How To Find Products To Sell on Amazon and Generate Profit
How To Find Products To Sell on Amazon and Generate Profit
If you’re thinking about starting an online business, selling on Amazon is one of the best strategies. It’s accessible for beginners and highly profitable, largely due to Amazon’s success.
The company has a 50% share of the eCommerce market, meaning half of the world’s online purchases are made on their website. If you’re going to sell online, then Amazon is the place to be.
Many sellers are finding that private label products are the most profitable. These are unique items or new versions of existing products that you have branded as your own.
So, how do you find products to sell on Amazon?
To find profitable products, you need to do your research. This includes checking trends on Google and other marketplaces, looking at the best seller ranks on Amazon, and using product research tools to analyze demand and competition levels. It is also important to sell in a niche that you are familiar with.
Finding products to sell doesn’t have to be a challenge. This guide will teach you how to choose a winning item for your business.
Table of contents
- Choosing a Million Dollar Idea Within Your List of Products
- What Types of Products Should You Sell?
- How To Find Products To Sell on Amazon
Choosing a Million Dollar Idea Within Your List of Products
As a new seller, you’re likely to have a long list of potential items to sell. But how do you find the one that will make you the most money? For this, you’re going to need in-depth product research software to find products with a high chance of success.
If you already have a niche in mind for your Amazon business, you can validate its viability using the AMZScout PRO Extension. This user-friendly Chrome extension makes it easy to quickly analyze items and discover the most profitable products to sell on Amazon.
Here’s how to use it:
2. Go to Amazon and open the extension
Search a product or category to analyze
Click the AMZScout icon in the left corner after the results load
3. Explore the data for the products. If you are unsure what metrics to analyze, we have collected recommendations below to point you in the right direction.
Things you can analyze with the PRO Extension:
Check Sales Trends: Click the arrow to the left of a product and click “Product History”. Here, you’ll see the item’s sales history over the last two years. Make sure it sells consistently all year round. Avoid seasonal items that are only popular during a certain time of year.
Calculate Your Sales Margins: Click the arrow to the left of a product and click “Profit Calculator”. Enter your costs for the item (price to buy the product, shipping expenses, etc.) to see your profit margins. The extension will automatically calculate your Amazon fees and show you how much you’ll make on every sale.
Analyze Niche Demand: Click on the "Niche Score" in the top right corner of the extension. This will give you a breakdown of the profit, demand, and competition of the niche. Look for a score of 7 or higher.
Analyze Demand for Specific Products: Click the “Product Score” rating for a single product to review the demand, sales, and competition for that item. The score is available for both resale and white-label sourcing.
Now that you know how to analyze your product ideas with the PRO Extension, below we will examine the specific product criteria that experienced sellers recommend looking for in the best products to sell.
What Types of Products Should You Sell?
Not every private label product will make money. In fact, certain kinds of items won’t even sell. This is why, when it comes to deciding what to sell on Amazon, it’s so important to have strict criteria.
Here are some things that experienced sellers recommend paying attention to when searching for the best items to sell on Amazon FBA:
High Demand: Look for products that have at least 300 sales per month. That will work out to 10 sales a day, which is a good benchmark.
Low Competition: Ideally, you want to find products that not a lot of other people are selling. This will make it easier to get to the top of the rankings.
Fewer Reviews: Customer feedback is a big part of Amazon’s search algorithm. If the top products in a niche all have thousands of reviews, it will be tough to get noticed. Look for niches where the top sellers have less than 400.
Weight Below 5 lbs.: Items that are heavy cost more to ship and are expensive to store. This is especially important if you’re importing products from China. Look for lightweight items to reduce your shipping costs. Fewer expenses mean high profit margins.
Size Below 18” x 14” x 8”: Bigger products also cost more to ship, and since they take up more room on the shelf, you’ll get charged more for storage. So, if you want to keep your costs low, look for smaller items.
Sales Price Between $10 - $70: You want to sell products that aren’t so cheap that you can’t make any money from them, but aren’t priced so high that it will scare customers off. $10 - $70 is usually the sweet spot.
Cost 25% of Sales Price: Look for products that you can sell for roughly four times what it costs you to source it from a wholesale supplier.
Everyday Use Items: Items people need on a daily basis tend to sell really well.
We encourage you to create your own requirements, but experienced sellers recommend you select items with the traits listed above. If you still don’t have a good product in mind, don’t worry. There are several other ways to uncover what product to sell.
How to Find Products to Sell on Amazon
Below are 7 more ideas you can use to find items to sell if you are unsure of where to get started.
Where To Find Products To Sell on Amazon:
Use product research tools
Perform a keyword search
Find ideas on Pinterest
Look at the Amazon Best Sellers page to see the top-selling products
Check out the Amazon trend report for suggestions on what to sell
Click the best seller links on Amazon product pages
Look at other marketplaces to see how products are selling there
Search these sources and use the items you find there to inspire your private label products. Let’s dive into each of these strategies to learn more.
1. Use Product Research Tools
There are many software products that will help you pick profitable products to sell on Amazon. One of the most effective is the AMZScout Product Database.
Start your free trial. If you are not registered, you will see a sign up form. Complete the form to start your free trial.
Set product criteria. Use the various filters to define your criteria. For example, you can filter results by average ratings. If you are unsure what criteria to use, try the pre-made selections in the Product Selections, or use the recommendations above.
Choose what types of products you want to focus on. If you wish, you can choose to only search for new products (items added to Amazon less than two weeks ago) or trending products (items whose sales have grown by 20% or more over the last 1 - 3 months).
Get your results. Click “Find Products”.
Make a list of the items you’re most interested in.
Here’s an example search:
As you can see in the example above, we set the filters to items with prices between $10 - $70, less than 200 reviews, monthly sales over 300, and a weight of less than 5 lbs. Now that your search has been narrowed to only products that meet our requirements, it will make it much easier to find one that will work for your business.
To get a head start on your competition, check out this article containing the best products you need to sell during quarters one and two of 2022.
In addition to this data, when you sign up for an AMZScout account, you’ll also be given weekly reports on new trending products. You’ll see which products are most popular each month so you can decide whether you want to add any of those to your inventory. Plus, AMZScout’s AI will use advanced data to choose 19 new product ideas for you every week. With all this information available to you, finding new products to sell has never been easier.
2. Perform a Keyword Search
One of the best ways to discover what shoppers are looking for is to see which keywords are receiving the most searches online. There are a couple methods for doing this:
1. Keyword Research Tools
There are many different keyword research tools available, like AMZScout’s Keyword Search. The best part about AMZScout’s tool is it tells you how many searches a term receives on Amazon, which gives you a better idea of its demand on the platform.
Type in a product or niche you have in mind (i.e. “bags” or “bags for women”).
Come up with product ideas. Look at the keywords with the most searches.
See a keyword’s search volume history. Click on the graph icon next to the monthly searches. Look for terms that get consistently high searches all year round.
Create a list based on Amazon’s most popular search terms.
Remember, the more people are searching for something, the more they’re buying it, so items found this way are usually in high demand.
2. Google Trends
Type in a product or niche you’re interested in
Look at the graph to see it’s search trends throughout the year
Click on “Related queries” for more ideas
Make a list based on your findings
Here’s an example of a Google Trends search and the kinds of results you’ll get:
As you would expect, when you look at “hedge trimmers”, you see that searches spike in the summer when they’re most likely to be used and then fall back down in the winter months. You ideally want to find items that have a high amount of searches all year round, as that means more consistent sales.
This social media platform lets users “pin” images they like to a board that can be seen by anyone. A lot of times, these pictures are of items they’re interested in, including brand name products or more generic white-label stuff.
Go to Pinterest.com
Search for a product that you’re interested in
Click on images that look interesting and make a list of the products you find
Go to Amazon to see if it’s sold there
This is a great place to start. Remember, the more pins an item has on Pinterest, the more it’s trending online. It’s also one of the best ways to find ideas for private label products to sell. If you find something that’s trending on Pinterest that isn’t currently available on Amazon, that could be a huge opportunity.
4. Check the Amazon Best Sellers Page
Want to find out what sells the most on Amazon? The easiest solution is to visit their best sellers page where you’ll see all the hottest and best-selling products.
Click on the category you’re interested in
Narrow your search by picking several sub-categories
Make a list of any products you think would be good to sell
Keep in mind that the top products found here are all based on recent sales, so the results might be influenced by fads or seasonal trends. Make sure to check yearly sales trends before making a final decision.
5. Look at the Amazon Trend Report
Amazon offers a page that has all the products that are trending on their platform. This is a great resource for sellers who want to see what’s currently hot with consumers.
Scroll to the bottom of the page to find the top trending items
Click the “Learn More” link to see additional products that are trending
Make a list of all the items that meet your criteria
Here’s an example of what you’ll find on the page:
As of the time of this writing, activewear and sports gear is trending on the site, so that is primarily what’s being displayed on the site. This will change throughout the year though, so make sure to check back frequently for new updates.
Like the best sellers list, this trend report is only based on recent activity, so keep that in mind.
6. Click the Best Seller Links
If you decide you’re interested in an item on Amazon, you can click the best seller links at the bottom of the listing to get more ideas.
Go to the listing of an Amazon product you’re interesting in
Scroll down the page until you see the links to the categories it’s ranking in
Click the links to see other similar items that are ranking in that category
This is really just another way to access the best seller list, but it helps you find related products in niches you’re interested in.
7. Look at Other Marketplaces
Amazon isn’t the only eCommerce giant. There are plenty of other places people go to shop online, and it’s worth looking at those sites as well to see what’s popular there.
Go to other marketplaces like Alibaba, AliExpress, and eBay.
Find sections that list trending items. On Alibaba, you’ll find this in the “What’s Trending Now” section. On eBay, click on “Explore Popular Categories”.
Create a list of the items that meet your requirements.
Look those products up on Amazon and see where they’re listed on the best sellers page.
Trends extend across the internet, so if something is popular on one marketplace, it’s likely popular elsewhere. Plus, if you see underpriced items on these sites, you can purchase them there and resell them on Amazon. This is what’s known as online arbitrage.
As you can see, if you have a solid strategy and the right tools, finding items to sell on Amazon isn’t that difficult. Follow the advice here to discover your first product and build a successful private label business.