In the process of communicating with some sellers, it was found that sellers have many troubles in selecting products on the Amazon platform. Sellers often lack the correct product selection thinking and methods in the early stage, and in the later stage of product selection, they often cannot determine whether the selected products are good or bad. In fact, as long as the products meet the needs of consumers, it is irrelevant whether they are good or bad. The good and bad products in the eyes of sellers are based on the difficulty of operation.
What kind of products are good products? What kind of products are bad products? What are their characteristics? Let’s make a comparison next.
1. Characteristics of good products
Meet the rigid needs of the target consumer group. Regarding the definition of rigid demand, the author has described it in the previous article, which refers to the consumer’s demand for the functionality of the product is greater than the demand for the external attributes such as the appearance, color, style, and size of the product. In short, consumers buy based on “I need” rather than “I like”.
Single function, small size, and light weight. This type of product has simple quality control, convenient delivery, fast timeliness, low transportation cost, can be quickly replenished when out of stock, easy to operate, and high capital turnover rate. Although some sellers feel that this type of product is more competitive, all products are subject to competition, and no one can succeed by avoiding competition. If you choose large and heavy products, you need to ship them by sea, which has a long delivery cycle, poor timeliness, and takes up a lot of funds. It is also easy to cause out-of-stock, which is even more of an operational tragedy. In addition, large and heavy products are not necessarily blue oceans. Small and light products also have less competition and are easy to create.
Products priced between $20 and $60. The products in this price range have considerable profit margins. They can gain competitive advantages with low prices, and have enough profit margins to support off-site marketing and on-site advertising. At the same time, this price range has the widest audience and is easy to create a hit.
Slow updates, seasonality and trends are not obvious. Selling a mobile phone film, the new mobile phone will come out in the second year, and the film will also have to be replaced: selling Christmas trees, you can only sell them for one month a year; and the screwdriver will not have a fundamental replacement in three to five years. As long as consumer demand exists for a long time, it can continue to sell, and accumulated sales will become a competitive advantage.
The profit margin is large enough. In the process of selecting products, it is necessary to evaluate the prices of current peer sellers. If the current big sellers have little profit or even no profit, it is recommended to abandon them directly.
2. Characteristics of bad products
Large and heavy products with multiple functions and complex operations. Such products either have high freight costs, poor delivery time or require high-standard operation instructions and after-sales service. Once a return occurs, it will cause great losses. It is recommended to choose carefully.
Commodities that are flammable, explosive, fragile, dusty, liquid, paste-like and have special standard requirements. Such products are either difficult to ship or easily damaged during transportation. Some will be removed from the shelves because they cannot provide certification. These situations will not only reduce profits, but also bring bad reviews. Products controlled and dominated by big sellers. If a product is controlled by a big seller, then you will see that there are sellers dominating the screen on the search results page, and it will be very difficult to create. It is recommended to avoid it as much as possible. Suspected of infringing products. Whether it is trademark infringement, patent infringement, or copyright infringement, they are all time bombs in operation. You may get a sudden explosion of orders today, but you never know whether tomorrow or the notification email of account restriction will arrive first. There are many choices in operation, and not speculating and not relying on luck should be the first choice.
Through the above analysis, I hope that sellers can have a clearer direction for product selection, choose more good products and fewer bad products.