If you are aspiring to work from home, so you can have a flexible work schedule and enjoy the freedom that comes with it, Amazon is a great place to start.
Amazon started as a used bookseller and gradually expanded to selling music, movies, housewares, electronics, toys, and many other goods, either directly or as a middleman between other retailers and its customers. As it grew rapidly, so did the marketplace for its sellers. Today, even if you are a newcomer to e-commerce, with a few solid strategies in place, you can start making money selling products on Amazon. The company has transformed into a platform that enables people like you and me to make a good steady source of income- full time or as a side hustle. It’s a perfect choice if you want to work for yourself, and looking for an easy way to start an at-home business.
Here are some really compelling reasons why you should consider using Amazon to sell products and make money from home:
#1 Amazon has huge website traffic every month
Amazon helps solve the issue of trying to drive traffic to what you are offering. According to Statista, in September 2020, Amazon.com had over 2.44 billion combined desktop and mobile visits, up from 2.01 billion visits in February 2020. They are by far the most visited e-commerce property in the United States. Most of these visitors are everyday consumers looking for products to buy. This means that you can have your product in front of potential buyers almost immediately.
#2 Amazon is designed to help you sell
Apart from getting your product listed on Amazon’s marketplace, you can get help from Amazon’s technology and resources to help you sell more of your product.
#3 Customers trust Amazon
Amazon has been around for a long time now. Online customers trust giving their payment information to amazon. A customer that trusts the site they are buying from are more likely to complete the purchase. Considering people worrying about hacking, security breaches and identity theft, it is understandable why they will always opt for an option they trust over a new place to purchase if they have a choice.
#4 Amazon is the largest search engine in the world for products
When customers want to search for something they want to buy, they usually go to Amazon first (nearly half – 46.7% of US internet users)- over Google. Customers use Google to find out more about the product that they will possibly buy from Amazon.
How to sell products on Amazon?
This is one of the popular money making methods on Amazon right now. Most people create their own products and sell them on Amazon’s marketplace. These are called PRIVATE LABEL products. You have complete control over the product and price, and you own the brand.
8 Steps to selling your first products on Amazon
Step 1. Identify a product that has good potential
In this step, you want to find a product that you are interested in, that other people are buying, and has low enough competition for you to enter the market. To make it easy and help you with market analysis and finding a great product that’ll sell in bulk, you can use Amazon product research tools like AMZScout.
Some things you’ll want to look for in a potential product are:
You don’t want anything too big. Big products will add extra shipping costs. Extra shipping costs may disqualify the product from Prime or the free shipping options on Amazon. A good best practice is to find a product that is less than one pound.
High Demand and Margin
While researching for products with AMZScout, check for the average monthly sales. If the product or similar products have over 1000 sales, then it’s a sign that the chosen product is in high demand. You can also check for estimated revenue figures for any product niche. Choose a product and niche that gives you a higher margin so you can gain higher profits.
Step 2. Identify the keywords for your potential product
Once you identify the potential product you’ll want to identify the right keywords that customers may use to buy. Amazon makes this easy with suggestion keywords. If you start typing in the search bar it will pop up with suggested words you might want.
Step 3. Validate that there is a good market for your product
Validating that your product will have a good chance of selling is a mix of art and science. There is no definite way to know that you’ll be able to sell. In order to validate your product, you‘d want to look at Best Seller Ranking and Reviews.
Step 4. Find sources that could manufacture your product
Next, you’ll want to find a good manufacturer who can supply you with good quality products. A good source for this is Alibaba – If you go to this website and type in the same keywords you used for step 1 you will be able to find potential products. Explore different manufacturers and request samples of their products.
Step 5. Choose a manufacturer and get all the details for purchase
After receiving your samples and testing them, it’s time to choose a manufacturer. Price is important, but responsiveness and relationship are also important. Make sure you choose a source that you will comfortable doing business with again and again.
Step 6. Packaging and Shipping
Once you have a product to sell, the next step is to choose a model that’ll allow you to package and ship products to your customers. Amazon offers a solution called Fulfillment by Amazon (FBA) to help the seller reach their customers fast and easy. Simply ship your products to Amazon warehouse, and they’ll take care of storage, delivery, customer services and handling returns.
To know more, read 5 easy steps to become an Amazon FBA seller.
Step 7. Open an Amazon Seller account
After you’ve finalized on products, sourcing and manufacturing, open an Amazon seller account. Decide if you want to be an Individual Seller or a Professional Seller, and provide your name, address and contact details and tax ID information. You can do this by clicking on “sell” on top of the Amazon.com homepage.
Step 8. Setup your product listing for Amazon FBA
Now that you have your Amazon seller account set up, it’s time to create a listing and start selling. This is where you decide how much you’d like to sell your product. In addition to actually paying for the products themselves, you will also need to add in the cost of getting your product to the Amazon warehouse, import and export taxes, and fees.
Amazon is one of the most viable ways to make money from home. They provide tools and resources that can help you sell products with minimum investment. Take some time to research your niche and product. Once you’ve done that, focus on marketing your product and network with buyers and other Amazon sellers. There is nothing more valuable than being around other sellers that have gone through the path you’re on!