Amazon is one of the leading online retail platforms. This means that there is a very high potential for getting sales on Amazon. If you want to get sales from a new source, this could be the holy grail. This article will give you the very steps required to Get Your Product Sold On Amazon.
I am assured that with the steps given in this article, you will get the results you desire very soon.
How To Get Your Product Sold On Amazon
Without further ado, there are various steps required to get success in sales on Amazon. This article groups them into seven steps; here they are below;
Step One: Figure Out What To Sell
Not just on Amazon, but every other selling platform also. The fact that the market favors certain goods does not mean you should delve into it too. You have to figure out what you want to offer to the market.
Below are some very lucrative ways to sell on Amazon;
Just as the name implies, retail is buying something below the market value and selling it to gain profit. You can research on various markets such as Target, Best Buy, or Big Lots for items on sale and sell them off on Amazon at higher prices.
Retail is one of the best ways to make cash both physically and online, but it is time consuming and it has high competition.
White label products are Generic products with your brand name or logo added to it. This strategy involves ordering white label products, drop shipping them or having them printed on demand.
Users of Amazon find it easy to use white labelling because with it, they can skip product research and move directly to selling.
This is the process of creating branded products using a third-party manufacturer. With this, Amazon has already established your audience.
With private labelling, you can delve into categories such as apparel, skin care, cosmetics, food, hair care, etc. some of the best places you can find private label products are Alibaba, Thermostat, etc.
If you do not want to deal with the stress of looking for a product to sell, you can go into Affiliate marketing on Amazon. Here, you just need to choose the products you want to sell and advertise them to your audience.
You can use any form of advert platforms such as websites, Instagram, TikTok, etc. a unique link will be given to you by Amazon to include to your content. When someone buys a product using your link, you will earn a percentage of the profit.
With drop shipping, you do not have to keep your products in inventory. Here, when someone purchases a product, their order goes to a third party. This third party then performs other parts of the deal such as shipping the product to the customer.
The profit margin for drop shipping is very slim for drop shippers on Amazon. The average profit margin ranges from 10% to 30% and amazon takes about 15% from your revenue.
Sell Your Own Products
Another very good way to sell on Amazon is to sell your own products. By that, I mean products you created or packaged yourself. Many shopify store owners use their free shopify app to sync inventory and sell products from their stores to Amazon. That way, you will not need to create separate selling plans and they can control their inventory management from one platform.
How To Find A Product To Sell On Amazon
Here are some tips to help you find the best and most profitable products to sell on Amazon;
Use Amazon Best Sellers Lists
This is the best place to find product ideas based on what is selling right now on the Amazon website. you can take advantage of ideas you fine worthwhile, such as books, clothing and apparel, toys and games, electronics, etc.
Make Use Of Keyword Research Tool
To make your products rank on the first page of Amazon, you have to know the best keyword tools to make use of. To do this, make use of good keyword tools such as Jungle scout. This tool will reveal accurate information about data such as search volume of products.
Take Advantage Of Amazon Reviews
When you provide what customers love, you are bound to make more sales. Hence, look at the reviews of some of the popular products on Amazon and know what customers like or hate about them.
With that, you can determine whether it is the right kind of product for you to sell.
Step Two: Choose A Plan
After you have figured out what to sell, the next step to take is to choose the best-seller plan for yourself.
Amazon has two different plans for sellers; individual and professional plans. The difference between these two plans depends on the volume of sales you have projected to reach.
This is the pay-as-you-go plan. It gives you access to basic listing nd order management tools. Every time they sell an item, individual sellers pay 99¢. You are not charged any fees until Amazon sells an item.
The professional plan requires a subscription. It offers some sets of tools and benefits to its users.
Some of these tools and benefits include;
- Amazon Marketplace Web Service,
- Advanced business reports,
- Customizable shipping options and rates,
- Eligibility for top placement on detail pages
On each sale, Amazon makes a referral fee which is a percentage of the total transaction.
Step Three: Create A Seller Account On Amazon
After you have chosen a plan, you can now create a seller account on Amazon. Have the following information at hand before creating a seller account;
- Business email address
- Bank account number or bank routing number
- Active credit card
- Government issued national ID
- Tax information
- Phone number
Now, follow the steps below to create a seller account on Amazon;
- Go to the official website; https://sellercentral.amazon.com/
- Now, you will be asked to submit the following details; business information such as address or tax information, bank, and identity information.
- Choose a product type and get approval
- Once your seller account has been approved, you can now start your product listing and start selling.
Step Four: Understand Amazon’s Cost Structure
Selling on amazon requires just little amount of money, but there are some fees you have to be aware of because they change it frequently. The list below contains the major fees charged by Amazon;
A commission is charged by Amazon for selling on the platform. This commission varies according to the category of products sold. The average for this fee is 15% but it ranges from 8% to 45%
The closing fee is a little fee of $1.80 taken from every unit sold for products under the category of Media.
The Amazon FBA program covers the shipping and handling cost for sales. This fee is charged to fulfil items for Amazon purchases. The fees depend on the size and weight of category. A standard package may cost between $2.41 to $4.71.
Additional Amazon Fees
This is an inventory storage fee charged by Amazon. You can pay this fee monthly or on long term basis.
Step Five: Study Amazon Seller Central
The guide is meant to summarize the major points, strategies, or initiatives you can use to grow your business on Amazon. However, let us take a look at a few of the basics;
Amazon Seller Central With Fulfillment Options
As a seller on the Amazon workspace, you own the inventory until customer service receives it. you can also opt-in to have Amazon facilitate orders and support to customers or do it yourself.
However, being a third-party seller is one of the easiest and least expensive ways to start selling on Amazon. Sellers can make use of the seller central portal, with some features available instead of the vendor portal.
Amazon Vendor Central
As a vendor, you can sell direct wholesale to Amazon. Therefore, Amazon owns the product immediately it receives it. Amazon Vendor central is an invite only program that can be a very good option for businesses that do not want to sell directly to the customers of Amazon.
Advantages of Being a Vendor
Some of the benefits of being vendor on Amazon are;
- It builds trust of customers
- The selling process is very simple
- It grants access to additional category initiatives such as gift guides, holiday collection and so on.
- It grants access to programs such as prime now, fresh and pantry.
- It lowers the chances of account being suspended for reasons unknown.
Disadvantages Of Being An Amazon Vendor
These are some of the disadvantages of being an Amazon Vendor;
- It gives you less control over the pricing of products
- There are slower payment terms
- Fulfilment is more complicated and it also offers lesser control.
- The vendor model is a more expensive one.
Amazon Seller Mobile Application
Amazon also provides sellers with a mobile app to help them manage their business on the go. On the app, Amazon Seller allows you to easily analyze sales, fulfill orders, manage returns, and respond to customer questions. Even your phone can be used to create product listings.
Amazon Seller App is free for sellers and is available for Android and iOS.
Step Six: Choose Your Fulfilment Options
As a seller, you have two fulfillment options: do-it-yourself fulfillment or FBA, in which Amazon receives, packages, and ships orders.
Fulfilled By Merchant (FBM)
You handle shipping, returns, and customer service directly for customers. This is a good option for made-to-order products or products that require a longer processing lead time.
Fulfillment By Amazon (FBA)
You ship inventory to an Amazon warehouse, known as an Amazon Fulfillment Center (FC), which ships products and handles customer returns. You manage inventory and pay storage fees for the product, as well as a fulfillment fee for each unit sold to customers. Remember that you own the inventory until a customer receives it.
In this model, Amazon handles customer payments and pays you every two weeks. You will have access to Amazon’s customer service team, which will handle any questions, returns, or refunds. You’ll also get Amazon Prime and Free Super Saver Shipping to help you grow your business.
Step Seven: List Your First Product
On Amazon, sales take place on the product detail page. The information you provide on this page aids in the sale of your product and encourages customers to purchase.
With all these steps followed accordingly, you are on your way to success on the Amazon Platform.