The entry barrier in Amazon’s FBA program is at an all time low. There’s no better time to sign up and start selling on Amazon than today, even if you have minimal funds to invest in the undertaking.

Fulfillment By Amazon (FBA) is an innovative business model that fosters opportunities for merchants of all sizes. That’s because Amazon takes care of logistics like inventory, shipping and returns. That means all you have to do is list products, get customers to buy your products and make a tidy profit, all without dealing with logistics.

To start your own FBA business, you have to set up an Amazon seller account. Setting up an account is a straightforward process you can complete in under five minutes. What you have to note is your first month in the FBA program is free. For Consequent months however, you pay Amazon $39.99 to handle all the logistics on your Amazon store. Amazon will also take a commission for every product you sell through the store.

Private Label Products for FBA Branding

Once you’ve created your Amazon seller account, don’t rush to sell just any other product. There are lots of opportunities like private label products. Private label products place you in the fast lane to establishing your own brand on Amazon.

By creating a brand, customers learn to associate your name with particular products which makes it easier for people to discover you on Amazon. Before you can start leveraging private labeling on Amazon however, it’s important to first conduct an in-depth market analysis. Without proper market research, it can be difficult to note products that are doing well on Amazon. That leaves you susceptible to jumping into product categories with low sale volumes.

Hence, the first thing you do during your market research is scouring through the popular product sections in Amazon. You should be extra cautions especially during holiday periods where some products become popular overnight. These products lose their popularity after the holidays making them a poor product choice.

Competitive Analysis

After identifying popular products on Amazon, the next step is to conduct a competition analysis. During this step, you’ll be able to tell if it’s advisable to sell a product or not. If you that one popular product category is dominated by a giant wholesaler, chances are that you will not be able to break into that market. Customers already associate the product with the seller, making it difficult for new sellers to claim a market share.

On the other hand, if a popular category is populated by small scale sellers, there’s a chance to clinch an impressive market share. Read through customer reviews to unearth customer dissatisfactions with the products. Armed with that information, make sure your products address the customer dissatisfactions, and you’ll be on your way to making a brand name for yourself.

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