How to Sell on Amazon?
In this article, I will walk you through all the steps to start selling on Amazon. You don't need to read the best books on how to sell on amazon, this article will help you learn How to Sell products on Amazon.
How to start selling on Amazon?
When it comes to buying something online, we probably think of amazon. Amazon is popular with both sellers and buyers. Amazon has a large number of customers, so selling on Amazon is a great way to reach more customers.
What is Amazon FBA?
Managing inventory of your own is tricky and labor-intensive work so, amazon bought you the FBA. FBA stands for Fulfilment by Amazon, which helps you to send your inventory to Amazon warehouses, which are called Fulfilment by Amazon.
Amazon FBA is a great way to start your online business.
How to start Amazon FBA?
To use FBA you need to create an Amazon seller account and opt for FBA. Create your listing and send your inventory to the Amazon warehouse and Amazon will pack, label, and ship your order to your customer whenever a customer places an order.
By selling through FBA you qualify for the prime badge. You become a prime seller and your products will be delivered to your customer within 2 days. FBA is more cost-effective than other fulfillment methods.
How much investment do you need to start selling on Amazon?
To start selling on amazon you need capital to start. The investment you need depends on several factors but the most important one is inventory, how much inventory you are planning to purchase. You can start with a little investment of $500. Source products in small quantities and send them to amazon fulfillment centers and start your business on Amazon with FBA.
Here are the steps you need to follow to become an amazon seller:
1. Create a Business Plan
To start selling on Amazon, you need to have a business plan to make sure the whole thing at the proper track. A business strategy ought to consist of your product niche research, market analysis, inventory planning, sales, and marketing strategy, financial planning, etc.
First, you need to do product research and understand the market size of the products, and the level of competition for the particular product or niche. The need to create a marketing budget inventory planning and calculate the profit you will be getting from selling them online after deducting all the charges and spending. You should be aware of all the commissions and charges that amazon charges from you. Try to make a rough estimate and create a proper plan for your business.
2. Find Niche
To sell on Amazon, you need to find a profitable product niche. Everything sells on amazon but finding a profitable product niche can be a tricky task. You need to do intense product research and understand the market size and competition of a particular niche. Don’t dive into high completion at the beginning, you may end up losing money. Find products with a bit less completion and a good market size.
You can use product research tools like Helium 10, Sellerapp, and Jungle scout to do product research and find products to sell. These tools will really help you to understand the market size and completion of a niche.
3. Product Sourcing
Once you are done with your product research, you need to find suppliers for your products. You can find suppliers on Alibaba or any other B2B websites like AliExpress and IndiaMart. Find the potential suppliers and contact them.
You can also approach the manufacturers in your city and see their products. Or just Google Search for nearby suppliers and contact them. Be Aware of Scammers!
Find the right supplier and order a sample of products to check the quality. Negotiate with the supplier for the right price and discuss the shipping charge and time of delivery.
Start with a small order to test the market and get feedback from customers. If you start getting good sales then gradually increase your order size.
4. Register on Amazon
To sell on Amazon you need to have an Amazon seller account. There are two types of plans, one is an individual seller and another one is a Pro seller. In Individual Seller Plan you will be charged $0.99 for each item you sell and there will be no monthly charge. In the pro seller plan, you will be charged $39.99 per month and there will be no charge on how many items you sell. Choose your plan according to your requirement and budget.
5. List your products on Amazon
Before creating a listing, you must have high-resolution images of the products. There are two ways to list your products, one is a single listing and another one is a bulk listing. If you have few products go for a single listing and for many products go for the bulk listing using the spreadsheet template which can be downloaded from the portal.
Fill the attributes correctly and try to provide enough information about your products which will make your listing more appealing.
6. Inventory Planning
Inventory planning is one of the most important tasks to run your business smoothly. Never let your inventory go out of stock, restock immediately when your stocks are low.
Product visibility and rankings are affected if your products are out of stock for several days. Regularly track your inventory and place your order from suppliers when your stocks are low and replenish before they ran out of stock.
7. Listing Optimization
Listing Optimization is a continuous process for Amazon sellers.
Your business and profit will grow if your products should be organically ranked on Amazon and to do so you need to optimize your listings.
Do keyword research and find relevant keywords and use them to write your product titles, bullet points, and description. Use keywords having high search volume in search terms. Understand Amazon Algorithm and make it work for your business.
Use high-quality images of the product shot from different angles. Use contextual images with features and product dimensions to make it more appealing.
Create an impressive title comprising of Brand name, name of the product, color, size, or any variant. Write Bullet points showing key features of the product. Give enough information about your product in the description. Keep it short and simple and make sure it can be easily understood. Mention any warranties and guarantees you are offering. Do not forget to use keywords while writing the title, bullet points, and descriptions.
8. Run Advertisement
In the beginning, it is very difficult to get organic sales. You need to run advertisements to get sales. There is a tough completion on selling products online, many sellers are selling the same or similar product, to stand out from the crowd you need to show your products to top search results and to do so you need to run sponsored ads.
There are three types of campaigns, sponsored product, sponsored brand, and sponsored display ads. You need to have a brand registry to run sponsored brands and sponsored display ads. If you don’t have a brand registry run sponsored products campaign.
You need to target the right audience to get a good result. If you have done intense keyword research for your product, then you can do manual targeting else go for auto-targeting where the amazon algorithm will automatically target your potential customers to show your products.
Regularly analyze and optimize your campaigns and do the right targeting to get good results.
9. Get Feedback from Customer
Ratings and Reviews are very important for your online business. When a customer purchases a product he/she finds the rating and reviews on that product. A good rating attracts more customers and helps you grow your business.
Reviews are the social proof of your product and business. You need to follow up on the shopping experience of your customers and get feedback from your customers. Write emails to your customer and ask them to give feedback about your product.
10. Monitor Account Health
Keep your eyes on the account's health and don't fail to follow the amazon policies and guidelines. Amazon takes strict action if you don't follow its guidelines and your seller account may get suspended.
Check your account health parameters and do not breach performance targets. Ship your orders on time, you should not cancel an order from your end, give good customer service and follow amazon policies and guidelines.
For beginners, it may be a little difficult to start your business on Amazon, but when you start and do things of your own you gradually learn everything. I hope the above tips will help to start your business journey to become an amazon seller.