1:44:31
The New Amazon FBA World Order: How To Find Products To Sell on Amazon in 2021
Helium 10
Overview
This video provides a comprehensive guide to finding profitable product opportunities for selling on Amazon in 2021. It covers distinguishing between viable product ideas and saturated markets, detailing three primary methods for product research: retail/online arbitrage, private label product identification using data-driven insights, and trend analysis on platforms like Pinterest and Etsy. The presenter, Bradley, emphasizes the importance of using tools like Helium 10 to analyze demand, competition, and profitability, and introduces print-on-demand as a low-capital entry point. The core message is that with the right strategies and tools, significant opportunities exist for both new and experienced Amazon sellers.
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Chapters
- Welcome to a webinar focused on finding Amazon FBA product opportunities in 2021.
- The audience consists of sellers at various stages, from beginners to experienced seven-figure sellers.
- The session will cover identifying product opportunities, three research methods, validating ideas, and bonus strategies.
- The presenter, Bradley from Helium 10, shares his extensive e-commerce and Amazon selling experience.
Understanding the presenter's background and the webinar's scope helps set expectations and builds credibility for the strategies that will be shared.
The presenter mentions his 'Project X' and 'Project 5k' case studies as examples of successful product launches and scaling.
- Retail arbitrage involves finding discounted products from retailers (online or in-store) and reselling them on Amazon.
- This method is suitable for beginners with limited capital, helping to build initial cash flow.
- Key steps include identifying deals, researching Amazon sales history and price, listing the product, and profiting from the price difference.
This strategy offers a low-barrier-to-entry way to start generating revenue on Amazon, which can then be reinvested into other selling models.
The presenter details how his kids profited over $1000 by buying Hatchimals on sale at Walmart for $20 and reselling them on Amazon for around $75.
- Private label involves manufacturing a product and selling it under your own brand name.
- Key indicators of a *lack* of opportunity include: too many reviews on top products, excessive identical competitors, low search volume (demand), and extremely low price points.
- Indicators of *opportunity* include high demand (evidenced by sales revenue) coupled with relatively low competition (few reviews).
Distinguishing between saturated markets and genuine opportunities is crucial for long-term success in private labeling, preventing wasted investment.
The presenter contrasts a saturated market like collagen peptides (15,000+ reviews) with a potential opportunity like a bath kneeler with elbow rest pad (few sellers, under 50 reviews, good monthly revenue).
- Use tools like Helium 10's Black Box to filter for products with significant monthly revenue (e.g., $5,000+) and a low number of reviews (e.g., under 50).
- Price range filters (e.g., $20-$40) help manage initial investment costs for private label products.
- Avoid products with excessive variations (colors, sizes) if aiming for simplicity.
- Look for products with few sellers (1-2) to indicate a focus on private label rather than arbitrage.
This data-driven approach helps uncover niches where demand exists but competition hasn't yet become overwhelming, offering a strong entry point for private label sellers.
The search yielded results like a 'bath kneeler with elbow rest pad' and a 'diaper bag backpack' that met the criteria of high revenue and low review counts.
- Once a potential product is found, use tools like Helium 10's Cerebro to identify the keywords driving its sales.
- Focus on keywords with substantial search volume (e.g., 300+ searches/month) where the product ranks highly (e.g., top 10).
- Analyze the competition for these specific keywords using tools like X-Ray to assess overall market saturation and listing quality.
Understanding the keywords customers use to find a product is essential for optimizing your own listing and ensuring visibility in relevant searches.
For the bath kneeler, the keyword 'bath kneeler and elbow rest pad' had nearly 4,000 monthly searches, and the product ranked #5, indicating strong keyword relevance.
- Use supplier platforms like Alibaba to estimate manufacturing costs for potential products.
- Utilize Helium 10's Profitability Calculator by inputting manufacturing cost, shipping, and other fees to estimate potential profit per unit.
- Consider other filters in Black Box, such as review rating (e.g., 3-star products to improve upon), number of images (few images suggest poor listings), and product age.
Accurately estimating profitability before investing is critical to avoid selling products that won't generate a sustainable income.
Inputting an estimated $6 manufacturing cost for a bath kneeler suggested a potential profit of $12 per unit, indicating viability.
- Shift focus from finding products to finding keywords with high search volume and indications of opportunity.
- Use Helium 10's Black Box to filter for keywords with minimum search volume (e.g., 2,000+/month) and specific criteria for average price and review count in search results.
- Prioritize keywords with at least a two-word count to filter for higher buyer intent.
- Analyze the top 10 search results for a keyword: if multiple products have high revenue but low reviews, it signals an opportunity.
This method uncovers emerging trends and niches by identifying what customers are actively searching for, even if specific products aren't yet dominant.
The search identified keywords like 'chiminea cover' (5,000+ searches/month) where top listings had very few reviews, suggesting a market gap.
- Platforms like Pinterest and Etsy can indicate future demand trends on Amazon, often months in advance.
- Look for unique or innovative product variations that stand out from generic Amazon listings.
- Validate potential trends found off-Amazon by checking search volume on Amazon and potentially creating test listings.
- Test listings with sponsored ads can reveal actual buyer interest and conversion rates, even with imperfect listings.
Leveraging external trend platforms allows sellers to get ahead of the curve, identifying opportunities before they become saturated on Amazon.
Unique wine rack designs or innovative egg holders seen on Etsy and Pinterest might represent future Amazon trends, even if direct search volume is currently low.
- Merch by Amazon is a print-on-demand service allowing sellers to upload designs for t-shirts, hoodies, etc., with no upfront inventory cost.
- Identify popular niches and keywords on Amazon using tools like X-Ray and Cerebro.
- Create unique designs based on trending keywords and upload them to Merch by Amazon.
- Amazon handles production, shipping, and customer service; sellers earn royalties on each sale.
This model provides a way to generate income on Amazon with virtually zero financial investment in inventory, making it accessible to everyone.
Creating a 'May the Course Be With You' golf-themed t-shirt design and listing it on Merch by Amazon, leveraging keywords found for popular golf shirts.
Key takeaways
- Product opportunity on Amazon is characterized by high demand and low competition, not just high demand alone.
- Tools like Helium 10 are essential for data-driven product research, providing insights into sales, search volume, and competition.
- Retail and online arbitrage offer a low-risk entry point to build capital for private label ventures.
- Analyzing trends on platforms like Pinterest and Etsy can provide a lead time for identifying future product opportunities on Amazon.
- Print-on-demand (Merch by Amazon) is a viable strategy for generating income without upfront inventory investment.
- Thorough validation, including keyword research and profitability calculations, is crucial before committing to a product.
- Don't rely on personal assumptions; always back product ideas with data and market research.
Key terms
Amazon FBAProduct OpportunityRetail ArbitrageOnline ArbitragePrivate LabelHelium 10Black BoxCerebroX-RayProfitability CalculatorSearch VolumeMonthly RevenueReviewsPrint-on-DemandMerch by Amazon
Test your understanding
- What are the key indicators that suggest a product niche on Amazon might NOT be a good opportunity?
- How can retail arbitrage be used as a starting strategy for new Amazon sellers?
- Explain the difference between identifying product opportunity using sales data versus keyword search volume.
- What steps should a seller take to validate a product idea found through trend analysis on platforms like Pinterest or Etsy?
- How does the Merch by Amazon platform allow sellers to generate revenue without investing in inventory?