How to Identify Profitable Amazon Products for Sellers


How can you select products that generate the maximum profits?

Vendor auditIf you’re an Amazon Seller, or thinking about becoming an Amazon Seller, there will be one thought on your mind. Profitable Amazon products.

They are the key to generating a successful business after all. You want to generate cash flow with low-acquisition costs and high profit margins. The same goes for whether you’re looking to buy and sell products and keep the difference, or whether you are investigating launching a brand new product.

In other words, you’ll be looking into product demand, profitability and long-term viability of your ecommerce business.

So how do you find the most profitable products on Amazon? What’s the key to generating that income that you desire?

Let’s take a look at how you can do exactly that.

business software

Find the Profitable Amazon Products

Existing businesses aren’t going to release their profit margins because you ask nicely. You’ll need a tool for this trick.

A Product Research tool will do the trick. This software can do multiple, useful things for businesses, but for now we’ll focus on how it finds you those profitable Amazon products. Let’s explain.

Product Finder is one of the best product research tools around, and it can let you find those profitable Amazon products. Simply find the EAN or UPC of a particular product. This can either be something that you’re considering manufacturing or purchasing with the intention to sell on.

  1. Enter the EAN or UPC
  2. Examine the report produced
  3. Make data-drive decisions from the information provided

Well when we put it like that, it sounds easy, and it is to a certain degree.

But you need to consider multiple factors when running your business. There are different facets, potentialities and supply chain logistics to consider. 

What a Product Research Tool Provides 

optimisationData. Pure, unadulterated data in an easy-to-read form that is unmistakably clear. The key is understanding what that data implies

Let’s look at the sort of information that you get, and then we’ll cover how you find the most profitable Amazon products with that data.

In a report, you receive:

    • Brand
    • Title
    • Amazon Buy Box Price
    • Amazon Referral Fee
    • Amazon FBA Fees
    • Sales Rank

And more, but we’ll get to that part later.

Use Data to Find Profitable Amazon Products

Thanks to tools such as Product Finder, you can scan across thousands of competitors simultaneously. This gives you the businesses that are performing the best and penetrating the market most efficiently.

But the Sales Rank section is what will help you identify those profitable Amazon products.

The sales rank of a product is determined by the demand of customers. The more customers are buying those items, the better the sales rank. If the sales rank is too low on a product, then you won’t be selling much of your inventory.

Of course, you then have to commit to market research to determine your competition. If demand is high, but supply is even higher, then that’s another issue. But let’s examine a few other tips.

Types of Profitable Amazon Products 

As well as using product research tools, there are a few general guidelines and tips surrounding profitable Seller practices.

High Demand

You’ve already covered this with Product Finder. At minimum you should only sell products that can achieve 300+ sales every month. With at least 10 sales a day, you’ll be off to a great start.

Low Competition

If a larger company has already carved out a large portion of the market, built a trusted brand identity and is forking out money for PPC advertising across all platforms, you aren’t likely to gain much traction.

Choose your battles wisely.

customer supportFew Reviews

Most Sellers forget how vital reviews are, especially to Amazon’s algorithm.

Reviews reflect customer experience, which is Amazon’s primary goal. That’s why Amazon values Sellers with thousands of reviews. If the top Sellers of a product have few actual reviews – then that’s an excellent sign.

It means that they aren’t established, with brand loyalty and thousands of satisfied customers. Look around your comp set and if they all have fewer than 500 reviews, it’s likely that your products stand a fighting chance!

Low Weight & Small Size

Regardless of your business plan, weight and size matter.

If you’re creating products from the comfort of your own home, or reselling products directly from manufacturer to consumer via Amazon, shipping costs more. 

Or if you’re using Amazon FBA to store your products before sale, then you have to pay various fees associated with that too. In that case, the bigger they are, then the more they become a weight on your finances. You’ll have to juggle your production with your inventory to try and reduce your overhead costs.

It’s an ongoing process that you’ll have to revisit every so often!

Profit Margin

scale_upIt’s the big one, and the one that will define your Amazon products as profitable.

You can find all the high-demand, low-supply products that you like, but without a decent profit margin, you may barely be able to cover your operating costs. So as a general rule, use the 25% marker.

Your products should (ideally) be sold for around 25% of what it costs to source them. Of course, you then have to include Amazon fees when accounting for your profitability.

Luckily that Product Finder tool from earlier can help you determine exactly how much the Amazon fees are for each type of product!


Obviously your products should be good quality. If they are not, then the bad reviews will pile up rapidly!

However, to ensure your future as an Amazon Seller with profitable products, everything you sell should be a regular purchase for customers. If you specialise in one-off gifts, or novelty items, your demand will drift to-and-fro depending upon the seasons and your marketing efforts.

For products that people repeatedly wish to purchase… you can cultivate brand loyalty and maintain a steadily growing stream of purchases!

measure eCommerce

Our Conclusion

Finding profitable products is as much about data as it is about business sense. 

Yes, it takes an analytical mind to make clever business decisions, but you can’t manage that without the business tools required to deliver you pure data. With a tool such as Product Finder, you’ll have all the information you need at your fingertips, with some to spare!

If you have any other questions about succeeding on Amazon, drop a question to one of our business experts, or feel free to check out our ecommerce resources to find the latest guides, tips and tricks to making a success of your business!

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