Today I will show you how to overcome the biggest problem for new sellers: Finding Profitable Products.
Many people who want to start, all ask the same questions:
- Is Amazon FBA dead in 2024?
- Have Chinese sellers taken over?
- Is Amazon FBA saturated?
And yes, FBA is much harder than when I started 7 years ago. However, you can still make a very decent living if you know what you are doing!
7 years ago you could pick any random product, slap your own label on it, send it to Amazon and you would turn a profit! These days are over and you really have to know your way around these product research tools, which are so important these days.
Because it is true:
- Yes, some niches are completely dominated by Chinese sellers!
- Yes, some niches are way oversaturated!
And that is why I will show you how I am able to find niches that are still wide open!
Requirements
Product Research Tool: I use Helium 10. This is simply the best tool out there. But there are lots of options.
Time: I would advise new sellers to spend at least 10 hours doing product research. This is by far, the most important step in your FBA career. If you mess this up, you will not turn a profit!
Dedication: This is not some get-rich overnight scheme that some Andrew Tate type of guru might have told you. This is a real business model that requires hard work. You must be able to do your own due diligence & research.
Step 1: Setting up our Search Filters
For this method, we will be using the Helium 10 Black Box feature. Helium 10 has imported millions of Amazon products, which we will be able to search with our specific criteria:
We want to look for low-competition niches, so:
- Review count: < 100
- Review Rating: < 4
But also, high demand:
- Monthly revenue: > $3,000
- Price: > $30
Categories: Baby products, Patio & Lawn, Pet Supplies, Office Products, Kitchen & Dining, Musical Instruments.
Step 2: Look for our golden niche!
So now we have a list of products that should be good on paper. However, the majority of these products are products we still don’t want to sell. They might be:
- Branded products.
- To big.
- Glass, electrical, or anything else that is hard to manufacture.
- Seasonal.
As you can see, there are a lot of seasonal products: Pool ladders, umbrellas, etc. We don’t want to sell those as these sales numbers are highly inflated because it is summer now.
Also, there is a bunch of stuff that we can’t manufacture, like fertilizer.
However, 1 product caught my eye: A Horse Cover
Right away I wanted to check how much this would cost to manufacture in China, so I did a price check on Alibaba:
Step 3: Calculate Profit
- Sales price: $115
- Purchase Price: $40
- Shipping: $3
- FBA Fee’s: $17
- PPC cost: $5
- Profit: $50
So we can get an estimated $50 profit per sale on this product! That is huge! Helium calculates that this seller, who isn’t doing that great (only 22 reviews, average rating of 3,8/5), is getting around 28 monthly sales!
That is an easy $50 * 28 = $1400 per month in profit if we decided to sell such a product as well!
What’s Next?
Remember, this whole process took me about an hour! I advise any new seller to repeat this process, but do it 10 times! You will spend 10 hours doing this, but you also have 10 great possible niches.
Organize all of them in a neat spreadsheet. Or download mine for free here.
And at the end of it you will pick your best niche. This way your chance of succeeding at Amazon FBA will skyrocket!
