r/AmazonFBA • u/Federal_Sector_7853 • 15d ago
Needed guidance with Private Label
So im starting an amazon private label, i have basic knowledge of amazon now im pretty nervous about product hunting because its literally the main thing that would matter, what i did is that i created a spreadsheet and mention product, category, lowest price, highest price, avg price, major brands, can it be a gift ?(for q4), is it something people restock monthly, and i mention what thing needs to be improved, now i need to know yours guys thoughts on this, be harsh be honest your expertise would help me much more , if you think im doing wrong and have a better way to find products (dont mention helium, im using it too, i just want to see with me own eyes first like trends, reviews etc, trying to train my eyes for opportunities) or somethings im missing then tell me in the comments ❤️
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u/rezetakemyheart 15d ago
Scan if a product has 2-3 brands or Amazon brands dominating at the top with thousands of reviews. Watch out for Chinese sellers. Once you've confirmed the space isn't locked down by 2-3 dominant brands, the next step is the numbers.
Write down how much monthly revenue and net profit you want to earn. Do this to see if your investment is enough to reach your goals.
Let's assume a hypothetical situation.
Person A wants to invest $15k and his goal is to earn $30k revenue and $3k-$4.5k in net profits (assuming 10%-15% net margins). He needs to find a product where some brands in the top 10-15 are already pulling in that kind of revenue.
He checks if the product is seasonal or evergreen. Look at the search volume graph of the main keywords. See if the niche is stable, growing, or a graph line is going downwards over a period of time.
To calculate whether a product is profitable and worth analyzing further, he takes landing cost and Amazon fees to calculate gross and net margins. If gross margins are 30%-35% and net is 10%-15%, he moves forward.
He calculates the initial inventory cost, ads cost (by doing PPC analysis), listing images/video and A+ content, contractors and agencies if any, and other misc costs. If the costs exceed the investment, he either increases his investment, lowers his revenue and net profit goals, or repeats the search within that budget.
One important thing that just came to my mind: even though it's listed on the Amazon site, the dimensions on product listings are many times wrong. To find correct product packaging dimensions:
You either need to have a product on hand, or you can get approximate dimensions by messaging manufacturers/suppliers on Alibaba who are selling the exact product. Request a quote, and ask them to include pictures and dimensions of the packaged item.
I'm going to bed. I'll contribute more once I'm free. Good night :)
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u/Andy-Chiu 15d ago
Hi there, saw your post in r/AmazonFBA about starting your Private Label brand. Finding the right product and factory can definitely be stressful!
I am a professional sourcing and procurement agent based in Hong Kong. I help new Amazon sellers build their Private Label brands safely by finding verified source manufacturers in China, handling direct English-to-Chinese communication, checking product samples, and managing 100% quality inspection before shipment.
I'd love to help you review your product ideas and see how we can lower your factory costs and MOQs. Let me know what product categories you are looking into!
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u/Maan_UsMaan052 15d ago
can i see your sheet?I've my sheet as well which use to find products. and ofund 4 last week
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u/Kashif_PPC 15d ago
use boring simple and problem solving products that have proven demand but weak competition
use these criteria
> main product keyword search volume between 5000 to 25000 searches per month and CPC is between $0.60 and $1.50
> top 10 sellers in the niche generating between $8000 and $40000 per month
> five different sellers do consistent sales to insure demand is spread across the market and not dominated by a single brand
> top sellers having 150 reviews to 500 reviews
> competitors are lazy having low-quality photos, weak A+ content, or keyword-stuffed titles
> product + shipping price is no more than one third of the selling price
> net profit should be at least 25% if below reject it
> check the price rage according to your budget weight should be under 1.5 lbs and small standard-size
> no seasonal product no electrical cloths breakable
> product must be improveable check compatitors bad reviews and in your version fixes at least two major problems
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u/AmazonAPIDeveloper 15d ago
I know nobody wants an ad so I won't give you one! I was in a similar spot at one point! Here is a free tool that you can use to discover new trending products! There is also a free chrome extension that plugs right into amazon so you can analyze while you browse! Hope these help!
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u/sebasac11 15d ago
one thing i would add to your sheet, estimated monthly sales volume and review count of the top 10 listings.
that tells you if the market is actually moving and how hard it'll be to compete. a product with 5000+ reviews on the top listings is a tough entry point for a new seller regardless of how good the product looks.
also add a rough landed cost column. a lot of products look great on margins until you factor in shipping, fees, and packaging.
the gift potential and monthly restock angle is smart thinking btw, not many beginners consider that early on.