Amazon has been touted as the largest online retailer in the world. But the truth is, Amazon Marketplace actually exceeds Amazon itself in sales. It’s so large, in fact, that its revenue can easily be measured in the billions of dollars annually. According to Marketplace Pulse, Marketplace sales were almost double those of Amazon retail itself, making the seller platform alone the largest e-commerce business in the United States.
In 2018, Amazon Marketplace sales reached $175 billion, which represents approximately 68 percent of Amazon’s $258.22 billion total sales. Who exactly is helping Amazon Marketplace reach such staggering numbers? It would be the third-party sellers who purchase items from places like China, for example, and then lists them for sale through Amazon Marketplace. For individuals thinking about selling in the Marketplace, it is recommended to first understand the process of buying and selling with Amazon. Once you understand the basics, you’ll want to find the perfect products from China to sell on Amazon.
Where do you start?
An important first step before buying products is to find your niche. Niche is important because it helps to guide your brand, identify product opportunities and customers and makes it much easier to find manufacturers. In order to find your niche, simply think about what you enjoy in life. Visit a department store and search the sections where you think most products are sold or which you think has the most interesting items. You should also check Amazon’s category tree to find the niche that fits you and your lifestyle.
What products should you sell?
Once you’ve determined your niche, you can now start thinking about what products you want to sell. It’s important to understand that what you choose to sell will either make or lose money. For example, purchase products that have a demand in the marketplace and that sell consistently. Avoid products that can be air shipped easily because lightweight, smaller products can be air shipped quite cheaply, thus giving you more competitors. For sellers just starting up, try to keep your prices in the range of $10 - $200, otherwise you could run into quality control and shipping issues by purchasing more expensive items. Selecting items that are trademarked or patented can cause problems, as most some items are easy to counterfeit. Buying seasonal products such as Halloween and Christmas decorations can result in unsold items in your stock records.
Where can I buy products to sell on Amazon Marketplace?
It’s important to purchase sample products before you list them for sale. This ensures that you know the product and supplier, how the product looks and feels and, if applicable, how it fits. Some suppliers will offer free samples, but you’ll have to ask. What you see on the website isn’t always what you get, so product samples are a good idea.
Buying products from China to sell on Amazon can be an interesting and lucrative adventure. However it can also be frustrating and challenging, if you don’t where to start. Join Wizards of Amazon, the largest free meetup group of Amazon sellers in the United States, and connect with other sellers.