trends
When searching for products on Google Trends, product search volume is a valuable statistic, but it’s not everything. Look for products with consistent search volume year-round instead of seasonal peaks. This way, you’ll guarantee more consistent sales.
Another option is to follow trends on social media platforms like Pinterest or Instagram. Pinterest allows users to “pin” images to boards accessible by anyone, making it a great place to find potential private-label products to sell. Users frequently post pictures of items of interest, including brand-name and white-label items.
To begin, go to Pinterest.com and search for a product of interest. Create a list of products based on intriguing images. Then, compare these items on Amazon. The more pins an item has, the more popular it is. If you find a trending product that isn’t yet available on Amazon, you may have just hit the jackpot.
Another option is to conduct product research on Instagram by looking at trending hashtags. We recommend using your mobile phone for researching Instagram since browsing posts on Desktop shows limited search results.
Lastly, you can utilize third-party product research tools like AMZScout and JungleScout. These services can aid you in researching keywords, exploring databases for bestselling products that match your requirements, searching for suppliers, and comparing your prices with those of other sellers.
However, these tools are usually not available for free.
Now you know how to research products and follow the most recent trends. But where do you buy products to sell on Amazon?
There are several product sourcing strategies to choose from, each with its benefits and drawbacks. Take a look and find the one that speaks to you the most.
The print-on-demand (POD) business model allows you to set up an online store and sell products, like custom t-shirts or custom hoodies, with your designs. Your POD partner provides the blank products and prints, packs, and ships the final product to your customers. You don’t have to worry about the technical side of running a store.
The cool thing about running a print-on-demand store is that you can turn ordinary products into personalized items. This makes POD a well-suited business model for artists, designers, or anyone looking to expand their brand’s reach.
You need digital artwork and an Amazon Merch on Demand account to sell print-on-demand products with Amazon. With Printful, you can link your POD account to Amazon in a few clicks.
One of the drawbacks of POD is that you don’t have control over product or print quality, so it’s crucial to carefully choose your POD partner. We recommend ordering product samples before listing products in your store.
Both dropshipping and print-on-demand are popular business models. They’re similar in allowing businesses of all sizes to fulfill orders without holding inventory or investing in upfront costs. The main differences are in how involved you are in the product development process, and how strong of a brand image you want to portray.
With standard dropshipping, the products you sell are ready-made and sent to your customers without any modifications. When a customer places an order, the drop-shipper selects the product from their stock, packs it, and ships it directly to the customer on behalf of the brand.
Amazon has specific rules for dropshipping that you want to familiarize yourself with for successful selling. These guidelines apply to standard dropshipping and print-on-demand dropshipping alike:
You must identify yourself as the seller on invoices, packing slips, external packaging, and other items included with the product.
You shouldn’t include wholesalers, suppliers, or manufacturers on product packaging materials or Amazon store product descriptions.
You’re in charge of accepting and processing returns.
You must comply with Amazon’s Terms of Service.
If you want more control over product quality, inventory, and order fulfillment, try stocking products by ordering in bulk. You can choose to order products in bulk either from a wholesaler or directly from the manufacturer.
This product sourcing strategy allows you to buy products at a lower price, which means higher profit margins. You’ll also be able to manage stock, make sure products don’t run out, and always ship on time. You can handle product storage, order packing, and shipping yourself or use Fulfillment by Amazon (FBA).
The downside to buying in bulk is that it calls for an initial investment, and you could lose money if you don’t sell all your stock. Plus, you need a strong grasp of consumer demand cycles to avoid overbuying goods that are no longer popular, like swimming suits when summer is gone.
Do you have totally unique product ideas and craft skills? Selling handcrafted goods on Amazon can be a great option for new sellers.
To sell handmade items on Amazon, you need a seller account with Amazon Handmade. First, you’ll have to wait for Amazon’s approval, then they’ll waive the $39.99 monthly fee. Still, Amazon charges a 15% referral fee for Handmade sales, about 5% more than the total cost of selling on Etsy.
The bonus you get from selling your crafts on Amazon is the option to use FBA for stock storage, order packing, and shipping instead of handling everything yourself. A service that POD providers offer as well, by the way.
The profit to expect from selling handmade products depends on several factors, including the cost of raw materials, the tools you need to create them, the time spent creating them, and their weight and size. We recommend starting with product ideas that require low upfront costs.
Once you’ve done your product research and chosen a sourcing method, the last step is to ensure your product idea is profitable. To make your business flourish, you need a healthy profit margin. As a general rule of thumb, a 10% profit margin is considered average, 20% is really good, but 5% is low.
When calculating the profit margin, don’t forget about taxes, shipping fees, selling fees, and any other Amazon fees. You’ll also have additional costs that vary depending on the product sourcing method you select. If you choose print-on-demand, check out this Guide to Printful Pricing.
To find great deals and boost your profits, use the Amazon Seller app or a third-party Amazon pricing app. With these apps, you can scan the product’s UPC code and see how much it’s currently selling for on Amazon. You’ll also find information about the average selling price and potential shipping costs to help you set the right product prices.
We’ve also shared tips on How to Price Your Print-on-Demand Products to help you secure high profits.
Bonus tip: Use ecommerce marketing tools to help you get your products in front of more potential customers.
Navigating the vast world of ecommerce, particularly on an established platform like Amazon, may initially seem overwhelming. However, now that you know what makes an Amazon bestseller and have a structured approach to finding profitable products, your journey will be a breeze.
Conducting thorough product and market research is the foundation of any successful ecommerce business. Carefully consider your product sourcing options, whether that’s dropshipping, print-on-demand, ordering in bulk, or producing yourself. Remember to comply with Amazon’s regulations and set up an appropriate new seller account.
Lastly, don’t undermine the importance of pricing your products right. Look at how other top sellers price their products, calculate your costs, and ensure a high profit margin. By following these tips, you’ll soon be successfully running your own online business.
Don’t forget that, as with any business venture, it takes time, consistency, and dedication. Keep going, stay on top of trends, be flexible, and you’re bound to make it in the ecommerce world. Happy selling!
Zoe Amora Iranzo-Lauriņa
Zoe is a creative writer, multilingual translator, and certified yoga instructor with a passion for learning, traveling, and global cuisine. When she's not typing away at her PC, you can find her teaching yoga in the park, reading on the couch with her cat, or plunging in the Mediterranean.