If you are only starting out selling on Amazon, there are some categories that will prove to be more profitable than others. In the following article, we’ll explore 10 of the most profitable categories on Amazon for new sellers.
Amazon is a great place to sell your product, but it’s also easy to get lost in the crowd. There are over 2 million sellers on Amazon, and over 300,000 new ones join every month. If you want to be successful on this platform, you need more than just a fine product—you need a winning strategy. Here are ten categories that beginner Amazon sellers should be aware of, along with some helpful tips for getting started in them.
Best Product Category to Sell on Amazon
Product research is at the core of every successful Amazon business. New sellers want to know the best product categories to sell on Amazon. They want to know the trending categories and which ones will be relevant for years to come. Choosing a category that’s going to succeed over the long term will give you the biggest chance of success. The following questions need answers:
- What is the size of the category?
- Is it growing or shrinking?
That is important for your research, as you need to choose a category that has high demand but is also not oversupplied.
10 Profitable Products to Sell on Amazon
Amazon is the world’s largest online retailer. Over the past few years, it has expanded its operations to include physical storefronts and new product lines. It’s not just books and electronics anymore. There are a whole host of Amazon categories that new sellers can use to make money. Here are ten profitable products/categories to sell on Amazon that I recommend new sellers become familiar with:
1. Sports and outdoor products:
Sports and outdoor products have been the top category since 2012, with revenue going up every year. It is also one of the fastest-growing product categories, having grown by over 15% during 2017. The most popular sports and outdoor products are sporting goods (including golf clubs, fishing poles, and basketballs), camping equipment, and exercise/fitness equipment.
2. Baby Products:
As per data, just behind the electronics category and ahead of the clothing category, baby products are the third most popular category on amazon.com. The reason is that a baby is born every second, and each one of those babies needs some new product to buy. So, baby products are indeed one of the most profitable categories on Amazon. But they are also one of the most competitive. More than 1 million products are listed under the Baby Products category on Amazon. Thus, it’s important to do your research and create a plan before diving into selling baby products.
3. Tools & Home Improvement:
The home improvement category on Amazon is one of the most profitable and competitive categories for sellers. Some of the reasons for its high seller competition include the fact that it is a notably broad category. Is simple to enter, and has a growing number of new shoppers each year. To compete with other sellers in this category, you need to choose the right products and set up your listings correctly from the very beginning.
4. Health, Beauty, & Personal Care:
Beauty and Personal Care Beauty products are always in demand. And they sell well on Amazon because they are consumable goods that people need to buy regularly. They also have a high-profit margin with low weight, which means you can ship them cheaply.
5. Kitchen & Dining:
People who shop for kitchen and dining supplies are passionate about cooking and entertaining. They take these things very seriously. Besides, these products are super easy to sell on Amazon and can earn you monster profits. Kitchen & Dining is the top-selling category on Amazon. The sales volume of this category has grown year after year. Owing to their popularity on the site, Amazon has over 11 categories in the Kitchen & Dining section alone. Here are a few of the top kitchen and dining categories to look out for, like coffee machines, electric grills, pressure cookers, waffle irons, blenders, and more.
6. Grocery & Gourmet Food Products:
The grocery and gourmet food categories are the most profitable categories to sell on Amazon. It has been the most profitable category for the past few years. There are a total of around three lakh products sold in this category, with a total of around a billion dollars in monthly sales volume.
7. Household Supplies, Electronics, and Computer Accessories:
This is the most profitable category to sell on Amazon because of its low competition and high sales volume. This category has the highest number of products sold compared to other categories. The top two items in this category are air conditioners and refrigerators, with 100K and 200K in monthly sales, respectively.
8. Clothing:
Clothing is the most profitable category to sell on Amazon nowadays. That’s because Amazon has made it easy for sellers to sell their products. The number of clothing brands and products available on Amazon is rapidly growing.
9. Shoes:
The shoe category is one of the most popular product categories to sell on Amazon. The fact that there are hundreds of thousands of sellers already in the category means that you will have to compete against a lot of people who already know how to rank on the platform. But, with the right product and some work, you will be able to find your own niche and stand out from the crowd. However, if you are to sell shoes on Amazon, you need to make sure that you claim your brand page on Amazon first.
10. Jewelry:
Jewelry is one of the most popular products on Amazon. It’s easy to find wholesale jewelry suppliers who will give you an excellent price point. And all you need to do is get some beautiful photographs for your listings. Jewelry is also one of the easiest items to sell on Amazon. Because it doesn’t take a lot of time to find, photograph, and ship. It’s a remarkable profit producer for beginners!
Top-selling Categories on Amazon 2021
The top three categories for Amazon sales were “books, music, and video,” “sports and outdoors,” and “home and kitchen.” Amazon’s sales of books, music, and videos were expected to exceed $60 billion by 2021, up from $19 billion in 2016. The growth was to come from the addition of new media such as e-books, digital audiobooks, music streaming services, and video subscriptions. Consumer spending on media was expected to increase, reflecting the growing popularity of digital entertainment. Amazon’s sports and outdoor sales were to grow at a compound annual growth rate (CAGR) of 16%.
However, the fastest-growing categories on Amazon include fashion, clothing & accessories, baby, beauty & personal care, and home & kitchen. Grocery & gourmet foods, health & personal care, home improvement, pet supplies, toys & games, lawn & garden, sports & outdoors, clothing, shoes, jewelry & watches, cell phones & accessories, musical instruments, office products, books, etc. are also on the list.
To Sum it Up!
In this article, we took a look at some of the most profitable categories for beginners to sell on Amazon. Although there are many profitable product categories to sell on Amazon for beginner Amazon sellers, these ten offer several key advantages that make them excellent choices to pursue. By reviewing these categories, you can quickly get started with an online business that is enjoyable and profitable! If you’re interested in expanding your business, we invite you to contact us today. And learn how our services can help you succeed on Amazon.
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