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  • Writer's pictureMaximus

Product Analysis Guideline for Amazon FBA Sellers

Researching potential products from suppliers can be tedious and time-consuming if it is not approached properly.

Tim addresses three aspects of the research process:

  1. High-Level Skim

  2. Deep Dive Analysis

  3. 2nd Opinion

The objective of the high-level skim is to narrow down a huge list of products to between 5-20 products.

Usually, there are hundreds of products on a supplier's product list and it can take hours to analyze each individual product.

There are analyzer tools out there for Amazon sellers to quickly evaluate suppliers' product lists and narrow it down to a reasonable amount of products.

After the skim, Amazon sellers should take the smaller amount of products and conduct a deep dive analysis on each one.

Tim also put together a guideline on how to conduct a deep-dive analysis for a potential product. The guideline is a chronological order of steps.

Deep Dive Analysis steps:

  1. Calculate the Profit using the Amazon revenue calculator

  2. Competition - How many people are you going to share the buy box with?

  3. Best Sellers Rank (BSR) & Sales Volume using tools like Keepa & JungleScout

  4. Gated/Ungated - Will you need to get ungated by Amazon?

  5. Product Reviews - Manual Sales Estimation

  6. Shipping Plan

There is more research that sellers can do on potential products, but this is a general guideline on how to approach the research process.

It is important to start with calculating the profits because if it is not profitable, then there is no need to research any further.

After conducting a deep dive analysis, it is best to get a second opinion on the product.

Have someone double-check the numbers and information.

ALGO students can submit a product double check!

Using this product analysis approach can save substantial amounts of time and money.


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