Three Ways Amazon Can Help You Find High-Demand Products to Sell in 2023Time to read: 5 minutes
The eCommerce industry has grown considerably in the past two years, with a compound annual growth rate (CAGR) of 14.7% from 2020 to 2027. Over 80% of US shoppers still prefer to shop online. If you’re into eCommerce, you must have already heard of Amazon. It’s a powerful platform for high sales because of its popularity and high conversion rates, but it can do so much more than- it can help you identify high-demand products to sell.
Demand is one of the most important things to consider when researching products to sell. If there is no market for a product, it won’t matter how innovative or aesthetic it is.
Hype surrounds things that are in high demand. And when it comes to selling on Amazon, popular items might help your online store make money.
Several noteworthy product categories were strong sellers and swept the industry over the previous few years. Many are in the health, beauty, and wellness market.
But consumer trends and the top products vary from year to year. Fortunately, information to adjust strategically is readily available on Amazon. As the online platform is huge, it naturally means there’s a lot of competition.
To begin with, thousands of merchants already sell the goods you might want to offer. So how can you discover the best items to find Amazon to succeed? Finding products and categories with high demand and low competition is your best bet.
It’s not uncommon for retailers to have trouble locating high-demand, low-competition products to sell online. Finding the correct products can take time and effort from new and seasoned sellers. Millions of available products and thousands of sellers vying for customers’ business. However, if you have the correct tools and approaches, you can quickly locate popular products from Amazon to add to your product mix.
Defining High-Demand Products to Sell
You can define high-demand products to sell in various ways. It might be determined by the volume of sales or by the volume of searches a product produces.
Demand is often correlated with sales volume. However, the precise quantity of sales your product must achieve before it is deemed “strong in demand” differs for each company or industry.
For instance, a large retailer might use 10,000 units sold as a benchmark before considering a product with strong demand. A smaller store could be satisfied with 2000 units sold every month.
Those with higher operational costs might concentrate on products with extremely high potential sales volumes to cover their overhead. In addition to searching for popular products on Amazon, buyers should consider the level of competition, as well as their costs and sales targets.
If a product can sell between 300 and 500 units each month, the typical Amazon retailer would consider it as having “strong demand.” Other sellers can use this as a benchmark for determining profitable sales for an item.
Make sure there are buyers out there who are interested in the product before you start selling it. The last thing you want to do is spend thousands of dollars on inventory only to find that no one wants it. It’s essential to ensure that whatever product you sell is in high demand.
But it doesn’t imply that a product will always be lucrative merely because it sells a lot. However, it at least demonstrates that there is a chance to earn money.
Demand is the first metric you should monitor when looking for high-demand products to sell because of this. When there are sufficient sales, you can consider additional variables (competition levels, profit margins, seasonality, etc.).
Three Tips To Find High-Demand Products to Sell on Amazon
Because Amazon is a price-driven marketplace, customers go there to discover the best deals on goods. If your price range isn’t competitive, you won’t make the sale and will be left with the inventory.
While certain products will do better on your website, some will do best through the Amazon online store.
It may seem obvious, but you do not want to sell products that no one wants to buy. You must select goods that consumers want to buy at the suggested prices. When increasing the number of products you offer, you can typically use two strategies.
Finding a market niche for a product or an unfilled gap in the market is a good place to start.
Alternatively, you can spot the goods already in high demand and profit from these markets.
1. Start with the Amazon Best Sellers List
The Amazon Best Sellers Page is one of the best places to start, assuming you’re just beginning and don’t have a specific product in mind.
You may find the top 100 best-selling items in every category or subcategory on an Amazon Best Sellers list.
You can use the categories and subcategories of products to search for them. Quickly look through the listings to see which items are the most popular. Additionally, this will help you choose a niche (if you are unsure which one to go with).
You can determine what products will appeal to your target market by looking at a product’s selling information. You can also look at the associated things to better understand the areas your firm could grow. One of the best aspects of using the Best Sellers list is that it’s compiled using real sales data, giving you a good idea of what’s selling online.
Try to pick things with prices that are in the middle. Additionally, less competition increases the chances of selling the product.
2. Analyze Best Sellers Rank
Although the Amazon Best Sellers lists are excellent, they only include the top 100 products.
While 100 may seem like a lot, it hardly scratches the surface when those specific categories contain millions of products. The Best Sellers Rank, often known as BSR, helps in this situation.
Every product on Amazon has a BSR, which is available on the product details page of any item listed on the website. In terms of product sales, this rank will show you exactly where the product falls within the relevant category and subcategory.
Amazon doesn’t provide the sales numbers for individual products, so these rankings are the next best things retailers can use. While sales data might give a more accurate reading on demand, BSR is still incredibly useful in indicating buyer demand.
Of course, not every BSR is made equal. While some categories have less competition than others, some do.
Products that rank among the top 1000, like “Home Improvement,” enjoy tremendous demand and have a high potential for daily sales. Even with the same BSR Ranking, a small market with less competition sometimes results in a different sales volume.
Calculate predicted sales volumes using the BSR for your products. Web Retailers (and many other Amazon Sellers) claim that goods with BSRs between 8,000 and 10,000 often produce 4-6 sales daily. If the BSR is between 5,000 and 8,000, it rises to 6–10, 10–20 per day for those in the 2,000–5,000 range. It’s a lot more if it is among the top 2,000. Of course, the season and the type of goods will impact this.
3. Check Product Reviews For Real Customer Feedback
Understand what the buyer wants before choosing the high-demand products to sell online. Vendors can conduct focus groups to learn more about the desired items and what consumers like and dislike. But not all retailers have the time and resources to do this.
Going through Amazon user reviews is a fast and cost-effective way to determine what you should sell on Amazon and why. It’s highly cost-efficient since many merchants lack the time or resources to do in-depth customer research.
You can see firsthand what customers love or dislike about a product by reading Amazon reviews. When deciding what products to sell and whether to modify them, you can consider that information. Of course, always be on the lookout for fake reviews. It’s an indication that it might not be suitable for sale.
Looking for high-demand products to sell on Amazon can be intimidating. However, you can earn significant profits by finding in-demand items with little competition by utilizing the appropriate tools and methods.
You can avoid making costly mistakes if you take your time and carefully consider each product. You can evaluate each product using a third-party tool to gather all the information required to make an informed choice.
Be comprehensive with your research, and follow through with your implementation. ZhenHub helps you sync inventory and sell online with our multi-channel integrations. Our logistics software connects to Amazon, allowing you to move high-demand products to sell quickly. Sign up now to get access to our intuitive online platform.