Amazon is the largest online retailer. For a successful start on this platform, your own efforts are enough, without hiring additional staff. The main part of the work consists of the ability to find profitable goods.
In this article, we will talk about the secrets of working with Amazon FBA and the most popular and best-selling products on this platform in 2021.
What is Amazon FBA
Amazon is a global leader in trading platforms. It is constantly evolving and increasing sales. FBA means Fulfillment by Amazon. In short, this is the sale of goods from Amazon warehouses. The seller ships their goods to Amazon's warehouses where they are stored, packaged and shipped to the customer in the event of a sale. The scheme of work is as follows:
- You register on the site as a seller.
- Next, you need to choose the product that is planned to be sold through this platform.
- Then the site automatically assigns a warehouse where you ship your goods.
- Sales can begin as soon as a shipment arrives at the Amazon Order Center.
- At this stage, your work ends because your participation is not required for packaging, shipping, and customer service.
Amazon FBA Sales Options
You can sell new and used goods. You can also resell the goods you bought, but they are still in the original packaging. Below are the main sales options:
- Personal trademarked products. You find a manufacturer and release his product with your own brand.
- Resale of existing goods. Buy cheaper — sell more expensive on Amazon. This sales method is easier than personal-branded products and less risky.
- Sale of used or returned goods. For example, it can be books and textbooks. You can make a deal with major retailers to resell their returned goods.
- Wholesale goods. You find a brand that is not yet represented on the Amazon platform and conclude an agreement that you will sell their products on your own. It is better to start with local manufacturers who have recently appeared but are making a unique product. The advantages of this sale method are the almost complete absence of competition.
Amazon FBA Benefits
The main advantages of using the Amazon FBA program compared to sending goods yourself:
- Availability of warehouses. No need to think about where to store the goods.
- Delivery. Amazon has taken care of logistics and provides the entire infrastructure, which significantly reduces the risks for us, third-party sellers.
- Communication with customers. Amazon does everything on its own, so all issues, including returns, are decided by its employees.
- Access to Amazon Prime customers. Amazon Prime is a fast delivery program. The customers buy, and, accordingly, spend money, twice as much. This means that you will get more sales. Only FBA sellers have access to Amazon Prime customers.
New Amazon sellers are earning between $26 000 — $810 000 per year in profits. According to JungleScout, more than half of Amazon’s $280 billion revenue in 2019 was fueled by its third-party sellers.
How to choose products
When choosing a product to sell through Amazon, you need to pay attention to the following characteristics:
- Price. The cost of goods should be such that when selling no more than thirty units per day, the seller makes a profit. Usually this is a price in the range of 15 to 30 dollars.
- The size. The delivery price depends on the dimensions of the selected product. In addition, small items take up little storage space. Therefore, the smaller the product — the better.
- Resistance to damage. Any product is delivered twice: from the supplier to the warehouse and from the warehouse to the buyer. So that the client does not receive a broken or low-quality product, try to choose simple products, without removable parts, batteries, and fragile elements. Otherwise, the seller will have to make a replacement or refund.
- Cost price. If all the same the goods will be damaged upon delivery, the seller loses the cost of one unit of production. Therefore, choose products at the best price. In addition, such products are easier to announce promotions and discounts.
The ideal product for Amazon must be in demand; the level of competition allows a beginner to break through; the product must be of good quality; this product complies with all Amazon policies.
Try to choose a product that does not depend on the season, especially if you are just starting to work with Amazon. This will simplify product planning and logistics. You can make good money on trending products, but it’s enough to make a mistake with the choice or be late with the purchase for a month and the audience’s interest will drop, and your product will remain in stock.
Which product is not suitable for sale on Amazon
Based on all the factors, you can make an approximate list of products that are undesirable to order for sale on Amazon:
- fragile objects that do not withstand mechanical stress;
- clothes and shoes, as they may not be suitable for the size or quality of the buyer, which will lead to returns and lower ratings;
- items containing a liquid;
- food additives, dyes and any substances whose chemical composition can cause an allergic reaction or other negative consequences, the responsibility for which will fall on the seller;
- heavy goods;
- goods that may be harmful if handled improperly if detailed instructions are not attached to them.
The Electronics category on Amazon is made up of the following subcategories:
- TV & Video;
- Audio & Home Theater;
- Camera & Photo;
- Wearable Technology;
- Car Electronics & GPS;
- Portable Audio;
- Cell Phones;
- Office Electronics;
- Musical Instruments;
- Amazon Devices.
Gadgets & smartphones
Smartphones are still one of the most popular products. Many brands promise to update their line this year more than once. New models will be released by brands such as Xiaomi and HTC, as well as Fly, Lenovo, ZTE, and Alcatel.
Do not forget about accessories and gadgets. Be sure to add safety glasses, chargers, and cases. This will provide an opportunity to attract more buyers and increase the average purchase price.
Among the TOP products of the category:
- Wireless headphones with cases. You can collect them in sets and sell several at once.
- Tripods. Perhaps the most useful thing for the camera or smartphone. It is necessary for creating content for social networks. The most convenient tripod is flexible. It is attached anywhere and does not take up much space.
- Smart speakers. The wireless voice assistant can turn on music, and answer questions.
- Portable translator. A small device is able to translate words and phrases from spoken language.
- Smartphone holder. It is a small object resembling a finger ring – shapes, sizes, and colors are different. The holder is equipped with a suction cup, which is attached to the back of the smartphone. Thanks to this gadget, the phone is confidently in the hand, does not slip, or fall out. Also around the holder you can wrap the headphones so that they do not get tangled.
- Covers, bumpers, protective glasses for smartphones will always be in demand because hundreds of new models come out annually.
Products in this segment are popular with both men and women. What is convenient, sales of goods do not depend on the age of the buyers, their complexion, and other characteristics that make a person interested in buying a product.
It is worth saying about smart home gadgets, which are increasingly gaining popularity. It makes sense to pay attention to different fog humidifiers and fragrances of air, weather stations, electronic smart scales.
Other products of the category that should be paid attention to in 2020:
- Drones, quadcopters. Quadcopters are used all over the world for racing (also known as "drone racing") and freestyle events. Drones are being used to save lives, environment works, archaeology, farming, property management, mining, construction, and much more.
- Led lights for home/office. LED bulbs last far, far longer than incandescent or halogen bulbs. They're enormously energy-efficient and ecologically-sound, too. LEDs are also very tough and durable.
- Retro cameras. Retro and vintage fashion is growing, people buy vinyl players, film cameras, and polaroids.
- Clothes steamer. This is a device for smoothing clothes with hot steam. It is more convenient than iron that you can carry, take on a trip. A manual steamer can be very compact.
- Solar Power Bank. It can produce energy from the sunlight it gains. Solar power banks get renewable energy from the sun using small solar panels, a lithium-ion battery, and solar chargers and can charge mobile devices like smartphones and tablets via USB ports which acts as a battery charger.
- Robot vacuum cleaners. They are easy to use, incredibly efficient. Vacuum cleaners save a lot of time, can work on different surfaces, and detect all levels of dirt.
- Hairdryers, devices for creating curls and styling.
- Kitchen gadgets: blenders, grills, juicers, meat grinders.
- The musical equipment of the 70s and 80s: record players, cassettes, and tape recorders. While this is still considered exotic, but more and more lovers of such technology appear.
Children's goods, toys, and games
Every few months, Disney and Pixar make new movies. With each one comes a series of must-have toys, games, and gadgets. As a result, there’s a constant stream of new toys and games all year round — which is a big deal for Amazon.
In addition to toys based on popular films, there are also educational and generic games as well.
The choice of such products is huge, prices are different. Many parents like to spend money on children, so this niche always has a high average bill.
For parents, it is important that the toy is safe and made of quality materials. It is necessary to focus on this in the product description.
Amazon publishes an annual Holiday Toy List. Whether people are planning birthdays or holidays, the list gives insight into the top 100 toys and games of the year. As a seller, you can use this list to check toys and games that appeal to kids.
Another useful list is Amazon’s best-selling products page for toys and games. This page is updated hourly.
Pay attention to the following categories: board games (Jenga, Monopoly, UNO, etc.), LOL dolls, LEGO and analogs, dolls in the smallest details similar to babies (analogs of Reborn), eco-toys made from natural raw materials, kits for modeling.
Clothes, shoes, accessories
About 20% of all online purchases are clothing, shoes, and various accessories. The target audience is huge: they are men and women of all ages.
The main thing is to choose the right assortment, make high-quality photos and product descriptions. With the right approach, selling clothes and shoes will bring good profits.
The most popular categories:
- T-shirts remain the sales leader in the clothing segment. You can attract the buyer with unusual prints.
- One of the popular products of 2021 that has become a fashion accessory is a protective mask.
- For the third season, shoppers have been popular. This is not only a practical alternative to plastic bags but also a fashionable little thing.
- Products from colored eco-leather: belts, bags, hats, trousers, cardigans.
- Sneakers and gym shoes as always remain trendy.
- Micro bags. Such accessories are present at all fashion shows in 2021.
No matter how popular e-books are, they have never been able to completely replace paper books. Reselling books is a profitable business. The margin for this category of goods can reach 50–60%.
In 2021, the following categories are popular:
- Сlassic literature. Jane Austen, Leo Tolstoy, and Charles Dickens will be popular in 2020 and 2021.
- Educational literature. Especially in such areas: IT, marketing, design, programming, website development, and mobile applications.
- Children's books.
- Psychology books, topics about self-improvement.
- Modern literature — from Stephen King to Nicola Doherty.
- School and university textbooks with notebooks.
- Jurisprudence, medicine, economics books.
- Books about cooking, gardening, and other hobbies.
- Biographies and autobiographies of celebrities.
Home and Garden Products
The category of home goods is universal. Such things will be sold this year and later. The kitchen stuff is in demand throughout all seasons.
Cooking is not only a creative process but a difficult task. And gadgets that can help and make life easier are stably in demand.
Popular products category:
- Reusable dishes, folding cups. The trend is environmental protection and zero waste, so products that help to avoid unnecessary garbage are becoming increasingly popular.
- Aroma diffuser. This is a device for flavoring rooms. It is useful, practical, inexpensive, and popular. May have additional humidification function.
- Bag chair. A steady trend for several years.
- Cooking utensils and tools: for daily use, for holidays, for hiking. The latest trend is the wooden utensils.
- Cleaning products: buckets, basins, mops; household chemicals.
As soon as people were faced with the fact that you can only walk with pets, almost all dogs and cats were taken from shelters very quickly.
And, as a result, the demand for pet products has grown, such as:
- animal feed;
- cat litter;
- remedies for parasites, fleas, ticks;
- wool removal brushes;
- clothes for dogs;
- toys for cats and dogs;
- sleeping pillows and other furniture for animals;
- leashes, collars, and other accessories.
Beauty, cosmetics, hygiene
Demand for such products is consistently high at any time of the year. People regularly buy creams, nail polish, and materials for building nails, eyebrows, and eyelashes.
Keep in mind that women's cosmetics are bought not only by women, but also by men as a gift and for personal use. Therefore, try to make the product description clear even for that person who is not particularly well versed in cosmetics.
In 2021, when people can’t get enough protective masks, when nothing feels normal — beauty products can offer a brief form of escapism.
People buy beauty and personal-care products to feel better, it’s a phenomenon referred to as the "lipstick effect". Cosmetic sales boomed because people, still wanting to feel and look good despite hard times, invested in makeup, which is now a more affordable luxury than clothes, travel, and jeweler.
Popular categories in 2021:
- Eye patches — cooling compresses under the eyes, promising to remove bruises, swelling, signs of fatigue. There are a lot of patches with different effects, and even colors and their popularity among customers is only growing.
- Glitter. All kinds of sparkles and sequins for the face are now used not only as decorations. Glitter is now used as a part of everyday makeup. It used to decorate part of the face: lips, eyelids, and even eyelashes.
- Sets for a home manicure. Many girls try to do manicure and other beauty procedures on their own, therefore, not only beauty salons buy equipment and materials for these procedures.
- Highlighter, as well as eyebrow styling products, and color shadows. Fashion for this has not been going on for a couple of years and will definitely go into the coming 2021.
- This year, artificial freckles are at their peak.
- Antiseptics, sanitizers. As well as protective masks, this year they are in special demand.
- Sun protection is a seasonal item but it always is necessary.
How to stay up to date with the most trending products
To succeed with Amazon FBA, you can search for product ideas here:
- Reviews in popular online stores. In their catalog, you can find the idea of a product, and then pick up a cheap analog, for example from China.
- Different categories at Amazon Best Sellers. The rating is updated every hour based on sales results. You can notice new trends or choose cheap analogs to the best-selling ones.
- Blogs on social networks, product reviews on YouTube, Instagram. Often, popular bloggers talk about trending products.
- Google Shopping Reports. Based on search queries and collected statistics, Google shows 100 products to which interest has grown sharply. All products are grouped into categories.
- Lists of popular products on Aliexpress, Alibaba, and other major online stores.
- Analytical articles on marketing resources.
- Look Around Method. Every day we come in contact with various objects: starting with a cup of tea in the morning, ending with a cup of tea in the evening. Try to live a few days with a notebook and pen in hand, imagining what you could sell on Amazon. Write down everything that comes to mind, even trifles - then you will sort it out and sort it out. You may come up with the idea: “but it would be better to do like this ...”. As a result, you will find not only the product, but you will be ready for its modification. You just have to browse the products on Amazon and make sure that such a product (or its close variations) is not yet sold.
- Amazon Quick View DS plugin from Google Play. It allows you to receive additional information about the BSR-rating of the goods directly in the search results.
- The “Ask the supplier” method is suitable for those who already sell 1-2 products and are looking for where to expand further. For example, you have found a good supplier. Ask them for information about what else it produces or delivers in this product niche. This can be a source of ideas for new products.
- Pay attention to the keywords. Moving from one key phrase to another, you can also find ideas for new products, or at least take a closer look at your chosen topic.
Do you sell anything on Amazon FBA?
To find a product that will sell well on Amazon and make a profit in 2021, you need to thoroughly check many options. Nevertheless, you stand a good chance of setting up business as a seller on Amazon FBA. Learn what people like or lack. We hope our article has given you specific tips for choosing products to sell.