Want to know the best products to sell on Amazon FBA? No problem, just follow these 5 easy rules.
So when you’re just getting started on Amazon you might ask yourself, “I wonder if this is the best product to sell on Amazon FBA?” and oftentimes, your first product idea won’t be perfect. So when it comes to finding the best product to sell on Amazon FBA it’s important to be patient if the search process inevitably takes longer than you had planned.
Whether you’re looking for products to sell for the first time, or you just need a quick refresh, this guide is the perfect solution. We’ll show you exactly how to find products to sell on Amazon FBA.
Once you download a product finder tool, and learn the five rules of a good product opportunity, you’ll have a much better understanding of how this whole process works.
Five Rules For Finding The Best Products to Sell on Amazon FBA
So there are five rules you can use to determine a perfect product opportunity versus what’s not quickly.
To do this, you’ll need to download a product finder tool to sort and filter products in any category quickly. Doing this will make the process of finding the best products to sell on Amazon much faster. We’ll show you exactly how to set each filter throughout this guide.
The first step, after you’ve downloaded a product finder, is to choose a top-level category to start searching in. Once you’ve selected a category like “Home & Kitchen” then type the negative key plus any random set of numbers into the search box, it will look like “-53453”, now you click search and launch your product finder. You’ll see that the product finder will start to gather the best selling products from that category. Now you’ve just got to use the five rules below as filters to begin finding the best products to sell on Amazon FBA.
Rule 1: Best Sellers Rank
So the BSR range of your potential product needs to be between 300 and 5,000. The BSR refers to the product’s top-level category. You’ll notice when you’re searching that products will have both a sub-level category, and a top-level category, so it’s important to only look at the BSR range of a product’s top-level category.
The way you can know if you’re looking at a top-level category is you will see the words, “see top 100″ displayed after that category.
It’s necessary to use the top-level category to find the best products to sell on Amazon FBA because otherwise, you can’t quite tell a bad product opportunity from a good one. There’s simply no way to determine how well a product is doing within a subcategory, so it’s necessary to stick to the top-level category and only consider products within the BSR range of 300 to 5000.
To manually check any product’s best sellers rank without a product finder, go to that product’s page, and then scroll down to “product details” to see its BSR.
Following this rule will allow you to avoid products that have too much competition, so you won’t have to waste money on inventory for a product that won’t ever pan out.
So that’s just rule number one, but keep in mind that all of the rules we’re going to show you today, except for the last one, can be set as filters within a product finder tool to more easily find product opportunities.
Rule 2: Less Than 1000 Reviews
When you’re looking for quality products to associate with your brand, you don’t want to pick products that are too saturated and too competitive.
With that in mind, you should only select products with less than a thousand reviews, because if you’re launching a brand new product, you’re going to start with zero reviews. When you’re trying to compete against other brands, your product will be next to impossible to find, and you’ll experience low sales.
Since you’re starting at zero when you launch your product, you’re also going to appear untrustworthy next to products that have thousands of reviews already.
If you try to compete against products with more than 1000 reviews right away… You’re just not going to look stellar. Plus, it’s going to cost you way more money to market your product and get found if you choose to compete against products with thousands of reviews.
When you start looking for products, you might notice that it’s not until the 4th search page where you’re finding products with about 100 reviews or less.
It’s important to understand that these top-selling products are the exception, not the rule, and most products sold on Amazon will have far fewer reviews, so don’t get discouraged. Once you have your product finder tool, you can quickly start sorting and filtering by reviews. This is the easiest way to find a ton of products that will generate some sales and would be perfect for your brand.
Rule 3: Less Than 5 Lbs
So the third rule when selecting a product is the weight. So if your product is more than 5 lbs, you’re going to eat up all of your profits in shipping costs. Plus, whenever you have to refund customers or reorder inventory and the last minute, costs can quickly add up.
Choosing a product that is five pounds or less allows you to have much cheaper shipping costs, and it makes your life simpler when it comes to refunds and inventory reorders. The more compact and lightweight your product is, the better off you’ll be.
The majority of products sold in the U.S. on Amazon are likely sourced from China, so they’re being shipped over on giant cargo ships. We recommend this method over shipping by air because even though it can take up to 5 weeks to receive your products, it’s significantly less expensive.
So it’s a pretty simple rule, but to recap, you should only be selling products that are 5 pounds or less. Ideally, you should be finding the lightest products possible that still meet all 5 of our criteria.
Rule 4: Priced Between $15 and $70
So you should only consider products that you can sell for anywhere between $15 and $70.
Setting a price filter with your product finder tool of $15 – $70 will drastically limit the number of products you have to dig through to find a good opportunity.
This ideal price range allows your product to generate maximum revenue for you, without making inventory reorders too pricey.
Set up a filter in your product finder tool, and you’ll have tons of potential product opportunities to compare.
Rule 5: Private Labeling
The final criteria when you’re looking for the best products to sell on Amazon FBA is called private label potential. This rule refers to any product you can find that you can add your branding and labeling on to.
So private label potential is critically important since you’re trying to grow your own brand and maximize sales. We don’t recommend you sell other people’s products, because your profit margins will just be too low. Plus, if you’re not selling your own products, then you’re going to be heavily restricted on how and where you can sell that product.
The ideal product to private label will be something generic and easy to source. After you’ve gathered a handful of potential product opportunities, then you can head over to alibaba.com and check to see if there are manufacturers out there who can make you a similar product, and put your brand name on it. It’s important to mention that if you’re ever concerned about a potential product being copyrighted, you can just do a quick patent search, trademark search, or even hire a patent attorney if you’re still unsure.
Improving Existing Products
During your search for the best products to sell on Amazon FBA, you’ll come across a lot of generic products. In fact, a majority of the products being sold on Amazon are just generic products.
So luckily, it’s not that hard to work with manufacturers and develop and improve a product to make it significantly better than the competition. So when you’ve found your perfect product opportunity, and you’re having the manufacturer place your branding on it, you can also have them make a few small tweaks.
Doing this ensures your product will be better than the competition, and it’s not too difficult to implement these changes once you’ve developed a healthy relationship with your manufacturer. It’s perfect because it doesn’t take any time away from your day, and you’ll wind up with a product that’s way better than your competitors.
So if you want to find the best products to sell on Amazon FBA, then follow these five rules, and you’ll start to uncover some perfect product opportunities. There’s no previous experience required, it’s easy for anyone to start finding the best product opportunities, but it does take patience to dig deep and reveal some gems.
After you’ve gone through the entire process a few times, it starts to feel more natural, and you’ll begin to develop an eye for product opportunities that have serious potential. That’s it for us today, remember to download a product finder and don’t hesitate to continue researching how to sell on Amazon FBA.
Matt Clark is the Chairman and Co-Founder of Amazing.com, a serial entrepreneur, and investor. He’s been featured on Forbes, CNBC, and Entrepreneur.com.