If you are searching to become an Amazon seller and I guess there is no explanation needed to define the potentiality of Amazon.
There is a huge queue of people who want to sell on Amazon and this concern is justified as more than 50% of Amazon sales is made by 3rd party seller.
The answer to the query of How to become an Amazon seller is very simple. There are 5 to 6 steps to start the store on Amazon however, to become a Profitable seller on Amazon need some efforts.
To run a profitable Amazon store there are some steps that you must follow while becoming an Amazon seller.
In this article I will tell you the following steps to become an Amazon seller:
- Setup Amazon Seller Account
- Choose a Product to Sell on Amazon
- Find the Supplier and Choose a Seller Type
- Listing the Products on Amazon
- Select the Shipping Method
- Tips to become a Successful Amazon seller
Let’s become an Amazon seller.
Setup an Amazon Seller Account.
To become an Amazon seller you must register yourself on Amazon Seller center and make Amazon seller account.
- Register yourself on Amazon Seller Account by clicking on start selling.
- Choose the Type of Account.
There are two types of account on Amazon. Individual and professional.
Individual Account: There is no monthly fee of this account, although you can sell a maximum of 40 items/month and have the access to 20 categories. There is a per-item fee of $0.99 that will be charged on every item sales.
Professional Account: There is a monthly subscription fee of $39.99 where you can sell more than 40 items monthly. A professional account holder can get into any categories, however, there are some restricted categories that can be accessed after the approval.
If you are a newbie and planning to sell items up to 40 or less then you should choose individual account otherwise goes for the professional account.
- Sign up by entering email and password and enter the following information;
- Legal Business Name
- Contact Information
- Bank Account Information
- Tax Information
- Product Information
You will also need to provide a display name – the name that will be shown to your customer, so you would better to choose it from the public’s point of view.
After providing all the required information you’ll see a home screen of your newly created account.
How to Choose a Product to Sell on Amazon
Selling is all about what you offer in the market. Your product is the foundation of your ecommerce store if that did not goes right nothing can help you to save your ecommerce store to take a nosedive and demolish into pieces.
Therefore, you have to be very conscious about choosing the right product to sell on Amazon. To do so, there are three tips to choose your product to sell on Amazon in order to become a profitable seller on Amazon.
1. Find out Trending Product
There is a misconception about this marketplace – to sell the product that no one else is selling. Well, in reality, you have more great chances to succeed on Amazon by going with the proven product who had become the best seller product on Amazon.
Always go for the trending product whose demand is greater than the supply. Go the page Amazon bestseller page and find out the best seller product from the niche that you want to get into.
2. A Product with Impulse Buying Potential
Impulse buying is like a complimentary product on the super-mart counter that easily entices a customer to make a purchase.
For an online business, the products that fit in impulse buying can easily become cash cows of your ecommerce store. Go for the product that has a price range between $15 – 50. Product between these prices is more likely to purchase in an impulse buying decision, no matter what niche you target.
3. A product that can become novel
To become a brand you’d have to be unique. It is tough nowadays when the competition is that brutal.
To make a brand does not mean to offer a different product. It means to choose a product that you can easily portray with innovation such as; with the cool brand name, with unique packaging and coloring or even with the better representation.
Choose the product that you can make it as different as possible that will give you a competitive edge and likewise increase the chances to sell successfully.
Find the Supplier and Choose Seller Type
Once you find a perfect product to sell then you need to find a supplier and the type of seller that you are willing to become.
Before starting your hunt to find a supplier, you need to understand the type of seller that you want to become, generally three types of seller you will find on Amazon:
Private Label: It is one of the most effective business models on Amazon. In this type, you order an already manufactured product from your supplier and sell it on Amazon by putting your label and logo on it.
Retail Arbitrage: It is the ideal seller type for an individual seller. You buy a product on a discounted price from clearance sales or auction and sell it on Amazon on a higher profit margin.
Wholesale: Buy in wholesale and sell in retail. You purchase an item from a famous brand in wholesale and then sell it to your Amazon store under their brand name.
It’s completely up to your preference and condition of what type goes best for you.
How to Find a Supplier:
You know the type of seller that you want to become, now you need to understand how to choose the best supplier for you.
In retail arbitrage, finding a supplier means continuous research to find discounted products from clearance sales or auction. In this case, there are some tools, which can help you to find the best-discounted product, such as; Profit Bandit App, Amazon free barcode scanner and Scanpower.
Private label selling is one of the most sought after seller type and for the private label, you cannot find a better supplier than Chinese ecommerce giant Alibaba.
For Wholesale and Private Labelling, the best supplier for both seller type could not be better than Alibaba. It helps you to connect with overseas manufacturers, by that you can buy your selected product in bulk.
Tips to choose the best supplier
Find Gold Suppliers:
The gold suppliers on Alibaba are the premium supplier who has a great record of accomplishment and history on Alibaba.
Go directly to the gold supplier will quickly take you down to the point of credibility in the funnel of finding-a-supplier. It will help you get contact with genuine suppliers.
Tell your Need in Multiple Question
Once you narrow down the supplier’s list. Prepare a series of question that covered each and every aspect of your need so that you can better identify the supplier who can help your business to scale up.
Get the quotes from the suppliers that you would have finalized from the shortlisted supplier. Then evaluate the best deal you are getting in your budget. Make sure to get a quality product at a reasonable manufacturing cost.
Ask for Sample
The final stage of selecting a supplier is by asking them for samples of their product. 2 to 4 sample from the different suppliers would be enough for you to select your ideal supplier for your Amazon store.
Listing the Products on Amazon:
So you know what product you have that you can sell, now it is the time to list it on your seller account. Listing is a crucial step where you tell a customer about your products via its description, pictures, titles and add all necessary information that customer needs to know about your product.
While listing your product these are some key points that you must consider to optimize your product listing.
Select Right Keyword
The major aspect of product listing is adding a keyword – search term on which your product should be shown. This will make sure that your product is alive in the search result.
To choose the right keyword you need to think from the customer’s perspective.
All you need to do is to enter your competitors ASIN (Amazon Standard Identification Number) that identifies the product in the Amazon.com and it will show you all the related keyword to that product.
You can also include backend keywords – related keyword – you add similar keywords in the option of backend keyword that increases your chances of visibility.
Get Great Picture of Your Product
In online selling, pictures are sole representation of your product so you cannot compromise on that. On Amazon, you need 8 pictures per items so always seek out for expert assistance for your product photography.
There are many experience freelance photographer available on Fiver and Upwork that could help you out here to get the best picture of your product.
Write a Comprehensive Product Description
The product description is the place where you can easily convince your customer for your product. It should be written in simple ways that customer should easily understand the features and message of your brand.
Try to use a bullet point in your product description to make it easier to understand.
How to List Product
- Go to the Dashboard of your Amazon Seller Central page.
- Click on Inventory.
- Click on Add a Product.
- Click on Create a New Product Listing.
- Click Select on the category.
- You will now be redirected to the setup page for the listing.
- Toggle to ‘Advanced View’.
- Find the Vital Info page and complete each of the fields as appropriate.
- Find the Offer page and complete each of the fields as appropriate.
- Find the Description page and complete each of the fields as appropriate.
Select the Shipping Method
Now you have ordered and listed your product on Amazon but before that, you have to select the shipping method to deliver your customer’s order.
To ship your product you have two options either you do it yourself or let Amazon do it. In other words, either go for FBM (Fulfilment by Merchant) or FBA (Fulfilment by Amazon).
What is FBA?
FBA is a service offered by Amazon that handles the services of storage, packaging, and shipping. In this method all you need to do is to ship your product to Amazon fulfillment centers from there Amazon will handle everything.
When a customer order something from your store Amazon will pick your product from its fulfillment center, pack it up, deliver it to the shipping address, and provides the customer support services.
However, Amazon charges some fees against their services. Check out the charges here.
What is FBM?
FBM means you yourself fulfill the services of storage, packaging, and shipping.
In this method, you list the product on Amazon, when a customer makes a purchase you need to pick up the product from your storage, do the packaging and deliver it to the customer.
You need to take care of all the process of storage and shipping as well as the customer support service.
What to Choose?
If you have the warehouse or place to store your inventory and a team who can handle the customer support services then you can go FBM, otherwise, there is no better option other than FBA for you.
Now you know almost everything related to ‘how to become an Amazon seller. However, to become a successful seller there are some more you need to do in order to become a successful Amazon seller.
Tips to Become a Successful Amazon Seller
Have at least 50% margin:
Although many successful ecommerce sellers suggest charging 3x or 4x times the cost of product depending on the product. Initially, you have to charge at least 50% to keep yourself on the profit end.
Marketing is extremely crucial to make your product visible. There is no harm in outsourcing your marketing services and let the professional do it for you.
There are multiple Amazon marketing agencies that launch and promote the product, especially for Amazon seller. In our article Cost of selling on Amazon, we have mentioned two great marketing services for newbie Amazon seller that are Jumpsend and Pageoneify. Other than that, PPC campaigns are also effective to rank your store on top of the search result.
Make Website of Your Store:
A professional website makes your business more credible and expand can also expand your offering by driving customer from your Amazon store to your website. This is a productive way of marketing that helps to attract potential buyers.
Increase Your Listing:
You need to be a continuous hunt for the product to offer on Amazon. The bigger the item list the bigger the chances of profits. Increasing the item helps to find out the winner product that can help you earn big money.
So far you have understood how to become an Amazon seller. Now what?
To keep up in the eCommerce there is one rule and that is ‘hustle must go on.’ You cannot sit back and relax once you start selling the product through Amazon.
Keep on testing, never stop to experiment with the products you never know what product can be your winning product.
Learning is good but try to seek expert opinion and assistance to become a successful Amazon seller. Outsource the services to expert always have a positive impact in scaling up business.