INSIDE: Amazon is now one of the most popular sites for selling not only new but also used goods. You just need to know how to find the best products to flip on Amazon, and we’ll show you how!
eBay isn’t the only game in town when it comes to online reselling.
In recent years, Amazon has quickly picked up popularity among those looking to earn a profit from new and used goods. Not every product is going to be a winner, however. If you want to be a profitable Amazon seller, you need to know the best products to flip on Amazon.
Benefits of flipping items on Amazon
One of the main reasons Amazon has become so popular among resellers is the built-in audience.
In September 2019 alone, 150.6 million mobile users accessed the Amazon mobile app. In comparison, the second-ranking app was Walmart with just 86.05 million users. That’s only double their biggest shopping app competitor. eBay came in third in 2018.
Another reason Amazon has become so popular is their FBA, or Fulfilled by Amazon, program.
This allows sellers to ship their available inventory to an Amazon warehouse where it is stored until sold. Then, Amazon employees pack and ship the merchandise. Storing inventory and shipping can be big expenses and headaches for sellers. This opportunity takes it off your plate.
If you aren’t moving inventory, however, that storage space can still cost you money. Amazon charges by the square foot. Therefore, it’s important to choose your products to sell wisely. You’re in this business to make money, not just spend it.
Top-selling categories on Amazon Marketplace
Sellbrite lists some of the most profitable categories as Toys & Games, Camera, Electronics, Video Games, Books & Fashion. One thing to note about Amazon’s top-selling categories, however, is they may not be available to you as a seller, especially as a new seller.
Several categories, and many individual brands, are “gated.” This means you will need to be approved by the site or brand prior to listing items.
A few of the current restricted categories include popular items among sellers such as automotive, jewelry, video media, and even toys & games during the holiday season. For this reason alone, it’s so important to do your research and keep it current.
Jungle Scout does an annual sellers report which always offers a wealth of information. Their 2020 survey found some of the most popular categories among sellers to be:
- Home & Kitchen
- Sports & Outdoors
- Toys & Games
- Health, Household & Baby Care
- Beauty & Personal Care
- Kitchen & Dining
- Clothing, Shoes & Jewelry
- Garden & Outdoor
- Tools & Home Improvement
Just because a category is “top-selling,” however, doesn’t necessarily make it the most profitable. You will need to dig down into individual product research to find that out.
How to determine if a product is worth flipping on Amazon
There are a few essential things you want to look for when looking for a top-selling product to sell on Amazon:
- Low investment
- High demand
- Good profit potential
- Low competition
It’s so important to do your research into products and product sourcing opportunities as a beginner.
Amazon itself provides a list of top selling items that is updated hourly. This can be a great place to check out what’s trending.
Once you know what an item is selling for you need to consider your expenses. That not only includes your price to purchase, but also selling fees. Amazon offers a FBA Revenue Calculator that can give you an idea.
Luckily, there are a number of Amazon seller apps that can make your job easier.
Amazon seller apps
Amazon Seller App – This is an app created by Amazon and you will need an Amazon seller account to use it. The best part – it’s free! Once downloaded, you can start scanning or searching possible Amazon flips. The app can help you:
- Check a product’s price on the site
- Check FBA fees
- Get an estimated profit
- See the Amazon Best Seller Rank (BSR)
- Check the competition
- See what Amazon category the item falls into
Scoutify 2 – This is another heavy lifter popular among Amazon sellers. It does require a professional Amazon seller account. It does a lot of the same things as the Amazon Seller app with a few extra, helpful features:
- Connect a bluetooth scanner to increase your scanning speed and bypass your phone’s camera
- It’s faster
- Include sales tax in your calculations
- View price and rank history on a product
Scoutify 2 does come with a price tag, however. It currently costs $49 per month after a 30-day free trial.
Jungle Scout is a chrome extension that will allow you to do some research at home. This browser extension can help you spot keywords, look for low competition and see how a product has trended over time.
There are tons of apps out there. These are simply two of the most popular and most comprehensive. Find one you like and that makes sense for your business.
Where to source the best products to flip on Amazon
As a new business, you may be wondering where to find these great Amazon products to flip. There are several good options:
Jungle Scout not only has some great lists of best-selling categories and trending products, they can also help you find items to flip for a profit.
One thing to remember about using a service like this is that thousands of other Amazon sellers are using it as well. This can mean a lot of competition when it comes to selling the products you have sourced. That can decrease your profit margin. Sometimes easy doesn’t mean best.
Clearance Arbitrage can be done locally and is a favorite of The Selling Family. Jessica shared her story extensively with me in a past interview. They find a lot of their best products to flip at places like Big Lots or Grocery Outlet. They specifically scope out discontinued everyday items that people who love the item may be willing to pay a premium for when they can no longer find it themselves.
Direct from the manufacturer or distributor
Direct from the manufacturer or distributor is another way to go and an avenue increasingly popular among sellers who have found their niche.
This option is always almost a requirement with some gated categories and/or products. This route can be quite an investment so it isn’t typically recommended to those just starting out and without a lot of expendable capital.
Final thoughts about finding the best products to flip on Amazon
While you’re considering what items you want to flip on Amazon as a new seller, remember these simple tips:
Stick with what you know
One of the best places to start product sourcing is always around the house because you know these items best. You know how much they cost originally and their condition. You may know if the item has garnered interest from your friends and could be sought after by others. And of course, you may even be passionate about the product category as a whole.
If you don’t know, do you research… first
Every reseller makes mistakes. You are bound to make some bad buys. But, much of that can be circumvented by simply pulling out a seller app and scanning the item. Or even doing a quick spin on the eBay app to see what an item has sold for recently.
–By Angie Nelson