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IO Scout - 10+ tools for Amazon sellers at a special price.
Browsing Amazon, and selling some bits now and again on Amazon’s Marketplace was once upon a time a nice little side hustle. Before you dive on how to sell on Amazon for free, let's figure it out on how to sell on Amazon in general.
Fast forward to 2020, and becoming an Amazon seller is now the sole stream of revenue for the vast majority of sellers on Amazon’s Marketplace.
This is largely due to the level of flexibility being an Amazon seller allows. Working from home, choosing your own hours, and being your own boss certainly sounds appealing.
Added to this is the fact that it’s relatively easy to jump on the Amazon bandwagon and start selling products.
And better yet, how can you get started as an Amazon seller, for FREE ?
Read on to learn more.
By and large, most Amazon sellers opt to go down the FBA route ( Fulfilled by Amazon ).
Using FBA is a stress-free approach to handling all the administration and shipping required in your Amazon business.
Enlisting FBA’s service means you don’t have to be concerned about customer orders, or customer returns, or customer complaints, or customer questions – anything to do with customers at all, really!
FBA ensure that your orders are fulfilled quickly, and delivered quickly too. All adding up to very happy customers.
Let’s take a walk down the FBA path….
And although there are a substantial amount of costs and fees entailed with Amazon’s FBA service, for the sellers who are selling exceptional amounts of stock each month, and taking a huge number of orders, this FBA service pays for itself for the convenience.
Back to how much money typical Amazon sellers make.
49% of Amazon vendors make under $100k, 36% of Amazon vendors make $100k-$1m, 13% make between $1m-$10m, and only 2% of Amazon vendors enjoy more than $10m!
Home and Kitchen 18%
Toys and Games 11%
Sports and Outdoors 6%
Four actions. Let’s investigate:
Happily, the answer to this question is not too long.
67% of Amazon sellers report that they started enjoying business profits within their first year as a seller. And the average new Amazon seller makes a profit of around $26k annually.
Every sale you make on Amazon’s Marketplace comes with a sales fee.
Amazon selling fees are owed whether you are on an individual or professional Amazon selling plan. These particular fees are dependent on a) the price, and b) the product category.
On average, the sales fees equate to around 15%, but for an in-depth, accurate computation, you can use Amazon’s Referral Fee tool here .
It’s 100% worthwhile to test and see which category your items will be categorized as, and ensure the referral fees aren’t too exorbitant, so you don’t end up paying all your profits directly to Amazon!
Amazon offer two selling plans:
If you are starting out selling on Amazon, this plan is recommended, and you can always develop to the Professional plan when your business starts go viral!
As long as you initially stick with the Individual Amazon selling plan, you only have to worry about the referral fees, and these fees come into play after the sales have been made , so you don’t need to stump the cash up front for them.
But what if you want to sell your own handmade products on Amazon? There’s a niche especially for you.
A platform you can use to sell your own products, and which you can also use FBA for, Amazon Handmade aims to compete with other sites just like Etsy.
You’ll find listing your items is free on Amazon Handmade, however a fee will be deducted in the form of a percentage of the sale.
Retail Arbitrage is a walk in the park, to be honest.
A retail store (Walmart, for example) sells a product (either online or in-store) for a certain price. You then go and purchase that article, and then sell it for a higher price yourself on Amazon = PROFIT.
This is a non-committal way to test out selling on Amazon’s Marketplace, as it doesn’t necessitate much initial capital, but you do need to have some spare time on your hands! It also gives you knowledge of what products sell well, and experience high demand on Amazon.
One way to start would be to explore the retail arbitrage tactics that are we’ve contemplated in this post in a negligible quantity of time, and through this process, you will hopefully find that you’ve got to grips with the procedures involved with selling on Amazon.
If you’ve run out of items around your home to sell, you can check these tools out:
Amazon Product Research Tools take the work out of research, product pricing and product tracking for you.
Instead of wasting your valuable business time observing product inventories, struggling to summon up a brand-new, never-seen-before, product to jump out at you, you can alleviate some of this strain by using these tools.
The best Amazon Product Research Tool will help you to:
All of which are a minefield to accomplish purely using a spreadsheet!
When you start to think about all the aspects of running an Amazon FBA business, and all the tasks that are involved, such as….
IO Scout is one such product research tool for Amazon FBA selling businesses. IO Scout offers these special features for sellers:
Other product research tools available online in competition with IO Scout include:
Take a look at these categories:
These categories comprise the top selling categories, as they stand in 2020.
Amazon Best Sellers Rank is a categorization given to items on Amazon’s Marketplace based on its orders, in comparison to other items with the same categorization, based on a set time period. You can find the Amazon BSR in the item description section of the item.
The Amazon Best Seller Rank (or BSR) is the score that Amazon’s algorithms work out to place products based on the sales. This algorithm calculated by Amazon is a mystery to most people, and probably known by a select few at Amazon’s headquarters!
The Amazon BSR is a vital measurement for Amazon FBA sellers. Get it right on Amazon with your product listings, and your business will be more profitable and successful.
Calculations for Amazon BSR is based on categories, and sub-categories, not keywords.
The Amazon BSR is a nice sign of potential sales of goods.
Like any business, you need to put the work and effort in to see results. If, like the vast majority of Amazon sellers, you are seeing this as a new business venture as your sole income, then time will need to be spent on your new business.
In the beginning, it’s likely a lot of time will be required as you research new products, check they’re viable, find suppliers, check product niches and categories, create listings, and so on. And then, after a while, it’ll settle and you’ll find your groove. The average amount of time spent on Amazon selling businesses is reportedly 11-20 hours a week. That’s not too shabby!
Selling on Amazon’s Marketplace is a time-consuming business. And you won’t always get it right every time, and choose the perfect product to sell every time. But that’s par for the course.
So, experiment – enjoy the process, and learn from errors. Soon you’ll pick up on trends in the Marketplace, and gain a really clear knowledge of what your consumers desire – so you can give it to them!