How Much Does It Cost to Sell on Amazon? Starting an Amazon Business

You want to start your own Amazon business and start selling products on Amazon today. The only problem is: you don’t know how much it will cost upfront to start selling. The cost of starting your own Amazon business depends on a couple of things: the selling plan, what products you plan on selling, which fulfillment method you want, and a couple of other variables. While the options are flexible, these choices and costs are going to determine the profitability and success of your business.

We’ll be covering all of these decisions right now and to determine the best strategy for your Amazon business.

Seller Account Pricing Plans

The first cost factor to consider is your Amazon selling plan. There are currently two plans to choose from: the individual plan and the professional plan.

The individual plan is the cheapest plan and charges sellers $0.99 per item sold on Amazon. The professional plan is a bit more expensive, and charges $39.99 per month, regardless of how many items you sell.

How do you know which plan is right for you?

Pick the Individual Plan if:

You sell less than 40 products per month.

OR

You don’t know what to sell yet

Pick the Professional Plan if:

You sell more than 40 products per month

OR

If you sell restricted products that need to be ungated

For beginner sellers, we highly recommend you start with the individual plan. The Individual plan is perfect for sellers who don’t have any sales history or products to sell. When starting, you will likely have low sales and low inventory. With the individual plan, you will only pay the $0.99 fee for each item you sell. With less than 40 sales a month, this will end up being a lot cheaper than paying for the Professional plan ($40 flat fee per month).

The Professional Plan is recommended to any seller who sells more than 40 products per month and has an established inventory with profitable, replenishable, and high-demand products. Once you start selling more than 40 products a month, it’ll be cheaper than the Individual plan since you won’t be paying the fee per item sold. You can sell an unlimited amount of products and only pay $39.99 for the month. The Professional plan also unlocks different tools that can increase your sales and product visibility such as the PPC campaigns (sponsored ads) and API selling tools and reports.

With the Professional plan, you can also start selling gated or restricted products on Amazon that have less competition and higher sales potential. We cover selling restricted products in our previous article, How to Get Ungated on Amazon in 2021.

Remember that you can always upgrade your selling plan later on. So, start small with the Individual plan. Once you start building your sales and have a set product catalog, upgrade to the Professional Plan.

Referral Fees

The second cost factor to consider when selling on Amazon is referral fees. Referral fees are a percentage of the total sales price or a fee minimum that the seller pays Amazon. The costs of the referral fees change depending on the type of product. This is why we suggest the Individual plan for new sellers without established inventories. Every product has a different referral fee percentage or referral fee minimum. Amazon will charge you whichever is higher. Here are some of the most common categories and their respective referral fees:

  • Appliances (15% up to $300, or 8% for sales greater than $300 or a $0.30 referral minimum fee)
  • Automotive (12%, 10% for tires and wheel products or a $0.30 referral minimum fee)
  • Beauty (8% up to $10, 15% for sales greater than $10 or a $0.30 referral minimum fee)
  • Books (15% + $1.80 closing fee)
  • Camera & Photo (8% or a $0.30 referral minimum fee))
  • Clothing & Accessories (17% or a $0.30 referral minimum fee))
  • Electronics Accessories (15% up to $100, or 8% for sales greater than $100, or a $0.30 referral minimum fee)
  • Home & Garden (15% or a $0.30 referral minimum fee)
  • Kitchen (15% or a $0.30 referral minimum fee)
  • Music (15% + $1.80 closing fee)
  • Personal Computers (8% or a $0.30 referral minimum fee)
  • Toys & Games (15% or a $0.30 referral minimum fee)

*Note: This is not a complete list of all the referral fees for all of Amazon’s categories. For other product categories and their referral fees, please refer to Amazon’s Pricing web page.

From Amazon’s Pricing page: https://sell.amazon.com/pricing.html

As a reminder, Amazon will charge you whichever fee is higher. For our new sellers, make sure to keep this in mind when you source products to sell on Amazon. You may note that a once profitable product can become unprofitable and even cost you money to sell after accounting for referral fees

Fulfillment Fees

The third cost factor to sell on Amazon is fulfillment fees. Fulfillment fees include two primary costs: the cost to ship and the cost to store.

Fulfillment by Amazon (FBA)

If your products are shipped through Amazon or “Fulfillment by Amazon” (FBA), Amazon charges you a fulfillment fee per unit sold which included picking and packing your orders, shipping and handling, customer service, and product returns. These fulfillment fees are dependent on the type, weight, and dimensions of your product. Depending on your shipping weight, your fulfillment fees can be as low as $2.16 for small and light products and as high as $138.11 or more for special overside products weighing more than 90lbs.

From Amazon’s Pricing page: https://sell.amazon.com/pricing.html

FBA also charges for storage fees. From January to September, storage fees cost $0.75 per cubic foot ($0.48 per cubic foot for oversized products). In October through December, these storage fees increase to $2.40 per cubic foot and $1.20 per cubic foot for oversized products. This increase is to account for the holiday and seasonal demand during Quarter 4 of the year.

From Amazon’s Pricing page: https://sell.amazon.com/pricing.html

Fulfillment by Merchant (FBM)

For sellers who ship and store their products, known as “Fulfillment by Merchant” (FBM), Amazon charges a separate fulfillment/shipping rate depending on the product category, shipping speed, and selling plan. Products under the category of books, music, videos, and DVDs, Amazon charges a shipping rate depending on the shipping speed and shipping address. For domestic standard shipping, Amazon charges $3.99 per item. For faster shipping, Merchants can pay $6.99 for domestic expedited shipping and $14.95 for domestic two-day shipping. International shipping costs up to $46.50 for international expedited shipping.

From Amazon’s Pricing page: https://sell.amazon.com/pricing.html

In all other categories not mentioned, merchants will have to pay $3.99 per unit for domestic standard and up to $6.99 or more for domestic expedited. 2 Day shipping and international shipping are not available for other categories. Because FBM sellers store their inventory, Amazon’s storage fees do not apply.

For more information on Amazon’s fulfillment fees and which may apply to your business, check out Amazon’s Pricing web page.

Other Costs and Fees

By now, we’ve touched on the selling plan, referral fees, and fulfillment fees. These three factors account for a majority of the cost to sell on Amazon (not including product sourcing). If you have decided to use Amazon FBA, you will have access to additional services that Amazon provides to its sellers for an additional fee. This includes:

  1. FBA Label Service: Amazon will create and apply barcodes to any of your products, fee charges per item.
  2. FBA Prep Service: Amazon will prepare your products for shipping, fee charges per item.

Along with services, Amazon also charges additional fees to unplanned services they provide if there is any error with your products, packaging, and/or labels.

  • Long-term storage fees: for products that have been in Amazon’s FBA centers for over a year
  • Removal order fees: for products you want to be removed from Amazon’s FBA centers, Amazon will dispose of unsold merchandise for a per-item removal fee
  • Returns fees: for products returned by a customer, Amazon will process a free return for the customer and charge your account a fee for the cost of return shipping
  • Unplanned service fees: for products with incorrect or missing labeling, packaging, or preparation, Amazon will fix your products for a per-item fee

If you need more information on these other costs and fees, head over to Amazon’s pricing web page.

Keeping these Costs in Mind

If you just started selling or want to start selling on Amazon, it is vital to account for these potential costs when selling products on Amazon. More importantly, it is important to consider these costs before you source any product.

A general rule of thumb we recommend to all beginner sellers, pick products that are:

  • Small and lightweight: By selling small and lightweight products, you’ll notice the shipping and fulfillment fees will be a lot cheaper!
  • High demand: Products in high demand will be easier to sell and will acquire fewer storage fees long term.
  • High quality: Sourcing only high-quality products, you can reduce the number of returns and unplanned service fees.

Before you start sourcing make sure to calculate the potential profit margins and account for any applicable costs and fees! This can be easily calculated with Amazon’s Revenue Calculator. If you need any additional help, check out our blog on the Profit Calculator.

And lastly, if you are a new seller and aren’t sure where to start sourcing products, we highly recommend using Amazon seller tools like Sellgo’s Profit Finder and Product Tracker. Using seller tools can save you a ton of time finding high-demand and profitable products you can start selling now! Our tools will account for all of these fees and highlight the best products that are guaranteed to make you profit. So before you start your Amazon business, explore Sellgo and our tools that can help you jumpstart your Amazon sales journey!

Amazon Seller Search: 3 Ways to Find Any Seller

In 2020, Amazon was estimated to have over 9.7 million sellers across the globe with 1.9 million active sellers every month. With so many sellers in the marketplace, you would expect Amazon to have a really easy and thorough method to find or locate any seller on its platform. Well, you’d be wrong.

If you have shopped or sold anything on Amazon and have tried to find a specific seller, you probably had a really hard time finding the seller. For whatever reason, Amazon has made it incredibly difficult to find a seller, even if you know their exact store name. Well, don’t you worry. Here are three proven and easy-to-use ways to find any seller.

Searching by Storename

The easiest and fastest method to finding an Amazon seller is through their store name. If you know the store name of the merchant, simply use this URL (https://www.amazon.com/shops/) and add the store name to the end. You should end up with a URL similar to:

https://www.amazon.com/shops/storenamehere

You should be directed to the seller’s product list, which includes all of the products they are currently selling. If you want to find go to their seller page, simply click on one of their product listings. Then, click on their store name at the bottom of the Buy Box next to “Ships From” and “Sold by.”

You will be directed to the seller page that display their ratings, reviews, and business information. The only issue with this method is that Amazon businesses can freely change their business or store names. This means if the seller changes their name, you won’t be able to use this method! Amazon hasn’t resolved this issue yet, so if you’re in this situation, you should look to the next method!

Using Sellgo’s Seller Database

If you don’t happen to know the seller’s store name or if the seller has changed their store name, then the first method won’t work for you. Instead, we suggest checking out Sellgo’s new Seller Database tool we just released for beta. The Seller Database allows any user to find any Amazon using their Seller IDs, product brands, ASINs, marketplace, location, and even reviews and ratings. The Seller Database is one of the most powerful seller finder tools on the market. Simply head over to Sellgo.com and input some information about the seller you’re looking for. If you know the seller’s unique Amazon Merchant ID, you can easily copy and paste it into the Seller Database. The tool will populate the seller for you,

The biggest benefit of searching by Seller ID is that it never changes. Even if a seller changes their business or store name, the Seller ID stays the same.

In the case you don’t have the seller’s ID, you can also find the seller using the products they sell. The Seller Database can find all the sellers that sell a product. If you know one of the seller’s products, just input that information into the Seller Database and the tool will display all the sellers selling that product in your marketplace.

One of the coolest features of the Seller Database is locating sellers based on the location of their business. If you’re curious about the sellers in your state, click on the “Location” tab on the Seller Database. Choose a state or U.S. territory (including Guam, Marshall Islands, and more) and a list of sellers within that area will appear. The Seller Database will then show you the hundreds or even thousands of sellers in your state or selected region.

The Seller Database is also an amazing tool for businesses, agencies, and enterprises who work directly with Amazon businesses. If you or your business would like to connect with a network of Amazon sellers in your area, the Seller Database is a great tool! And the best part: you can try the Seller Database for only $1!

Using Sellgo’s Seller Map

The third and final method to find an Amazon seller is through another new tool by Sellgo, the Seller Map. The Seller Map is an awesome new tool that we recently released on Sellgo.com that pinpoints the exact location of every seller in the U.S. Instead of generating a list of sellers, the Seller Map is simply that, a map.

The map is covered in pins, each representing an Amazon seller or business. This is a revolutionary Amazon seller tool that allows anyone to connect with the sellers in their own neighborhoods. Unlike the Seller Database, the Seller Map allows you to zone in on any Country, State, and even U.S. zip code.

When looking at the Seller Map, you’ll see some pins and circles marked with a numerical figure. Each circle and numerical figures represent all the sellers with that specific region. Like any other map, you can zoom in and get specific details on each business’ information including their business name, state, country, brands, and even inventory.

Want to see what Amazon sellers are in your neighborhood? Well, the Seller Map gives you all that power and data a couple of clicks away.

Pinpointing Your Amazon Seller Search

Whether you’re a shopper looking for a seller, or a business trying to connect with Amazon businesses, these 3 proven methods are great tools to find what you’re looking for.

Right now, the Sellgo Seller Database and Seller Map are released for beta! You can use and try out our new powerful tools for $1.99! Head over to Sellgo.com and start locating any seller on Amazon now!

2021 Guide to Super Targeting: Source Profitable High-Demand Products

Product scouting is one of the most meticulous tasks every successful Amazon seller must complete. Product scouting is the process of exploring and discovering new products to sell on Amazon that are replenishable. profitable, and in high demand.

Most products nowadays are scouted through two methods: leaf sourcing and reverse sourcing. Leaf sourcing is the process of sourcing a single profitable product and sourcing related or similar products with identical profit margins. We covered this strategy and breakdown the steps in our How to Leaf Source article.

The other common method of scouting products is Reverse Sourcing. Like leaf sourcing, reverse sourcing starts with finding a single profitable product. Instead of finding similar products, you find the product’s supplier and then analyze the supplier’s catalog for any other profitable products. We also wrote about this strategy in more detail in our blog How to Reverse Source. If you haven’t read these articles, we highly suggest you go back and read them before you read this article. All three of these strategies are most effective when used together.

While leaf sourcing and reverse sourcing are effective scouting methods, they are driven by luck. Sellers can spend hours or even days trying to scout a single winning product. Without that single product, leaf sourcing and reverse sourcing are essentially useless. That is why we’ll be showing you the third type of product scouting called Super Targeting, which is more effective, efficient, and successful than both leaf sourcing and reverse sourcing.

What is Super Targeting?

While leaf sourcing and reverse sourcing start by finding a single product, super targeting starts by finding a single seller. Instead of struggling to find a profitable product, super targeting uses your competitor’s inventory for your benefit.

You might be wondering, why would I want to copy my competitor’s products?

Think about it. If another Amazon seller is selling a product, shouldn’t the product be profitable? No third-party seller would intentionally sell a product for negative profit. You can assume your competitor’s catalogs are filled with replenishable, profitable, and high-quality products you can start selling now.

We like to think of super targeting as a competitive resource. If your competitors have done all the research to find profitable products, why not sell the same products for your business? Your competitors have done all the hard work, now you can reap the benefits of their labor. By using super targeting to find your competitor’s products, you’ll find profitable products faster and more efficiently.

Picking a Competitor

Before you pick a competitor and start sourcing their products, you should perform due diligence and review the seller’s sales history and product lists. You don’t want to copy any seller’s catalog of products, you want to find reputable and proven sellers.

When looking for a seller to start super targeting, we recommend looking at the seller’s Seller Ratings (over the last 30 days minimum and Seller Reviews (over the last 30 days, 90 days, 12 months, and lifetime).

In particular, you want to note any negative reviews the seller has received. Sellers with tons of negative reviews may be selling fake or defective products or be practicing bad business tactics. Regardless, you want to make sure you don’t super target poor-performing sellers who may hurt your business and reputation. We recommend only super targeting sellers with a minimum of 100 reviews over the past 90 days with an 80% or more positive rating in the last 12 months. This due diligence will pay off when you begin sourcing the same products as a reputable and trusted seller.

Along with ratings and reviews, take a glance at the seller’s products. Ensure all the products have good reviews and ratings, and that the products are realistic for your inventory.

Even if a seller has great ratings and reviews, if their products have poor reviews or you do not have the resources to source and sell their products, they are not ideal super targeting candidates. The perfect super targeting candidates will have great reviews and ratings, reliable products, and realistic products you can source.

Looking at Current Competition

Where is the best place to start when super targeting? The best place to start super targeting is looking at similar sellers to you.

If you currently sell on Amazon, look at your product listings and see who else is selling your products. Your current competitors are most likely to sell other products and are similar in business size, product catalogs, and resources. Review their products and see if you can spot any profitable products that you can start selling now.

If you don’t have any competitors or just started selling, you’ll have to start super targeting from scratch. Start by identifying a seller with sufficient ratings and positive reviews. We target sellers with at least 100 reviews over the past 90 days and an 80% or higher seller rating. From there, you can scout a seller’s inventory quickly to see if there are any leads.

Choosing the Right Products

Once you find your first super targeting candidate, it’s time to analyze their products and find any leads. Product analysis begins with calculating the profit margins. You want to compare the selling price and subtract the cost of the product, fulfillment fees, and other associated costs. You can use Amazon’s Revenue Calculator to expedite the calculations and estimate the profitability.

Along with profit potential, you calculate the sales estimation of the product to see how many units you would source and sell within 30 days. If you have access to Sellgo’s Profit Finder, simply search the ASIN of the potential product and look under the “Average Daily Sales.” From there, you can estimate how many units you would need to source for 90 days.

The next step is to determine the number of competing sellers there are currently selling the product. For each product, count the number of sellers using Fulfillment by Amazon (FBA) and who are within 2% of the lowest price point. Use these two filters to figure out the number of competitive sellers who are fighting for the Buy Box. Divide the sales estimation by the amount of competitors + 1 (accounting for yourself) to determine the number of sales you will collect off this single item in 30 days. We cover the Buy Box and how to develop a winning strategy in our blog on 6 Strategies to Win the Amazon Buy Box.

Repeat this process for every single item your candidate sells. We know this process might take a moment to complete. Take your time to analyze every product, and you’ll quickly find a collection of profitable, high-demand products.

Super Targeting with Sellgo

Although super targeting is already very effective, Sellgo developed the Seller Finder tool to bring super targeting to the next level.

Every seller on Amazon has a “Seller ID” or “Merchant ID,” found on the storefront page and URL. Similar to ASINs, seller IDs are used to identify every single third-party seller on Amazon. With the Seller Finder, you can find any seller’s inventory by simply having a seller’s ID number.

The Seller ID is the 14 digit code found at the end of the URL on a storefront’s Amazon page. For example, the Seller ID here is A2WLBKW9QQMEB1.

To optimize your super targeting, find your competitor’s seller ID and input the code into the Seller Finder. The Seller Finder will find your competitor and provide you with an entire breakdown of their account including ratings and reviews, all their brands, and all of the ASINs they currently sell.

You can then easily copy all of their products onto your clipboard and analyze each ASIN one by one to find any leads.

Not only can you review their ASINs in a few seconds, but you can also check their inventory levels to see how much stock they have left. Competitors with low stock are prime candidates you can source and take sales from!

The Seller Finder empowers your super targeting skills to a whole new level. Instead of struggling to find a single seller and their products, you can quickly find tons of sellers and take their most profitable products. The best part about Sellgo’s Seller Finder? You can try out the Seller Finder for only $1 right now at Sellgo.com.

Power Up Your Product Scouting

Super targeting gives your entire Amazon business a power-up. Along with leaf sourcing and reverse sourcing, super targeting is another method of product scouting that can you can implement today and accelerate your inventory and sales. If you want to even go further and maximize your productivity and efficiency, use Sellgo’s Seller Finder for only $1. The Seller Finder will give you even more tools to scout thousands of products and sellers faster than you can imagine.

What are you waiting for? Head over to Sellgo.com and start scouting and sourcing new products today!

4 Reasons Why You Should Use Amazon Seller Tools

Over the past 5 years, Amazon’s third-party seller landscape has changed drastically. From just a couple thousand sellers to now almost 10 million sellers worldwide. All of these sellers are hungry for profitable, replenishable, and high-demand products to stock their inventories and meet the needs of Amazon’s 300 million-plus consumer market. With such a competitive market becoming increasingly more popular by each day how do sellers differentiate themselves from one another and find strategies to beat out the competition?

One of the drivers behind successful Amazon sellers is is the utilization of seller tools to streamline and optimize their business practices. From Fulfillment by Amazon (FBA) to Fulfillment by Merchant (FBM), arbitrage to dropshipping, private label to wholesale, seller tools are the answer to unlocking your business’ potential and maximizing sales.

While seller tools provide an endless well of benefits, we’ll be covering the 4 key advantages of using seller tools and why you should start using them today!

Profitability Calculations

Calculating a product’s profitability is one of the most tedious tasks for Amazon sellers. Before you can start sourcing or selling any product, sellers have to conduct proper calculations on any potential product to determine its profit potential. While some products can be extremely profitable, you never truly know how much money you earn unless you account for the cost of the product, shipping costs, and other service fees. Once you calculate the cost of selling the product, you compare this figure to the potential selling price and see if you send up with a positive profit margin. In some cases, a once-profitable product could be costing you money to sell. Then, you have to reiterate this process for every product you want to sell.

The most common tool used for profitability calculations and profit margins are profit calculators, like Amazon Revenue Calculators. Amazon provides a calculator where sellers can input their products by the identifier (UPC, ASIN, etc) along with the packaging dimensions to determine the fees and output the profit margin. With the revenue calculator and other similar seller tools, sellers can calculate profits for tons of products in a fraction of the time. One by one, you can input a different product, calculate its profitability, then move on to the next product.

While a couple of calculations aren’t too meticulous, can you imagine doing hundreds or thousands of calculations at once? This is a common problem for Amazon wholesalers, who work with suppliers with large catalogs with thousands of products. Wholesalers have to manually calculate every single product to find enough profitable products to sell on Amazon.

If you have a large catalog to break down, we highly suggest using a tool like Sellgo’s Search Management tool. The Search Management tool is like the Revenue Calculator, but instead of analyzing one product at a time, the Search Management tool allows you to upload and break down entire catalogs at once. This means you can calculate the profit margins of thousands of products instantaneously.

After the Search Management tool analyzes a catalog, you’ll get a summary of each product’s profitability and even be able to compare suppliers to one another!. You never have to calculate profit margins again!

Forecast Sales and Inventory

A difficult obstacle that many sellers face is forecasting sales and building up enough inventory to maximize revenue. To sell anything on Amazon, you need to have stock, products, things to sell. But how do you know how much to order? If you order too little, you’ll run out of inventory and miss out on tons of potential sales. If you order too much, you’ll have excess inventory sitting in Amazon’s warehouses that just end up collecting dust and costing you storage fees.

This is where forecasting seller tools come in handy. Forecasting is all about finding the perfect amount of products to meet demand but also optimize storage costs. In the past, sellers would have to forecast sales through trial and error. They’ll order ‘x’ of the number of products, see how well it sells, and then reorder more inventory based on the past sales performance. A disadvantage of this outdated method is that you don’t account for changes that may impact sales performances and forecasting. Things like seasonality and time-sensitive products can drastically impact forecasting.

Many modern seller tools have incorporated sales estimations as a way to conduct proper forecasting. Sales estimations provide sellers with a daily sales tracker that captures the average sales of a product per day. With sales estimations, sellers can estimate how many products they will sell over a 30 period, then reorder enough stock to meet those estimations. A great sales estimation tool you can use is Sellgo’s Product Tracker. The Product Tracker not only captures the average daily units sold, but also incorporates daily revenue, profit margin, and stock forecasting. This empowers sellers with real data that they can use to optimize their inventories.

Competitive Analysis

Finding profitable products can be a very long process. From finding suppliers, calculating profit margins, and sourcing products, sellers may take hours or even days to find a single profitable product. A new tactic that has emerged from Amazon sellers called “super targeting,” helps cut down the product research time significantly. Super targeting takes advantage of the competition to streamline product research. Instead of starting research from scratch, many sellers are analyzing each other’s inventory.

Imagine you need to find a profitable product but aren’t sure where to start. Instead of calculating hundreds of products, you find another seller on Amazon. You view their profiles and see all the products they are currently selling. Since they are selling the product, you can imply that this product is profitable, replenishable, and in high demand. Rather than find a new product, you decide to sell the same product. You find your competitor’s supplier, source the same product, and then start taking their sales. This is called super targeting. It takes advantage of the millions of sellers on Amazon to cut down product research time significantly.

The only problem with super targeting is the sheer brute force it takes to analyze your competitors. Not only do you have to find a seller to take their products, but you also need to calculate their profit margins, find suppliers, and source the same products.

Sellgo identified this problem and came up with the Seller Finder tool to maximize the competitive strategy. The Seller Finder allows any user to look up a competitor’s entire inventory in seconds. Not only does it reveal a seller’s products, but shows their product’s brands, ASINs, marketplaces, inventory, and more. With the Seller Finder, you can take super targeting to the next level. Save time, and quickly identify profitable and high-demand products you can source now.

Task Delegation and Reinvesting Into Your Business

Some Amazon businesses grow enough that sellers begin expanding their teams. They may incorporate new employees like virtual assistances and warehouse workers. With so many tasks at hand, seller tools provide a great way for Amazon sellers to delegate tasks and responsibilities to other employees. With tools, sellers can quickly train up new employees, show them how to operate tools, and jumpstart their onboarding time.

For business owners, the ability to delegate tasks is invaluable. No really, it is. As a business owner, your time should be dedicated to developing long-term strategies and lead your team. Any time spends elsewhere, especially on tasks that can be done by anyone else, wastes a ton of your company’s resources and in many cases is detrimental to your cause.

Think of smaller tasks such as product research, calculating profit margins, or even super targeting your competitors. These tasks, especially with seller tools, can be done quickly and effectively when delegated to another employee. Seller tools empower sellers to recapture their valuable time that you can now reinvest into growing and accelerating your business.

Optimizing Your Amazon Business

The 4 reasons why you should use seller tools come down to maximizing your business’ efficiency, productivity, and most importantly, potential. There’s nothing wrong with selling on Amazon using old methods and tricks, they work and they are proven. But, if you had the chance to make your business better, your sales better, your employees better, why wouldn’t you?

Using seller tools is not just about making your business better, but optimizing your true potential and success. Whenever you’re ready, head over to Sellgo.com and let’s get to work. We’ll be waiting.

2021 Guide to Selling Books on Amazon

In 1994, a young Jeff Bezos, the founder of Amazon, started his multibillion-dollar company starting with a single product: books. When asked why he would start his company with books, his answer was simple: diversity. Books are the most diverse product in the world, every culture has its own set of scripts with endless genres, authors, and stories. Bezos explained that there are more types of books than there are product categories. By starting with books, he created a diverse collection of desired goods to start his empire. Now almost 30 years later, books continue to be one of Amazon’s top products, accounting for almost 10% of Amazon’s revenue.

Books are still one of the major products within Amazon’s marketplaces and bring a diverse inventory of profitable products for Amazon third-party sellers to take advantage of. In this blog, we’ll be discussing how you can start selling books on Amazon and build your Amazon business like Bezos.

Why Do People Sell Books on Amazon?

A common question we often see from sellers is, why should I even bother selling books on Amazon? Well, if you already sell other products on Amazon, selling books is not much different! In some ways, sourcing and selling books on Amazon can be even more profitable than other products.

Like other products and business models, selling books on Amazon requires similar steps. You have to have an Amazon Seller Central account, you have to source your books, list your products on Amazon, and find a way to ship your books once you make a sale. But as Bezos mentioned, books provide an endless field of profitable, high-demand products.

While the world moves towards digital screens rather than physical books (see Amazon’s Kindle series), books are still in demand. Books aren’t going anywhere any time soon, and they can provide sellers a new avenue of sales and profits if done correctly.

Is Selling Books on Amazon Profitable?

Another common question we get about selling books on Amazon is, how much does it cost, and is it profitable to sell books on Amazon?

Like any other product, our answer is: it depends. Books can be extremely profitable like other products, but it will be determined by the cost to source your products, the selling price, the demand, and fulfillment fees.

To calculate the estimated profits, you’ll need to determine a couple of things:

  1. What selling plan are you using? (Individual plan @ $0.99 per unit sold or Professional plan @ $39.99 per month)
  2. Referral fees (Amazon charges a 15% referral fee + $1.80 closing fee per book)
  3. FBA fulfillment fees (Depending on weight and size, can range from $2.16 to $5.68 per unit)
  4. Other costs (storage fees, PPC, etc.)

Remember, books aren’t much different than any other product. Before you source your books, calculate the potential profit margins for every potential product. To learn more about Amazon’s fees, click here.

How to Source Books for Amazon

The best part about selling books on Amazon is that books are much easier to source than traditional products. Unlike most other products, both new and used books are quite popular and sell very frequently on Amazon. Many booksellers on Amazon don’t even sell new books but make a fortune selling used books they find at a discount and sell for a huge profit. Because books can be sold used, this brings more opportunities to source products. Here are some of the most common and popular methods to sourcebooks to sell on Amazon:

1. Sell Your Collection:

Many sellers have their collection of books that haven’t been touched in ages. Rather than let those books continue to collect dust, many Amazon sellers sell their used books on Amazon. Because you’re selling from your inventory, the cost to the source is essential $0! This means whatever you have left after Amazon takes out fees, is entirely profit!

2. Book Lots:

You may run into uncommon situations where you can buy a high quantity of books for a cheaper price. Like sourcing wholesale products, the more you buy, the cheaper it is. Some booksellers use this tactic to buy a ton of books for a low price and then resell it for a profit online.

3. Book Sales:

Book sales are quite common, especially at brick-and-mortar book stores. In some cases, you might be able to buy an expensive book for a couple of cents on the dollar! This is often referred to as “arbitrage,” where you can buy books at a deeply discounted price and resell it for a huge profit on Amazon!

4. Online arbitrage:

Rather than brick-and-mortar stores, some sellers rely on online arbitrage to source their products. They find great deals on high-demand books online and buy them for cheap. They can then sell it back on Amazon for a profit.

5. Second-hand books:

Some sellers buy popular second-hand books as well. Because you can sell used books and still make a profit, sellers can easily purchase books from garage sales, thrift stores, or even used books from online sellers from Facebook Marketplace or eBay. These second-hand books come at a huge discount and can be resold for a profit on Amazon.

6. Free books:

Who doesn’t love free books? Books are plentiful nowadays and it seems like people and businesses are giving away free books left and right. Why not collect some of those free books and see if you can resell them on Amazon? Tons of booksellers are using this strategy and sell their free books for 100% profit.

These are some of the reasons why books are still one of the most sold products on Amazon today, even near 30 years after Amazon was founded. There will always be an endless demand for books, and because plenty of customers buy both used and new books, it provides sellers with an endless well of products and multiple ways to source books. Some of these methods are extremely profitable, costing $0 to source and resold for 100% profit.

Creating Your Book Listing with ISBNs

As we mentioned, selling books on Amazon isn’t that much different from selling any other product. Before you can start selling your books, you will need to determine your pricing plan, fulfillment method, and create your Amazon Seller Central account. If you haven’t created your seller account yet, that will be your first step. Don’t worry, we can help! Head to our blog on 7 Steps to Activate Your Amazon Seller Central Account and create your account today. This blog will guide you through the beginning steps of creating an account and determining the best model for your business.

Once you finish creating your account, the next step is to complete a product listing and set a selling price!

The first step to creating a product listing is to find your book on Amazon.

The best way to find your book is to identify your book’s ISBN or “International Standard Book Number.” Your book’s ISBN can be found on the back of your book above the barcode. The ISBN should be a 10 to 13 digit code. For example, we’ll be selling “Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future” by Ashlee Vance.

We flipped the book over and found the ISBN: 978-0062301253 right above the barcode.

From here, we were able to go on Amazon and find the book’s listing with the matching ISBN.

Now, we want to focus on the different offers for the book under the Buy Box, where it lists “Other Sellers on Amazon” We saw that this book in new condition, it is being sold for $10 to $18.

We go to Amazon Seller Central, and create a new product listing with the information we’ve collected. We have the ISBN and the price range, and now we can move forward to adding our information.

When creating the product listing, make sure to add all of your book’s information including the book’s quality. Amazon has 5 condition categories including “New,” “Like New,” “Very Good,” Good,” and “Acceptable.” Click whichever one best fits your inventory and choose a price based on the condition. You can see your competitor’s list and use that as a reference to determine your selling price.

Going back to our example, our book in “New” condition was selling for $10 to $18, but a used copy of the book barely sells for $2 to $8. Considering fees and the cost of the product, it may not be profitable or even worth considering selling this book used.

This is why we encourage all sellers to calculate the profit margins before sourcing any new or used book.

Book It Like Bezos

Looking back at Amazon’s growth over the past 30 years, much of the success was driven by Amazon’s humble beginning as an online book store. Now in 2021 as a multi-billion dollar company. Amazon is still much connected to its roots with books. Books aren’t leaving anytime soon, there are still countless stories to be written and loaded history of literature from the past. If you’re looking for a product to launch your Amazon business empire, you might want to look to build your future.

If you don’t want to just rely on books to build your business, you’re in luck! Sellgo’s Product Tracker is an amazing tool to find and source profitable, high-demand products that can drive your sales and increase your profits!

Everything You Need to Know About Merch by Amazon in 2021

Everything You Need to Know About Merch by Amazon in 2021

In 2015, Amazon launched its new Merch by Amazon program, allowing Amazon sellers to create their own branded merchandise and sell them in Amazon’s marketplaces all over the world.

When originally launched, Merch by Amazon was built for game development as a way to create custom game merchandise and sell to their fans and audience. Since then, Merch by Amazon has expanded to one of Amazon’s most prized and sought-after programs by all Amazon sellers. 

In this article, we’ll be breaking down Amazon’s Merch by Amazon program, why you should join, and how to create an account today!

What is Merch by Amazon?

Merch by Amazon is a self-service program centered around helping sellers and Amazon businesses generate more sales without any extra cost or work. Instead of working with a traditional inventory and selling your products through the Buy Box, Merch by Amazon allows sellers to design and create custom, branded merchandise that is entirely made, sold, and shipped by Amazon. At first, Merch by Amazon was limited to t-shirts but has since expanded to sweatshirts, hoodies, tank tops, and even pop sockets.

Simply create a t-shirt design, add it to your Merch by Amazon account, and in a couple of hours, Amazon starts printing your design and your merchandise. Because Amazon handles the entire production line, sellers never deal with any inventory or upfront costs.

How Much Money Can I Generate?

Amazon’s Merch by Amazon program allows sellers to generate revenue through royalty rates. Instead of earning profits through selling products, program partners can range between 13% to 37% royalty rates. Once a customer buys your merch, your royalty rate is determined by subtracting the selling price by taxes and the cost of your merchandise (materials, production, shipping, etc.). To find the exact royalty calculations, click here.

While the royalty rates are only a fraction of the selling price, the royalty rates are uncapped.

What does this mean for sellers? It means your revenue is only as high as your sales. With more sales, you earn unlimited royalty rates.

Is Merch by Amazon Worth It?

Simply put: YES

Merch by Amazon is one of Amazon’s most popular programs because of its high value, ease of use, and profit potential.

By design, sellers can generate tons of sales by selling popular and high-demand branded merchandise with extremely low risk. Merch by Amazon is built on Amazon’s huge distribution, sales, logistics, and shipping systems. Not to mention, you have access to all of Amazon’s customers. Your merchandise gets access to all of Amazon’s The best part is that while you have to upload your designs, you never have to store or ship your merchandise, making it a ton easier to get started.

Along with the sales potential and low cost of entry, Merch by Amazon helps sellers grow their brands. Business owners can start small, scale their businesses, and gain brand awareness with their branded merchandise. If you want to start generating sales on Amazon as quickly as possible, you might want to consider joining the Merch by Amazon program!

How to Open a Merch by Amazon Account?

As we noted, Merch by Amazon is one of Amazon’s most popular and sought-after programs by Amazon sellers. Merch by Amazon is not available to everyone and requires sellers to “Request an Invitation” to the program. Once you request an invitation, Amazon will approve your application. Note that this approval can take a couple of months due to the high volume of applicants, so be patient after you request an invitation. The Merch by Amazon Account is separate from your Amazon Seller Central account, so you will need to re-add your information such as bank accounts, business information, and tax number.

If you’re interested in joining the Merch by Amazon program, request an invitation here.

How Do I Make Merch Designs?

The design and print-on-demand process for Merch by Amazon can be done in a few simple steps:

  1. Get approval for your Merch by Amazon Account
  2. Head over to your Merch by Amazon Dashboard and click “Add Products” to add your design
  3. Set a selling price for your merchandise
  4. Amazon does the rest!

In a few short hours after submitting your selling price, Amazon’s print-on-demand process starts instantaneously. Right when a customer buys your merchandise, Amazon will go ahead and print, pack, and ship your branded merchandise to your customer.

Jump-Starting Your Merch

Before you get started selling your branded merchandise, here are some key tricks we want to share with you:

  • Promote your merchandise, everywhere! Whether it be social media, your website, or even just talking to your friends and family. After you submit a design, start promoting your merchandise and building your brand awareness! Remember, the royalty rates are uncapped, the more sales you generate, the more royalty you earn!
  • Look into Amazon’s design guidelines! We suggest you look into the rules and regulations for designs and start planning now. When you start, you are limited to 10 designs. As you sell more, your design cap grows to 25, 100, and even 500 designs at once!
  • Target popular items and niches! Not all designs will sell well, find a popular niche and product and test their sales performances!
  • Stay away from licensing costs! Some artwork used in designing your merchandise will require a licensing fee to use. If you want to maximize your profits, try to use public domain images that you won’t have to pay licensing for. For more information on licensing agreements, click here.

Starting Your Merch Today

Joining Merch by Amazon is a great opportunity for brands and businesses to generate sales without a lot of upfront cost or overhead. But remember, this is an extremely popular and competitive program!

If you want to start, we recommend you start NOW. Head over to Merch by Amazon and request an invitation. Afterward, check out the Merch by Amazon design guidelines and start brainstorming your first 10 designs today.

If you would like to learn more about the Merch by Amazon program, you can refer to the Amazon Appstore!

6 Hacks to Optimize Your Amazon Listing

It is no surprise that the best Amazon listings end up being Amazon’s best sellers. The listings with great titles, engaging descriptions, crisp photos, and optimal keywords get the most attention from both shoppers and Amazon’s algorithm. To increase your sales, you need to learn how to improve your product pages to get more shoppers looking at your product and more customers for your Amazon business.

If you read our previous blogs on 5 Ways to Improve Your Amazon Sales Rank, you’ll know some of these hacks! But, in this article, we’ll be going into deeper details on other ways to optimize your Amazon product lists to maximize your sales!

Optimize Your Pricing

The easiest hack and most convenient method of improving your product listing are to optimize the price of your products. This hack is extremely valuable for wholesalers who are competing for the Buy Box and private label sellers who are selling products with a lot of competition.

The reality is: shoppers are always shopping for value. And many times, value equals cost. Therefore the easiest way to improve your Amazon product listings is to simply have competitive pricing. We recommend that you price your products within 15-20% of the lowest price to be competitive.

For wholesalers competing in the Buy Box, this means pricing 15% from the lowest offer in the Buy Box. Why? Because in most cases, Amazon will give every seller within 15% of costs equal time in the Buy Box. As long as you fit within that 15% threshold, you should be able to rack up some sales. You may find that for some products, 15% may be too low that your products no longer become profitable. So make sure to calculate the entire costs (including FBA and shipping costs) before you lower the price of your products. 

We also want to note that some products cannot be sold for too low depending on the Manufacturer’s Suggested Retail Price (MSRP) set by the manufacturer. In this case, you would also need to abide by your supplier’s instructions to ensure you don’t get in trouble.

For private label sellers competing with other white label products, you have a bit more flexibility. We recommend that you price your product within 20% of the competitive price For example if you were to sell a water bottle, identify the price of your competitors. If they sell their products for $20, I would price my water bottle between $16 to $24 to stay within the 20% threshold compared to your competition. Since private label sellers do not share the Buy Box, the pricing strategy for the Buy Box is irrelevant. But, you want to stay close to other sellers and their listings to remain competitive.

With competitive pricing, more customers will be attracted to your listing to get a great deal and buy your products.

Optimize for Search Terms

The next hack is to optimize for Search Terms. If you keep up with our articles, you might be familiar with “keywords,” but search terms are a bit different. Search terms are like keywords, except these words are not used on your product page, they are used in the backend of your products. Search terms cannot be seen by shoppers and are only visible to Amazon’s backend algorithm. Amazon defines search terms as

“generic words that enhance the discoverability of your product. For example, if you’re selling headphones, your search terms can contain synonyms such as “earphones” and “earbuds.”

In essence, Search terms are key phrases that Amazon used behind the scenes to showcase the most relevant products possible. Amazon limits the number of search terms to less than 250 bytes of words. Here are some of Amazon’s key tips when using search terms:

  • do not use product identifiers such as brands, product names, ASINs, UPCs, etc.
  • take out inaccurate or irrelevant search terms (trust us, it won’t leave to more conversions if you use random search terms)
  • do not use excessively long search terms, keep it simple
  • provide search terms from most relevant to least relevant
  • do not use filler words (best, top, new), these words will filter out anyways

These search terms provide Amazon another method of finding our products when shoppers search for similar search terms and bring more attention to our product listings. To learn more about Amazon’s search terms and how to use them effectively, check out Amazon’s article on best search term practices.

Optimize Titles

With search terms in mind, let’s move on to optimize our product titles and content with keywords. Keywords are the common search terms used by users when shopping on Amazon. For example, if I wanted to buy a gaming mouse on Amazon, I will search a general term such as “wireless gaming mouse.” These are the keywords that people most often use when shopping online and are essential to maximizing your product listing’s visibility for Amazon’s algorithm. Note that keywords will be most relevant to our private label sellers, who have different listings and compete with other sellers.

To find the best keywords, we recommend conducting a competitive analysis and scouting the competition. In this example, pretend I am selling a set of cooking utensils and I want to find the best keywords to optimize my listing. The first thing I do is go on Amazon, and search “cooking utensil set” and come across these products. If you look at each product’s title, you can see a lot of repetitive keywords like “kitchen utensil,” “nonstick,” and “heat resistant.”

These are the keywords that your competitors are using! So when we are optimizing our listings, we want to highlight the same competitive keywords and we end up with:

“Kitchen Utensil Set, Nonstick and Heat Resistant Cooking Tool Set.”

We have a strong product title that is optimized for Amazon’s algorithm. If someone searches for cooking utensils and uses one of these keywords, our product is more likely to be shown to customers, thus increasing our sales.

Optimize the Content

Did you know you can add keywords that aren’t just applicable to your product titles but should be used throughout your product page content?

Every product page for every product sold on Amazon has a product title, product description, and product photos. Keywords need to be used for all of these elements, not just your title! We’ve talked about keywords within titles and descriptions in the past. 

If you need help creating the right structure for your product description, I highly recommend you read our blog on Successful Writing Tips for Amazon Product Descriptions

In the article, we emphasize the importance of having short, concise, and engaging product descriptions that utilize bullet points and simple writing structures. But, keywords can be applied to your product photos as well!

You might not know this, but you can optimize your photos for keywords! Before you upload your product’s photos into your product listings, make sure to properly name your photos with optimized keywords. You can change the file names of all your photos. Since Amazon’s algorithm reads the photo’s file name, they are also looking for relevant keywords within the file names! Like we mentioned, you want to maximize all the content on your product listing, not just the title and description! Make sure to optimize your photo files as well, Amazon’s algorithm will appreciate it!

Optimize the Details

The fifth hack to optimize your Amazon product listing is by flushing out the details. This step is not required but is highly recommended by Amazon because the product details give the customer more information about your product. By having more information, customers are more likely to make informed purchases and have more ideal and clear expectations for your product.

Whether it be your product descriptions or your title, you want to include all the essential information within your product listing. This includes:

  • brand name
  • product line (if applicable)
  • material or make of the product
  • color
  • sizing and dimensions
  • packaging and materials

It’s always better for your products to be too specific than too broad. Without all the essential information and additional details, your customers won’t know if your product fits their needs. Or worse, customers will buy your products and realize the product is nothing like their expectations. This often leads to more return requests, lower product ratings, or potentially an increase in negative reviews. Remember, the devil’s in the details. Do yourself a favor, include the details!

Optimize Your Engagement

Our last hack to optimize your Amazon product listing is by increasing your engagement. This is not a new tip, we always talk about the importance of interacting with your customers! But in case you forgot or didn’t know before, customer engagement is key to keeping customers satisfied and loyal to your brand or product.

These are the most common interactions:

  1. Product Questions
  2. Product Reviews and Ratings
  3. Customer Messages

For product questions, this occurs on your product pages where customers with inquiries can submit a question and have another customer (or the seller in your case) answer anything about the product. The most important benefit is providing more details to the customer. If a customer has a question about your product, it means they are considering purchasing your products but need more information to form a decision. This is a great way to close deals and get more sales for your products! If a customer has a question, answer it as soon as possible. And more often than not, their question is shared by dozens if not hundreds of potential customers who are wondering the same thing!

Next are product reviews and ratings. Reviews and ratings can make or break your products. A couple of bad reviews can potentially destroy your sales. But, you aren’t helpless! If you spot a negative review or rating, reach out to the customer and try to mitigate the issue! If there was a defect, offer the customer a refund or offer a new product that is not defective. For unhappy customers, inquire about their experience with your product and provide them with a solution. The way you resolve these issues can change the course of your products. You might even be able to change a negative review to a positive one and save your products from turmoil. Be proactive, not reactive!

Our last method of customer engagement is through customer messaging. After a customer purchases a product, you can send them a message asking about their experiences, troubleshooting any issues, or simply thank them for their purchase. This is a great method to provide excellent customer service and establish relationships with your customers. And as we know, happy customers lead to more sales and brand loyalty!

In the end, engagement is simply about communication. Whether it be questions about your products, resolving negative reviews, or sending your customer a message, the better you communicate, the more engagement you have with your customers.

Key Takeaways Moving Forward

These 6 hacks to optimize your Amazon listings are just the first step. Remember, optimizing your lists is an ongoing, long-term investment. What works today might not work tomorrow, so it is important to closely monitor your listings and see how to improve them over time. We recommend collecting data on sales performances and trying new product descriptions and search terms every so often. Keep testing your listings, see what your competitors are doing, make small adjustments, and iterate your strategy over time.

For more tips and tricks to increase your sales and grow your Amazon businesses, head over to Sellgo.com !.

Successful Writing Tips for Amazon Product Descriptions

The best way to convert Amazon shoppers is to create product pages with detailed product descriptions that tell customers why your products rock. Along with perfect product titles and nice photos of your products, your descriptions convince potential customers that they can trust your brand and that your products will satisfy their needs and meet their expectations. The better your product descriptions, the more likely shoppers will convert into paying customers.

In this article, we will provide you with a few successful tips that can improve your product descriptions and earn you new customers.

Developing a Customer Persona

The first step in writing great product descriptions is to understand your target market. We figured the easiest way to do this is to put yourself in the shoes of your prospective customers.

For example, if you see fitness equipment, your customers will most likely be young people looking to exercise, eat healthily, and live an overall active lifestyle. When you write your product descriptions, you need to keep creating this customer persona. You cannot write a great Amazon description without determining who you are writing to.

Once you determine your target market and create the customer persona, ask yourself: If I was this persona, what would I want to see in a product? What are my needs and expectations? How can this product fulfill my needs?

With these questions in mind, let’s move onto the next tip!

K.I.S.S.

Now moving onto the structure of your descriptions, we recommend K.I.S.S. (keep it sh).

When you’re shopping online, how often do you read long, boring descriptions? NEVER. Just like you, most shoppers want simple, short, and easy-to-read descriptions that get straight to the point. To simplify your writing, we suggest:

1. Write using bullet points. Shoppers never read long descriptions. Instead of large bodies of text, use bullet points to break up long sentences and paragraphs into short, bite-size pieces of writing.

2. Keep your sentences short and to the point. You don’t need to write an entire story for your products. Hit the key points, and maintain short, concise, and straight-to-the-point messages.

3. Remove unnecessary filler words. Have you ever read product descriptions with the words “Best,” “Top,” Amazing?” Probably quite often. Studies have shown that most (if not all) customers naturally overlook and filter out these filler words because tons of products use these same words when describing their products. These words have lost all their meaning. Keep your product descriptions simple by removing all of these filler words.

Focus on the Impact Rather than Features

With the customer persona and description structure in mind, it’s time to start writing! When writing, you want to focus on your product’s benefits and impact, not just the features. Why? Because your customers want to know what VALUE your products provide. Instead of describing the features of your product, describe how those features will help the customer.

Looking back at our example of fitness equipment, your customer persona is young to middle-aged adults looking to maintain a healthy lifestyle. If we were selling dumbbells on Amazon, our product descriptions would talk about the impact of our dumbbells on our customers. Here are sample writing:

  • Durable and reliable dumbbells for at-home workouts and muscle building.
  • Isolate and workout direct body parts, improve arms, legs, core, and endurance.
  • Textured hand grips to ensure non-slip exercises.

Note that while we touch on the features, we also emphasize the impact and benefits of those features. By writing more descriptive, and impactful descriptions, they tell customers the direct benefits of purchasing your products.

Optimize with Keywords

The next tip is to improve your product descriptions is by using keywords. Keywords are less important for the customers but extremely important for Amazon’s algorithm to display your products on their search pages. If you aren’t familiar with keywords, they are the most often search terms customers use to find products on Amazon.

Going back to our example of the fitness dumbbells, a typical Amazon shopping looking for exercise equipment might search on Amazon, “exercise    dumbbells,”dumbbell set, “dumbbell 15lbs.” When a shopper searches these keywords on Amazon, the algorithm looks through the millions of products to find the ones that use the exact keywords within the title and product descriptions. The products that match these terms are more likely to be shown to the shopper to browse and purchase.

With the keywords in mind, let’s go back and add these keywords to our product descriptions:

  • Durable and reliable exercise dumbbells for at-home workouts and muscle building.
  • Dumbbell set to isolate and workout direct body parts, improve arms, legs, core, and endurance.
  • Dumbbell 15lbs with textured handgrips to ensure non-slip exercises.

You see how the keywords won’t impact the description or customer experience at all, but Amazon’s algorithm needs to showcase your products and provide you more visibility. With more visibility and shoppers viewing your products, you can expect more sales and profits coming your way.

Update Regularly

Our last successful writing tip is simple: update your product listings regularly. There is no such thing as the “perfect product description.” But, if you test, reiterate, and optimize your descriptions, you’ll find that you can increase your conversions and sales over time. You know the quote, “Rome was not built overnight”? Well, product descriptions are the same way. We encourage all sellers to try their best to write a great product description and try to improve it.

Test out Version #1, examine your conversion rates, and take data on how many sales you collect. Then, improve upon Version #2 by testing different bullet points, adding different keywords, and using different sentence lengths. Examine your conversion rates and see if there any improvements for conversions and sales. Keep repeating this process until you get the best results possible!

Along with updating your listings, also remember to stay professional. When selling on Amazon, your products represent your business, brand, and reputation. You want to make sure your products are of great quality and your product descriptions match those expectations. Use different spellcheck and grammar tools to weed out any typos or confusing sentences.

Get to Writing!

The 5 tips we mention in this blog are the first of many you’ll learn over your Amazon selling journey. While these tips are a great place to start, you may come across many more as you continue to sell on Amazon. For each of your products, Amazon descriptions will vary to cater to each customer persona. Remember, your customers aren’t just buying your products, but they are buying your product’s value and expectations. The quality of your product will play a huge role in developing a strong value proposition for your customer. If you don’t have great products, you won’t be able to sell them, even with the best descriptions.

If you are struggling to find high-quality products that are profitable and in high demand, we encourage you to come to Sellgo.com and check out all of our product research tools that can help you find great suppliers and products that are high quality, profitable, and in high demand. Until next time, happy writing and happy selling!

5 Proven Ways to Improve Your Amazon Sales Rank (Amazon Best Sellers Rank)

Amazon’s Sales Rank or “Best Sellers Ranking” (BSR) ranks all of Amazon’s products based on their historical sales performances within a specific category. The most sold product within a category is ranked #1, with all the other products in the category following suit based on their sales performance. Every seller wants their product’s ranked at #1 because the closer your product’s rank is to #1, the more visibility, trust, and sales your product gains! If you’re unfamiliar with Amazon’s ranking system, we highly suggest reading our last blog on “What is Amazon’s Sales Rank?” where we break down all the nuances of Amazon’s rank system.

If you’re reading this article, you’re probably already familiar with Amazon’s Best Seller Ranking. Now, you must be thinking, how do I improve my product’s ranking so I can hit #1? In this blog, we’ll be sharing 5 proven, legitimate methods you can apply today to start your quest to Rank #1.

Using Amazon FBA (Fulfillment By Amazon)

The first thing to remember is that the Sales Rank is just that, SALES. The more your product sells, the higher your product gets ranked. Our main goal behind these tactics is to get more eyes on your product (visibility), more shoppers on your product page (traffic), and more sales in your pocket (conversion).

The easiest way to improve sales and thus your product ranking is by using the FBA model and Amazon’s Fulfillment Centers. Most of you already use FBA, but if you happen to use Fulfillment by Merchant (FBM) or another fulfillment method and you want to improve your product’s sale rank, implementing FBA is the easiest and most convenient method.

By using the FBA model, your products get access to Prime Shipping, which drastically improves your product’s visibility and conversion rates. Shoppers are also more likely to buy products with faster shipping times, increasing their conversion rates and sales. FBA also increases your product’s visibility and traffic on Amazon’s pages. Since you use FBA, Amazon will prioritize your products over non-FBA sellers. The more traffic your product gets, the more sales you earn, and the higher your product rank improves.

Improve Product Titles with Keywords

The second method to improve your Amazon sales rank is through using keywords within your product titles. Simply put, keywords are the search terms used by customers when shopping on Amazon. The better your keywords, the more visible your products will be and the more traffic you’ll gain! Finding the right keywords is quite easy. Here are the steps:

1. Identify your product that you want to list on Amazon

2. Go to Amazon.com, and search for similar products

3. Look at the top 20 products and find repetitive keywords that apply to your product (do not include any “Sponsored” products)

4. Create a listing for your product, and utilize those keywords that your competitors use

Let’s run through a quick example. For our product, we’ll use a reusable water bottle. First, we’ll go to Amazon and search up the term, “reuseable water bottle” and examine the first 20 products. Here is a row of products we saw:

Note that all of these top products are FBA products, and are eligible for Prime Shipping. We also see a lot of repetitive keywords, “BPA free,” “leak-proof,” and “spill-resistant.” These keywords apply to the reusable bottle we also sell. Now we go to Amazon Seller Central and create a listing using these exact keywords. We end up with a “Reusable water bottle with Leak Proof, Spill-Resistant Lid, and BPA Free.”

By maximizing your keywords in your titles, Amazon will be more enticed to list your products. With more eyes on your product, the more traffic and sales you’ll gain as well, thus increasing your product ranking. Keywords are a great and easy tool to optimize your listings, and can take as little as a couple of minutes!

Strengthen Your Product Page

To better understand your customers, you have to put yourself in your customer’s shoes. If an interested customer is shopping on Amazon and comes across your listing, the next step for the customer is to click on your product and examine your product’s page. If you shop on Amazon, you’ve probably read hundreds, if not thousands of product pages. In order for a customer to feel confident enough to purchase your product, they’ll closely analyze your product page.

Good product pages also have 1. Professional, clear photos of the product, and 2. Detailed, concise, and easy-to-read product descriptions. The better your product page, the more likely customers are to buy your product.

You want to ensure all of your products have nice photos. If you don’t have a photo of your product, you have 2 options:

  • If you sourced your product from a manufacturer or supplier, ask them. They usually have professional stock photos of your product and can provide them to you.
  • If you sourced your product elsewhere (arbitrage, dropshipping, private label, etc.), you may have to take the photos yourself. Hire a professional photographer or take photos of your products using a good camera with a clean background. Take multiple photos of your product and from different angles. The more detailed the photos, the better.

Next is your product descriptions. Here are some tips to writing concise and clear messages:

1. Write about your product’s benefits, not just the features. What value does it bring to the customer?

2. Write in bullet points. Keep your sentences short, simple, and easy to read.

3. Write with KEYWORDS. Just like your title, keywords are everything! Add popular keywords you see from your competitors and apply them to your listing.

4. Write about additional benefits. (Do you provide warranties? Return policies? Defect policies?)

You might not get the perfect photos or descriptions on the first try. Continue to improve both the photos and descriptions when you can to optimize your listings. If you want to convert more customers and increase your Best Sellers Rank, start with improving your product’s page!

Engage with Your Customers

Customer engagement is the key to acquiring new customers and keeping existing customers.

First, customer engagement is a great way to answer any questions or concerns your customers have about your products. If one customer asks a question, you can expect that hundreds more are wondering about the same question. By engaging with your customers, you solve any problems or obstacles that were preventing customers from buying your products.

The second benefit is resolving any conflicts such as negative reviews and ratings. Negative reviews reflect poorly on your product and your brand. The last thing you want to lose is brand trust. If customers see tons of negative reviews on your products, they’re less likely to take a chance and buy a bad product. If you monitor your ratings and reviews, you can issue refunds, send new units for defects, and improve your relationship with your customer. Always remember, your reputation and trust are everything on Amazon.

The third is social proof. What’s better than negative reviews? Positive reviews. The more customer service you provide, the more likely they’ll be satisfied with your product and brand, they might even submit a positive review and rating. Better yet, they’ll recommend your brand and product to a friend! You’ll see that with good customer engagement, the investment will roll over 10x. It’s not just about keeping customers but building brand loyalty.

These are just 3 of our hundreds of benefits of customer engagement. While customer service may require more work and resources, it is definitely worth the investment if it leads to more sales and higher sales ranks!

Diversify Your Traffic

The more traffic your products get, the more sales you collect. The most common traffic comes from organic searches, with shoppers searching for something on Amazon and then they come across your product. While organic traffic is great, there are plenty of other methods you can implement to increase your traffic from multiple channels.

1. Creating a website

If you don’t have a website for your Amazon business, you need to create one NOW. Websites can rack up a lot of traffic. Use your website to share your products and listings on Amazon. Share memorable quotes from satisfied customers or showcase your catalog of products. Websites are extremely diverse and can suit any need or strategy.

2. Connect with Your Subscribers

Do you have a YouTube channel? Maybe a monthly newsletter or email list? Or do you have a Facebook group online? Whatever your audience is, connect with them! Use different tools and resources ranging from emails to social media posts to share your products and get more eyes on your listings. Include links back to Amazon and see who clicks!

3. Amazon PPC/Sponsored Posts

Sponsored products are also a great way to build brand awareness and visibility for your products. When shopping on Amazon, the first 5-10 products you see are “Sponsored” products, this is Amazon’s paid per click (PPC) ads. Amazon PPC campaigns are an extremely useful tool to spread your products all over Amazon and showcase your products front and center. You can pick which keywords to target, place a spending budget, and try to get more paid traffic towards your products and sales in your pocket. While this traffic channel is great, remember that it can cost a lot of money and reduce your profitability.

Whichever method you decide, be sure to diversify and increase your traffic as much as possible. The more eyes on your products, the better!

Rank With Better Products

With these strategies in mind, our last tip is to pace yourself. Improving your Amazon sales rank is not an overnight process. Products don’t jump to Rank #1, test and reiterate until you unlock the best strategy possible. Eventually, any of your products can hit #1!

Along with these strategies, an important part of Amazon’s Best Seller Rank is selling good products. Even if you implement all of these strategies, none of it will matter unless you sell high-quality products that fulfill the needs of your users. Finding great products starts with great product research. If you’ve struggled with product research in the past, you should try out Sellgo’s product research tools like the Product Tracker, which helps sellers find high-demand, high-quality, and high-sales products that can take you to #1.

What is Amazon’s Sales Rank? (Best Seller Rank)

If you shop on Amazon like the rest of us, you’ve probably come across Amazon’s product sales rank, otherwise known as “Best Sellers Rank” (BSR). The BSR is used by Amazon to rank all of its products based on how many people are buying them. Think of it as walking into a store, and seeing a giant “Most Popular Items” sign indicating which products are the most purchased by shoppers. Amazon’s sales rank is the same thing, except Amazon ranks millions of items and ranks all of them from most purchased to least purchased. While you may think it is only for shoppers, Amazon’s sales rank system is also a great tool for Amazon sellers.

In this article, we’ll be breaking down the logistics behind Amazon’s Best Seller Rank and how sellers can leverage product rankings to growing their own Amazon business.

What is Amazon’s Best Seller Rank?

Amazon’s BSR system is based on each product’s recent and historical sales performance within a specific category. Amazon has dozens of categories and thousands of subcategories. Amazon checks the historical sales performance of all the products within the same category and ranks them from most sales (Rank #1) to least sales. A product’s rank is updated hourly to reflect recent and historical sales of every item sold on Amazon. The higher amount of products sold, the higher the Sales Rank will be.

For example, under the category of “Cellphones & Accessories,” we saw that the #1 Best Sellers Rank product was this “Ailun Glass Screen Protector.” That means that this product has had the most recent sales of all the products under the “Cellphones & Accessories” category. Within the next hour, this product’s rank may drop based on its sales performance.

How to find Amazon’s Sales Rank?

There are two main methods to find Amazon’s Best Sellers. The first method is through Amazon’s Best Seller page. You can access the Best Sellers page through Amazon’s Homepage. Simply go to Amazon.com, find the taskbar on the top left of the page, and click “Best Sellers.” Then, simply choose which category you would like to browse and a new page of the top products will appear.

The second way to find a product’s sales rank is through its product page. Find any product you hope to research, click on the product’s page. Then, scroll down to the Product Information. There you will find a small table with a row with “Best Sellers Rank” along with the product’s ranking and which category it is ranked in.

What does Sales Rank Mean for Sellers?

By now, you might be wondering, what can I use Amazon’s Best Seller Rank for if I sell on Amazon? Well, there’s are 2 great ways to utilize sales ranks as a seller.

1. Expanding Your Inventory

The most direct benefit is finding new products to sell on Amazon. Amazon’s BSR shows you the most popular and purchased products on Amazon. This means the products have high sales potential and are sought out by online shoppers. Higher sales also mean higher reviews and ratings, which also play a part in Amazon’s sales rank. Sellers who need there their new, high-demand products can look to Amazon’s BSR as a good starting point.

2. Scouting Your Competitors

By looking at a BSR product page, sellers can see who is selling each product, which products are sold by Amazon, and how many competitors are already sourcing and selling a best seller. Even if you don’t want to sell the same products as other sellers, the sales rank shows you an insight into your competitor’s selling strategy. Maybe your competitors are selling products you should too! Use the BSR to scope out the competition, identify different strategies, and then improve your own Amazon strategy.

Important Facts about the BSR

Before you start sourcing the best-selling products and hope to make some sales, there are a couple of things to note.

BSR Overtime

The first note about Amazon’s Best Seller Ranking is that the system is extremely volatile. What we mean by volatile is that a product’s rank can change dramatically and frequently. What does this mean for sellers? Don’t rely on the current rank of a product to estimate its sales and profit. A product could be ranked a top 10 seller on one day and ranked #1000 on the next. 

When looking at a product’s ranking, look at its historical and long-term performance instead of its current ranking. See how the product has performed over multiple months or years if possible. That will give you a much better picture of the product’s success.

Seasonality

Another note is on seasonal products. Seasonal products are products that sell very well in some parts of the year, and very poorly in the next. We touch on seasonal products in our article on Evergreen Products, but the short story is: stay away from seasonal products. Look at a product’s rank over time to ensure it sells well throughout the year, That way, you can guarantee sales and profits all year long.

Should I rely on Amazon’s Best Seller Rank?

The simple answer is no. While Best Seller Rank is super important, it is not the only factor you should account for. Along with sales rank, you should also use these strategies to source your products:

BSR vs. Sales Estimation

Sales estimation works alongside the BSR and can give you an estimate of how many units you will sell per month and how much stock you should order. For example, you find the best-ranking product (ranked #1). You estimate that product sells 1,000 units a month and has 10 sellers, you can estimate that each seller (based on their model and price) will sell around 100 units a month. With the sales estimation, you can expect to sell 100 units in a month, so you should source 100 or more products per month. You can then take this amount to check how profitable the product will be. If you sell 100 units a month at $8 per unit, you will have $800 of revenue in one month.

By using sales estimation alongside the Best Sellers Rank, sellers can get a better idea of how many units they will sell, how many units to source, and how profitable the best-selling product will be.

If you don’t have a sales estimation tool, check out the Sellgo Chrome Extension. The Chrome Extension will provide sales estimation, sales rank, and competitor sellers for any product sold on Amazon. That way, you can use BSR and sales estimation all in one place!

BSR vs. Keywords

Another strategy sellers can use with the BSR is keyword research. One thing to note is that Best Sellers Rank does not impact visibility, keywords do. Keywords are the search terms used when shopping on Amazon. For example, if you wanted to purchase a reusable water bottle, you might search “Reusable water bottle BPA free” on Amazon. Amazon’s algorithm will find products that utilize all the keywords (reusable + water bottle + BPA free) to find the best matching product. Keywords play a bigger role in product visibility.

To use BSR with keywords, look at the products with the highest ranks and see what people are buying. In our previous example of the Ailun Glass Screen Protector, it was the #1 ranked product under “Cellphone & Accessories.” Since we know that this phone protector is selling well, we can infer that cell phone protectors are in high demand. As a seller, you can leverage this information to find other screen protectors and trends to source new products and increase visibility.

Expanding Your Toolkit

Amazon’s sales rank is a valuable tool that every seller should use to start product sourcing, but it is not the only tool and strategy they should use. Sellers should also take advantage of sales estimation, keywords, and other FBA tools to expand inventory, increase visibility, and improve profitability for their Amazon business.

One tool we recommend is the Sellgo Chrome Extension, which provides sellers with sales estimation, product ranking, and all the information we talked about in this article. If you want to accelerate your business or optimize your sales, head over to Sellgo and evolve your Amazon business today.