Friday, July 12, 2024

A Guide – How to Conduct Amazon Product Research?

amazon product research

Amazon is a global retail giant that offers various chances for aspiring entrepreneurs and businesses/brands. However, succeeding in this type of highly competitive marketplace needs careful strategic and planning for decision-making. 

Product research is one of the most important steps in building a profitable Amazon business. In our guide, we will explain all the important aspects from understanding market demand to exploring the profitable niches and choosing the right products to sell.

Table of Content

Amazon Product Research – A Brief

Well, product research is a simple process to analyze different products/niches carefully based on multiple metrics to find which product to sell on Amazon. 

Instincts and gut feelings don’t work when it comes to selling products online. Sellers must gather all important information, check multiple metrics, and utilize it to make the best choices.

For instance, a unique makeup box might seem a groundbreaking idea, however, can it generate substantial profit for you? This question can be answered by the data only. If it does, then there are chances that your product may not perform well in an already saturated marketplace. 

To ignore starting a business that fails, a businessman needs to be very smart about picking the right product. So, given below are the five factors that help you decide which product to sell on Amazon.  

Importance of Product Research

First readers must understand the meaning of product research. For any Amazon seller, product research is a vital part of business. Below we have listed some reasons why product research is important. 


Amazon is teeming with sellers offering a wide range of products. To stand out, you need to find products with low competition or a unique selling proposition.


Not all products on Amazon are equally profitable. Effective product research helps you identify products with healthy profit margins.

Market Trends

Consumer preferences and market trends change over time. Researching products allows you to adapt and stay ahead in a dynamic marketplace.

Risk Mitigation

By thoroughly researching potential products, you reduce the risk of investing in inventory that won’t sell.

Important Steps to Conduct an Effective Amazon Product Research

Sellers must follow the below-listed steps for conducting effective Amazon product research. 

1. Find a Niche and Target Audience

The first step is to determine your niche and target audience. Consider your interests, expertise, and the type of products you want to sell. Identifying a niche allows you to focus your research and marketing efforts effectively.

2. Use Amazon’s Search Bar

Amazon’s search bar is a goldmine of information. Begin by typing in broad keywords related to your niche. Amazon’s autocomplete feature will suggest popular search terms. These suggestions can provide insights into what customers are actively searching for.

3. Analyze Best-Sellers and Customer Reviews

Explore the top-selling products in your niche. Pay close attention to customer reviews. What are customers praising, and what are their complaints? This information can guide product selection and improvements.

4. Use Amazon’s Product Research Tools

Amazon offers several tools to aid product research, such as Amazon’s Best Sellers, Amazon’s Movers & Shakers, and the Amazon Seller App. These tools provide data on products that are currently trending or performing well in various categories.

5. Check for Seasonality

Seasonality can significantly impact sales. Be mindful of products that are in high demand during specific seasons, as this might affect your inventory planning and marketing strategy.

6. Analyze Competitor Listings

Examine your competitors’ product listings. Look for gaps or areas where you can provide a unique value proposition. Can you offer a better price, superior quality, or faster shipping?

7. Calculate Fees and Expenses

Determine the potential profitability of a product by calculating all associated fees, including Amazon referral fees, fulfillment fees, and shipping costs. Make sure there is enough margin to cover these expenses while still generating a profit.

8. Consider Branding and Packaging

Investing in branding and attractive packaging can make your product more appealing to customers. This can be a valuable differentiator in a crowded market.

9. Evaluate Legal and Compliance Issues

Ensure that your chosen product complies with Amazon’s policies and regulations. Avoid products that may have legal or safety issues.

10. Test with a Small Batch

Before committing to a large inventory order, consider testing the market with a smaller batch. This allows you to gauge demand and make adjustments before scaling up.

Note: Once you start selling, continuously monitor your product’s performance. Track sales, reviews, and customer feedback. Be prepared to adapt your strategy based on the data you gather.

What are the 4 Elements that Influence Product Research on Amazon?

Conducting effective product research is very important for a successful Amazon business. Sellers need to consider various factors to thrive in the competitive marketplace. Here are 4 key elements that play a pivotal role in influencing your product research on Amazon.

Trends and Demand in Market 

Understanding market trends and demand is paramount in choosing products that will resonate with consumers. This consists of analyzing the popularity of particular product categories, identifying emerging trends, and gauging consumer preferences. Use Amazon’s search suggestions and product research tools to gain insights into what shoppers are actively seeking. Additionally, keep an eye on external market research tools and platforms to spot broader industry trends.

Consider conducting keyword research using tools like Google Keyword Planner, Ahrefs, or SEMrush. It can offer valuable data on competition and search volume, helping you make informed decisions about which products to pursue.

Competitive Landscape

The level of competition for a product simply affects your chances of success on Amazon. Highly competitive niches can be tough for new sellers to break into, while less saturated markets offer more room for growth.

To assess competition, examine factors such as the number of sellers, the quality of their listings, and the diversity of product offerings. Look for opportunities where you can differentiate yourself, whether through unique features, branding, or exceptional customer service.

Additionally, consider the number of customer reviews for top-selling products. High review counts can indicate strong brand loyalty and market saturation, making it harder for new entrants.

Profitability and Costs

Sellers need to evaluate the financial aspects of their product choices in a very careful manner. It consists of considering the price of goods sold (COGS), shipping costs, fulfillment fees (if using FBA), Amazon’s referral fees, and other prices.

Calculate your potential profit margin by subtracting all expenses from the selling price. Make sure there is a healthy margin to cover not only Amazon’s fees but also leave room for advertising, promotions, and unforeseen costs.

Additionally, factor in the scalability of your selected items. Can you simply source and restock inventory? Is the product light in weight? Is the product easy to ship? Does any product have special handling requirements that could impact your costs?

Compliance and Regulations

As we know, Amazon has very strict policies concerning product listings to maintain a safe and trustworthy marketplace. Sellers should make sure their selected items comply with Amazon’s policies, as well as any relevant industry regulations or legal requirements.

Check for potential patent or trademark issues that could lead to intellectual property disputes. Furthermore, consider any safety or quality certifications required for your chosen product category.

Methods of Discovering Good Product Ideas

Explore the methods for selecting good product ideas. 

Amazon Marketplace 

Well, Amazon is the most popular place you should check to find the best product ideas. You have options like Movers and Shakers, Bestseller lists, Gift Ideas section, and Most Wished For, all of which can provide numerous product ideas to you.

Visit Amazon’s Best Sellers page and you will discover the best-selling products for each category. 

Talk to your Current Supplier

For Amazon sellers, the topmost way of product research is by simply asking your suppliers what products are trending and selling like hotcakes now. The supplier has the information and might give you all the information. 

Visiting Retail Stores

The local retail stores are a great way to explore new product ideas to sell on Amazon. These local stores sell appealing and different items that are not available online. These shops also provide a real-time platform for identifying current trends and conducting range comparisons, that can offer you an edge over the competition. 

Try Amazon Product Opportunity Explorer

For already existing Amazon sellers, the Amazon Product Opportunity Explorer tool is the best option. This tool helps Seller Central to find new items/products. 


Amazon product research is a one-time task, however an ongoing process that evolves with consumer behavior and market trends. With the help of product research, exploring niches, and staying agile in approach, sellers can increase their chances of creating a propelling and successful Amazon business. Ensure working with persistence and patience, which are the key in the ever-changing world of e-commerce.

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