Top 5 Profitable Amazon Product Categories: Find Your Niche Today

If you’re an Amazon seller, you already know that choosing the right product categories can make or break your sales. Some are simply more profitable than others, making it crucial to focus on those that are in high demand and offer good profit margins. In this blog post, we’ll explore the most profitable Amazon product categories and provide some insights into why they’re so successful. 

Finding profitable product categories can be a daunting task, but it doesn’t have to be. With tools like Viral Launch’s Product Discovery or Market Intelligence, sellers can quickly and easily identify high-potential products and categories to target. These tools use data-driven insights to help sellers make informed decisions about which products to sell and which markets to target. By leveraging Viral Launch’s expertise and resources, sellers can stay ahead of the competition and maximize their profits on Amazon.

From electronics to toys and games, we’ll cover the categories that are making the biggest impact on Amazon and provide some tips for sellers looking to capitalize on these trends. So, whether you’re just starting out or looking to expand your product offerings, read on to discover the most profitable Amazon product categories.

Top Amazon Product Categories

1. Electronics

When it comes to product categories that are consistently profitable on Amazon, electronics is certainly near the top of the list. Not only are electronics some of the most in-demand products on the platform, but they also offer sellers the potential for high profit margins. In fact, according to a recent report by Jungle Scout, the electronics category was responsible for more than $96.97 billion in sales on Amazon (US) in 2022, making it one of the top selling categories on Amazon.

Within the electronics category, there are a few specific product categories that stand out as Amazon trending products:

  • Laptops: These are a hot commodity, as remote work and online learning continue to drive demand for high-quality, portable computing devices.
  • Smartphone: People upgrade their devices seeking out the latest features and technology. 
  • Smart home technology: Devices like thermostats, security cameras, and voice assistants are increasingly popular.
  • Gaming consoles
  • Headphones
  • Home theater systems

What’s particularly appealing about selling electronics on Amazon is the potential for high profit margins. While it’s true that some electronics can be expensive to source and ship, the demand for these products can make up for the extra cost. Additionally, many electronics have a high retail value, which means that sellers can mark up their prices and still offer competitive pricing. 

Of course, it’s important to research each product category and carefully consider factors like competition and seasonality before diving in. With the right strategy, though, electronics can be a very lucrative Amazon product category.

2. Health and Personal Care

The Health and Personal Care category has emerged as a growing segment on Amazon. With the increase in health awareness among consumers, this category has seen rapid growth in recent years. The convenience of online shopping and competitive pricing offered by Amazon makes it an attractive option for customers looking to purchase health and personal care products.

Some of the best-selling health and personal care products on Amazon include:

  • Vitamins and supplements: Vitamins and supplements category has seen steady growth in recent years, with a wide range of products from various brands. 
  • Personal hygiene products: Shampoo, soap, and toothpaste, etc.
  • Medical equipment: This subcategory has seen significant growth on Amazon, with products like blood pressure monitors, thermometers, and nebulizers being among the best-selling items.

The Health and Personal Care category also has the advantage of the potential for high profit margins. Many of these products have a high markup, making it easier to generate a healthy profit margin. 

However, researching products in the health and personal care category is crucial. As these products may be FDA-regulated, they could require specific labels, disclaimers in their product descriptions, and other selling requirements. Failure to comply with these regulations can result in legal consequences, such as account suspension or even lawsuits, making it imperative for sellers to understand and follow all necessary guidelines. 

3. Home and kitchen 

It is no surprise the Home and Kitchen category is one of the most profitable given the demand for products that make our lives easier and more comfortable. According to Amazon, home and kitchen products have been among the top-selling categories for several years. This category includes a wide range of products from small kitchen appliances to furniture and home decor. In 2021, the category saw a surge in sales due to the COVID-19 pandemic, as people spent more time at home and invested in their living spaces.

Some of the best-selling home and kitchen categories on Amazon include:

  • Home appliances: Air fryers, coffee makers, and blenders have been trending products on Amazon due to their convenience and functionality.
  • Cooking utensils
  • Home decor 

Sellers can also utilize Amazon’s Best Sellers in Home & Kitchen page to keep track of the top-selling products in this category and stay ahead of the competition.

4. Beauty and Personal Care

The beauty and personal care category is one of the fastest-growing and most profitable categories on Amazon. With the rise of social media and influencer marketing, people are being ”influenced” to invest in high-quality beauty and personal care products. In fact, in 2022, beauty and personal care e-commerce sales more than doubled that of 2019.

Some of the best-selling beauty and personal care categories on Amazon include: 

  • Skincare
  • Hair care: Hair care products, such as shampoos, conditioners, and styling products, are also in high demand, especially those that address specific hair concerns such as hair loss, thinning, and damage.
  • Makeup

With the right strategy, sellers can achieve high profit margins in this category by offering unique and high-quality products that meet the needs and preferences of their target audience.

However, it should be noted that some of these products may also be FDA regulated and require more intensive research. For example, the FDA’s definition of a “medical device” is considerably vague meaning products like facial rollers and electric toothbrushes are regulated. Sellers should be aware of potential restrictions and requirements when selling products in the Beauty and Personal category. For more information on products that have been cleared by the FDA, check out Amazon’s permitted products list.

5. Toys and Games

Toys and games have always been popular on Amazon, especially during the holiday season when people are searching for gifts for their loved ones. 

The toys and games category is a diverse one, with products for children of all ages as well as adults who enjoy playing board games or building sets. The vastness and diversity of this category means more opportunity for sellers regardless of competition. According to eMarketer, the toys and hobby category on Amazon generated $33.38 billion in sales in 2022, and this number is expected to grow in the coming years.

Some of the best-selling toys and games categories on Amazon include: 

  • Action figures
  • Board games
  • Puzzles 

The potential for high profit margins in the toys and games category is significant, especially for products with a loyal fan base or popular licenses. 

Final Thoughts

We’ve covered some of the most profitable Amazon product categories including, electronics, health and personal care, home and kitchen, beauty and personal care, and toys and games. Each category has its unique characteristics and offers potential for success. 

However, this is just the tip of the iceberg. With Viral Launch’s Amazon seller software suite, sellers can further research each category with real-time data to identify profitable opportunities and stay ahead of the competition. Choosing the right product category is crucial to step in the Amazon seller journey. 

Whether you’re new to Amazon or a seasoned seller, it’s essential to stay up-to-date with the latest trends and research each category thoroughly to find the right product to sell. By doing so, you can increase your chances of success and thrive in the ever-changing world of e-commerce.

Free Amazon Chrome Extension for FBA Sellers

Discover how to build, grow and scale your Amazon business with the Market Intelligence, the best Amazon Chrome Extension for sellers.

Is your Amazon research process fully optimized? If you aren’t using the Market Intelligence Chrome extension from Viral Launch, your product research regimen could likely use a boost! Utilizing Viral Launch’s Amazon Chrome Extension for sellers can save you time, effort, and clicks while still providing the powerful data crucial to your business.

At any stage of selling on Amazon, performing product research stands as a constant task. While the data you value most might change, analyzing market trends and checking in on the competition is perhaps the one commonality all Amazon sellers perform, making it a distinctively important part of the selling process.

Due to the numerous data points, complexity, and tedious nature of digging into the data of individual products and segmented markets, it’s no wonder why Amazon sellers often view product research as grunt work.

The importance of product research regarding an Amazon business’s success is why we created Market Intelligence, packed with accurate sales estimates and virtually every key metric about the Amazon marketplace you could ask for. But why the Chrome Extension? It’s simple: to streamline your product research process for maximum efficiency.

What is the Market Intelligence Chrome Extension?

It’s exactly what it sounds like! The industry-leading Market Intelligence tool from Viral Launch has been a favorite for Amazon sellers for years. The Chrome extension lets you bring Market Intelligence directly to Amazon pages. Once you’ve installed the Market Intelligence Chrome extension and have an active subscription including Market Intelligence, you can skim through Amazon and pull up in-depth insights into the marketplace with the click of a button.

This tool provides real-time insights into competitors’ sales and marketing strategies, including pricing, sales volume, and keyword rankings. Armed with this information, sellers can adjust their approach to remain competitive in the marketplace.

What data can I find in the Market Intelligence Amazon Chrome Extension for sellers?

AI-powered insights and billions of Amazon data points give a seller’s advantage no other tool can provide. Access historical trends, monthly sales, monthly revenue, keyword search volume, and much more, all while browsing products on You can use this data to make smart sourcing decisions, discover products that haven’t been found, and start or scale your eCommerce business.

Gain a wide-ranging comprehension of a product market in the Sellers tab.

In the Chrome extension, you’ll find five unique tabs: Sellers, Keywords, Trends, Analysis, and Calculator.


The Sellers tab stands as the primary section of the Chrome extension, with the data points found in the standard Market Intelligence tool. When on an Amazon search results page or Product Detail Page, the extension populates information for that product that’s been tracked over time. Brand name, monthly revenue, unit margin, monthly sales, and review quantity are just a fraction of the data in this tab. Additionally, you can track products with the push of a button, which will transfer to your Viral Launch account.


The Keywords tab integrates the search volume estimates from Keyword Research for advanced accessibility.

The Keywords tab takes information from our Keyword Research tool, showing a complete list of similar or related keywords on a search page. The most popular data point within Keywords is estimated search volume, with the most accurate estimates driven by our innovative data science. You can find the most popular keywords used to find products like the one you’re searching for, along with the average price, sales, and revenues for each keyword market.


You can find quick-hitting information about the selected market in the Trends tab. You can quickly see any price changes, the best-selling period, and annual sales trends. At the same time, a chart with years of data tracking shows peaks, valleys, and stagnation points.

While performing product research, it’s easy to make mistakes based on outdated data. As any seller knows, things change quickly. If a product generated sales and search volume in the past but is on a downward trend or has increased competition, your research can do more harm than good. The Trends tab seeks to help avoid these mistakes and help you get a better feel for the trajectory of a product or market.


Like a great virtual assistant, the Analysis tab offers AI-generated insights into a market. You can find helpful tips, warnings, and alerts to help make you aware of issues such as seasonality, saturated markets, price declines, and more. Consider the Trends tab an extra set of eyes, offering an enhanced outlook on potential pitfalls. For example, the image below details that Amazon sells products in this market, a helpful tidbit when perusing a market.

Avoid blind spots in your product research with the AI-generated details in the Analysis tab.


The Calculator tab lets you calculate fees and potential profit per unit sold. This feature uses industry standards from our FBA Calculator and averages to deliver a rough idea about profitability. Since costs may differ for different sellers, you can edit the numbers if you have a more precise and personalized range of costs for a more accurate approximation.

How much does the Market Intelligence Chrome Extension cost?

It’s free, sorta! Technically, the extension is free and available as an add-on to anyone in the Google Chrome browser. However, if you’re not subscribed to a Viral Launch subscription plan, you’ll quickly find the data inaccessible. Once installed and activated, you’ll be asked to sign in with your Viral Launch credentials. After doing so, you’re ready to take your research outside the Viral Launchpad.

Since the extension is free, it’s something every Viral Launch subscriber should add to their browser extensions.


In summary, the Viral Launch Chrome Extension is a powerful tool for e-commerce sellers looking to streamline their research for maximum efficiency and convenience. With real-time data on product sales, revenue, and profitability, the extension has certainly become a popular choice for entrepreneurs looking to succeed in the competitive world of e-commerce.

Whether you’re a seasoned seller or just getting started, the Viral Launch Chrome extension is a tool that can help you achieve your goals and grow your business on Amazon. Thus, if you haven’t already, download the Market Intelligence Amazon Chrome extension for sellers today and incorporate it into your Amazon research tool set!

Amazon Market Intelligence Chrome Extension: New Features

With Viral Launch’s Market Intelligence Chrome Extension, discovering insights into product markets directly on Amazon has never been easier. And it just got even better.

In the latest version of our chrome Amazon extension, we’ve pushed major updates to conveniently elevate your product research to new heights!

Without further ado…

Introducing The Keywords Tab

We’ve added a Keywords tab with key metrics from our Keyword Research tool in addition to the four existing tabs (Sellers, Trends, Analysis, and Calculator). Open up the Keywords tab when examining a page of Amazon search results or on an individual ASIN’s page, and you’ll see the following updates:

Related Search Terms

Using our proprietary ARCS algorithm and powerful collection of Keyword Research data, the extension now provides related search terms for you.

For example, researching “couch pillows” might come in handy. However, the search term “throw pillows” generates more than triple the search volume and would be a better primary keyword to use for your research.

Too often, sellers make the mistake of performing product research under a secondary or tertiary search term instead of the primary keyword. With this feature, you can now avoid making that mistake by quickly comparing search volume estimates for a handful of the most relevant search terms for the keyword.

Google Trends Integration

Think you’ve spotted an emerging trend? Use Google Trends to validate ideas beyond the Amazon marketplace in just a click.

On top of receiving access to our Amazon search volume estimates, you can now check Google Trends to see how in-demand a search term is outside of Amazon. Under the displayed search term, just click on the Trends icon to see search interest directly from the company synonymous with search.

While we stand firmly behind Amazon search volume estimates being the most significant consumer demand indicator, we also believe the more data available at your fingertips, the better equipped you are.

Why do we recommend Amazon search volume estimates? Easy. While Amazon and Google are both search engines, they serve two entirely different purposes. Google’s mission is to organize information and make information universally accessible; Amazon search takes you to a marketplace.

At the very core, Amazon searches are done with buyer intent, while Google searches are made to learn. However, Google trends data can help determine seasonal interest and provide another avenue of product research for the growing number of Amazon sellers expanding their brand beyond the confines of the Amazon marketplace.

Scout Your Competitors Like Never Before

We’ve incorporated our reverse ASIN lookup tool, Competitor Intelligence, into our chrome Amazon extension so you can uncover how an individual ASIN is performing across crucial keywords.

When running the chrome Amazon extension on a product page, the Keywords tab quickly compiles the organic rank for the selected ASIN.

Now you can instantly dig deeper into the performance of competitors! Knowing where the competition is succeeding and where opportunities exist helps you stay one step ahead and fast-track your Amazon success.

For an even more comprehensive look into your competitors and how they’re ranking on a keyword-by-keyword basis, be sure to add the competing ASIN into Competitor Intelligence for a deep dive into their performance.

The Market Intelligence extension is free to add to your Chrome browser. However, you’ll need a subscription to our Essentials package to earn access to the abundance of impactful data that has helped thousands with their product research.

Lastly, drop your email below to receive the latest Viral Launch product updates and Amazon news in your inbox!

The Viral Launch Software Suite Just Got Sweeter: Here’s What’s New

As the Viral Launch community grows in size and strength, our team is more and more dedicated to equipping you with the tools, guidance, motivation, and support you need to build the life you dream of. After being in the Amazon community for over four years and helping drive over $10 Billion on Amazon, we’ve developed the most comprehensive suite of Amazon seller tools with one goal in mind: your results. We are excited to announce a few improvements we’ve added recently – all of which come free of charge for Viral Launch users.

PPC Rule Flexibility

For those who want to run smooth Amazon PPC automations without overspending, we’ve added Risk Multipliers. Whatever you’re aiming for – whether it’s profitable campaigns or increased organic sales – you can increase the accepted spend in a controlled manner, allowing you to hit your goals more frequently. Spend less of your day worrying about Amazon ads, and let Kinetic’s flexible automations do the tedious work for you.

Example: If your goal is 30% ACOS, but you’re willing to go to 45% ACOS to try and find useful keywords by casting a wider net, you would set your Risk Multiplier to 1.5x.


Keyword Rank Comparison

Have you ever wondered how one keyword’s rank changes affect another? To help Viral Launch users see their keyword performance on a macro-level, we’ve introduced Bulk Compare. This new feature makes it really easy to understand which keywords rank better than others over time. Plus, you can see how one keyword’s success is correlated to another’s. Choose 10 keywords in Keyword Manager or Competitor Intelligence, and run a bulk action to compare.

Keyword Manager and Competitor Intelligence

Top Seller Sales Breakdown

Do you ever wonder how a top seller is driving so many sales? With our new “Track” button, you can see exactly where a product is ranking for every relevant keyword. Now, you can understand where all those sales are coming from. And with this knowledge, you can implement the same strategy for your business… prioritizing their winning keywords and taking advantage of the ones they’re missing. 

Market Intelligence and Competitor Intelligence

Market Averages at a Glance

For Viral Launch users who want to make efficient, smart decisions during their product research, we’re happy to announce it is now easy to view market averages without any extra clicks. With this addition, you can quickly understand how the products on page one are performing. Now, you can determine your potential for success and make informed sourcing decisions at the click of a button.

Market Intelligence

New Sections in Search Results

If you have noticed more and more sections popping up in Amazon’s search results, you may find our new highlights quite useful. In your product research, it’s important that you’re aware of sections such as “Top Rated from our Brands,” “Editorial Recommendations,” and of course “Sponsored Brands.” Our highlights ensure you’re aware of the section’s presence, and they give you information about that product’s performance. This means you can avoid markets where Amazon’s presence is strong, and you can understand how these positions are affecting sales for the selected products. 

Market Intelligence

Streamlined Keyword Research

Sometimes basic metrics don’t quite cut it when choosing which keywords to prioritize in your PPC and organic rankings. You can now evaluate a keyword’s potential directly in Keyword Research. Quickly find markets growing in opportunity or declining in demand with keyword trend data. And see how competitive each keyword is with information on page one products. It’s never been easier to understand which keywords to prioritize for your products.

Keyword Research

There’s More Where That Came From

Selling on Amazon gets more complex with every week that passes. As more brands recognize the enormous opportunity, you must be more strategic with management and growth. It can be tough, we know. But our team of 80+ is obsessed with researching, analyzing, and building tools that support you in the process. Just like you’re committed to building your business, we’re committed to you. If you have any suggestions or questions, we’d love to hear your feedback! After all, we couldn’t do this without you.

New to Viral Launch?  Start Your Free Trial

Already part of the crew? See the New Features in Action

New Features Make Viral Launch Smarter, Better, and Stronger

At Viral Launch, it’s our mission to help you build the most successful Amazon businesses. We love having the opportunity to be a part of your entrepreneurial journey, and we don’t take this honor lightly. Part of our mission is providing you with the most sophisticated, effective, and results-driven Amazon seller tools in the world.

Based upon your feedback, over the past few months, we’ve pushed nearly 100 code changes, consisting of new search filters, performance improvements, and new features. 😱 And there is a lot more in the pipeline!

Here is a quick overview of some of the updates:

  • Product Discovery now easier for new sellers with Preset Searches
  • Mobile Friendly Product Discovery and Market Intelligence
  • 10,000,000+ New Products, Keywords, and Brands
  • New Filters
  • Bug Fixes

Preset Searches in Product Discovery

Product Discovery is a comprehensive and sophisticated tool that, for sellers with limited experience, can be quite intimidating. We understand. And that’s why we’ve made Product Discovery even more accessible with Preset Searches.

Presets allow you to run with filter combinations that we’ve created for you. For example, if you are looking for High Margin Market opportunities, but you don’t know which filters to use to find them, no worries! With Preset Searches, you select what type of results you are looking for, and we fill in the filters for you.

Example Preset: Quick Win Keywords


    • Average Monthly Revenue: $5,000-25,000
    • Average Profit Margin: Min 50%
    • Sales to Reviews: Min 5


The filters will automatically populate based on the preset you select. This gives you a great jumping off point and a much better understanding of how to start using various filters to find the exact opportunities you are looking for.

Warning: It is important to note that presets are simply a starting place. They are there to help you better understand how to use the filters. If you only use the presets without making adjustments, you will likely find a lot of the same products other sellers have found. These may end up being bad product opportunities because of too much competition or saturation.

Coming soon, we will also introduce Custom Presets so you create and save your own preset searches! For example, let’s say you’ve stumbled across a killer filter combination that churns out amazing five star product opportunities. You can save that Preset (filter combination) so you can return regularly to see which new products, keywords, and brands we’ve added to the mix.

Let us know what you think of our new Preset Search feature in the comments below! We love honest feedback. 🙂

Now Mobile Friendly

Product Discovery and Market Intelligence are now available on-the-go with our new mobile friendly versions. Our best ideas don’t always strike us when we’re at our desks. And as an entrepreneur, you hate wasting time not being productive. Now you can knock out your product research or check sales estimates on new product ideas from anywhere. We’ve spent hours putting together a mobile design that is intuitive and still looks great.

Pro Tip: While we do not have a dedicated app for your smartphone, you can save Market Intelligence or Product Discovery as bookmarks on your home screen as if they were apps. This allows you to easily access the tools and begin searching instantly, providing the same look and feel as a native application.

Click the links below for instructions on saving your favorite research tool to your home screen.
iPhone instructions
Android instructions



10,000,000+ New Products, Keywords, and Brands

Since launching Product Discovery just over two months ago, our data aggregation systems have been working tirelessly to keep our data fresh and to add new opportunities to our database. This means there are new products, keywords, and brands for you to uncover daily!

Ever think you’ve found all the “good keywords” or all the “best brands” in Product Discovery? Think again. Check back in a couple of days for plenty of new golden opportunities just waiting to be discovered.

New Filters Added Regularly

Along with our commitment to add new opportunities, we want to add new ways of discovering those opportunities. In the last month we’ve added two new filters, and there are more on the way. Those new filters are Shipping Tier (applicable to all four search types: Product, Keyword, Brand, and Category) and Brand Name (obviously only applicable to Brand search).

What additional filters would you like to see?

Nearly 100 Code Pushes in the Last Few Months

As a company, we are dedicated to having the most sophisticated and results-driven tools on the market. We want to make sure you have the tools you need to build your private label empire efficiently, scalably, and fast! We are relentless in our mission, which means we not only launch superior tools, but we are committed to continually improving performance, resolving bugs, and adding new features. In a market that changes so rapidly, constant improvement allows us to stay on top of the software market, so you can stay on top of your Amazon market! We average over two code pushes or updates each business day!

What would you like to see us update next? Let us know in the comments below.

Additional Updates

  • Market Intelligence: Major webapp performance improvement
  • Market Intelligence: Combined Competitive and Standard view with optional image on/off switch
  • Product Discovery: Added Clear All Filters button for quicker filter usage
  • Product Discovery: Added Idea Value to pinned results so you can estimate the total value of products found with Product Discovery

Create a free Viral Launch account to try out Product Discovery and Market Intelligence for free. Once inside the Launchpad, you can subscribe! 


7 Tips for Your FBA Business from Casey Gauss (Follow the Data Ep. 15)

Follow the Data Episode 15: 3 Tips for your FBA Business from Casey Gauss

Merry Christmas listeners! We’ve got a present for you: 7 tips for your FBA business courtesy of our CEO, Casey Gauss. As you set your business goals for 2018, these tips will help you focus on what will take your business to the next level. Looking to sell for the first time? Even better. Listen closely for advice about what pitfalls to avoid and what will set you apart from other Amazon Sellers.

Listen on iTunes

Follow the Data Show Notes

  • Check out this brief overview or this longer walkthrough of Product Discovery to learn more about how Product Discovery leverages data to help you find the most profitable Amazon products to source.
  • Not sure how to use Market Intelligence? Here’s a full Market Intelligence walkthrough about how to get the most out of the tool.
  • Reinvesting your Q4 profits is the best way to get the most out of your extra earnings. Think about what seasonal products you might be able to turn around in time for upcoming Q1 holidays.
  • Looking for more reliable information from the Viral Launch? Check out our Dispelling Myths Series. Viral Launch takes on 4 common myths in the Amazon FBA community.
  • Want to be on the show? Have your own story of entrepreneurial success? We’re working on an episode that features our listeners! Leave us a voicemail at (317) 721-6590 with stories or questions about your Amazon business.


Podcast Transcript

Merry Christmas, everyone, and happy New Year. It’s the holiday season and the end of Q4 2017. As we head into 2018 we want to help you focus on what’s going to make your business as profitable and successful as possible.

Today I’m giving out seven tips to grow your FBA business to help you get in the success mindset heading into the New Year. I am Casey Gauss.

And I’m Cameron Yoder, your hosts for Follow the Data: Your Journey to Amazon FBA Success. In this show we leverage the data we’ve accumulated at Viral Launch from over 28,000 product launches and our experience working with 6500 brands to help you understand the big picture when it comes to Amazon and, more importantly, the best practices for success as an Amazon seller. Let’s dive in.

Cool, guys. So we’ll start kind of in the source, launch, dominate order. Tip number one coming to you through the kind of source perspective, tip number one is pay attention to the sales-to-review ratio when entering a market. Really what this means, you know, we call this the ROI ratio, but really what sales-to-review ratio is, it’s just a very simple calculation, estimated monthly sales divided by total review quantity, and really this is a calculation that does two things for you. One, it is showing you kind of what the reward is versus the amount of work you have to put in. So if I want the reward of selling 1000 units of this widget per month, then the amount of work I have to put in is to get to, you know, X number of reviews. So let’s say 100 reviews, right? So if I only need to get 100 reviews to sell 1000 units, that’s a sales review ratio of 10. And that sounds like a pretty awesome scenario considering or assuming that all the other metrics are good, so price point, margin and so forth. But you know that’s far better than having to get 10,000 reviews to sell 1000 units, right? So the sales-to-review ratio, just a really simple quick calculation to, you know, as this kind of litmus test for should I consider this market or not.

I’m still amazed at how many people don’t take this into consideration when entering new markets. And it’s a really simple concept. Like it doesn’t have to be that complicated. Really it makes sense if you’re looking at a market and you see a bunch of sales and a ton of reviews, then of course you’re going to have to, in order to compete well, have to get that review count up to match what the market’s at. But if you’re in a market with a low number of reviews and high sales, obviously that’s opportune for you to enter and do well.

Yeah. Thanks, Cam. So tip number two, go wide, not deep. So a lot of people are always looking for that home run product that is going to, you know, make them wealthy overnight. We have a guy named Brock Johnson coming onto the podcast. In six months he sold like $6 million worth of one product. That’s a unicorn. It’s very tough to find unicorns if you’ve never seen one. So anyways, you know, it’s so much more practical to be able to go really wide and not very deep. So what that looks like is, you know, if I were jumping into selling on Amazon this is the strategy that I would take because this is what I see kind of a lot of people having success with. Anyways, what this looks like is going after products where maybe the maximum sales potential for that market is $10,000 or $15,000, $20,000, some fairly low amount. I guess it’s all relative because for a lot of people $10,000 a month is insane. But essentially what you’re looking to do is enter markets where competition is not very high and you know, there’s lessons in it for the big players with the big budgets who are going to, you know, maybe use black hat tactics against you or whatever to come into the market and try to hurt you and your business.

I see this all the time with supplements and cell phone cases and beauty products. You know, what happens is people end up – competitors will buy your products. They’ll say that they’re getting the products – you’re selling it new, but it’s coming used, you know, the seal was broken, or they up-vote your bad reviews, or they leave a bunch of bad reviews, or they leave a bunch of unverified five-star reviews to make it look like you are going and soliciting these reviews. There’s so many things that competitors will do, and it’s just such a headache to fight in these markets, especially if the markets are mature. It takes a lot of time, a lot of money to reach maximum sales potential versus going in these, you know, markets that are not very deep where you’re making, you know, $10,000 a month top line.

The nice thing about it is you don’t really have to worry about competitors if you find the right markets. It’s extremely easy to enter. You don’t have to spend that much time, that many resources, like achieving success with these products. It’s so easy to do that. And so I would much rather sell 10 products that do $10,000 a month than one product that’s doing 100 K a month, and the reason being, again, competition, ease of entry. A lot of the time going for these, you know, smaller products, it takes 30 days to reach maximum sales potential, or maybe 60 days to reach maximum sales potential and boom, you’re off to the next product. And you can just continue to iterate from there versus going after these $100,000 a month markets generally assuming that there is some degree of maturity around it. It’s going to take you quite a long time.

So I see plenty of people just going – you know, the biggest account that I know of these people that are going, you know, in these wide markets, or going wide versus deep is $30 million a year just in Amazon US. So these guys have a killer business, and they’re just going after all the, you know, low-hanging fruit opportunities. And I would highly suggest anyone jump into there that can or is looking to start sourcing in a different strategy or whatever. I think this is probably the fastest, simplest, you know, lowest headache opportunity to growing your business quickly.

I would even say – I would add to that a couple years back I think this looked a little bit different just because the market, the Amazon market as a whole, was pretty different where competition with the deeper markets was a little bit less than it is now. Not to say that going deep was better than going wide, but even now since competition is so fierce, especially in those deep markets, going wide is going to let you really look into those markets that people haven’t discovered yet and/or are definitely not as competitive as the deep ones.

Yeah, completely agree. Awesome. So we will move on to the launch phase of your FBA journey. Tip number one, you know, I would still – we’ve been trying to, you know, kind of preach this so sorry if you’ve already heard this, but so many people still have not, and I think it is just a very, very simple hack to potentially dramatically increasing your sales. And what that is is you need to include both plural and singular forms of your words in your listings title. So in Amazon’s style guides or guidelines they say you don’t need to include both singular and plural forms. And they say that Amazon, you know, they already account for this in their algorithm, but it’s absolutely untrue. You know, just one quick anecdote. Someone is running a launch for grill gloves. I believe they had gloves in their title, but they were running a launch for a grill glove, and for a grill glove though, the key word that they’re targeting, they hit page 2 like top of page 2 for the launch and they were, you know, kind of disappointed that they didn’t hit page 1. But if you went and looked for the plural form, grill gloves, they were like in the top 10 on page 1 even though they weren’t targeting that word just because it was in the title. And so basically that just goes – and we see this all the time. So this just goes to show that, you know, Amazon does treat singular and plural forms of words differently. I mean if you want to go prove it or test it out for yourself literally search grill glove. Search grill gloves. There’s going to be different search results or in different orders. If there’s not, go try other words, fish oil, fish oils. Just go try a few singular and plural forms of the same word and you’ll see different order of words, different results, and the title has a lot to do with this. So it’s a very quick fix. But like, you know, seriously, the difference in ranking or the amount of keyword power that you’re driving to one word could be the difference of thousands of dollars, tens of thousands of dollars in revenue every month.

That’s an easy action step, too.

So easy.

To simply go over, go over listing and see if you have both plural and singular forms of your main keywords.

Yep, and then the second part to that tip is just don’t repeat words. So you know, let’s say this grill glove seller, they have grill glove then grill gloves and barbecue grill gloves in their title. You don’t need to repeat all those words. It should be in phrase order. So ideally as much as possible, right, so it would be something like, you know, grill gloves, best glove for grilling, or you know something like that. That was just off the top of my head, so probably wasn’t the best. But anyways, you kind of get the gist there. But anyways yeah, you have to have – even if it doesn’t make 100% sense, you know, let’s say you’re selling one glove. You should still have “gloves” in your title because people are searching gloves. Or let’s take a grill brush for example. People are inevitably searching grill brushes, right? Even though you’re only selling one brush you have to have the plural form because people are searching brushes, and by having that in your title when sales are driven through your listing you’re driving that much more power to the ranking for that plural form.

And by not you’re missing out on all that opportunity.

Right. And competitors are. And then second tip for the launch phase is just being aggressive. We just see so many people kind of, you know, tiptoeing to success or waiting kind of for the success to come to them, and it’s just less and less likely every day as competition continues to increase. You really have to go after that success, and I mean really looking at opportunity costs. If you are taking six months to get a product up and, you know, hitting maximum sales potential you’re missing out on so much opportunity. If you did that and if you were more aggressive, hit maximum sales potential in three months you would have twice as much time to go after that second opportunity. And so now you have, you know, let’s say you repeat that with a second product, and so then within six months you have two products at maximum sales potential versus the one. So by going slow, yes it is probably more cost-effective or more cost-efficient, right? So you don’t spend as much money going and achieving that success, but by spending that money and being aggressive you have the opportunity to make that much more money.

We’re getting into the New Year now, and we’re going to touch more on New Year tactics later. But really this aggressiveness, this tip to be aggressive is a great one to hold onto moving into 2018, even to now, and understand it’s getting close to the end of 2017 and everyone’s going to be spending time with their family and the holidays and whatnot. But planning ahead for 2018, to actually sit down and plan how you’re going to be aggressive is honestly a great strategy, just to even plan it out and see what it looks like for you specifically. Again, reevaluating your goals and setting new goals to just flat out be aggressive among other things. But Casey, let’s move on to dominate. What have you got?

Yeah, so three tips under dominate. First one, just reinvest your Q4 profits. I mean hopefully Q4 has been, you know, an amazing experience for you. Hopefully you broke some records and are just super, you know, proud of yourself and excited for what you’ve been able to accomplish. But you know, at least for my personality and if you, again, really look at the opportunity that still exists in the market, I think you really owe it to yourself and, you know, all the people that you are planning on helping with what you’re achieving here with your Amazon FBA business to just go super hard and reinvest those profits. You know, delay getting that Lamborghini or going on, you know, these month-long vacations. You still have so much opportunity. The last thing you want to do when you look back five years from now, 10 years from now is say dang, you know, that was a gold rush and I went to the Bahamas for a month while everybody else is panning for gold and hitting all these opportunities and, you know, I missed out. So anyways, reinvest your Q4 profits. The amount of success that we are seeing on Amazon is just insane, even to this day, and I just really want to encourage you to continue to take part in it. Delay the, you know, instant gratification, the short-term gratification for the long-term goals. So yeah, just reinvest your Q4 profits. Kind of a little reminder there.

Tip number two is go international. So we are planning on having some guys on the podcast that I met recently, and these guys did – in their first year of Amazon they did $10 million.

They’re killing it.

And some other fun facts for you is one of them, still in school full time, and they are both 20 years old. And the other fun fact for you is that they have never sold anything in Amazon US, only international. There is so much opportunity internationally. You know, these guys, you know, they’ll share their story and everything, but there is just so much opportunity internationally. The competition is a fraction of what it is in Amazon US, and I really think that you need to take your resources, you know, hire someone, bring someone on your team to be general manager of internationalization or marketplace director. I don’t know, somebody to go manage your international business.

But there is so much opportunity, and you really want to get in on the ground floor. I mean a lot of the like really successful folks in Amazon US that I know are all people that jumped in in 2014 or maybe 2015, and they went super hard when Amazon was so much easier. And now that Amazon has, you know, really dramatically increased competition and there’s so many additional sellers here, a lot more money going into driving success, it’s so much more difficult. But if you go look in the international markets, in the majority of these markets it’s Amazon 2014 still. And so you need to get in on the ground floor when, you know, Amazon is still – you need to ride that wave of success. So you know you’re on the ground floor. Revenue or revenue potential is just going to continue to increase internationally, but so will competition. And if you’re in, you know, on the ground floor you already will be ranking. You’ll already have the review quantity, and you can just ride that wave up.

It’s going to be – granted, it’s going to be a little bit different. I don’t think you should go into international markets expecting the same exact process as the United States, but these guys that we’re going to bring on later are examples that, guys, there are no excuses. At 20 years old they are killing it. They’re making bank, and they haven’t sold a single thing in the United States. So if that’s not proof as to what can be possible in international markets, then I don’t know what is. But that, I think that should be part of your long-term strategy, planning, right, to sit down and if international is something you’re interested in, find out more about it, do your research, and then dive in. All right, Casey, what’s tip number three?

Tip number three, so basically just never go out of inventory. We see so many people make this mistake, and you know, sometimes it’s inevitable. Sometimes your projections are way off, which is a good thing hopefully. But anyways, there can just be a lot of, you know, downside to going out of inventory. So essentially, you know, just make sure that you are planning accordingly. You know, look at something like market intelligence where you’re able to see kind of the market trends and understand to what degree sales are increasing, decreasing and, you know, how long the increase or decrease will sustain just so you have a really accurate, you know, indication of what to expect or how the market will perform over the, you know, coming X number of months that you need to plan inventory for. And then secondly, like so it may be too late, or it’s probably pretty close to too late if it’s not already.

Honestly, actually yeah, by the time this podcast is out it’s probably going to be too late depending on the production time for your product.

Yeah, I mean so the Chinese New Year is coming up, and I think it’s like early February to early March. Factories are closed down for a month, and before and after that, you know, it’s like, it’s just crazy production because they’re trying to fit everything in before and after for all the people that missed out. And so hopefully you’ve already ordered your inventory in preparation for Chinese New Year, especially if you’re wanting to launch new products. If not, like that can delay your time to getting that product up and running, you know, so far. But yeah.

This – it’s Friday, December 22nd, and I do know that a lot of manufacturers are taking orders this week in order to get products to you before the Chinese New Year. But with this area specifically, talking about inventory, guys, I honestly think it’s much better to play safe than sorry with this. And so it’s better to overcompensate for inventory here. And sure, you’re going to spend maybe a little bit more money, and you need to figure out how much money you have to play around with ordering inventory and different strategies with that. But it’s better to order a little bit more inventory than it is to run out of inventory and have to wait maybe a week to two weeks before you get your next shipment in. So plan ahead. Plan accordingly. Play it a little safe on this one.

I think that’s pretty much all for me.

Yeah, well okay. That’s all for this week. Thank you guys so much for joining us here on Follow the Data. For more FBA tips and reliable information that will help take your Amazon business to the next level, subscribe to the podcast and check out the Viral Launch blog at

Guys, we’re all Amazon sellers. We know the most difficult part of your Amazon business is getting reviews.

So hard.

So hard. Please help us get reviews. If we could we would go review your product, but we don’t want to get you shut down. But by you reviewing this podcast we will not get shut down, so we would love your help on this. I mean really at the end of the day if you know anything about me or the company, like we just love honest feedback. So whether it’s in a review or whatever, any feedback just so we know how are we doing, what do you guys want to hear, you know, maybe our approach isn’t the best. Maybe you want us to use voice changers because you don’t like our voice, I don’t know. Anyways, we just love feedback. So yeah, thank you so much.

We’re also doing – we’re currently doing weekly webinars where we’re going through, walking through product discovery and different strategies that you can use to take advantage of the tools. So if you haven’t seen those yet keep an eye out for those. We do it every – typically every Thursday. But again, we just wanted to say thank you so much for listening. Happy holidays. We hope everyone has a great New Year. And don’t forget if you want to be featured on the show, or if you have an Amazon-related question or an idea for an episode you can leave us a voicemail. Our number is 317-721-6590. Until next time, remember the data is out there.

A Better Product Research Tool: Market Intelligence Gets an Update

Market Intelligence, the Amazon product research tool you know and love, is getting an upgrade.

Making a purchasing decision is the most important aspect of running your own Amazon business. A great product with plenty of potential can lead to huge sales. Conversely, poor products can sink your business before you even get started.

That’s why having a trustworthy product research tool is so important. The right tool can tell you almost instantly how much potential your products have. Market Intelligence has provided sellers with the best product data, and now Viral Launch’s product research tool is even better.

With Viral Launch’s upgrade to Market Intelligence, you can get even more accurate data to make better product choices.

Not only does Market Intelligence have a snazzy new design, but a new cost calculator function gives you a better, more accurate estimate of your costs (and profits!).

Better, More Accurate Product Research Results

The biggest change to Marketing Intelligence is the “Cost Calculator” tab, which features a fully integrated FBA calculator.

Market Intelligence already provides you with the market data and insights you need to make an informed sourcing decision to find a profitable product. Now you can learn:

  • How much you will need to invest
  • The number of units you should order to meet your goals
  • Potential profit you can make in that market

The FBA calculator allows you to change every variable to get a truly customized solution. You can choose:

  • Whether you want a conservative or aggressive selling approach
  • The price you will sell your products
  • Your purchase price, and so much more

As you change each data point, the corresponding results will upgrade to show you how much you can expect to spend up front, how much inventory you should order, and your potential revenue and profit.

Market Intelligence Update


Market Intelligence provides you  plenty of data to make a smart product purchasing decision. The Top Sellers tab shows data about each brand, BSR, historical sales, monthly revenue, price, unit margin, review rate and more.

You can also view market trends and take a look at Viral Launch’s analysis of the product.


Not only does a new design improve the look, but the Cost Calculator provides more data.

The Cost Calculator allows you to change most granular data points for all of your potential products. Now you can quickly and easily see how much it will cost to enter the marketplace, how much you will sell, and your projected return on investment.


You can view your estimated upfront costs, monthly expenses, monthly profit, and net profitability based on the number of units, sales information, diligence costs, product promotions and software and service expenses.

Run Product Comparisons

Trying to decide between two or three different products? Want to know your potential profit at different landed costs and price points? It’s even easier to make comparisons and decide which product makes the most sense for your Amazon business with the new Market Intelligence. 

New comparison capabilities let you run side-by-side tests to see how changes to order size, landed cost, selling price, and more will change your results.


The Best Product Research Tool

Unlike other FBA calculators, Market Intelligence incorporates sales data into searches. What does that mean for you? You are given realistic investment and revenue projections based on the the exact market you want to enter. Sales data integration in the Cost Calculator tab provides with you a more accurate assessment of the investments you will make and the reward you will receive.

The Most Accurate Data

Market Intelligence provides Amazon sellers with the most accurate sales estimation data of any product research tool on the market. Nightly algorithm updates ensure that the data you receive always reflects the most recent info.

Amazon Data Incorporated

It only makes sense to incorporate Amazon data into your decision-making process. Market Intelligence allows you to do just that by leveraging billions of real Amazon data points. So not only can you see the Amazon trends, but you can also predict the future of the market and avoid selling a product with a short lifespan.

Market Intelligence Can Improve Your Business

The wrong product research tool could cost you thousands of dollars, either because of lost income potential or choosing a product that’s a complete bust.

Market Intelligence’s new update ensures you have all the information you need all in one place so you can make the best product decision and start your Amazon business with fewer risks. 

Take a look at the new updates to Market Intelligence.

The First of the FBA Amazon Seller Tools Available On the Alexa

0Introducing the very first Amazon Seller Tool on Alexa: Market Intelligence.

As an Amazon FBA seller, you’re constantly thinking about what your next great product is going to be. The majority of your best product ideas don’t hit you when you’re sitting in front of your computer ready to validate it with any of the available Amazon seller tools. So for all of those times you get that “next big idea” while you are, say, washing the dishes, taking a shower, or whenever private label brilliance strikes you, and you are without a killer research tool at your disposal, problem solved:



Enabling Market Intelligence On Your Amazon Echo Device

To enable this Amazon seller tool on your Alexa compatible device,  simply head to the Alexa Skills Store (or use the Alexa app), search “Market Intelligence”, click into the skill with the title “Viral Launch – Market Intelligence”, and press Enable.

How To Do Product Research Hands Free

  1. Make sure Market Intelligence is enabled on your Echo device.
  2. Say to Alexa: “Alexa, open Market Intelligence.” (Alexa will respond: “Astronaut online”).
  3. Say: “Search [insert product/keyword here].” (Alexa response: “We are go for [[product/keyword]]”).
  4. Alexa will now begin counting down from 10. This gives our systems time to grab all of the necessary market data and run our proprietary analysis.
  5. If our system was quick enough, immediately after saying “one“, Alexa will tell you the star rating of the product as well as any tips, warnings, and alerts.
  6. If the system was not quick enough, you will need to say “blast off“, at which point Alexa will give you the searched product’s star rating as well as any tips, warnings, and alerts associated with your search.


The Next Breakthrough In Amazon Seller Tools?

No, we don’t expect the next wave of FBA tools to start emerging on your Echo device. We just thought this would be a fun way to use and share our killer product research tool, Market Intelligence!

All in all, even if you just use the Alexa skill once, we hope you enjoy and have fun with it!

What do you think?!

Amazon Product Data: How to Interpret & Analyze

“Amazon Product Data: How to Interpret & Analyze” is an excerpt from Viral Launch’s Ultimate Guide to Sourcing Private Label Gold Mines ebook. Download the full ebook at the bottom of this post.

Interpreting and Analyzing Amazon Product Data

Sourcing tools provide A LOT of information! Having more data, assuming it is accurate and relevant, is always going to help sellers make better sourcing decisions as they research products on Amazon. However, that is assuming those sellers know how to interpret and leverage that information to inform their decisions. Here we will do our best to highlight all of the available data, what it means, and how it should influence your sourcing behavior.

Doing Amazon product research using Market Intelligence begins when you run a search for the product you have in mind. We highly recommend that you search the product’s most relevant yet basic term. For example, if you are searching for a vitamin c serum, don’t search “Vitamin C,” which is too broad, or “Vitamin C Serum for Women,” which is too specific. Simply search for “Vitamin C Serum.”

Identify what customers are purchasing for this search term

Knowing what is selling for a search term and/or product market is crucial. Imagine you wanted to sell some gloves to cover your hands while grilling, and you had a product like this in mind:

Well, when you search “grill gloves” or “grilling gloves”, you’ll find that more customers are actually looking for a five finger glove made of either silicone or another heat resistant material.

Sourcing the wrong type of widget for the search term you’re researching can have major implications. Sure, you can still sell the widget with different positioning that is more relevant to what is actually selling (in this case you would need to position your “grilling gloves” as oven mitts), but the market landscape for oven mitts may be completely different than for grill gloves.

You may have to sell at a completely different price point in a market that could be far more competitive. We’ve seen instances, much worse than this example, of sellers not knowing what is already selling when trying to enter a market. Most of the time, it ends with a much lower ROI than anticipated.

In conclusion, know the proper positioning of your widget, and sell a product that is very similar to what the market is already purchasing.

Identify Outliers

When it comes to analyzing a market, you may come across a listing that has abnormally high or low sales and/or reviews. Generally, in your market considerations, we suggest dismissing those listings as outliers. In our experience, these listings are not worth taking into account when performing your analysis as they are not representative of the market or what you should expect for your product. As you can see in the image above, the highlighted row has an astronomically high number of sales relative to those listings around it. Market Intelligence will automatically flag those outliers for you when you display Amazon product data in the Filtered View.

Product Category

When it comes to Amazon product data, knowing the product category is crucial for estimating sales. Sales are estimated based on a product’s Best Seller Rank within its respective top-level category (ex. Home & Kitchen). Knowing the product’s category may also help you understand how other sellers are positioning the product. Finally, you’ll want to make sure that you know the requirements for certain categories and products requiring approval. Sourcing a product in a gated category without proper preparation will set you up for a headache down the road.

BSR (Amazon’s Best Sellers Rank)

What is it?

The Amazon Best Sellers Rank is a metric of a product’s sales relative to the rest of the market within a particular category. The top selling beauty product would have a BSR of 1. The second best seller would have a BSR of 2. This is very important for sourcing. Amazon product research tools use this metric to estimate a product’s sales by leveraging a proprietary algorithm that translates BSR to estimated sales. Market Intelligence shows a sparkline of BSR over the last 30 days to help give a quick view of how sales have trended for that product over the last 30 days.

Clicking into the BSR 30 sparkline will present a popup that shows how the Best Seller Rank has trended over the last 3-4 months for the product.

Source Smarter

Looking at how BSR has trended for a particular product can help explain certain scenarios. For example, a sudden drop in BSR could indicate a promotional giveaway. In combination with the price trends, you may be able to explain fluctuations in BSR with fluctuations in price.

Monthly Revenue

What is it?

The purpose of this metric is pretty obvious. Monthly revenue is calculated simply by multiplying the monthly sales metric by the current price point. Knowing what other sellers are grossing in the market is important for knowing what the top line revenue potential is for the market.

Source Smarter

We strongly suggest not basing your expected sales on what the top 1 or 2 sellers in the market are selling. This suggestion goes back to not basing your expected results on any particular ASIN. We suggest taking an average monthly revenue from a few of the listings you feel confident you could compete with on ranking position, price, reviews, etc.

For example, I would expect to start-off selling around $10k/month in gross revenue based on this screenshot versus the $100k+ the top two sellers are selling at because they have very high review quantities.

Underestimating monthly revenue will do you much better than overestimating when calculating sales projections. It’s great to be optimistic, but this is an area where practicality will serve you well.


Price is an important metric for informing your sourcing decision in two ways: 1) If you have a revenue/profit goal in mind, knowing how much you can charge per unit will help you know how many units you will need to sell each month. 2) Price will allow you to determine your product’s unit margin.

While some markets are more price sensitive than others, price can be a major lever in increasing/decreasing traffic, but can also have a major impact on profitability. We’ve seen so many sellers source “higher quality” products which forces them to charge much more than the average market price. There is certainly a time, place, and strategy for doing this. However, from our observations, this tends to end up being a mistake, and the product struggles to match projected sales volume.

Source Smarter

Make sure you can match the average market price with plenty of margin!

Unit Margin

What is it?

Unit Margin is the amount of money Amazon will pay out for each product purchased (considering no returns and promotions). The unit margin takes into account Amazon’s marketplace referral fee (Amazon’s fee for selling on their platform), the short term inventory storage fee (charged based on the product’s dimensions), Amazon FBA order handling fee (calculated based on the product’s weight and dimensions). You also have the option to input your landed unit cost to get an accurate representation of associated variable costs. The bottom line “Margin” figure offers a glimpse into what you can expect to be paid out by Amazon per unit. Tip: Changing the landed unit cost for one product will apply the landed unit cost to all products shown in the “Top Sellers View” for your convenience.

Source Smarter

Pay close attention to this field. For example, having the potential to drive top line revenue of $100k per month is fantastic, but let’s say the unit margin is close to $0, then that $100k top line figure is worthless as it won’t actually contribute to your bottom line. Another factor to be cognizant of is that the margin across markets can decline over time. If you find a market and product that allows you to have a comfortable margin, you will essentially have insurance for a profitable future.

Monthly Sales

What Is It?

Estimated monthly sales is an estimation of the number of orders a product has had over the last 30 days. Based on an enormous amount of aggregated market data, both historical and current, we’ve created a custom sales estimation algorithm that is updated and improved nightly. By observing a product’s Amazon Best Sellers Rank within a top level category, we are able to estimate the number of orders a product has seen. Part of our superior accuracy is our Composite Estimate. Looking at historical data, we provide estimated sales volume per day for the last three to four months.

Source Smarter

Knowing how other sellers in the market are performing is critical to identifying the sales potential. Sales volume is the largest indicator for success in a market. Products with high sales volume are performing well, those with low sales volume are not performing well. Estimated sales act as an indicator for many scenarios:

Product Type: By being able to observe how each individual ASIN is performing in estimated sales volume, allows you to identify which types of products are performing well. For example, looking at a Fish Oil, observing which pill counts have higher estimated sales will help inform you which pill counts you should consider sourcing and which you should avoid.

Sales Potential: Let’s say the top 10 sellers are driving less than 100 estimated sales per month, is this a market worth getting into? Yeah, maybe if each unit is selling at $100 per unit ($100 * 100 = $10,000), but if you can only charge $20 per unit with a top line revenue of only $2,000 it’s likely not worth getting into.

Inversely, let’s say that the top 20 sellers are averaging over 1,000 sales per month (excluding other factors). That means there is high potential and considering other factors, this could be a great product to get into so long as you can cashflow the inventory.

Review Quantity

What Is It?

Review quantity is one of the largest barriers to entry for a market. You must definitely pay attention to the review quantities of top performers. We’ve observed plenty of instances in which sellers enter a market due to high sales potential, but do not take into account the significance of the competition, and struggle to ever hit that sales potential.

Source Smarter

Pay close attention to how review quantity impacts sales.

Do all top sellers have a high relative review quantity? If so, this is an indicator that you will need a comparative number of reviews in order to sell at the same volume.

Are there plenty of ASINs with low relative review quantity that are selling at a high volume? If so, you may have the opportunity to sell at a decent volume with a low review quantity. This is generally a great thing, but you want to be careful to know this definitively.

Are there only one or two ASINs that are selling well with a low relative review quantity? A warning to the wise, we would identify those listings as outliers, and would suggest not taking their performance into account. If you want help identifying outliers, we suggest clicking on the “Filtered View” where we attempt to programmatically identify outliers for you.

Average Rating

What Is It?

This metric displays the average review rating for a product.

Source Smarter

While it is important to source a high quality product, knowing how other products are performing is an opportunity to know how your product needs to perform in order to stay competitive. For example, finding a product market with a low average review quantity (ex. Market average of 3.5 stars) could be an opportunity to source a higher quality product that customers are going to be satisfied with.

The savvy sellers will be sure to click in and read the reviews of many products in the market to learn what customers do/don’t like about current offerings as well as potential deficits and opportunities to provide a better experience. With that said, be mindful that your product updates/alterations do not cost too much on a per unit basis so as to drastically diminish your unit margins.

Who Owns the Buy Box

What Is It?

Here we denote what fulfillment method is being used, or identify if the product is shipped and sold by Amazon.

Source Smarter?

At the time of writing this piece, we feel that this metric should not have much of an impact in sourcing decisions. There are benefits to knowing what the competition is doing, for example, if many listings are fulfilling via FBM, are not Prime eligible, and economically it makes sense for you to fulfill via FBA, this may be an opportunity as shoppers and keyword ranking favor Prime eligible listings. There are also some concerns with trying to enter markets that are dominated by products sold by Amazon directly. These ASINs typically perform well and can be a bit more difficult to compete with.

Sales to Reviews Ratio

What Is It?

This is a simple ratio calculation of estimated monthly sales divided by current review quantity. We call this the “ROI Ratio”. We explain the importance of this metric later in extensive detail.

Net Profit

What Is It?

The Net Profit is an estimation of the payout the product produced over the last 30 days based on the calculation of estimated sales multiplied by the unit margin. (ex. $5.50 per unit *100 units sold = $550)

Get the Complete Guide

Did you enjoy learning about Amazon Product Data and how to interpret and analyze it effectively? To get other golden nuggets on sourcing your next home run, download the Ultimate Guide to Sourcing Private Label Gold Mines.

Contents include:

  • Crucial concepts
  • Amazon Product data vs. market data
  • Interpreting and analyzing market data
  • The key metric to ROI
  • Plotting your course for success

And more…

Fill out the form below to receive the guide and start sourcing gold mines:

Amazon Product Research: Interpreting and Analyzing Market Data


The ROI Metric: Identify the Best Products to Sell on Amazon

Generate Amazon Product Ideas: 3 Creative Methods for Sellers

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