top of page

Tips for Choosing the Right Products to Sell on Amazon

Success on Amazon can often hinge on whether you’ve chosen the right products to sell. With millions of items already listed, it’s essential to select products that will not only sell but also stand out among competitors. Here are some key tips to help you choose the right products to sell on Amazon:

1. Research Market Demand

Understanding market demand is crucial. Start out by doing some web searches for products you are thinking of selling.  See what is available already on Amazon or just broadly across the web.  Use tools like Jungle Scout or Helium 10 to analyze search volumes and sales data. Look for products with high demand but low to moderate competition. This sweet spot indicates a good opportunity to enter the market.

2. Identify Trends

Stay ahead of the curve by identifying emerging trends. Monitor social media, blogs, and trend reports to see what’s gaining popularity. Trend-driven products can give you an edge, but be cautious as trends can also be fleeting.  If you find an emerging trend, think about the application of that product and whether it has potential to outlast the trending period. If you feel like your product brings actual value to the customer, that’s a good indicator that the product could outlast the trending period. 

3. Consider Profit Margins

Calculate potential profit margins before committing to a product. Factor in costs such as manufacturing, shipping, Amazon fees, and advertising.  Aim for products with a profit margin of at least 30-50% to ensure a healthy return on investment.  You can use Sellozo’s calculator tools to calculate fees and track profit. 

4. Evaluate Competition

Analyze your competition thoroughly. Check the number of sellers, product reviews, and overall ratings. High competition means you’ll need to differentiate your product or offer something unique to attract buyers.  Think about what features your product offers that other competitors don’t and make sure to highlight those in your product listing. 

5. Look for Gaps in the Market

Identify gaps where customer needs are not fully met. Read reviews on similar products to find common complaints or suggestions for improvements. Use this information to create a product that addresses these issues and offers better value. 

6. Focus on Quality

Quality matters. Products with high-quality materials and reliable performance tend to receive better reviews and fewer returns. Partner with reputable manufacturers and conduct quality checks to ensure your products meet customer expectations.  Pay attention to any reviews you receive and incorporate any customer feedback into the design of the product. 

7. Check Amazon's Restricted Categories

Before finalizing a product, ensure it’s not in Amazon’s restricted categories. Selling restricted products requires additional approvals and may involve stringent compliance requirements. You may also be restricted in what kinds of ads you can run for restricted products.   Avoid these unless you’re prepared to navigate the extra hurdles. 

8. Assess Seasonality

Consider the seasonality of the product. While seasonal products can be profitable during peak times, they may not generate consistent sales throughout the year. Balance your portfolio with both evergreen and seasonal products for steady income.  Or alternatively, if you are only interested in seasonal products, make sure that you are offering a product for every season or that the one season you are offering your product will cover costs for the entire year. 

9. Plan for Branding

Think about how you can brand your product. A strong brand can differentiate your offerings and build customer loyalty. Consider creating unique packaging, logos, and marketing materials that enhance your product’s appeal.  Make sure to pay attention to how your competitors are branding their products and make sure that your branding will stand out in comparison. 

10. Test with Small Orders

Before placing large orders, test the market with smaller quantities. This allows you to gauge demand and receive feedback without significant financial risk. Adjust your strategy based on the initial response.  

Choosing the right products to sell on Amazon requires careful research, strategic planning, and a focus on quality. Remember, the right product is one that meets customer needs, stands out in the marketplace, and provides a healthy profit margin. 

If you have any questions or need further assistance, feel free to reach out to our team at Sellozo. We're here to support your journey to success on Amazon. 

Happy selling!


bottom of page