The critical distinction between a failed and a thriving Amazon business often boils down to the choice of products.
The key is to identify products that not only sell well but also offer decent profit margins.
This hinges on finding the perfect supplier that aligns with your Amazon FBA business. How do you go about discovering the right supplier for your business?
What’s the process for researching and acquiring your products?
This article will address these vital questions, guiding you through the journey of finding the best suppliers for your Amazon FBA enterprise.
Let’s explore the steps to ensure success in selecting products and suppliers for your Amazon business.
The popular types of suppliers: wholesale suppliers, manufacturers, and dropship suppliers
Wholesalers provide sellers with the opportunity to buy a large number of products at a much lower price. If you purchase more products, chances are high that you receive a better discount for an order.
You also have to sell your inventory without building up the costs. If you’re confident that your product will generate enough sales, then it shouldn’t be a problem. On the other hand, if your product is subjected to seasonality, then you’ll lose money as the inventory costs keep growing.
Dropship suppliers are the most popular choice for e-commerce sellers. These suppliers maintain your inventory and send your products to customers.
The manufacturer is the one who produces the goods. When you purchase directly from the manufacturer or producer, you will have great offers on prices but you need to purchase massive minimum orders. Meaning, more investment up front. Sourcing from manufacturers is more beneficial for established sellers compared to new sellers.
Here are the criteria to ease the process of finding the right supplier.
While searching for a product supplier for your Amazon FBA business, you need to inquire and compare certain factors amongst the suppliers. Here’s a list of things you should ask the suppliers.
If you don’t spend enough time honing your product research skills, you will be unable to spot the potential products. If you are an Amazon seller who is looking to source products from global suppliers, here are a few tips to keep in mind while trying to find the right supplier for your Amazon product.
Recommended: How to do Profitable Amazon Product Research.
Market research: Perform some market research to find the items that sell considerably well online. Find a product that can solve your customer’s problems. You can use Google trends to find popular keywords and product trends.
Validate your idea: So you have a product idea. That’s a start. Now, you need to validate if it’s an actual problem that you could solve and build a business out of it. How do you go about it?
Understand what your target customers want. This will not only help you create a target audience but will also help you while working on your listing so you can address the customer pain points in your bullet points, product description, etc.
Related Post: How To Write Amazon Bullet Points In A Dynamic Way?
Profit Margin: If you want to run a profitable business, you need to have a good profit margin on your product. Products with decent prices and sales volume will turn out to be more profitable than the others. Try to find products that fall under the $15-$50 range. At this price point, the customer wouldn’t think much to make a purchase decision as long as they know that the product is a good fit. Also, pick a product that has a considerably good sales volume in your niche.
Product demand: Finding a best-selling product with good demand isn’t rocket science. Does your product have year-round demand? It’s an important question to ask before finalizing a product. Try to avoid products that are seasonal. You can start brainstorming ideas for the kind of products you want to sell. Try to find top-selling products on Shopify, Amazon best-sellers, Amazon wish list, and similar e-commerce sites to find profitable products within a specific niche.
Additional Read: What are the most popular items to sell on Amazon?
Look for the items that have good demand and good competition.
Competition: Any product with low competition and fair demand is perfect to sell on Amazon FBA. So you must ace your product research while finding a perfect product for your Amazon FBA business.
Categories to avoid: If you are planning to sell under a private label, then you need to understand that not all products undergo the same selling process. You need to avoid complex products that have health risks and depreciating shelf-life like food, skincare, health care items, and electronics like cameras, and home appliances.
Avoid huge items that have complications with shipping and manufacturing as they also come with issues involving liabilities, quality assurance, reviews, etc.
There’s no shortage of platforms where you can find suppliers to launch your next product. However, it’s important that you find the ones that are reliable and verified. SellerApp makes it easy for you. Powered by the retail giant Alibaba, our product sourcing tool processes supplier data from Alibaba and offers you the top suppliers from across different countries.
Go to SellerApp dashboard → Product sourcing
Type in your product name or a relevant search term of your choice and hit ‘Enter.’
SellerApp will show the top suppliers for a given search term. You can also refine the results by using the filters based on your country, supplier country, minimum order quantity, product type, price range, etc.
You can further narrow down your options based on ‘verified’ and ‘trade assurance.’ Once you finalize a product, click on the product to go to Alibaba’s product page. It’s as simple as that.
Recommended Guide: How to Sell Alibaba Products on Amazon.
Alternatively, you can also download SellerApp’s chrome extension to find the best suppliers in your niche. Go to the product details page or search results page on Amazon and click on the chrome extension, you’ll be able to find the relevant suppliers.