- Part 1 – [ULTIMATE PRODUCT SELECTION GUIDE] How To Find The Best Product To Sell Online in 2017 – The Latest Approach [PUBLISHED]
- Part 2 – 3 Crucial Product Criteria That Will Boost Your Sales [ PUBLISHED]
- Part 3 – How to Select a Product with High Demand – Part 1/2 [You are here]
- Part 4 – How to Select a Product with High Demand 2/2 [PUBLISHED]
- Part 5 – Stop Wasting Time And Start Setting Your Online Business Goals [PUBLISHED]
- Part 6 – How To Smash The Competition With Better Quality Products And Low Prices [PUBLISHED]
- Part 7 – 3 Ways To Find Products That You Can Sell Online Like Hot Cakes [PUBLISHED]
This Part 3 article is a part of the Ultimate Product Selection Guide where we show you the exact system step-by-step how to plan, search, find and sell a product, especially if you are just starting. Even if you already have e-commerce store and your products are not selling well, and you want to learn the little tactics to find a bestselling product and measure predictable sales, then this guide is for you too.
Have you ever wondered what people want to buy? What product do they need? How to find the best product that you know will make a bunch of sales? Well before ten years, this was kind of expensive pleasure that only few could afford.
You had to give a ton of money to marketers and make a lot of researchers to know what the masses want. But now you don’t need to do all of that. Right now this whole process is actually easier that ever. Now the only thing you need is your laptop and internet connection, and you can see what people want to buy in minutes and start selling your product online.
In this part, we are going to look at how to find, select and analyze your best selling product before launching them. We truly believe that this part is crucial for the product selection process. We are going to have a look at the demand criteria when selecting a product.
Knowing that there is a demand on the market for certain product means, that there are already people who are taking out their money and pay for this product and it also means that people WANT that product, hence you don’t need to make tests and so on, you will know exactly what your target needs and you will just give it to them.
Now we are going to look in our first demand consideration and probably one of the most crucial to considerate, which is the best seller rank on Amazon. Why we choose the Amazon instead of other websites?
Well… let’s say it straight: Amazon is providing you with one of the best information for 2017 about what is the demand on the marker. No other platform in the world is better than Amazon in this area, and they are providing you with much crucial information in seconds.
All of the crucial features, statistics, and numbers that Amazon gives you are just priceless compared to any other platform.
So what is BSR (Best Selling Products)?
Under the product description on Amazon product detail page, there is a section called ‘Product Details‘ that you can find on every single product. And in this section along with some other information, Amazon also gives you a products ‘best sellers rating’.
Let us show you exactly where you can find this information:
So here we are in amazon.com, and as you scroll down the section, under the product description you will see the section ‘Product Details’.
And you will notice that it will show you ‘Amazon Best Sellers Rank.’ So there you can find all the information for the current product and see where and in what category ranks in the Amazon Best Sellers ranking.
So let’s examine what exactly is the BSR (Best Selling Ranking) according to Amazon, and then let us tell you what we think about it.
Amazon says that “The Amazon Best Sellers calculation is based on Amazon.com sales and is updated hourly to reflect recent and historical sales of every item sold on amazon.com.”
But what the ‘historical sales’ mean? Who actually knows that? Probably nobody. But we do know this: it is actually not really consistent when they apply the old historical sales.
And then they say: “Category and subcategory bestseller lists were created to highlight an item’s rank in the categories or subcategories where it really stands out. We choose a few of the most popular subcategories in which the item has a high ranking in relation to other items in that subcategory, and showcase the item’s rank on the product page. As with the main Amazon Best Sellers list, these category rankings are based on Amazon.com sales and are updated hourly.”
So this lens even further suspicions to BSR about the category and subcategory best sellers list and basically they are not giving us an EXACT highlight best ranking match for the categories and subcategories where they really stand out.
They are not even saying in this paragraph that has to do anything with sales.
But overall there is one thing that you can know for sure – The Amazon BSR is for sure is an excellent gauge.
Because Amazon is essentially letting us know to some sort of exactness (not complete exactness) at a very good gauge WHETHER A PRODUCT IS SELLING OR NOT. They are telling you that these products that have high BSR are all selling.
Now… they are not telling you WHY.
BSR is a good indicator – it tells you if a product is selling, but it is not telling if that product is being sold because that person is doing really well in the organic Amazon search results. Or if that person is spending million dollars in advertising each month or maybe they got a segment on Ellen the Generous.
It doesn’t tell you if people are looking for this product because of brand recognition specifically. It only tells you that people are buying that product.
And the good news is that you don’t have to guess.
We know people are more likely to buy ‘X’ instead of ‘Y,’ because there are a lot of ‘X’ products that have high BSR in its category, so it’s really amazing tool to let you know whether or not a product is selling.
The BSR is the №1 consideration when it comes to looking at selecting products.
Because what we are essentially doing is the best ways to choose a product with high demand that will guarantee you predictable sales. That’s why the best sellers rank is an important tool to take into consideration when selecting such product.
Now that you understand the BSR let’s move in the more deep analysis of a product and we are going to look at BSR on a per category basis which is our second demand consideration. And we are going to determine the levels of BSR that you want your potential product fit into, within a certain category.
2. Categorical BSR – So now that you understand what is BSR is time to look at is on a per category level because not all categories are created equally, and BSR 5000 in one category is maybe equivalent to a BSR of 2000 in another category.
And remember that the main use of BSR is to figure out how well a product is selling. And it is just one of the factors in our demand product algorithm. Later below we will show you spreadsheets where we will take all of the most important factors, and we will look at a product and add it to a spreadsheet, and we can evaluate one product against another based on all the factors that we first need you to understand what these factors are.
So let’s go deep into the second consideration you have to look for – Categorical BSR.
What we have is the Amazon TOP sellers category. And these are the categories that are the most competitive and successful. They’ve got the most products in them. They’ve got the most going on, and if you are going to sell on one of these categories in your store, then you are presumably going to succeed because they are always proven to work.
We recommend that if you are going to be in one of these categories, then you should look for BSR of the product to be less than 5000.
– Cell Phones & Accessories
– Health & Personal Care
– Home and Kitchen
– Kitchen and Dining
– Patio, Lawn & Garden
– Pets Supplies
– Sports and Outdoors
What we just did is that we just gave you the Holly Grail of the e-commerce business sub-categories. You don’t need to make a ton of research, and you don’t need to go and test a product category. What we just gave you is real data from thousands of e-commerce business owners and years of researching of what people buy and what don’t.
The next categories are what we will call ‘PRO sellers” category. And a lot of people sell here too. Those categories are not better or worse from the others; they are just different. We recommend that if you are going to be in one of these categories, then you should look for BSR of the product to be less than 2000.
The reason is that these categories usually don’t have much going on, so if you see a product that is less than 2000 the better, it means that is selling well across multiple:
The categories are:
– Camera & Photo
– Home Improvement
– Industrial & Scientific
– Musical Instruments
– Office Products
Those are ‘PRO sellers sub-categories’ And we want to give you some specific examples of these, and we also want to remind you these are all just strong suggestions. They are not the deal bracers, and we know a lot of people who sell products in these categories that don’t have such high BSR, and they will anyways do very well.
We discovered this product
and we found this product that is on the top 5000 in kitchen and dining categories, so it was #1,215 in the best sellers category and this thing look like a really good product because it retail between $10 and $30 (this particularly was $20), and it is not too heavy and there is a lot of demand for this product.
If you just look at BSR and price point (which is a strategy you could use and ignore all the other factors we will show you, but we don’t recommend that) this thing looks like a really hot product.
Here is another example:
This is a water dispenser filter, and it is number #65 in Home & Kitchen. These types of products are really high in the category and not too heavy, and excellent price and they look like a great potential product that you can buy from some supplier and sell.
And as we mentioned, you want to make sure that more than one product fits in the BSR sub-category you are looking at. There a lot of cool things that you can find in the top 5,000 sub-categories which we find to be amazing.
Another example is from the top 2,000 Automotive sub-category:
The left one here is number #1 in the automobile, the one in the middle is #51, and the right one is #34. So there are multiple of these kinds of products competing in the BSR that you are looking for, which is a good sign.
Some of these are retailing for a 15 to 30 bucks, and you can probably source them for 4 or 10 dollars, they have good BSR, and without going any deeper (and by the way, we are going to go much, much deeper, because we take product selection very serious and we think that you should too ) just by looking at the price range and BSR, these product look fantastic to start with.
Now… we understand that from what we showed you, you might get tempted and just select a product based only on the criteria we showed you above. The question is: Should you select and sell a product just based off on BSR alone? Well… you can. We’ve seen people use just those criteria and having a very successful store.
You can also consider using that and filtering it with more techniques that we are going to teach you so you could easily predict and know how and whether the product is going to be really successful or not – which is what we suggest you do as you continue to read all parts of the article.
Because there is going to be some of you who will actually try those products and yes, they might be really god products, but if you don’t do any further with your research, then you will not go deep enough to know.
And that should be a sign of you how you do business in general because these things could be winners, but you want to do the rest of the research that we will show you in the other part of the article so that you know for sure.
We just show you the surface level look, and we will go much deeper.
Now that you know what BSR is and how to calculate it and what a good level of BSR in any given category is, in the next part, we will move forward into the evaluating products with more consideration.
We will do more general consideration, and then we will do some very specific and detailed consideration on the products you choose.