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How to Conduct Amazon Product Research: An In-depth Guide

Do you know that promoting on Amazon comes with a possible failure charge of 80%-90%? Nonetheless, the ten% that do find yourself making it, make it massive! Like they actually kill it. One of many core the explanation why they make it’s their skill to conduct efficient Amazon product analysis.

They essentially perceive that solely selections backed by information lead to success.

In any case, within the ever-evolving world of e-commerce, shopper preferences can change within the blink of a watch and profitable sellers don’t have any alternative by to adapt by staying forward of the curve.

Use numerous strategies to dive deep into the wants and wishes of your audience, perceive their ache factors, establish gaps in your opponents’ merchandise, and in the end, zero in on profitable alternatives that may propel your online business to new heights.

Whereas it may be tempting, merely discovering a product you want, creating an inventory, and hoping for the most effective will be ineffective in the long term.

Due to this fact, we’ve put collectively this complete Amazon product analysis information with efficient tricks to streamline your Amazon product evaluation and analysis journey.

Let’s leap into it!

Here’s a fast peek into the article:

  • What’s Amazon Product Analysis?
  • 4 Components Influencing Your Product Analysis on Amazon
  • Methods to Uncover Good Product Concepts
  • Ultimate Ideas

What’s Amazon Product Analysis?

Amazon product analysis refers to discovering a “profitable product” that would flip a hefty revenue when bought on Amazon. Sadly, you can not rely solely on intestine emotions or ardour on the subject of promoting a product on Amazon.

For instance, you may spend a number of hundred hours of time and sources developing with a proprietary product that you just assume is wonderful.

Nonetheless, if there’s no market demand for it, then your product merely gained’t promote on Amazon. Moreover, extremely aggressive merchandise lead to saturated niches that may be extraordinarily laborious to interrupt into.

To successfully zero in on a worthwhile product, you’ll must deploy a variety of methods to collect information, and totally analyze and validate its potential for fulfillment.

Particularly, it is advisable to contemplate numerous metrics equivalent to BSR, estimated every day orders, estimated every day income, class and subcategory info, and way more. After all, guide strategies of product analysis might not lead to gathering the identical stage of knowledge as Amazon product evaluation with a specialised third-party analysis device.

By understanding this information, not solely might you discover alternatives in a non-competitive area of interest or the subcategory of a saturated area of interest. As an illustration, breaking into the water bottle area of interest will be difficult. Nonetheless, there could also be potential within the sports activities water bottle subcategory.

4 Components That Affect Product Analysis on Amazon

To successfully validate a product and discover profitable alternatives, it is advisable to contemplate the next components:

  • Demand
  • Buyer
  • Competitors
  • Profitability


Understanding the demand for the product is extraordinarily vital. As talked about earlier, you may probably lose a major amount of cash making an attempt to promote a product with none demand or by making an attempt to interrupt right into a class with excessive competitors.

Due to this fact, with out understanding the demand, you gained’t be capable to gauge the success of your product.

Listed below are some key components that may enable you establish demand for a product:

A minimal of 10 estimated every day orders

Discover a product that has a better common unit gross sales per day. As a baseline, we advocate you retain it to a minimal of 10 estimated orders per day.

This primarily implies that the product that you’re making an attempt to promote ought to have already been bought by not less than one different particular person and may generate a minimal of 10 gross sales per day. This may additionally recommend that the product has an excellent demand with not less than 300 orders a month on common.

After all, there’s the query of profitability as nicely. Let’s assume that two merchandise are promoting at $30. Product A has a median every day order of 5 and product B has a median every day order of 10.

Now, let’s assume that each merchandise have a revenue of $10 after the Amazon FBA charges, delivery, promotions, and many others. Basically, the gross sale you make per thirty days in Product A is $30* 5 models * 30 days = $4,500, and in Product B is $30* 10 models * 30 days = $9,000

The revenue you make for Product A is = $10 * 5 models/ day * 30 days/ month = $1,500 per thirty days, and Product B is $10 * 10 models/ day * 30 days/ month = $3,000 per thirty days.

As apparent as this will likely sound, merchandise with greater common gross sales models per day have higher income. Due to this fact, purpose to promote a product that may not less than usher in 9000-10000 in product sales and not less than 3,000 in revenue.

A BSR of 5,000 or much less within the class

Understanding the gross sales frequency of a product will be sophisticated with out the correct device. Nonetheless, you could find the finest vendor rank (BSR) without spending a dime on the ecommerce platform. Most significantly, the BSR will help you perceive the gross sales efficiency of a product inside its class.

Essentially, a decrease BSR suggests greater gross sales. As an illustration, a product with a BSR of 20,000 has considerably fewer every day gross sales than the identical product with a BSR of two,000 in the identical class.

Due to this fact, keep away from deciding on a product with low gross sales potential even when it has discovered its solution to the highest pages.

When zeroing in on a product, it’s advisable to have 3-5 merchandise in the principle class with a BSR rank of round or beneath 5,000. The extra variety of merchandise you could have with a low BSR, the higher your probabilities of success.

Notice: When analyzing the BSR, deal with the principle class relatively than subcategories. Take into accout a product with BSR #100 within the Electronics class wouldn’t essentially generate related gross sales as a product with BSR #100 within the Pet Provides class.

We advocate you employ SellerApp’s Product Intelligence Device to seek out merchandise that may promote on Amazon. Particularly, use SellerApp’s distinctive “Alternative Rating” characteristic, which analyzes the product and provides a rating based mostly on the next standards.

  • Demand: It calculates the demand for the product within the class
  • Income Potential: It estimates the month-to-month income of the product within the class
  • Competitors: It reveals if the competitors is greater or decrease than the class common
  • Overhead Value: It estimates the overhead value and reveals if it’s greater or decrease than the class common.
  • Revenue Margin: It reveals you the estimated revenue margin of the product in comparison with the class common
  • PIS Index: This metric measures the scope of enchancment within the product.
Product Intelligence Device by lifestylealive

A excessive Alternative Rating signifies that the product will be extremely worthwhile in the event you select to promote, and vice versa.

The product has key phrases with good search quantity

One other efficient technique to gauge the product calls for is to grasp the varied key phrases and search quantity for these key phrases. If the product key phrases already appeal to substantial search visitors, there’s no must reinvent the wheel.

As a rule of thumb, see if the highest 2-3 product key phrases have not less than a cumulative search quantity of 10,000+ to successfully perceive the demand for mentioned product. After all, this will likely fluctuate based mostly in your product sort and area of interest.

Notice: Avoid a product with a really excessive search quantity, as this area of interest may be too aggressive to seize a portion of the market share and make a good revenue.

We advocate you employ the SellerApp Reverse ASIN device to seek out all top-performing key phrases and search quantity for the product.

Log in to the SellerApp dashboard. Go to the , and add your competitor ASINs. Right here you’ll be able to analyze the key phrases based mostly on search quantity.

Reverse ASIN device by lifestylealive

A product that promotes repeat purchases.

Promoting a product that encourages repeat purchases like cosmetics paper merchandise or packaging supplies is an effective way to enhance buyer lifetime worth and your income.

Moreover, promoting a majority of these merchandise may also enable you construct a model and even buyer loyalty.

Recurring purchases additionally point out buyer satisfaction and belief. They’re additionally much less prone to swap to opponents or substitutes. Most significantly, selecting to promote such a product additionally leads to decrease acquisition and advertising prices as you don’t need to spend a lot cash attracting new prospects, as you have already got a loyal buyer base.

An evergreen product

Sadly, it is advisable to contemplate seasonality as an element when selecting to promote your product. As you’ll be able to think about, the product’s demand can fluctuate relying on the kind. For instance, demand for snow gloves drastically will increase throughout winter and is non-existent in the summertime season.

Some product calls for additionally enhance throughout particular holidays. For instance, Halloween costumes or decorations.

Due to this fact, we advocate you get a normal thought of the seasonality of the product utilizing Google Developments. Particularly, to establish if the key phrase search quantity information of the product is regular throughout the yr.

amazon key phrase analysis by lifestylealive

But when there’s a periodic spike within the search quantity, it reveals seasonality.

seasonal merchandise by lifestylealive

A enterprise constructed round seasonal merchandise could also be worthwhile for a day or a season however wouldn’t be sustainable in the long term.

Assessment buyer suggestions

Nonetheless, we advocate digging far deeper into the opinions than merely glossing over 3-5 opinions.

Probably the greatest methods to trace demand and perceive the effectiveness of a product is to move to the client evaluate part and skim the suggestions.

Use the SellerApp Chrome Extension and collect all of the opinions for a selected product. You’ll be able to filter by verified purchases to collect insights from the precise patrons and filter the opinions by star ranking, textual content/video/picture opinions, and even geography.

Extra importantly, use the Product Scanner Function to collect the typical scores and opinions for all of the merchandise on the class or subcategory stage to grasp the general demand.

Monitor pricing and observe competitor stock ranges

One other solution to perceive product demand is to trace competitor pricing and stock ranges. However by understanding the value wars between your opponents to win the purchase field and even the fluctuations in promoting worth, you’ll be able to perceive the demand for the product to a sure stage.

Though not amazingly insightful, you may nonetheless perceive a sure stage of demand by monitoring your competitor’s stock stage and understanding how typically they’re low in inventory. After all, this will take a major period of time, which is why it ought to ideally be an ancillary technique to gauge demand.


Along with Demand, you need to deep dive into the area of interest and perceive buyer sentiment to grasp your product has potential.

Search for Merchandise with a low evaluate depend (About 2-3 Merchandise With < 50 Critiques on Web page 1)

Learning opinions is a crucial a part of product analysis.

With this analysis, you’ll be able to perceive whether or not the product is successfully fixing the client’s ache level however it’ll additionally enable you perceive gaps within the aggressive panorama that you may make the most of.

For instance, in the event you maintain studying that Product X can be extra simpler to make use of with Function Y. You could possibly implement Function Y into your product and promote it to seize market share out of your buyer.

After all, opinions additionally assist in extra a simple method. By studying the opinions you’ll be able to perceive if there may be demand for the product. The variety of sellers and the variety of opinions cut up throughout them additionally offer you perception into the problem of coming into the market.

A great rule of thumb is to make a listing of the highest ten key phrases for the product and test the highest 10 merchandise for every of these key phrases. The product is prone to promote efficiently if the highest 10 merchandise have lower than 100 opinions.

Nonetheless, if there are greater than 1000 opinions, it’s finest to maneuver on to a different product. In relation to selecting the key phrase go from broad to phrase after which to actual.

Establish the Distinctive Promoting Proposition (USP)

Analyzing the product opinions and Q&A piece may give you perception into not simply the weaknesses and gaps with the product but additionally enable you perceive the strengths and distinctive promoting factors of the product.

Normally, if the highest merchandise have already got 4.5+ scores, there’s a excessive probability that these merchandise are already “perfected”, and it is going to be troublesome to establish gaps within the product.

However for merchandise with lower than 4.5 scores, you’ll be able to establish some adverse opinions and perceive the gaps within the merchandise. Use these gaps to enhance your merchandise and tailor your product messaging.

After all, this isn’t an absolute. You could possibly at all times attempt to discover alternatives to enhance a virtually “excellent product” and launch a brand new one with further options or enhancements.


Apart from Demand and Buyer Insights, you need to additionally totally perceive the competitors. In any case, there isn’t a level in spending time and sources on launching an issue, solely to be drowned by the competitors.

Listed below are some key components to think about on the subject of understanding the competitors:

The barrier to entry shouldn’t be low

Don’t choose a product that has a low entry barrier.

As apparent as it could sound, it’s vital to grasp that everybody can see the potential on this product and you’ll run into a number of new opponents, negatively impacting your online business.

However, the tougher to enter a brand new market, the less new sellers will pose a risk to your product. Due to this fact, search for merchandise that require a comparatively excessive capital funding, distinctive options, or robust differentiations from different merchandise.

A majority of these merchandise will help you keep away from direct competitors and create a area of interest market for your self.

No Massive Manufacturers within the product class

Getting into a product class dominated by massive manufacturers will at all times put you at a transparent drawback. Right here’s why:

  • One, you have to to compete towards their giant advertising budgets and model recognition. Capturing market share can be more durable than going to the moon. Okay, possibly not. However the level nonetheless rests.
  • Two, profitable prospects who’re loyal to those manufacturers will be considerably difficult. And in the event you attempt to work round their market share, you may be concentrating on a brilliant slim demographic, which might limit your development and profitability.

In case you nonetheless wish to compete towards such dominant manufacturers, guarantee that you’ve got a stable advertising technique, an excellent product, an important model story/mission/values, and distinctive customer support.

The Variety of Sellers

Monitoring the variety of sellers needs to be a no brainer – it might probably point out the extent of competitors and the demand for that product. Usually, if there are too many sellers for a product, it might imply that the product is very aggressive, and you might have issue breaking into the market or succeeding when you’re in.

However, if fewer sellers exist within the class, it might imply much less competitors and extra development potential.


When you’ve evaluated a product’s demand, competitors, and prospects, it is advisable to be sure that the product you promote is worthwhile.

Listed below are some components to gauge the profitability of a product:

Search for Merchandise Between the $20-$50 Value Vary.

Merchandise priced at $20-$50 lie within the impulse shopping for choice vary. Essentially, the upper the value tag, the extra a shopper thinks about spending the quantity.

Which means, that they’ll conduct extra analysis and attempt to perceive in the event that they want the product, whereas with inexpensive gadgets, they gained’t spend as a lot time evaluating them to others.

Moreover, there may be an excessive on the opposite finish in addition to customers might affiliate the product with low cost high quality.

Sellers typically are inclined to get right into a black gap when looking for the proper pricing technique for his or her merchandise. Finally, whereas the impulse buy vary does have its advantages, it’s vital to notice that the product worth needs to be set after calculating the bills and revenue. Most significantly, it ought to deal with the client’s perceived worth.

For instance, an important instance can be transportable chargers just like the well-known BlendJet. The price of manufacturing the product could also be lower than $10. Nonetheless, with advertising and branding, you may construct a perceived valuation of the product and probably elevate the associated fee to $50-60.

Search for Light-weight Merchandise

Sure, the scale of the product is vital. Particularly, since there will be further charges related to delivery or storing the product. Due to this fact, it’s at all times advisable to search for small and light-weight merchandise, as a majority of these merchandise can maintain your delivery and storage charges down, which normally are based mostly on the weights and dimensions of the product.

For instance, it might be less expensive to supply and promote a small product, equivalent to a necklace, versus wood furnishings.

Whereas wood furnishings could also be in greater demand, the logistics value can be humongous, which might eat up a large chunk of your revenue margin.

Key Tip: Don’t go for too gentle or heavy fragile merchandise, like glass or electronics. Decide one thing sturdy and straightforward to ship.

Select a Product With a First rate Revenue Margin of 25-35%

The final word purpose of your online business needs to be revenue.

Sadly, there are a ton of charges related to promoting on Amazon. So, it’s not a easy calculation of product value and promoting worth. Additionally, you will must think about a number of components equivalent to subscription charges, promoting charges, promoting charges, storage charges, delivery charges, and many others.

Everytime you conduct product analysis, calculate the gross revenue margin to particularly perceive the incomes potential of the product.

There is no such thing as a specific revenue margin to purpose for, because it’s subjective. Nonetheless, we advocate not less than a 25-35% gross margin as this might enable you construct a profitable enterprise with long-term potential.

This can go away you with sufficient room to your promoting finances to face out from the competitors.

You’ll be able to simply discover the revenue margin of a product by utilizing the SellerApp FBA calculator.

Simply go to the product itemizing on Amazon, open the SellerApp FBA Calculator device, and supply the next info:

  • Value of Items Offered
  • FBA Charges
  • Different Value

And the device will routinely calculate the revenue margin for you.

Amazon Product Analysis Guidelines

Here’s a fast guidelines that can assist you simply choose the correct product to promote:

  • Product costs ought to fall between the vary of $10 and $50
  • Merchandise ought to make not less than 10 gross sales a day
  • The product ought to have a minimal best-seller rank of not less than 5,000 in the principle class
  • The highest 3 associated key phrases have 10,000+ month-to-month searches on Amazon
  • Select evergreen merchandise as an alternative of seasonal merchandise
  • The product should have not less than 2-3 competitor merchandise with lower than 50 opinions on the primary web page of the Amazon SERPs
  • Small and light-weight merchandise (below 2 to three kilos)
  • No model names or logos related to the product
  • A product will be arrange for 25% and even lower than the sale worth
  • Correct room for product optimization and enchancment of current listings
  • There needs to be a number of product-related key phrase alternatives
  • The product shouldn’t be fragile
  • There needs to be a possible to broaden the model with associated merchandise
  • Could make a superior product over related merchandise available in the market
  • The product encourages repeat purchases
  • The product shouldn’t have any authorized or compliance points

Methods to Uncover Good Product Concepts

Now that you just’ve realized the 4 components to think about when deciding on a viable product, let’s take a look at some efficient strategies to find the merchandise.

Amazon Market

Amazon is the primary place you need to analysis to establish good product concepts. Amazon has totally different classes like Bestseller lists, Movers and Shakers, Most Wished For, and Present Concepts part, public wishlists all of which might provide numerous product concepts to you.

First, go to Amazon’s Finest Sellers web page. Right here, you’ll discover the best-selling merchandise for every class. Don’t cease your analysis within the high class. Go deep into subcategories to establish distinctive product concepts.

Moreover, you too can take a look at New Releases, Movers & Shakers, Most Wished For, and Present Concepts tabs. These merchandise can have excessive demand however much less competitors over the best-selling merchandise.

Let’s say within the “New Releases” tab, you go for “Sports activities & Open air.” Now, that is method too broad a subcategory to establish product concepts. However you’ll be able to go deep into subcategories to establish product concepts that you just’ve by no means considered.

For instance, Sports activities & Open air > Train & Health > Cardio Coaching > Train Bikes.

Amazon Market by lifestylealive

Beneath the “Train Bikes” subcategory, you’ll be able to look via many product sorts.

Communicate with Your Present Provider

In case you’re already an Amazon vendor, the most effective and best solution to do product analysis is by merely asking your suppliers what merchandise are trending and promoting like hotcakes now.

Your provider ought to have already got the knowledge and may fortunately give it to you when you have an excellent relationship with them.

You may also make it worthwhile for the suppliers by giving them bulk orders for the brand new merchandise.

Taking a look at eBay’s Trending Checklist

Even when your goal market is Amazon, different marketplaces like Walmart, eBay, and AliExpress can nonetheless be worthwhile sources for figuring out product concepts.

Normally, if one product sells nicely on different marketplaces, it’s extra prone to promote nicely on Amazon too.

So, head over to different marketplaces like eBay or Walmart and look at all of the trending merchandise in your favourite classes.

Not all merchandise will suit your standards, however you’ll get a tough thought of the product in demand and brainstorm from there to discover a product that makes the right sense to you.

Go to Retail Shops

Visiting your native retail shops can be an effective way to find new product concepts to promote on Amazon.

These native shops typically promote distinctive merchandise that aren’t out there on-line. These retailers additionally function a real-time platform for figuring out present developments and conducting worth comparisons, which might present you an edge over the competitors.

Moreover, bodily retail shops help you do an in depth high quality evaluation and enable you make extra knowledgeable selections concerning the merchandise to promote.

Use Amazon Product Alternative Explorer

In case you’re already an Amazon vendor, use the Amazon Product Alternative Explorer device on Vendor Central to seek out new merchandise.

Log in to your Vendor Central account, and navigate to Progress → Product Alternative Explorer.

Amazon Product Alternative Explorer by lifestylealive

Use the search field to enter a broad key phrase associated to the product or area of interest you’re curious about.

Alternatively, you’ll be able to browse niches by class or use the instance area of interest suggestions based mostly in your present product choices.

Amazon Product Alternative by lifestylealive

The device will show related niches, related search phrases, and key metrics equivalent to buyer wants, high search phrases, search quantity, models bought, common worth, and worth vary.

high search phrases by lifestylealive

You should use these metrics to filter and slim down your search to keep away from low-quality merchandise.

by lifestylealive

Not simply that, make the most of the Buyer Assessment Insights part to establish enchancment alternatives inside a product and area of interest. It reveals you all of the optimistic and adverse opinions for each area of interest and product ranges.

Buyer Assessment Insights by lifestylealive

With this Product Alternative Explorer device, you’ll be able to slim down worthwhile product concepts backed by information and are much less prone to fail.

SellerApp additionally affords a complete Product Analysis device that helps you analysis merchandise on Amazon.

Simply log in to the SellerApp Dashboard, go to the Product Analysis device, and search with a seed key phrase. The device then provides you a listing of merchandise based mostly in your search question.

You’ll be able to filter the key phrases based mostly on a number of metrics to slim your search to probably the most related merchandise.

SellerApp Dashboard by lifestylealive

Ultimate Ideas

There you could have it, a complete guidelines for Amazon Product Analysis!

As you’ll be able to see, there are lots of elements to think about to conduct thorough FBA product analysis, Following the steps given on this put up will enable you get began together with your Amazon product evaluation.

Nonetheless, in the event you’re searching for an environment friendly solution to speed up progress, contemplate signing up on SellerApp Dashboard. It provides you free entry to invaluable options equivalent to product evaluation and monitoring that can assist you discover the best-selling merchandise to your subsequent launch.

Depart a remark beneath and tell us what Amazon product analysis methods you employ in your online business!

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