When looking for products to source, it’s vital that you get the right information. Without it, you’re guessing. And any businessman with his salt knows that guesswork is rarely profitable.
But which data do you need? Is there a good eBay & Amazon product research tool you can use?
Let’s explore…
The Right Data
Deciding on a product comes down to a simple equation. But to solve this equation, you’ll need some hard data.
Here’s a handy list of what you’ll need to put together:
- Average Selling Price
- Demand (high/medium/low)
- Competition
- Shipping Options
Manually gathering these data points can take hours. Even days. But it’s well worth it. Because with this information you can make the right decisions for maximum profits.
However, take into account that a product research tool will most likely deliver more accurate and extensive results.
The Profit Equation
Now you’ve got your data, things get simple.
Simply take the average selling price and subtract your purchasing price. Also subtract your expected shipping, tax and other fulfillment costs.
Now you’ve got your profit per sale. Whether it’s enough for you or not will depend entirely on you.
A low-profit item would be feasible with high demand and low competition. A higher profit item could be feasible with lower demand.
Whatever the case, when you have the right data, you can make an informed decision based on your Amazon and eBay product research.
Especially if you’ve been selling on these marketplaces already for a while.
The Hard Way Vs. The Easy Way
What’s listed above is known as the hard way. You’ll soon realize this when you attempt to get the right data. And what’s listed above is only the bare basics.
There are other data points which help, but which are almost impossible to work out on your own. Average sales per month, for example. Projected profit per month, accurate tax calculations, accurate “other expense” calculations are all more examples.
Especially eBay product research and Amazon product sourcing will involve multiple data points that are sometimes difficult to access.
So let’s take a look at the easy way.
Easy Profitability Calculator
What if you could get all the data, plus an accurate estimation of profitability as well as recommended profitable products?
This is what Algopix and its eCommerce product research tool does for you.
You can analyze products in 16 different markets at once. And you can see your actual profit margin with tax and other expenses automatically calculated for you.
Moreover, with the Algopix Amazon bulk analyzer, you can analyze hundreds of products at a time.
Simply choose your product and let the software do the work for you.
You Can Try Algopix For Mere Cents
We don’t want to convince you about the power of Algopix. We’d much prefer to show you.
So you can see the power of Algopix for yourself. Click here to take advantage of our 7-day free trial.
Let us know in the comments below if you have more questions, concerns or additional tips. We’d love to hear from you.
Happy Selling!
The Algopix Team
