How to Conduct Amazon Product Research

Shivali Patel, Senior Brand Evangelist
14 minute read
Published: September 7, 2023
Modified: November 21, 2024

Introduction

So you’ve decided to take your hard-earned money and start your own Amazon FBA business. An exciting venture with lots of potential.

Congrats! An FBA business means you source your product from a manufacturer and send it to Amazon’s warehouses for them to handle the complex tasks of picking, packing, storing and shipping your product while you focus on the simpler tasks.

The only thing is…

Imagine you’re showering one day and realize, "Man, I really can’t wash my back well."

All of a sudden, an idea comes to you. You’re going to build a sticky scrub thing that will let you get all the spots.

You go back and forth with different suppliers for months, pay thousands of dollars, get the listing up, and then…

Nothing.

There are barely any sales. And the sales that do happen are eating up the money in your wallet like there’s no tomorrow.

Well, what the heck might have happened?

The Amazon marketplace is rapidly changing. With increasingly more competitors on Amazon, it is even more important to do your due diligence.

Doing Amazon product research can be the difference between losing your invested capital and doubling or quadrupling it. Amazon has plenty of lucrative product opportunities left if you know where to look.

In this article, we’ll cover how to conduct product research properly and what you can do to start selling on Amazon.

First, what Is Amazon Product Research?

Amazon product research refers to the process of systematically analyzing the Amazon marketplace to identify lucrative product opportunities that have the potential to sell well.

With thousands of product listings on the platform, success as an Amazon seller is no longer solely dependent on sourcing a product and uploading it. Your research should strive to discover products that align with market demand, offer competitive advantages, and can generate profits for you as a seller.

Understand Competition Using Helium 10’s Product Research and Keyword Research Tools

One of the best ways you can do that is through the use of an Amazon product research tool and keyword research tool, like the ones we have at Helium 10.

Product research tools are beneficial in enabling sellers to quickly hone in on various metrics related to potential products. Compared to months, you can find prospective product ideas within minutes. The metrics you can sort by include number of images, search volume, estimated sales volume, historical trends, and competitor sales. Sellers can evaluate products on sales potential, allowing them to make informed decisions about what products to sell on Amazon.

Identifying good products to sell involves striking a balance between market demand and competition. Effective product research aims to find products that have a healthy level of demand while facing relatively low competition.

Product Differentiation is Key to Success

Sellers should also consider factors such as your ability to differentiate, competitive prices, and profit margins during the product research phase and selling process. Analyze the pricing strategies of similar products to determine if there’s room to improve the product and offer competitive prices while still maintaining profitability. A product may have high demand. However, if the competition drives prices too low, it might not be a viable choice for sellers.

Which Product Research Tool Is Best for Amazon FBA?

One of the powerful Amazon product research tools that sellers often utilize is Helium 10. Helium 10 offers a suite of over 30+ tools tailored for Amazon sellers in varying parts of their journey.

BlackBox – Identify Products to Sell

Black Box processes over 2 billion data points daily. By inputting specific criteria such as desired sales revenue and competition level, sellers can quickly generate a list of product options that align with their goals.

Cerebro – Find Keywords

Cerebro allows sellers to delve deep into keyword analysis, great for understanding the demand for specific keywords as they relate to potential products.

View Your Competition Using Helium 10’s Chrome Extension

For product validation, the Helium 10 Chrome Extension can assist with determining the competitive layout of specific product listings. It can generate a detailed breakdown of your potential profit margins, including estimated net profit and ROI (Return on Investment).

Product Launchpad Organizes Your Product Research

Once these validation techniques help you narrow down your shortlisted ideas, you can input them into Product Launchpad. Product Launchpad simplifies the launch process into three core steps: keywords, competition, and an idea scorecard.

So How Do I Pick a Winning Product for Amazon FBA?

Log into Helium 10

Start by logging into your Helium 10 account.

Select your Amazon Marketplace

Begin by selecting your target Amazon marketplace.

Explore Products within Black Box

Start by exploring the “Products” tab within Black Box. You can filter price, monthly revenue, and number of reviews to sift the data and output product listings.

Explore Keywords to See How You Stack up to the Competition

The “Keywords” tab provides a more comprehensive insight into seeing if you will be able to stack up to the competition.

Use Product Targeting to Understand Product Bundling

Use the “Product Targeting” tab to identify frequently bought together items. Recognizing these combinations increases the average order value and offers a convenient shopping experience.

Validate Product Selection with Cerebro

Validate promising products using Helium 10’s tools like Cerebro. You want to find synonymous keywords to ensure the product sells once it arrives on the market.

Understand Demand Trends with Helium 10’s Historical Sales Graphs

Analyze whether the price point allows room for profit after accounting for Amazon fees, sourcing costs, and marketing expenses.

Identify Common Themes with Customer Reviews

Assess the positive and negative reviews and identify recurring patterns or specific features customers praise. This information can guide you in determining aspects of your product to emphasize in your listings.

At the end of the day

Ultimately, there is no such thing as a winning product. Don’t fall for it. Always use an Amazon product research tool to see backend data and established sales history.

Life itself is uncertain. All we can do is pull from what we know to guide where we are going and it is no different in business. In conducting proper Amazon product research, you can craft the best setup for your Amazon business.

Good luck!

Shivali Patel, Senior Brand Evangelist
With an affinity for people, Shivali is passionate about industries centered around delivering authentic, helpful tools others can use to grow and succeed.