Amazon is one of the most popular online retailers for both shoppers and sellers. When you start selling on this platform, you take part in offering your customers better price, high quality and best selection. If you are looking for some information about selling on Amazon, here is how to sell on Amazon for beginners.
FBA Stands and seller on Amazon
FBA, also known as “Fulfillment by Amazon” is a service that will store your product in the Amazon inventory, fulfill your order and recommend customer service. If you are a seller on Amazon and want to use this service, you can add FBA to your account. It’s very necessary that you set your store up in compliance with the guidelines on the website.
When you become an Amazon seller, you will be free from the processes attached to inventory, packing and shipping orders. It makes these processes easy for you to get started. The FBA model allows you free shipping on orders over $25 (books) and $49 (all other items). This model also supports you to scale your business globally.
As an Amazon’s FBA seller, you will receive unlimited free 1 or 2 days shipping service. Besides, you are allowed to sell on different channels with the Amazon FBA program as eBay, your ecommerce store and other market places.
How much does it cost to start selling on Amazon 2022?
There are lots of factors involved in the cost for Amazon beginners. However, if you are on a small budget (maybe less than $500), you can find some products and start an Amazon FBA business. Firstly, you can start with an individual account. When your sales grow, you upgrade to a Pro account.
How can you start an Amazon FBA business?
If you want to start your business on Amazon, there are a lot of things you need to know. . Let’s get started by following some info below
1. Create a business plan
The first thing to start an Amazon FBA business, you have to have a plan to determine the right track. A well-written plan should include products or service, goals, market analysis, marketing and sale, finances… On the other hand, you need to check the trends, get to know competitors, estimate budget for product sourcing, promotion or marketing. A well-written business plan will help you reach your business milestone and reduce the risk.
2. Find your niche
A profitable niche is one of the important factors to your success when selling on Amazon FBA. In order to get a profitable business, you have to do market research and find relevant competitive products, trends that align with your business plan. In addition, you should get to know the product and study its emotional impact, practical value, recognition and visibility… Then, try to find the selling point or create a new trendy selling point to make it viral on the market. Seasonal and fragile products are not suggested when you sell on Amazon FBA.
3. Follow market research
After determining your niche, you have to verify it on the market by following market research. Studying and tracking competitors will give you an overview and realistic view on the market, segment and trend. Creating surveys is another idea to communicate with customers and suppliers that helps you get to know their sentiments. By this way, you can move your plan forward if it is consistent in the market.
4. Identify product suppliers
In this step, you have to find your supplier by finding on Alibaba or other B2B platforms such as AliExpress. You’ll probably find your potential suppliers and get their contact info, background info just in several ways.
Then, you can send emails, make phone calls or visit the suppliers to find the best one for you. When setting up an online or offline meeting, you should figure out the price, sample products, minimum order quantity, product quality, the order limit, shipping charges, the capacity, payment methods… Check the product by ordering samples, you can see the product quality before you choose the right supplier.
5. Place orders
Normally, you should place a small order to use it to test the market and get rid of the risk. To get relevant feedback from customers is a great way to know the market with your products.
Further, you should keep contact with the supplier to avoid misunderstandings and get updates for product manufacturing.
6. Register an Amazon account
Once you have placed an order, you need to register an Amazon account. To become an official Amazon seller, you have to register an account first. You can choose one of two types of account - individual seller or pro seller. Accordingly, the Amazon former cost $0 per month but you will be pay about $1 for each item you sell on Amazon. And the pro seller have more features and pays $39,99 per month. Based on your budget, you can choose the suitable account.
7. Create product listing
To let customers know what you sell on Amazon, you have to create product listings to add your items. If you have many items, you should upload a spreadsheet, make sure your products are “Prime eligible”, clear contents and high-resolution images. You should provide enough info about products. In contrast, your store does not have many items, you can list them manually.
8. Pay attention on inventory levels
Inventory levels are important to Amazon FBA sellers. It shows the availability of the item on your product listing page, makes pricing changes, runs promotions to boost sales or increase turnover. Thus, you have to pay special attention to your inventory to determine marketing plan and place orders to replenish your inventory level.
9. Try to get more positive feedback
Customers are likely to view the feedback left by other buyers who have bought your products before. Amazon customer reviews are very important for your business. Therefore, you need to follow up on the shopping experience customer to get to know their comments. Another way to get shopper feedback is to build your social media account and try to get more positive feedback to boost your sales and conversions.
10. Optimize product listings
Monitoring your sales performance is a great way to increase website traffic and boost sales. You should optimize your product listings by research and find relevant keywords and insert them into your product titles, features and descriptions, etc. The relevant keywords of your item matters to your product visibility and sales. You can use Google Suggest Search or Google Keyword Planner to identify the most related keywords.
Moreover, images and product info are important too. Amazon allows sellers to use 5-7 images of the product from different contexts and angles. Amazon sellers should try to make it clear and attract customers.
How to become an Amazon beginner is not a difficult problem, there are many things you need to learn. However, the above guide will help you figure out the whole process and clear your business plan. Now, it’s time to start your own big business plan to sell on Amazon.