Step by step guide to sell on Amazon
“How to sell things on Amazon, how to sell on Amazon successfully, how to become an Amazon seller, how to sell online on Amazon?” are a few questions pondered upon by every beginner who desires to have his foot into Amazon.
So, to answer these questions, here we come a step-by-step guide to selling on Amazon or in short, an Amazon tutorial, that provides selling on Amazon tips, Amazon selling tips for beginners, effective selling techniques and strategies for selling on Amazon for beginners.
So, let’s get started with the Amazon tutorial / the guide to selling on Amazon to know how to sell on Amazon successfully.
# Step 1 – How to get started on Amazon to become an Amazon seller?“How to become a seller on Amazon, how to sell things on Amazon” are a major criterion of thinking for selling on Amazon for beginners. Beginning with the Amazon selling guide, here is how you need to start: ‐ Setting up the seller account is the first step, to begin with, Amazon selling ‐ Visit the sellercentral.amazon.com and register yourself. ‐ The “register now” button will direct you to the process of setting up an Amazon account. The setting up of an account will only take a few minutes, you just need to fill in all the necessary information and then the seller is all set to start with Amazon selling.
Why do you need the Amazon seller App?
Because this can be the easiest way to know how to sell online on Amazon. The Amazon seller App is a free App and can be regarded as one of the requirements to become an Amazon seller. This App gives out the seller all the details like the selling price, processing fee and other details of the product.
The App allows the seller to use the camera to scan the barcode of the product to get all the information regarding the pricing and fee, which the seller is considering to sell on Amazon.
# Step 2 – Decide what to sell on Amazon
Real Arbitrage – The real arbitrage is the best way to start selling on Amazon, the idea is to find the items that are on sale for a lesser price in the retail stores than on Amazon. This practice of purchasing the items at lower prices in retail stores and then selling them on Amazon is called as the Retail Arbitrage.
Why should you consider Retail arbitrage? – It has low investment, offers good deals to make profits, and provides extensive knowledge on how to sell online on Amazon and other inventory sourcing methods, which proves to be helpful for an Amazon seller in future.
How to get started with Retail arbitrage? – The Amazon seller App proves to be very much useful as it will provide you with complete information of an item to analyze whether the item is worth buying to resell or not.
‐ Go to the local big box store in your area.
‐ Look for the clearance section or aisle.
‐ Open your Amazon seller app and scan the barcodes of the products.
‐ When products are scanned, the seller will be redirected to a page where the product’s eligibility and sales rank will be displayed.
‐ Make sure the product is satisfying the eligibility criteria to sell on Amazon and the sales rank of the product is good.
What is sales rank? – Sales rank is the information provided by Amazon that gives the seller the idea of how prominent or quick the item currently on sale on Amazon is. The products with the sales rank below 250,000 are recommended.
Here, the seller faces two criteria’s:
Criterion 1 – The product is eligible for selling on online Amazon and has less and good rank which is below 250,000. If the product suits this criterion, then the seller is all set to move to the next step.
Criterion 2 – The product is eligible for selling online on Amazon but has more rank probably more than 250,000, then the seller has to check if the item provides the desired return on investment.
How to check if the product returns the desired value on investment?
‐ Click on the Gross proceeds sections.
‐ Enter the selling price, cost per pound to ship to Amazon and how much do you afford to purchase the item for.
‐ Check if the net profit number is higher than the minimum profit threshold. Having a net profit potential of $3 is recommended.
‐ When the product meets the minimum profit threshold, evaluate the return on investment percentage which can be attained by dividing the net profit by the cost of the item.
‐ looking for the item that returns higher than 50% on investment percentage is recommended.
Note: Scan most of the items in the clearance section, find the items that meet your Amazon selling criteria with the most profit at your end.
# Step 3 – Set the pricing for the itemSetting up the price for your item while selling it online Amazon can be the make or break factor for your startup. Before rushing to set the price for your item, analyze what prices have your competitors set for the same product.
Click on the link saying used & new (#) to view all the available offers for the products on Amazon and “#” file will be filled with the sellers.
The seller will again encounter three criteria’s here that need an understanding of effective selling techniques and strategies to button the right one.
Criterion 1 – Setting the prices below the offers you are competing with.
Criterion 2 – Setting the prices above the offers you are competing with (not at all recommended for a beginner).
Criterion 3 – Matching the prices with your competitors (most recommended).
Which criterion is best for selling on Amazon for beginners?
The beginners are suggested to opt for the criteria 1 and 3 to have a successful beginning in Amazon.
As the higher prices will scare away the customers, the criterion 2 does not prove to be the best option for selling on Amazon for beginners. However, experienced sellers can opt for this based on their popularity and ratings.
The criterion 1 will supposedly gain attraction to your product, but might also start a chain reaction of lowering the prices and can have adverse effects on your margins, while the criterion 3 will keep you in the game with the same fulfillment method.
These general guidelines with selling on Amazon tips, Amazon selling tips for beginners will prove to be a good starting point for your startup.
Sell on Amazon FBA
Fulfillment by Amazon is likely the best option for the sellers to fulfill their products.
Know how the selling on FBA works:
‐ Find the product you want to sell on Amazon.
‐ Set the selling price for your item and list the product on Amazon for sale.
‐ Ship the products to an FBA warehouse.
‐ Verify the items you have sent are correct and are in proper condition.
‐ Your listing gets activated after the verification.
‐ When Amazon receives the order for your item, the item gets shipped to the customer.
‐ After the shipment, your share of sale is deposited into the account. An email will be sent to the seller for every order.
Benefits of Selling on FBA
‐ Your products are shipped to Amazon in bulk and the rest of the process is handled by Amazon.
‐ Your products will be available for prime shipping benefits, which attracts and seems more appealing to the customers.
‐ In case of any issue regarding the shipment or cancellation of the product, the issue is taken under consideration by Amazon.
How FBA Revenue calculator can be useful for you?This calculator helps you find any item you considering selling on Amazon.
Just enter the price, how much the product costs you, how much does it cost to ship to Amazon, and then the calculator displays the exact fee you will be charged and how much profit you can expect to make on that product.
Every item you are considering to sell is recommended to have a go through on this calculator to know what you will make in the end.
How to sell internationally online on Amazon?For those expanding to the global waters have “how to sell internationally online on Amazon?” or considerably “How to sell internationally on Amazon from India?” on their mind.
Amazon operates 11 online marketplaces across the world, offering the sellers to grow internationally and get tagged as top sellers.
Following are the marketplaces that Amazon operates on:
Amazon.com, Amazon.ca, Amazon.com.mx
Amazon.co.uk, Amazon.de, Amazon.fr, Amazon.it, Amazon.es
Amazon.co.jp, Amazon.cn, Amazon.in
‐ Gives the sellers access to the customers who trust the buying experience on Amazon. ‐ Improves sales and leverages the Amazon brand without you having to put efforts on building the business recognition. ‐ Amazon handles the packing, picking, and shipping of the products, once the item is sent to the FBA warehouse.
Challenges of selling Internationally Online
International market offers amazing growth opportunities besides having a few challenges for the sellers with ‘how to sell internationally online on Amazon?” and “how to sell internationally on Amazon from India?”, the criteria are supposed to face while entering the international market.
With the right approach, effective techniques and proper selling strategies, a beginning seller can make it to the label of a “top seller” in no time.