The Secret Ingredient to Product Research Success:
Seasoned eCommerce sellers understand this secret: the right products are the key to unlocking profits. But what exactly makes a product “perfect” for you?
This guide empowers beginners with a step-by-step approach to product research:
Step 1: Spark Your Creativity – Finding Inspiration
Finding new products can be a time-consuming process, but it’s vital for success. Here are some ways to get your creative juices flowing:
- Browse products on Skudaddy.
- Identify the launch date. The sooner is the better.
- Check the profit and margins.
- Check on the web if the product is saturated.
- Explore popular social media platforms like Facebook, YouTube, and Instagram for trending products.
- Attend industry exhibitions or trade shows.
Step 2: Dig Deeper – Analyze and Evaluate
Once you discover a potentially interesting product, delve deeper. Analyze its performance:
- Number of Competitors: How many sellers are already offering this product?
- Customer Reviews: Look for common themes in reviews, especially negative ones. These can reveal areas for improvement.
- Market Potential: Is there high demand with low competition?
Data is key! Supplement your research with tools like Google Trends and Jungle Scout to base your decisions on facts, not just intuition.
Step 3: Crunch the Numbers – Cost & Budget
Profitability depends on choosing the right products. Consider all your costs:
- Item cost (the price you pay to your supplier)
- Shipping costs
- Customs fees (if the supplier is abroad)
For example, large, lightweight products might have high shipping costs that eat into your profit margins.
Step 4: Find Your Supplier – Partner Up for Success
If your research indicates a potentially profitable product, it’s time to find a supplier.
- Request samples from 2-3 potential suppliers. Photos can be deceiving, so comparing physical samples is crucial.
- Negotiate key details with your chosen supplier:
- Favorable pricing
- Tiered pricing (discounts for higher volumes)
- Improved packaging and labeling
- Free shipping (if possible)
Remember, service attitude matters. Finding a reliable supplier is essential for a smooth business operation.
Step 5: Polish and Launch – Refining Your Product
With samples secured and suppliers chosen, refine your product based on your research:
- Can the supplier address any issues raised in negative customer reviews?
- Is there a way to improve the packaging design?
Competitive edge is crucial. Identify ways to stand out from other sellers.
The Cycle Continues – Continuous Improvement
These five steps are a continuous loop. Each step can lead to new product discoveries and opportunities for improvement. You might even uncover potential business ventures through communication with suppliers.
With dedication and hard work, you’ll graduate from a beginner to a seasoned seller with an eye for the right products and a deep understanding of the market.