How to sell successfully on Amazon: 10 Tips for Beginners
How to sell on Amazon? For beginners this question is not easy to answer. You need a lot of knowledge if you want to sell successfully on Amazon. Our 10 tips will give you a few steps ahead! Find out which structures prevail at Amazon, which products you should sell, how to advertise them, and how to avoid competition. In the following we will reveal the best tips for selling on Amazon and Amazon FBA.
A short digression on Amazon
On the biggest online retail platform, Amazon acts as a seller as well as other renowned sellers such as musicMagpie, World of Books Ltd, momox co uk, WeBuyBooks, Book Depository, and many more. But also small and medium-sized sellers contribute to Amazon's success, to be specific around 300.000 on Amazon UK. As early as 2018, almost 60% of the goods in international trade at Amazon was not sold by Amazon itself, but by marketplace sellers. These merchants sell from a few to many thousands of items and use the platform as a sideline or main source of income.
Setting up an Amazon seller account is quite simple. The hard part is to attract customers to your offers. But watching your business enfold and evolve is a lot of fun if you are well prepared. Our following basics and tips accelerate your start and prepare you for some of the challenges you might face.
Our best tips and tricks on how to sell on Amazon successfully for Beginners!
1. Useful – the problem of product selection on Amazon
Before even starting with Amazon you need to know which products you want to offer. Your selection should not only be seasonal and trendy but also profitable. Otherwise, your Amazon adventure will be short. Or do you still use fidget spinners?
Take a look at Amazon for this. Categories that always go well are household, technology, fitness, toys, and pet supplies. Look out for the bestsellers on Amazon and be inspired. It is always an advantage if you have some prior knowledge of certain categories so you can pitch your products to your customers later on. But even without, you can easily choose a category and read up on the products. When you have gained enough experience, you can also expand your portfolio with articles from the other categories.
If you are just starting to sell on Amazon, the following applies: Beginners should make sure that the sold products are not too cheap and not too expensive. With very expensive products you have a very high capital commitment. If the products are too cheap, the margins are so narrow that they are only worthwhile on a very large scale.
Redarding the question how to sell on Amazon for beginners, a rule of thumb says that the sales price should initially be between 10 and 30 Pounds in order to sell successfully at Amazon. Two tips in passing: A repricer can help you to set the optimal selling price - but think carefully about where your lower price limit is in order to keep a certain margin.
2. Easy to start - Registering on Amazon as a seller
Have you decided on a product or a specific category? Then jump into the next step, register as a seller on Amazon.
But if you made your decision to sell at Amazon after reading our tips, you should also be clear about how much you want to sell. As a small extra income, the Individual rate of £0.75 per item sold is reasonable. This includes all the basic features - product setting, own shipping, and customer service. If you stick with less than 40 items sold per month, this option is just right for you.
If you think you'll sell more and want to take advantage of other Amazon features, then the professional rate at £25 (excl. VAT) per month is more convenient for you.
The professional fees includes a better overview of sales figures, advertising can be placed and more categories are available. The cost is already worthwhile when achieving more than 40 sales per month. This should be your minimum goal.
3. Important to note - The rules of Amazon
When it comes to selling on Amazon, tips and tricks regarding platform rules should not be ignored: Before you make the decision to start selling on Amazon, you should first familiarise yourself with the guidelines that apply in the marketplace as they are strict and should not be taken lightly. Non-compliance may result in the suspension of a product or even the entire account. Keep that in mind. Otherwise, how to sell on Amazon is for beginners no longer an issue of importance.
In regards to the rules we should also mention, that Amazon also established rules which are not included in the TOS. A good example is the algorithms responsible for the search (A9) and the Buy Box.
If you want to win the Buy Box, you have to work hard and be the best seller of a product. The best seller offers, among other things, fast shipping, the best customer service, and the best price. Since many sellers often sell the same product with only one Buy Box the competition for it is tough.
Even though the Amazon algorithm is not transparent, you should study it to sell your products on Amazon in the best possible way. Every other tip depends on this advice.
4. A whole world out there - The international Amazon Marketplaces
If you are wondering how to sell on Amazon, for beginners it's equally important to ask where to sell! Amazon is not only available in the UK. For the professional sellers in Europe, the marketplace offers also the possibility to sell in countries such as France, Germany, Spain and Italy. If you want to expand into these countries, you can use Pan-European FBA services and sell on the country-specific Amazon portals. Keep in mind that due to Brexit the Pan-European program is not distributing your items automatically from the UK to EU and vice versa. You need to send your items to a European FBA warehouse from where they will be distributed throughout the EU territory.
If you don't speak a second or third language, just start with the UK and ship to other countries from there. Germany, the Netherlands, as well as other surrounding countries, place orders via Amazon UK.
But perhaps one of the hottest tips regarding "selling on Amazon for beginners" is: FBA sellers do not even necessarily have to speak the local language! Because in the Pan-EU programme Amazon takes care of fulfillment and customer service. It couldn’t be more simple.
5. Taken seriously - Customer service at Amazon
The customer is king. This is also stated in the above-mentioned guidelines. There should be as few returns as possible and rarely bad ratings.
The quotas for negative seller ratings and returns are painful to cope with, especially at the beginning. With few orders, this can quickly result in a warning from Amazon. In the event of non-compliance, Amazon can even block the account.
Therefore, always make sure to sell high quality products and provide good customer service. So when you are wondering how to sell on Amazon, for beginners it can't hurt to listen to Jeff Bezos:
“Start with the customer and work backward.“
To play save in terms of customer service and fast shipping take a look at FBA. FBA stands for Fulfillment by Amazon and is a service where the marketplace offers you its own storage capacity and at the same time takes care of customer service and shipping. Amazon is well known for its customer service - when using FBA, this results in the best customer service and fast shipping.
6. Quick to ship - Amazon Prime is a must-have
Shipment is also included in the Amazon guidelines. Most customers are used to Prime shipping and want to receive the package as soon as possible. Again, there is only a specific quota of delayed shipments or late deliveries allowed.
This rate is one of the most important metrics sellers must have under control in order to sell successfully on Amazon. Our tips for this: If you want to reduce your stress, you can switch to Fulfillment by Amazon (FBA) and have the goods shipped directly from Amazon's warehouse with a prime label. According to Amazon's specifications, Prime shipping takes 24 hours within the United Kingdom. With the Prime logo, customers know that Amazon guarantees this - and are automatically more willing to buy.
When shipping your own goods, you can choose a shipping service provider yourself. Here you decide which provider is the cheapest for you and has a post office nearby. With the standard shipping methods, the customer will receive the package after 2-3 days.
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The middle way - between own shipping and FBA - is the program "Prime by Seller". After you have qualified in a test, you send your items with the Amazon shipping stamps and the Prime logo. To get and keep the logo, you must always ship your products the same day.
Calculate carefully which shipping method is the best for you. Besides costs, it depends on your products whether FBA, FBM, or Prime by Seller makes the most sense. If the products are bulky or are in stock for a longer period of time, they are hardly suitable for FBA since the service fees are calculated according to the price, size, and weight of your items. For wholesalers, however, FBA is sometimes absolutely necessary in order to stand up to the competition.
Here comes another tip for selling profitably on Amazon: Do not get cocky! If you are just starting out and do not yet need a large warehouse, shipping from your own living room can also be an option for you.
How to sell on Amazon for beginners with their own Private Label
7. Really convincing - Pictures, bullet points and description on the Amazon product page.
Once you have decided on your products, it's time to get down to business: uploading the product to Amazon. For this you need, among other things, an SKU (specially created article number), an EAN/GTIN/UPC/ISBN (identification number for the product), product information, pictures, and texts.
While EAN and SKU are used to identify the product, the other data is used to describe the product attractively for the buyer. Pictures, on the other hand, give customers a first impression of the product.
The images should be high resolution, as customers like to zoom in to take a closer look. In addition to classic product pictures, it is always advisable to show pictures in use. Integrate awards or advantages in the pictures in order to sell as many products as possible via Amazon. Hiring a professional photographer should definitely be considered. After all, it is often the picture that decides whether a customer buys or not.
Bullet points for the most important information
The bullet points are essential, as this is where the customer obtains his or her first information about the product. The most important information and purchase arguments must be brief and concise. What colour is the product? What material is the product made of? What can the product do? How does it make the customer's daily life easier or does it bring joy to the pet? These are all points worth mentioning.
The description, which is a little further down, provides additional space to go into more detail about the advantages of the product and for storytelling about the company. Take a look at what competitors have written and get inspired. Customer feedback from the competition is also worth its weight in gold. What did customers particularly like and what did they dislike about the product?
8. Nothing to hide - Push the product ranking with SEO
Although Amazon offers simple ways to present products to customers, some work is required to get a good ranking in the search results and increase traffic. SEO (Search Engine Optimization) is a cornerstone to ensure that your products are listed right from the start and sell as successfully as possible on Amazon. Our tips for this:
All these measures attract visitors to your site. Nevertheless, you should consider external ads or marketing measures to get more traffic to the site. But be careful! Too much traffic without a purchase leads to a bad ranking .
For external marketing measures, keyword-optimised blogs with links to the product, affiliate and social media advertising are ideal. Whoever relies on Amazon's internal marketing measures must first get hold of the Buy Box. Unfortunately, neither advertising nor conspicuous actions can be started before that.
How to sell on Amazon: Optimisation for beginners – sales, prices and stock
9. Leave the competition behind - Get and keep the Amazon Buy Box
Always keep an eye on the competition. Price adjustments made by your competitors can lead to losing the Buy Box. Adjusting prices every minute is not a solution due to the time involved. However, optimising the price is essential to selling profitably on Amazon, for beginners and advanced sellers as well. There are hardly any promising tips for adjusting prices manually. So it makes more sense to delegate this task to a repricing tool.
A repricer calculates the appropriate price and changes it automatically. The dynamic repricer from SellerLogic does not calculate the cheapest price, but the optimal one, so that you are always one step ahead of your competitors.
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10. Save time - Help with Amazon FBA storage problems
Now you are already well prepared to sell successfully on Amazon, know valuable tips, and can put them into practice. The last thing you should remember is this: Amazon makes mistakes too!
In the Fulfillment by Amazon warehouse, for example, items can be damaged or disappear undetected in the warehouse. Also, dispatched orders can contain errors. Only a few damaged products or errors are reported by Amazon to the seller. To ensure that this is not a hidden loss for you, our reimbursement manager Lost & Found finds undiscovered errors in the FBA warehouses and informs you right away.
Since communication with the Amazon Customer Service is not always easy for sellers, the tool goes even further. To save time, Lost & Found will also help you contact the Amazon Customer Service to make the reimbursement process quick and easy.
Conclusion: How to sell on Amazon for beginners? Get started!
Do not bother too long with how to sell on Amazon. Even for beginners it's time to get started! Use your new basic knowledge of Amazon to pave the way to success in the marketplace. Find the product that fits you best. Start your business at Amazon and experience the feeling of joy when your sales increase and your products sell better on Amazon every day. With our tips, you will hopefully succeed in doing this more quickly than others!
Amazon offers you a lot of help, such as FBA, so that you as a seller can promote sales. When selling, however, do not forget that Amazon always focuses on the customer. If you satisfy them, things should run smoothly for you.
Step by step you can optimise and automate your sales with the right Amazon tools. Within a very short time, you will be on the first page of the product search, hold the Buy Box firmly in your hand, ship packages to satisfied customers, and can expand with new products or to other countries.
By the way: You can also use the tools of SellerLogic worldwide. So nothing stands in your way for the internationalisation of your business on Amazon. So selling for beginners is even possible on different marcetplaces.
Good luck on Amazon!