What To Sell?
Finding good products to sell is the most basic but yet important process in your online selling journey.
This process determines a big portion of your success and profit. You need to choose wisely.
Unlike the traditional retail marketplace, not every product will be a good fit to sell online. Let’s make this simple for you. Below, we have described what makes a product a “Good Product” to sell online and what makes it a “Bad Product”. Keep in mind that “ANY” Product can be sold online.
If your product is falling under the “Bad Product” category, it doesn’t mean that you will not be able to sell it, we are simply advising you to start your business with a product that falls under “Good Product” category, and once you have gained experience and knowledge of the marketplace, you can find the best practice and methods to deliver your product to your buyers.
The Good Product
1Sell price and Margins
Start with a product that sells for $10.00 or more. The best practice is to plan to sell 3 times the unit cost price to achieve favorable profit margins.
2Small and Light
A small and light product will cost you less to sell and fulfill than a heavy product. The heavier it is, the more it costs to have it shipped to you, and shipped out to your customers.
A good product is known in the market by consumers and they always demand it. Preferably, a good product is one that is being used by consumers on everyday basis.
4Easy To Source
As a seller you need to choose a product that you can source easily and continuously. The Goal is to sell a lot and sell out fast. You will have to be able to replenish the inventory fast and easy.
The Bad Product
1Heavy and Hard to Handle
As an online seller, the only option you have to deliver an ordered product is to mail it out to the buyer. The cost for shipping and handling a heavy product is high. Shipping damage and complication rate for a heavy product is high
2Electronics and Mechanical
Products that require a high standard of manufacturing to perform such as electronics, although highly demanded in the market, are expected to deliver functionality in high standard. If you are starting your online business, you want to stay away from sourcing products in this category to minimize the loss of profits, due to returns and complaints.
We believe in you and know that you can win the competition, but keep in mind that the products that are sold in the market by Powersellers, are hard to source and sell. Powersellers have established their market for these products with marketing and have assigned and spend a large amount to advertise. For a new seller, competition can be difficult to handle.
If your products contain materials that are hazardous to handle by a shipping service and consumers, you will have a hard time selling the product. These products require safety data and tests and this makes it less cost effective. In addition, selling platforms such as Amazon.com, could reject your product and refuse to store it in their fulfillment centers.
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