How to Find Profitable Wholesale Products to Sell on Amazon

Amazon wholesale is a really good way to make money that 25% of sellers choose. You buy things at a big discount in large amounts, then sell them on Amazon for more money to make a profit. It’s important to find the right suppliers for Amazon wholesale, but it’s just as important to find profitable wholesale products. How can you be sure the products are good to buy in bulk? This guide will help you understand how to find profitable wholesale products to sell on Amazon

 

profitable wholesale producst to sell on amazon

How Does Wholesale Work?

In the Amazon wholesale business, sellers purchase products in large quantities at a low wholesale price from brands or distributors, then sell them at a higher retail price on Amazon to make a profit.

In this business model, your main jobs are to locate a product supplier (brand or distributor) and select their best-selling and most profitable products to sell on Amazon.

Here are important things to remember about wholesale:

Product Research

It’s vital to choose products wisely before buying in bulk to ensure they are profitable and in demand. Avoid items that could cause issues like intellectual property complaints or restrictions that may lead to losses.

Supplier Network

Convincing a brand or manufacturer to add you as a distribution channel can be a challenge, especially if they already have a sales network set up. Building rapport and proving your value are key.

Supplier Preferences

Some suppliers may prefer working with sellers using various sales channels, not just Amazon. Highlighting other successful Amazon sellers carrying the brand can help persuade them to work with you.

Minimum Order Quantity (MOQ)

 Expect big brands to have high MOQ requirements, meaning you need to invest a significant amount upfront to meet these minimum orders.

Building Supplier Relationships

It takes time to establish trust and convince suppliers that you can boost their sales. Showcasing your Amazon sales experience and negotiating skills can help secure discounts and better terms.

Low Advertising Costs

Selling a popular brand on Amazon typically requires minimal marketing investment since the brand likely handles promotion activities on the platform.

7 Tips for Buying Wholesale Products to Sell on Amazon

Here are some helpful tips to keep in mind when purchasing products in bulk to sell on Amazon.

Research Products Before Buying

Make sure to research products thoroughly before buying them in bulk. Understand demand, costs, potential profits, and any issues that may arise.

Don’t Give Up If Suppliers Say No

Stay persistent if a supplier initially rejects your offer. Keep communication open, understand their concerns, and maintain the relationship for future possibilities.

Show Added Value to Suppliers

Explain to suppliers how working with you can benefit them. This could include committing to purchase volumes or offering faster inventory turnover, show seriousness with a reseller certificate.

Account for All Costs

Calculate all expenses associated with wholesale purchases, Amazon fees, shipping, and other charges to ensure pricing is accurate and profitable.

Verify Suppliers’ Legitimacy

Check supplier reliability to avoid scams. Look for their presence on business directories, check their website details, social media activity, and customer feedback on search engines or platforms like LinkedIn.

Plan Fulfillment and Shipping

Decide if you’ll handle shipping or use Amazon’s FBA service. Discuss shipping arrangements with your supplier, especially if using FBA.

Set Competitive Prices and Monitor Competitors

Price your products competitively while ensuring profitability. Keep an eye on market trends and adjust prices to stay attractive to customers.

How to Choose a Supplier for Amazon

Select a Suitable Category: Start by choosing a popular category that doesn’t require special approval to sell on Amazon.

Research Resale-Friendly Brands: Look for brands that are good for wholesale resale. Avoid super famous brands like Nike or Apple, which usually have high minimum order quantities and restrictions on reselling.

Validate the Brand’s Suitability: Ensure the brand meets specific criteria to be friendly for reselling. This includes checking for US-based suppliers, a certain number of listings, no direct selling on Amazon, no intellectual property issues, and not being sold by Amazon directly.

Use Tools for Checking Restrictions: Utilize tools like Seller Assistant’s Bulk Restrictions Checker to see if there are any restrictions on the products you want to sell. Green means you can sell, red means you need approval, and a red with an exclamation mark means you can’t sell them.

Prioritize US Suppliers: Look for brands with U.S. zip codes for fast delivery, authentic products, and proper invoices.

Minimum Listing Requirements: Choose brands with at least 200 listings to ensure a good selection for resale.

Avoid Brands Sold by Amazon: Steer clear of brands that are sold directly by Amazon or have exclusive distributors on Amazon. It’s harder to compete in those cases.

How to Research Amazon Wholesale Products?

Wholesale sellers need to thoroughly research all products they plan to sell because they purchase a large number of each item. If a product doesn’t meet the requirements or doesn’t sell well, the seller could lose a significant amount of money.

To conduct effective research and validation of wholesale products, sellers utilize tools like the Seller Assistant. This tool is widely used by wholesale sellers to find top-performing items that can be successfully sold on Amazon.

It conveniently displays crucial product information across Amazon search, product, and inventory pages, making it easy to determine if an item is suitable for selling. In addition to standard research features, it offers an IP Alert database to avoid problematic products, a UPC/EAN to ASIN converter for identifying corresponding ASINs, a Bulk Restrictions Checker for efficient eligibility checks, a Quick View feature for speedy research, Seller Spy for competitor monitoring and other useful functionalities.

In conclusion

The main job for wholesale sellers who purchase products in large quantities and sell them on Amazon is to locate suppliers offering these products at low prices and resell them on Amazon with a focus on maximizing profits. It’s crucial to thoroughly research the products beforehand to ensure they will generate the expected profit since a significant amount of money is invested in these items.

Author:

Seller Assistant