Selling on Amazon is a great option for ecommerce store owners because it gives them a chance to reach millions of potential customers. In Q1 2021, there were 200 million Amazon Prime members worldwide. If you too want to make money on the world’s largest online marketplace, you need to research the product trends and the quality of listings you’ll be competing with.
Luckily, there are tools to help sellers make informed decisions about what products to add to their inventory. AMZScout, for example, provides a wide range of product research features that let you see important data on every item sold on Amazon. This includes average monthly sales, competition levels, profit margins, and more.
So, what are some signs of a profitable Amazon product? Here’s what to look for, according to AMZScout:
With these signs in mind, we’ve scoured Amazon’s catalog and found eight products whose underlying data suggests they’ll be very profitable for online sellers.
Before we get started with product analysis, here are the descriptions of some key product statistics you can find on AMZScout:
Let’s look at the actual data for the first product on our list: t-shirts.
Before looking at the numbers you’d think this is a saturated niche. But the data tells us there aren’t nearly as many Amazon sellers offering t-shirts as one would expect. There’s also plenty of demand, with the average t-shirt product generating over 11,000 sales on Amazon in the US, according to AMZScout’s PRO Extension data.
As with any item, you’ll need to set yourself apart from the competition. Luckily, that’s easy to do with apparel products like t-shirts. With so many design tools available, you can come up with a truly unique product.
Best of all, t-shirts are lightweight which makes them cheaper to ship from your supplier. This limits your costs and allows you to keep more revenue for profit.
This is another product that, based on our data, has fewer sellers than you’d expect. This might be because sellers assume there’s more competition than there really is.
Many of the current listings are also low-quality, meaning they have few photos and vague product descriptions. These two factors decrease sales, which negatively impacts an item’s ranking in Amazon’s search feature. Many hoodie listings also aren’t utilizing high-ranking keywords, which further hurts their ability to show up in searches.
So, if you create a hoodie that’s comfortable, has a unique design, and is long-lasting, and you optimize your listing with high quality product images, descriptions, and keywords, you should be able to outsell your competition.
Learn More: 32 Hoodie Design Ideas to Get You Inspired
Finally, the average price of $27 is low enough to keep buyers happy and high enough to make profit. If you can keep your costs low, higher prices generally allow for better profit margins.
Some challenges: you’ll have to compete with Amazon and you’ll need to get good product reviews as quickly as possible.
A big advantage of selling smartphone cases is how small and light they are. As we’ve already mentioned, lightweight products reduce shipping costs.
Demand for smartphone cases has increased substantially over the last two years, as shown by the sales graph above. These products generate an average of 11,560 sales per month. If these trends continue, you’ll be looking at another increase in sales next year.
The average sales margin for a smartphone case is also high. If you’re a dropshipper, you can add a big markup which further increases your profit.
Some challenges: you’ll need to generate many reviews and put in considerable effort in your listings to convert visitors into customers, even if you’re on the first page.
The biggest advantage to selling mugs is the lack of big brand competition. This means that while there might be a lot of people selling mugs, most of them are small independent brands which will be easier to compete with.
Amazon favors their own products in search results. However, Amazon itself doesn’t sell many mugs, which is good news for you. There’s a potential for good profit but don’t forget to factor in shipping, fulfillment, and marketing.
Whether it’s a new throw blanket or a custom blanket with their pet’s image, people are always looking for a good quality product to keep themselves warm or to give as gifts.
Despite the high demand, you won’t compete against very many sellers. And on average, those currently selling blankets don’t have very strong listings, which means there’s plenty of opportunity to rank highly on Amazon if you have a high-quality product.
In June 2019, Amazon officially announced its search algorithm would favor product listings that comply with its guidelines. Listings that don’t live up to these standards rank lower in search results. Here are some quick guidelines to help you get your listings rank well:
Read more about Amazon product listings in our guide Amazon SEO: How to Optimize Your Listings and Rank Higher.
The average price, $31.12, is right in the sweet spot of what shoppers are willing to pay. There are comparatively not many sellers and you won’t have to compete with big brands. You will, however, have to generate many reviews to build trust.
One of the cheapest and easiest ways to freshen up a living space is by adding a new poster, so it’s no surprise that this product is very popular.
Pop culture dictates what people look for in a poster. See what posters are selling well and use tools like Google Trends to learn what people are searching for.
Just like with hoodies, many of the listings in this niche are low quality—they have poor-quality images, weak descriptions, and not enough valuable keywords. This means if you have good product photos and informative, captivating product descriptions you shouldn’t have too much trouble ranking highly.
Single posters are relatively cheap, so consider creating a collection and selling them as sets to increase your average order value. Posters are also great for up-selling or cross-selling because they can complement many products from home decor.
Many eco-conscious consumers are reducing waste by using reusable bags, making this a profitable niche for Amazon sellers.
Like mugs, not a lot of bigger brands are currently selling these types of products. Because you’ll be up against other new and small sellers (instead of Amazon and big brand names) you’ll have an easier time competing.
One way to set yourself apart is to double down on sustainability. Use ethical materials and suppliers that are environmentally friendly, and make sure to mention this in your product descriptions. Make sure to do your research before promoting sustainability—all sustainability claims need to be verifiable to avoid greenwashing, a form of marketing in which green values are deceptively used to convince people that the company’s products and manufacturing process are environmentally friendly.
Pillows are always in season. They also present plenty of opportunities for cross-selling. If people are looking for throw pillows, they may be redecorating. So in addition to pillows, you could offer them blankets, wall art, and other accessories for their home.
Some challenges: it will take some effort to create a high-quality listing of the product that can compete with the existing ones.
Learn More: Top 10 Trending Products to Sell Online
Are you thinking about starting your own Amazon business? If so, here are a few steps you’ll need to take to get started:
If you have the drive and are willing to put in the effort there’s no reason why you can’t be a successful seller on Amazon. Good luck!
Madara is a content marketer for the Printful Blog. Her background in linguistics and belief in the power of SEO come in handy when she’s creating content that inspires ecommerce store owners and helps them grow their business.
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