Detailed explanation of Amazon product selection skills and strategies

Product selection is crucial for cross-border e-commerce. It not only determines what to sell, but also determines the target customer group, competitors, product costs and operating profits. As one of the world’s largest e-commerce platforms, Amazon’s product selection process is particularly important. Here are some Amazon product selection tips and strategies.

1. Market research

1. Use data to conduct market research

Sellers should make full use of data research tools and use data analysis tools to conduct market research. First use Amazon official tools, such as Best Sellers, Hot New Releases, Movers & Shakers, Top Rated, Most Wished, Gift Ideas, etc. Best Sellers can help sellers understand some information about hot-selling products. Large categories of products are not a strong reference. Generally, the focus is on product rankings under sub-categories.

2. Understand market trends

Selecting Amazon products requires a deep understanding of market trends, popular categories, and consumer needs. Overlooked and potential products can be found through various channels such as market research, data analysis and social media.

2. Product selection strategy

1. Choose the product that suits your situation

The product should be suitable for your own situation. Try to choose an industry that you are familiar with, and choose the products to sell based on your own situation. You must know enough about the product and have enough advantages in quality and product price. Choose upstream sources of supply whenever possible. Don’t blindly inquire and purchase goods on the B2B platform. There will also be agents at all levels on the B2B platform. Try to get first-hand sources of goods as much as possible, so that you will have a price advantage in later sales.

2. The products sold should have a price gradient

Attract consumers with different spending power as much as possible. A mature Amazon store should include hot products, mainstream products and profitable products.

3. Deeply develop product ideas

Deep cultivation thinking is suitable for self-built factories or owners of factory resources. Factory sellers operate in a single category but fully grasp product manufacturing technology, costs and raw material resources. They have a relatively professional understanding of products and have the conditions to deeply explore the category.

3. Ideas for popular products

The conventional thinking of novice sellers is to create hot products, and those “hot products” that sell well on the platform can be selected. The “information” that sellers need is hidden in the Best Seller page and Most Wish For on the Amazon platform. You should look for products with good sales and room for development among these “hot products”. In addition, to pay attention to popular products, you can also explore products that are becoming more popular on Google Trends, as well as discover “new hot products” from off-site platforms, such as Facebook, Twitter, Instagram and other video websites, and pay attention to celebrity effects and Internet celebrities. Effects, photos and videos on social media often trigger many hits.

4. Deeply develop product ideas

Deep cultivation thinking is suitable for self-built factories or owners of factory resources. Factory sellers operate in a single category but fully grasp product manufacturing technology, costs and raw material resources. They have a relatively professional understanding of products and have the conditions to deeply explore the category.

5. Things to note when selecting products

1. Determine product direction

Choose a category that you are familiar with or interested in, and then focus on a field. You will be more inspired to choose products in the future, and you can also negotiate with suppliers, logistics providers, etc.

2. Avoid the risk of infringement

Product infringement, fund freezing, and even store risks. Infringement is the red line for Amazon stores, and you must stay away from infringement.

3. Product price is between 15-35 US dollars

For small and medium-sized sellers, products under $15 tend to have relatively low profits, and high advertising ACOS is not cost-effective; small and medium-sized sellers over $35 will be under greater financial pressure.

4. Small size and light weight

Please note this. We’ve made this mistake before. The delivery fees for the first trip and Amazon will be relatively high. You can only pack a few in a box, and the logistics cost is also very high.

5. Refined product selection

Refinement is necessary in both product selection and operations. It is not recommended to ship the product. Some stores only have one or two products. If run well, the results will be great.

6. Test payment first

Don’t send too many goods to FBA at once. If the measurement fails, it will be a huge loss. If you sell too little, it will affect the operating rhythm. The North American site recommends sending 200-300 for the first time.

7. Avoid highly competitive categories

Apparel, toys, 3C, food, jewelry, media, etc. Maternal and infant categories sometimes require certificates. If they cannot be provided, be cautious.

8. Non-seasonal and holiday products

Seasonal sales are very good. A large amount of inventory accumulates after seasons or holidays, which may remain for a whole year. Sellers who do not have strong control over the operating rhythm should choose carefully.

9. Keywords are diverse in nature

Diverse keywords can give products more exposure opportunities.

10. Don’t choose products with category monopoly

Sales have been accumulated in this field for a long time. Monopoly has a brand effect, concentrated traffic, and small remaining market space. It is recommended to avoid it as much as possible. The first three pages are different unknown brands, indicating that there are still opportunities.

11. Do not choose products with quality risks

Even if the demand for the product is very high in market research, do not choose a product with quality problems. The return rate and promotion cost are very high, and then you encounter customer complaints and are busy with these problems all day long.

12. Choose products that meet Amazon standards

After identifying potential product opportunities, they need to be carefully screened and evaluated for their potential, ensuring that the products have good quality and a reliable supply chain to ensure that they meet market demand and Amazon’s standards.

13. Check whether a product has a design patent

Determine whether the product is infringing and avoid listings being removed due to infringement. Inquiries are mainly made through the following two websites: the official website of the United States Patent and Trademark Office (https://www.uspto.gov/), select the patent tab; the Google Patent Network can search the main keywords of the product and the store name of the Amazon seller to see if There are related patents.

14. Ensure profit margin

In Amazon product sales, a very important point is to ensure the profit margin of the product. Generally, it is recommended to set the product price above $20, because more than three times the product cost and shipping costs usually need to be calculated as profit.

6. Summary

Amazon product selection is a complex but crucial process. Through the above skills and strategies, sellers can better understand and apply product selection methods and improve the competitiveness of their products in the market. The success of product selection directly affects the store’s operating efficiency and development prospects. We hope that every seller can find products that suit him or her through careful selection and achieve business growth.