Product Hunting Amazon USA Niches!

This is a follow up on my Basic Product Research guide. In that guide I talk about the product criteria I have when doing product research.

This post will be a lot more practical. I will show you how I find these type of niches for the USA market!

Product Database

Ok so now that we know what we are looking for it is time to actually put in the work and find that golden product! There are loads of ways to look for products but the beautiful thing is: Jungle Scout has a database with Amazon products on which we can use these requirements!

So this is the field where you can enter the filters. Below I will explain the filters I use:

  • Categories: Based on if a product is easy to manufacture I have selected these categories. You can experiment with this, but I would stay away from the Watches & Electronics categories as there are extremely hard to manufacture!
  • Price: Minimum $15
  • Net: Minimum $10. This is the minimum payout from Amazon, so based on the 33% ratio we want to get paid at least $10. So we can still spend $5 on production & shipping and have at least $5 left over as profit.
  • Revenue: Minimum $3000 per month
  • Reviews: Max 50
  • Rating: Max 4
  • LQS: Max 60. This is great. Jungle Scout has their own formula to judge a listing: Listing Quality Score (LQS). This ranges from 1 ( low ) – 100 ( perfect).

So we enter these filters into their database and POOF! A huge list of potentially great product idea’s! I’ve been scrolling through the database for about 20 minutes and noted the best products I have found below.

1). 3 Tier Metal Stand  

Amazon search results


2). Hooded Beach Towel

Amazon search results


3). Dog Car Seat Cover

Amazon search results


Evaluating our product idea’s

DON’T LOOK AT THE PRODUCT BUT LOOK AT THE NICHE!
This is really important. You don’t want to base your decision on just 1 product, but you want to look at the whole market in general. For example, it might look like 1 product is doing great and there is a huge demand. However, it could be that this product is doing a lot of giveaways and spending a lot of money on advertising, so the sales are inflated.
To get a complete overview of the niche I use the Jungle Scout Chrome Extension. We will be checking the niche to the checklist to find out if they meet our demands

Product idea 1: 3 Tier Metal Stand

First page on Amazon for: “3 Tier Metal Stand”

1. Average Sales Price: $36

2. Profit margin: $18 – PERFECT!

Sales Price: $36
Amazon fees: $11
Production cost: $5
Estimated shipping: $2
Profit Margin: $18
Quick Alibaba price check:

3. Demand: Medium

Almost all sellers are doing more than $3k in revenue per month, which is our target. However, the revenue is not extremely high.

4. Low competition: Extremely low!

  • Reviews: Extremely low
    The first 7 sellers have less than 50 reviews. There are even 4 sellers on the first page who have less than 10 reviews.
  • Product photos: Terrible.
    This is the listing ranked #1. Only has 1 picture!
  • Listing quality: Terrible
    The #1 only has the dimensions in the description
  • Product quality: Terrible
    Top seller has 3.5 / 5 stars. You can simply read his bad reviews, see why his rating is so poor and improve this on your product.

5. Easy to manufacture

This product is made out of 1 piece, requires no assembly and very easy to make!

6. Not Seasonal

Conclusion

This is an amazing product with barely any competition. Very good profit margin. The only downside is that there no huge demand for this niche. You can easily make $1k – $2k profit a month with this product but there is not really room to grow bigger.

Product idea 2: Hooded beach towel

First page on Amazon for: “Hooded Beach Towel”

1. Average Sales Price: $21

2. Profit margin: $10 – GOOD

Sales Price: $21
Amazon fees: $6
Production cost: $4
Estimated shipping: $1
Profit Margin: $10
Quick Alibaba price check:

3. Demand: High

Every seller on the first page is doing between $3k – $10k, even with a super seller doing $17k in revenue per month.

4. Competition: Very Low

  • Reviews: Low
    So the competition barely has any reviews. 7 products on the first page have less than 50 reviews, and the average amount of reviews on the first page is 58!
  • Product photos: Low
    This listing is ranked 3rd. It only has 2 very basic pictures.
  • Listing quality: Low
    This is a great example of a terrible listing. It has the bare minimum.
  • Product quality: Good
    Most sellers have a rating of 4 – 5 stars

5. Easy to manufacture

The product is only made of 1 piece of fabric and requires no assembly. Seems to be very easy to manufacture!

6. Very Seasonal!

Yes, this product is seasonal. Let’s check this out:

Like expected this product has amazing sales from March-August. And in the winter, months the sales drop drastically.
This does mean this is a bad product! If you take this into account you with your stock forecast this can actually be a great advantage. For example, I actually have a lot of summer products like this. They will generate loads of sales for me during the summer and require barely any stock in the winter. This is great for me to generate a lot of capital in the summer, which I can then spend on stock for my Christmas products!

Conclusion

Great product if you take the seasonality into account. The product barely has any competition, huge demand and checks all other factors of our checklist!

Product idea 3: Dog Car Seat Cover

First page on Amazon for: “Dog Car Seat Cover”

1. Average Sales Price: $26

2. Profit margin: $11 – GREAT!

Sales Price: $26
Amazon fees: $8
Production cost: $6
Estimated shipping: $1
Profit Margin: $11
Alibaba price check:

3. Demand: EXTREMELY HIGH

So this product is for people who want to make some serious dough. This is a huge market with some of the top sellers doing between $100k – $300k. Obviously, we don’t need to be a top seller, but we want a tiny piece of this pie. For example, there are a couple of sellers ranked in the middle of page 1, who have around 50 reviews and are doing between $10k – $20k in revenue. This will be our first goal as we can easily reach 50 reviews. Once we are ranked on page 1, we can change our ambitions and aim for those top spots.

4. Competition: Medium-High

So I have kinda touched upon this point above. There are some major sellers in this niche who are well established with thousands of reviews and great listings. However, there are also some vulnerable sellers we can beat. For example, in my product launch case study I am also competing with sellers who have a couple hundred reviews.

  • Reviews: Medium-High
    So for this niche, we definitely need some deep pockets and be ok with not making a profit for the first couple of months, in order to get those reviews. However, it is not as hard as it seems. For example, seller #7 only has 90 reviews and is doing $72k a month. Besides that, there are also sellers on the first page with only 25, 35, 52 & 74 reviews. Definitely something we can do as well!
  • Product photos: Great
  • Listing quality: Great
    Ok since this is a semi-competitive niche you can expect all sellers to have their listing & products in order. This is a great example how of you want your listing & pictures to look. Great lifestyle pictures in combination with a very detailed description.
  • Product quality: Great

5. Easy to manufacture

Yes, same as the products above.

6. Not Seasonal

Conclusion

Semi-competitive niche with a huge demand! I would not recommend this for your first product but if you have some experience this is a very good opportunity. All competitors have great listing & pictures. So it is up too you offer something different. For example, I would differentiate myself by offering an e-book on how to train your dog, something no other seller is offering.

Your Turn!

I think I have explained every aspect on what to look for when doing product research and even showed you how easy it is to find products with the Jungle Scout . So there is not much more I can show you, now it is time for you to take action! I found these products in 20 minutes. Definitely not something I would recommend, but imagine what you can find when you spend a full month on product research!

I typically only use their service for 1 month where I do very extensive product research. After this month I have found my product and can cancel their service, so it is not that bad.

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