Recent statistics indicate that nearly 2 million small and medium-sized enterprises are actively engaged in selling on Amazon, and an impressive 89% of these Amazon sellers are successfully generating profits through the platform.

Selling on Amazon FBA in 2023 can still be a good way to make money, as long as you do it the right way. There’s plenty of potential to earn if you approach it correctly.

If you’re thinking about starting a business on Amazon, one of the first things you might wonder is how to find products and where to get things to sell. That’s exactly what we’ll talk about in this post.

We’ll explain everything you need to know about finding products for your Amazon store, and we’ll keep it simple so everyone can understand.

Getting Started

To make it easy for everyone to understand, we’ll break this down into simple steps and explain each one clearly. This is a complete guide on how to find products to sell on Amazon. Here are the steps:

1. Decide on Your Business Plan

First, you need to decide how you want to run your Amazon business. Think about your budget, how much time you can spend, your experience in sales, and what you want to achieve with your business.

Here are four common ways people get products to sell on Amazon:

A. Buying Low, Selling High (Retail and Online Arbitrage)

This means getting products from regular stores or online shops at a lower price and then selling them on Amazon for a higher price to make a profit. You find good deals, discounts, and sales to make money.

B. Creating Your Own Brand (Private Label)

Private label means you get products from manufacturers, put your own branding and packaging on them, and sell them under your brand name. This way, you can have unique products that stand out from the competition.

C. Buying in Bulk (Wholesale)

With wholesale, you buy products in large quantities directly from brand owners or authorized distributors at a lower price. Then, you sell these products to retailers or customers for a higher price. This method requires building relationships with suppliers and managing a lot of inventory.

D. No Inventory Needed (Dropshipping)

Dropshipping is when you list and sell products on your online store or Amazon without keeping any products in stock. When someone orders something, you buy the product from a third-party supplier, and they send it directly to the customer.

If you don’t have much money to start with, options like dropshipping might be best for you. But if you have more experience and more money, starting your brand could be a great choice.

2. Find What to Sell

Now, let’s explore the critical process of identifying the right products to sell on Amazon. This step is paramount as it directly influences your business’s potential for profitability. There are two primary approaches to help you discover lucrative products:

A. Identifying Products for Reselling

This method works well for various business models, including arbitrage, dropshipping, and wholesale. It involves recognizing existing products with market demand that you can source and sell for a profit. Here’s a more detailed explanation:

Step 1: Market Research – Begin by understanding the market and identifying trends. Look for products that have consistent demand and are not seasonal or fad-driven.

Step 2: Analyze Competitors – Study what your competitors are selling successfully. Look for gaps in the market or opportunities where you can offer a unique selling proposition.

Step 3: Consider Your Interests and Expertise – Think about your own interests and knowledge. Selling products that align with your passions can make the business more enjoyable and sustainable.

Step 4: Evaluate Profit Margins – Calculate potential profit margins for different products. Consider factors like the cost of goods, shipping, Amazon fees, and other expenses to determine if a product is financially viable.

Step 5: Source Reliable Suppliers – Find trustworthy suppliers or distributors who can consistently provide the products you want to sell at competitive prices.

Step 6: Assess Market Saturation – Avoid entering markets that are oversaturated with sellers offering the same products. Competition can make it challenging to stand out.

B. Identifying Unique Products for Your Brand

If you aspire to create and sell your brand’s products, you’ll need to identify unique items that resonate with your target audience. Here’s how to approach this method:

Step 1: Niche Research – Start by researching specific niches or categories that interest you. Look for niches with passionate and engaged audiences.

Step 2: Identify Gaps in the Market – Analyze the current products within your chosen niche. Look for gaps or areas where existing products are lacking in features, quality, or design.

Step 3: Understand Your Target Audience – Develop a deep understanding of your target audience’s preferences, pain points, and needs. Your products should provide solutions or fulfill desires for this audience.

Step 4: Prototype and Test – Create prototypes or samples of your product ideas and test them with a small group of potential customers. Gather feedback to refine your product.

Step 5: Assess Production and Costs – Investigate the feasibility of producing your chosen product at a reasonable cost. Consider manufacturing, packaging, and shipping expenses.

Step 6: Build Your Brand Identity – Develop a strong brand identity, including a compelling brand story, logo, and packaging design that sets your products apart.

Remember that finding the right products to sell involves a combination of market research, understanding your audience, and evaluating the feasibility of sourcing or creating those products. With careful consideration and thorough research, you can identify products that have the potential to drive your Amazon business to success.

3. Where to Get Products

When you know what you want to sell, you need to find a place to get those products. Your choice will depend on what you want to do and what’s available to you.

– Using Dropshipping Suppliers

These are people or companies that give you products and send them to your customers when someone buys something from you. They keep the products, so you don’t need to have inventory.

– Buying from Manufacturers

This means getting products directly from the people who make them. When you buy from manufacturers, you usually get better prices and more control over the products.

– Working with Brands or Distributors

Brands and distributors own the rights to certain products. You can partner with them to buy and sell their products. This can give you access to popular products that people want.

– Checking Other Online Marketplaces

Besides Amazon, there are other places where you can find products to sell. Some examples are eBay, Walmart Marketplace, Alibaba, and Etsy. These websites connect sellers like you with many different suppliers and manufacturers.

– Shopping at Retail Stores

If you don’t want to buy online, you can get products from regular stores. This way, you can find unique or discounted items. These stores can be big department stores, smaller specialty shops, boutiques, or even thrift stores.

– Zoglix for Bulk Purchases

Additionally, you can consider Zoglix as a reliable source for purchasing products in bulk quantities. Zoglix offers a wide range of products and sourcing solutions that cater to the needs of Amazon sellers. Buying in bulk from Zoglix can provide cost-effective options and a diverse product selection to enhance your Amazon business.

Remember, each way of getting products has its advantages and things to think about, like how much it costs and how much control you have. You should pick the way that works best for your goals and your business.

4. Placing Orders and Shipping

Once you know what you want to sell and have talked to your suppliers, it’s time to order products and handle shipping. This means you buy products from your suppliers based on what you agreed upon. Make sure you give them clear instructions about how many products you want, what the products should be like, how they should be packaged, and any other important details. You need to talk to your suppliers a lot to make sure everything goes smoothly.

After you order products, you need to watch how they get to you. You should talk to your suppliers to see how things are going and when you can expect the products to arrive. Pay attention to how long shipping takes, what customs rules you need to follow (if you’re shipping products across borders), and any other problems that might come up.

If your supplier is in another country like India or China, you’ll have two main ways to get your products to you: by sea or by air. Shipping by sea is usually cheaper, but it takes a long time. Airfreight is faster, but it can cost more. Think about what works best for you, especially if your products are small and light, air shipping is often a good choice.

Amazon FBA Sourcing Tips

Here are a few more tips to help you find the best products for your Amazon business:

Get Samples: If you’re buying from a manufacturer, always ask for a sample before you make a big order. Most manufacturers are happy to give you a sample so you can check the quality and make sure it’s what you want.

Negotiate a Good Price: Many wholesalers and manufacturers are willing to talk about the price. If you think the price is too high or it doesn’t fit your budget, try negotiating for a better deal.

Add Up All Your Costs: Keep track of all the money you spend when getting products. Remember, it’s not just the cost of the products themselves. You also need to think about shipping costs and any other expenses that come up while you’re finding products for Amazon FBA. Include these in your Amazon FBA fees so you know how much each product really costs. This will help you set the right price when you sell it.

Conclusion

Finding products that make money on Amazon doesn’t have to be hard. If you follow these simple steps and choose the right plan for your business, you’ll soon have a full inventory and be ready to start selling.

Also Read: How Sourcing From India Can Benefit Foreign Businesses