Do you want to start selling products on Amazon, or are you already an Amazon seller? Amazon is one of the best eCommerce channels for beginners and experienced online sellers alike to make money. Unfortunately, since Amazon is one of the biggest and most popular eCommerce channels, the competition can also be brutal.
For starters, the items you may want to sell, could have thousands of merchants already selling them. So how do you find the right products to sell for success on Amazon? Your best bet is to look for high demand, low competition products and categories.
If you find it difficult to find high-demand and low-competition products to sell on Amazon, do not worry – you are not alone. Both new and experienced Amazon sellers also face challenges when looking for the right products to carry. There are millions of products to choose from and thousands of competing sellers. However, with the right tools and strategies, you can easily find high-demand products from Amazon to include in your product mix.
Understanding Market Research
Before diving into product discovery, it is crucial to conduct comprehensive market research. This step involves analyzing trends, consumer behavior, and identifying gaps in the market. By understanding the needs and preferences of your target audience, you can better position your products and increase the likelihood of attracting potential customers.
Finding high-demand, low-competition products on Amazon requires a strategic approach and a thorough understanding of market dynamics. Remember to conduct thorough research, validate your ideas, and test your products to maximize your chances of success. With persistence, creativity, and a data-driven mindset, you can discover products that meet customer needs while offering a profitable business opportunity on Amazon.
Here are some factors to consider when choosing products to sell on Amazon.
Look for high-demand products:
This sounds like a no-brainer, but you do not want to sell products that no one wants to buy. You need to choose products that shoppers are willing to purchase at the prices offered. Rating an item as a high-demand product depends on your situation. For some products, you need to have 1000s of buyers; for others, you might need tens of thousands or hundreds of thousands of buyers for them to be deemed high-demand products.
Look for products with low competition:
Check the number of sellers for the product you intend to sell. High competition means that there are low chances for you to succeed. You might have to incur high advertising costs to beat your competition, and even then, potential buyers have unlimited options to choose from.
Profit margins: The idea of selling anything, anywhere is always to make a profit. So the higher the profit margins, the more favorable the product is, as long as it has demand. Avoid getting tricked into choosing products that have high-profit margins, but do not have demand. Products with high demand and high-profit margins are always the best option for anyone willing to become an Amazon seller.
Most buyers go for products offered at the lowest prices, especially when buying general products. Unless you are interested in selling special brands, consider choosing products with a lower price point.
Products that have demand variations depending on seasons can be tricky. Always calculate your timing well when choosing seasonal products to avoid unwanted stock when the season ends.
Products that require a refill typically make the best choice. This is because you can keep selling to the same customers repeatedly.
Although there are many factors to consider when looking for the best products to sell online, it all boils down to finding products with low competition and high demand. Here are simple tools and strategies that can help you find the best products to sell on Amazon.
Get Ideas from the Amazon Search Bar
The Amazon search bar is a great tool for finding products to sell without spending money. First, you must develop a basic search term or keyword. Type the keyword in the search bar, but instead of hitting enter to search, wait for a moment for the auto-complete feature to pop up.
The auto-complete feature contains terms that other people are using for search. In short, you will have a list of the specific long-tail keywords or high-demand products people are searching for on Amazon.
Now that you have a list of high-demand products, it is time to look for products with low competition. Go ahead and search each product and hit enter to view results. Here you will notice the products that have a high or low number of results or sellers. A high number of results means high competition, while a low number of results means low competition or a low number of sellers.
However, this data may not be accurate, and you need to use a third-party tool to verify the data before moving on. A third-party tool can also help you notice any red flags that might have caused low competition.
Amazon’s Best Sellers
ABS or Amazon’s Best Sellers section can be a great place to start if you are a first-time seller. Most people who know about this page may not understand how helpful it can be when looking for high-demand Amazon product categories. This section lists the most popular product categories and subcategories with a list of top sellers.
You can get great products to add to your business by researching and analyzing products in these categories. Although this page is updated hourly, it has some limitations since it only shows the top 100 best-selling products. This means if the product that suits you is below the top 100 mark, you will miss it.
You can combine the Amazon best-seller page and a third-party tool that will help you get more detailed, deeper and more accurate results.
Check the Best-Seller Rank
Amazon’s Best Sellers list provides 100 best-selling products in each category. Many categories have millions of products, and if sellers concentrated on the products on this list, it would result in high competition.
You can turn to Best-Seller Rank for further research. On each product page, you will find the BSR on the product information. The BSR will tell you where the products lie in the category.
The product might lie at position 107 on the Best-Seller Rank and, therefore, not available on Amazon Best Sellers List. However, other factors such as low competition and profits margin might indicate that it is a good product to consider.
Finding out the product’s rank also helps to know the total number of the products in the grouping. Some categories have millions of products, while others have thousands of products. You can consider selling products in any category in the top 10% range.
Examples of High Demand, Low Competition Categories On Amazon
There are thousands of Amazon product categories to choose from, but with careful research, you can find great categories with low competition and high demand. Here are some of the best categories to consider.
- Gift Cards
- Camera and Photography
- Video Games
- Clothing, Shoes, and Jewelry
- Beauty and Personal Care Products
- Home and Kitchen
Examples of High Demand, Low Competition Products To Sell On Amazon in 2023
Since people have developed a habit of staying at home, the demand for personal care items has been rising for the past few years. Here are some of the high-demand products in 2022.
- Face masks
- Nail polish
- Hair care products.
- Fitness items
- Yoga mats
- Water bottles
- Exercise bands
- Games and puzzles
Finding the right products to sell on Amazon doesn’t have to be a challenging task. There are sellers out there making a killing by using the right tools and strategies to find products with high demand and low competition.
Take your time and analyze each product before moving forward, and you will avoid making costly mistakes. A third-party tool, such as Algopix, will help you analyze each product to get all the details you need to make an informed decision.
You can analyze high-demand product categories and choose the ones that suit you best. You can get started by using keyword options to filter the products. Then use other in-built functions to get all products’ information, which includes:
The analytic function also gives detailed product-descriptions, including name, brand, shipping dimensions, product dimensions, AID, ASIN, UPC, color and capacity, and other essential details.
Sign up for a free Algopix account and start your product and market research today!