Unlocking Product Research on Amazon: The Ultimate Guide [2023]

Understanding the Amazon marketplace and identifying profitable products to sell is key to scaling your e-commerce business. It requires meticulous Amazon product research that will help you understand and anticipate the needs and preferences of your target market.

However, between balancing demand, competition, profitability–and whether or not you can access and sell the products–this can be a complicated process. Finding the best products to sell on Amazon requires analyzing market trends, scouting out the competition, examining profit margins and product profitability, and learning customer preferences and behaviors. 

This article is here to demystify the Amazon product research experience and provide the top tips and tools to reach new heights of ecommerce success.

What is Amazon Product Research?

Amazon product research is an in-depth analysis on data and market trends to find profitable product ideas and market opportunities. It looks at consumers’ demands and expectations for products and how competitive the Amazon marketplace can be for certain niches.

This product research involves studying factors such as the sales volume of potential products, competition level, customer reviews, pricing variations, and more. The goal is to identify products that can be sold successfully on the platform and to understand what customers are looking for–thus reducing risk and maximizing potential profits for the seller. 

How to Conduct Amazon Product Research

Let’s take a step-by-step guide into conducting proper Amazon product research, with important tips and tricks to help you start your Amazon seller journey.

1. Product Demand Research

Product demand research is a step companies, and sellers use to find the potential success of new products or services within a targeted market. It involves a deep dive into the consumer’s needs, preferences, and purchasing behaviors to see why the product has such a high demand and how the seller can achieve that. 

Start by exploring Amazon’s Best Sellers list to gauge what products are currently popular among consumers. These lists are updated hourly, making it a reliable source of real-time demand data. If a product has a BuyBox, that could also be an indicator of high demand. The purpose of the BuyBox is to make purchasing the product easier and quicker for the customer, meaning the product is always being bought. 

As a seller, you should be focused on the search volume, seasonality, and customer base for the product you want to sell. These factors can provide insight into why this type of product has such a high demand.  

Seasonality

For seasonality, look to see if this item is a part of a trend. If you want to see consistent sales throughout the year, you want to avoid a product that is strictly seasonal. Good examples of seasonal products: 

• Jackets
• Gloves
• Rain boots
• Gift cards

Search Volume

If you want an idea of how popular or in demand the product you want to sell is, check the search volume. Keyword research tools work best when it comes to search volume. Type in the keywords and search terms that are associated with the product and see their volume. 

If the keyword has a high volume, that often means the product is in high demand. 

Customers

Looking into the customers that buy the product can also help with product demand research. By reading reviews, you can see how often the customer buys the product and why. If there are plenty of reviews about the product, it could be in high demand, especially if there are positive reviews. Reading reviews can help you understand what the customer enjoys about the product, which can contribute to its high demand. 

If you still feel that you need help with demand research, you can always use Amazon tools like Sellesta to give you direct insights on the demand for the product and its search volume. 

2. Customer Research 

Since you’ve started reading reviews, then you’re ready for the next step, customer research!  

This step involves identifying key demographics such as age, gender, location, and purchasing habits. This helps the seller become familiar with the demographic that buys the product they intend to sell. The sellers can see why customers continually buy the product and incorporate that into their product and marketing strategy. 

Do they like the price of the product? 

Is the product durable? 

Is it easy to use?

To perform customer research manually, check Amazon’s customer reviews and the “Customer Also Bought”  section to get some valuable insights into customer preferences. 

You can also leverage social media to see what products are popular, any new influencer trends, or what products have positive Amazon reviews. 

Or, you can use a platform like Sellesta! Sellesta’s Market Research provide sellers and agencies with all the data needed to transform their marketplace strategy. Sellesta offers each user the opportunity to: 

• Track their competitors’ financial performance, missed revenue opportunities, product launches, etc. 
• Each category’s trends, competition levels, and seasonality
• Sort products based on competitors
• Use Brand Analytics to view competitors’ product portfolios and sales metrics
• Estimate the costs of entering a new category or niche
• Get notified whenever a competitor is low in stock for a product

3. Competitive Research

Focus on the listing quality, pricing strategy, customer reviews and ratings, marketing strategies, and sales performance. Competitor analyses could reveal customer complaints, which sellers like you can use to their advantage.

If the competitor’s customer is unhappy with their products, you can market your product to their concerns and pain points. 

Sounds complicated and time consuming? Sellesta can help!

Sellesta can not only give user data and insight on their customer, but their competitors as well. Users are able to view their competitor’s performance, see what keywords are being used in their listings, and know what their customers like and dislike about them. 

With Sellesta, users are updated on any price changes, potential new marketing trends, new fast growing competitors–and that’s just the tip of the iceberg. 

3. Profit Research 

Profit research for Amazon considers various cost factors, including but not limited to: 

• Cost of goods
• Amazon listing and selling fees
• Advertising fees
• Shipping and handling costs
• Returns

Having a profit estimate before deciding to sell a product allows sellers to strategize, compare, and pick the most lucrative products from their list, which helps reduce the risk of financial losses.

5. Use Amazon Product Research Tools

Amazon product research tools allow sellers to make data-driven insights to make informed decisions about what products to sell, how to price them, and how to effectively market them, thereby increasing the likelihood of success in the Amazon marketplace.

These tools help sellers like you save time and focus on other important business tasks like marketing, creating ads, and more. 

What is the best Amazon product research tool? Sellesta. 

Sellesta’s AI-powered software provides all the information you need to conduct throughout Amazon product research. With Sellesta’s Market Research, you can: 

• Find the categories with the highest potential
• View competition level, trends, and the seasonality of Amazon categories
• Identify any red flags for certain niches before entering them

Sellesta also has a feature that can help consumers in their shopping experience. The Sellesta Quiz Widget can be added to a seller’s online store and asks shoppers 5 to 7 questions to suggest the right products for them. No coding or credit card is required! 

Furthermore, Sellesta has AI developed to help optimize your product listings by utilizing top-performing keywords and search terms. It also monitors competitors, among other features designed to help you significantly boost your ROI.

For more information on Sellesta can help you increase your ROI, sales, and conversions, book a demo today! 

Amazon Product Research Examples

Here are our recommendations for some of the best products to sell as a beginner or using Amazon FBA. You can still perform your own product research to find the right product to sell. However, this list is here to provide you with some ideas or nudge you in the right direction. 

Best Products to Sell on Amazon for Beginners

• Water bottles
• Air mattresses
• Dash cams
• Face masks
• Yoga pants 
• Phone charms
• Exercise mats
• Pet toys
• Sheet sets 
• Pillowcases
• Resistance bands

Best Products to Sell on Amazon FBA

• Hair growth oil 
• Skincare items
• Phone cases
• Ice makers
• Compact cooking burners
• Hoodies
• Graphic tees
• Portable car vacuums
• Car phone mounts
• Phone chargers

Use the Best Amazon Product Research Tool

Selling on Amazon is easier said than done. You need a strong game plan that is sure to make you a profit–one that includes a niche product, a fulfillment method, and stellar product listing rich with Amazon SEO and quality content. 

Effective product research on Amazon is the cornerstone of success. By harnessing the power of data-driven insights, understanding market trends, and employing the right mix of analytical tools, entrepreneurs can make informed decisions that lead to profitable outcomes. 

While the process can be complex and time-consuming, the rewards of a well-researched product strategy are immeasurable. Remember, the Amazon marketplace is dynamic, and the key to staying ahead is continuous learning and adaptation. If you want to conduct the most thorough product research, consider using an Amazon product research tool like Sellesta. 

Sellesta analyzes millions of points daily to help sellers: 

• Pick the right niche and product based on profitability and upcoming trends
• See category performance, revenue, and competition 
• Find emerging products 
• Keep tabs on their competitors positions, sales products, missed revenue, and more
• Stay up-to-date on market trends
• Get insights to help their business strategies

Plus, Sellesta will help you optimize your product listings, rank higher on Amazon, and see revenue soar.