🔍 How to Find Profitable Product Ideas on Amazon
Are you looking for a product to sell on Amazon? If so, you're probably familiar with the three essential criteria that every product needs to meet. The first is that its sales revenues are three times your monthly profit target. The second is that its profit margin is at least 30 percent before advertising. And the third is that the product provides an opportunity that is going to allow you to improve upon the existing offering.
Differentiating your product offer is undoubtedly the area that beginners find the most challenging. That's because sometimes it's just not that obvious about what can be improved unless you know about a relatively little-known trick that will literally hand you valid ideas on a plate. These ideas are ones that none of your future competitors may have thought of yet because they don't know where to look or what to look for when thinking of improvement ideas.
🕵️♂️ Digging Deeper for Product Research
Typically, if you watch one of the many videos on YouTube on the topic of product differentiation, you'll be advised to read through the bad customer reviews on Amazon and then look for improvement points that way. While that is a valid method for you to follow, it is a basic bit of business advice. In my view, every new and existing seller on Amazon is probably doing that anyway. So, any idea that you do come across from reading negative reviews has probably already been seen and acted upon by plenty of others already.
To avoid finding new product ideas that plenty of other sellers are also finding at the exact same time, my advice is to dig a little deeper when doing your product research. Do what most of your competitors would never think to do, which is to look up what your customer is specifying when they're searching for a product on Amazon.
🔎 Using Customer Search Data to Find New Product Ideas
For example, let's say that we want to sell yoga mats online. Rather than copying what everybody else is doing, which is reading through a ton of negative customer reviews that all say the quality is poor, we can instead look at the customer search data that Amazon publishes. That might give us clues about new product ideas. That's because of the phrases that customers are using when searching for yoga mats. For example, things like non-slip yoga mats or yoga mat with carry case.
While looking at what customers are searching for might sound like a tricky task to do, it's actually really easy because Amazon publishes all of that information and gives it to the various product research providers out there, such as Helium 10. So, all you need to do to get this data is to download and install the free Helium 10 Chrome extension, create an account, and then search for any Amazon product that you're interested in selling.
📈 Using Helium 10 to Find New Product Ideas
Once you've finished typing in the search bar, if you've installed the Helium 10 Chrome extension correctly, you should see a pop-up box. That's going to have a load of suggestions based on what actual customers are searching for. Some of those ideas might be brand new and aren't actually available on Amazon yet.
For example, after I've typed in the word duster, Helium 10 is given lots of related search term ideas and then information on the number of customers actually using them. That gives us a sense of the level of demand. From an initial idea of selling a duster, we've now got other product sub-niche ideas that have got demand and that we can look into further. The exciting thing is that some of these sub-niches that we've just discovered might not have any competition or even be available on Amazon at all. That presents us with an immediate opportunity to stand out from the crowd and generate substantial profits.
The method that we've just followed only gives us a small sample of the full data set that we can actually get access to. Once we follow a couple more steps, we can get loads more improvement points really easily. Click into any Amazon product that you like the look of and then scroll down to the Helium 10 graph that should load as soon as you've installed the free Helium 10 Chrome extension. Once it's loaded, press the keywords button, and that will automatically load up Helium 10's cerebro. That's a tool that tells you all of the search terms that the product that you've chosen appears for in Amazon's search results.
📊 Analyzing Search Terms to Find New Product Ideas
The opportunity to find new ideas exists in this list because some of these customer search terms might not be a hundred percent match to what is actually being sold. But because of the fact that there's nothing else available that fits exactly what the customer wants, Amazon just shows the next best thing instead.
Once the results load on the page, to fully assess the data, change match type to say organic. Then, in organic rank type in 1 to 24. Apply the filters and then press the search volume button to order the results from high to low. What you'll now be presented with is a list of search terms and the amount of customers using these terms on Amazon on a monthly basis. As you scroll down the list, you'll undoubtedly see lots of obvious search terms that do directly relate to the product that you want to sell. But what you'll also see is a number of clues on different product ideas that might not have that much competition or even exist on Amazon yet.
For example, after reviewing the list that Helium 10 produced, we can see that there are 800 people that are searching for a foldable duster. When we search for that on Amazon, we can see that it either doesn't exist or it doesn't have any sellers that are mentioning that specific feature in the product title. That presents us with an immediate money-making opportunity because if we can find a foldable duster to sell on Amazon and then mention it in our title, we're directly appealing to those 800 people by offering a product that does exactly what they've searched for, which nobody else seems to be doing.
🤔 Frequently Asked Questions
Q: What are the three essential criteria that every product needs to meet to sell on Amazon?
A: The first is that its sales revenues are three times your monthly profit target. The second is that its profit margin is at least 30 percent before advertising. And the third is that the product provides an opportunity that is going to allow you to improve upon the existing offering.
Q: How can I find new product ideas on Amazon?
A: Look up what your customer is specifying when they're searching for a product on Amazon. Use the customer search data that Amazon publishes and gives it to the various product research providers out there, such as Helium 10.
Q: How can I use Helium 10 to find new product ideas?
A: Download and install the free Helium 10 Chrome extension, create an account, and then search for any Amazon product that you're interested in selling. Once you've finished typing in the search bar, if you've installed the Helium 10 Chrome extension correctly, you should see a pop-up box. That's going to have a load of suggestions based on what actual customers are searching for.
Q: What is Helium 10's cerebro?
A: Helium 10's cerebro is a tool that tells you all of the search terms that the product that you've chosen appears for in Amazon's search results.
Q: How can I analyze search terms to find new product ideas?
A: Change match type to say organic. Then, in organic rank type in 1 to 24. Apply the filters and then press the search volume button to order the results from high to low. What you'll now be presented with is a list of search terms and the amount of customers using these terms on Amazon on a monthly basis.
