Amazon market is becoming a global honey pot for potential sellers. Looking for tips on how to dive in and take a piece of the pot for yourself?
In this text, we will cover the basic steps for getting started in Amazon’s FBA (Fulfillment by Amazon) program. Certainly, some of the biggest advantage and attractions of selling on Amazon is that all the management, packing, and shipping is handled by Amazon.
Before we begin a few things to point out:
FBA Program can sometimes seem overwhelming, an important thing to understand is that throughout the journey of selling there will be some phrases, concepts that can seem unfamiliar.
Staying dedicated and passionate is what will push you through in becoming a successful Amazon seller and grow skyrocket revenues.
What is FBA Program?
FBA Business model allows you to use the gigantic Amazons network and its base of customers. As previously explained, Amazon will store your products, create orders and from time to time engage in customer support, your task is just to chose and supply the product as we will explain below.
That means you can safely dedicate your time in exploring new product opportunities and sales models while Amazon deals with all the operational work.
- Create an Account
One of the first steps is to create an Amazon seller account. Just visit Amazon’s website and inside the footer, there will be a link “Make Money With Us”. After that just follow the instructions, simple as that. Heads up: depending on your profile you may choose Professional or Individual profiles. If you are looking to build a long term business it is advisable to purchase a Professional account plan as it may prove more than beneficial in the long run.
- Choose the product
Successful Amazon sellers are spending a significant amount to various tools and software to ensure staying updated and in top of their game.
There are several tailored tools dedicated to finding the best possible product to be sold on Amazon. One of the most popular ones are AMZScount and Jungle Scout (you can check how they compare here AMZScout vs. Jungle Scout). By using one of these tools I have found that you may easily search for profitable products, estimate sales and foresee fees and profits for your future business. It is strongly advisable to look for a tool which covers all the things of your preference as there are a lot of them out there.
Be careful in choosing the products and make sure you’re entering a popular category of products or else you might start losing money before you begin selling.
After analyzing the potential articles you wish to apply your private label. General idea is to establish your own brand and then apply It to the selected product and start making sales on Amazon.
The thing to pay attention in this way of selling is you need a significant capital in a couple of thousands of dollars in order to build a stockpile of goods/properties for future sales. Avoid some of the beginners’ mistakes by investing in other products and dispersing your capital on potential ventures and products in the goal of higher return of investment. That way you will ensure your business stays on more product incomes, not just one if things eventually start going downhill so you can always discontinue the product that is no longer making a profit and focus on more profitable ones.
- Keep it short
Be mindful when choosing the supplier as you need to ensure the shortest time possible between the placement of the order and the actual delivery of the product. Customers are more likely to purchase from sellers that have short time delivery. This way you will ensure customers satisfaction and a positive sellers rating which naturally attracts more customers and looks credible to all other visitors.
Even though starting your own Amazon FBA business may seem like a lot to grasp in the beginning but potential profits on the long run are sure to be enough motivation for everyone trying to create a steady stream of income for themselves. Just be sure to:
- Use the right tools.
- Analyze, analyze, analyze…
- Keep an eye for new product opportunities.
- Stay true to the business plan.
- Keep customers happy.
And most importantly find pleasure in the work you do.