Quick run down for those who are new as to the different ways to sell on amazon
So Amazon provides a service called Fulfillment By Amazon (FBA) which we as individuals can take advantage of to send products to Amazon warehouses which will then feature on Amazon.
You may be thinking, why is this useful?
Well Amazon assigns the buy box to different sellers (who have the same price) each time someone checks out to purchase a product.
So even if you have competition you will still get sales!
How can I get into this?
There are two different approaches: Wholesale or Online/Retail Arbitrage
Wholesale (aka Private Label)
In Wholesale, an individual will buy straight from the manufacturer (usually via Alibaba) and then resell on Amazon for a higher price.
Online/Retail Arbitrage (OA/RA)
In OA/RA the buyer goes to a shop or online store and uses promotions or other means to buy a product at a discounted price, then sell the item on Amazon for profit.
Well once you find a product you could sell we will need to do some research as to how well it will sell and the competition we would face.
Examples of Getting Products to Amazon via Each Method
First I’ll look at a wholesale and then a OA/RA example
Wholesale End to End
So here’s a good starting video for you:
Now my experience is mainly with arbitrage but I will be looking more in depth into wholesale in the coming months so stay tuned.
So as I said above RA is finding discounted products in store.
For example say you go into a store and find they are having a sale:
Which will allow you to see whether its selling for higher on Amazon….
I found a product, now what?
So you’ve found a product that sells for higher on Amazon.
We need to calculate how much the Amazon fees for FBA will be…
So work out the fees, do you still have reasonable profits? If yes you can continue, if not you’ll have to go back and find another product.
Best Sellers Rank (BSR)
We need to check something called the Best sellers rank, to get an idea of how quickly the product will sell…
You can find the BSRs here:
Now the nearer the rank to 1 the better.
There’s no easy way to tell how many units per week the item will shift however the BSRs should always be in the top 3% of their category. The image below provides the BSRs for each category:
Package up your buys in a box and send to amazon!
If you would like to know or have a question more please email me at email@example.com
Or drop a comment below any post and I will get back to you asap