The truth is, it is challenging to know what profitable products you can sell on Amazon. With thousands of sellers scrambling for the same market profit, the competition is so intense.
So, how do you know the most popular products to sell on Amazon FBA? In the past, YouTubers and e-commerce blogs have often recommended reverse engineering, where you sell the searched products on Amazon.
Well, the formula has changed. In this article, I’ll show factors to consider when selecting profitable Amazon FBA products. We will also discuss ways you can differentiate your products to stand out.
You might also enjoy reading: Is Amazon FBA a Good Way To Make Money? (8 best options!)
Amazon’s Best Sellers: the winning formula
There are several strategies you can consider when deciding on what to sell on Amazon. While most gurus on this platform will tell you to niche down to super-specific products with low completion and reasonable demand, such a decision may limit your growth.
Some sellers rely on their guts to establish what products to invest in, but that is far from ideal.
The standard rule in business is high demand= high completion, and more money. So, what is the winning principle for profitable Amazon selling?
1- Offer Product Variation
You may discover a highly demanded product like Peanut butter, but others also know the product.
So, how do you stand out from many brands already selling the product? Come up with a differentiation strategy. For instance, if you consider popular products in their solid or gel form, could you sell the powdered version?
2- Focus on a Specific Audience
Selling to everyone can make you cash on Amazon, but if you want to earn more, tailor your listing to a specific market.
For instance, you can choose a unique niche instead of selling tea bags for women in general. Sell tea bags for those with hormonal imbalances. This way, you reduce competition and profit from your product niche.
If you sell self-books for teenagers, you can tailor them to boys between ages 13 and 17. Specification helps you cut through the noise and target a specific market.
2- Redesign The Product You Intend to Sell
If you are selling some of Amazon’s best-selling products, you can redesign them. Add a different color, picture, packaging, shape, or size to the product.
A new design makes the product look new, allowing you to increase its pricing.
3- Offer New Flavors
You can make money with Amazon’s best-selling products, but if the market is saturated, you can offer new flavors to stand out.
People love trying new things, so offering new flavors can bring your sales to the roof. New flavors can breathe life into your brand and help you acquire a new customer base.
4- Sell Products in Bundles
Another way to sell and make more money on Amazon is to bundle complementary products. Bundling products make consumer view your product as valuable.
The most popular products you can sell on Amazon by category
While it is logical to go with popular products when you want to sell on Amazon, there are other options.
Why? One product can be in the best-selling Amazon category in one year and a different one in another year. For instance, Electronics was the hot category in 2019, while the Home and Kitchen category was the best in 2020 and 2021.
The table below compares the most profitable vs. most popular products on Amazon.
|Average profit margin %
|Home & Kitchen
|Beauty & Personal Care
|CD & Vinyl
|Toys & Games
|App & Games
|Clothing, Shoes & Jewelry
|Industrial & Scientific
|Health, Household, & Baby care
|Grocery & Gourmet Food
|Arts, Crafts & Sewing
|Arts, Crafts & Sewing
|Kitchen & Dining
These products keep changing depending on trends and seasons. So, you can’t rely on an outdated list.
So, how can you know the most profitable product on Amazon?
How To Know The Best-Selling Products on Amazon
The best way to know the most popular and profitable products on Amazon is to use data. Continuous research on and off the platform will help you understand what to stock n your store.
You also want to remember that timing is critical. You must keep testing your strategy, challenging it to see if it stands the test of time.
Here are some ways to find popular product categories to sell
1- Check Amazon Best Sellers
Amazon’s Best Sellers page is a great place to start your research. This page shows the top-selling products in each category, updated hourly.
You can use this information to identify popular product categories to sell. To access this page, go to Amazon.com and click on the “Best Sellers” link in the top menu.
2- Google Trends
Google trend is a powerful free tool that shows popular topics and products. It shows what people are searching for on the internet, and you can use this information to get new product ideas to grow your category.
3- Use Amazon Product Research Tools
These tools can help you analyze data on product sales, customer reviews, and competition to find product categories with high demand and low competition.
4- Analyze Competitors
Study your competitors’ product categories to identify opportunities to differentiate your product offerings.
You can also examine their product reviews to see their weaknesses. Are customers complaining about poor customer service? Or do they lack various trendy products? Once you see consistent issues in the reviews, fill the gap in your store and attract more customers.
Check out your competitors’ average ratings, pricing, and sales record. This can give you an idea of what products are in demand and what prices are reasonable.
Furthermore, you can use tools like AMZTracker and Sellics to analyze your competitors’ sales performance and see how well you can improve the market.
5- Look for Trending Products
Keep an eye on Amazon’s “Movers and Shakers” page, which lists products quickly gaining popularity. Use this information to identify product categories that are becoming popular.
These categories offer an excellent opportunity to sell in. To access this page, go to Amazon.com and click on the “Movers and Shakers” link in the left-hand menu.
6- Use Amazon’s Category Tree
The category Tree is a great tool that allows you to browse all of Amazon’s categories and subcategories. You can see products in each category and subcategory and get an idea of what’s popular.
To use the Category Tree, go to the left-hand side of the Amazon home page and click “All” under the search bar. From there, you can browse through the categories.
Once you identify popular products, it is time to sell.
Strategies for Selling Popular Products on Amazon FBA
You might think that Amazon’s top-selling items are effortless to sell, but nothing could be further from the truth.
You still need to put in the work to overcome competition. Here are things you can do to sell more.
1- Conducting Market Research
Market research involves gathering data on the platform, competitors, and target audience. Tools like Jungle Scout or Helium 10 can facilitate this process.
The data will help you identify opportunities and decide which products to sell.
2- Optimize Your Product Listings
Use appropriate keywords on your product titles and descriptions to improve their visibility and search rankings on Amazon.
3- Build a Strong Brand Presence
Create a strong brand that stands out from competitors and resonates with your target audience.
How can you do this? Use a unique business name, logo, and packaging design. You can also leverage social media to keep your presence in your customers’ minds. Social media will allow you to engage with your customers and build brand loyalty.
4- Offer Competitive Pricing
A pricing strategy is one way you can attract more customers. You can employ psychological pricing strategy to increase sales and improve profitability.
While competitive prices attract new customers, ensure they are reasonable to help you make a profit.
5- Manage Your Inventory Effectively
You don’t want your highly demanded product to run out of stock during peak seasons. So, monitor your inventory levels and restock when needed.
You can use Amazon’s inventory management tools or third-party tools like Jungle Scout or RestockPro to manage your inventory effectively and avoid stockouts.
Which product sells most on Amazon?
Some of the Amazon’s best-selling include home and kitchen, jewelry, video games, beauty and personal care, electronics, clothing, shoes, books, and pet supplies.
What part of Amazon makes the most money?
Retail is Amazon’s leading source of revenue. Online and physical stores account for the biggest share. For instance, in the Q3 of FY 2022, Amazon’s retail sales were at $106.5 billion.
How many items do you need to sell on Amazon FBA?
You can sell as many products as possible on Amazon FBA. This allows you to test as little as one unit at a time to see which product resonates with your audience.
What to read next:
- Is Amazon FBA Worth It? (Yes, and here’s why!)
- Is Amazon KDP Worth It? (Including its pros and cons!)
- How Much Does It Cost To Start An Amazon KDP?
How do I find a product to sell on Amazon FBA in 2023?
- Consult Amazon’s best sellers list.
- Become a private-label seller.
- Source easy-to-make and inexpensive items
- Choose relatively safe products.