How To Succeed With Amazon FBA

Learn to Succeed in Amazon’s FBA Program

If you’ve ever wondered how to make money without breaking a sweat, you came to the right place. This article is going to teach you how to be successful with fulfillment by Amazon, also known as FBA…almost as much as any Amazon training course.

When Amazon first came out with their FBA program, most of my colleagues were skeptical about achieving stable results. Everything changed when we saw a few brands launch into the FBA program and make a lot of money. I was the first one of my friends to try it out.

Over the past few years, I’ve been developing a few strategies to get ahead of the rest of the pack. There are hoards of competitive sellers in most markets that make it genuinely hard for a new person to get involved without conducting proper due diligence.

This article is going to teach you everything you need to know about the history of Amazon FBA, we’ll go over how the program works, and we will discuss real strategies that you need to take in order to succeed in your endeavors. Let’s get started!

What Is the History of Amazon FBA?

If you want to master the current system for making money as a seller on Amazon, you need to spend time learning about the ways that other professionals have come before you to succeed in this program. Let’s spend time going through the imperative history of this program.

  • About the Company:

    In order to understand the scope of the market, you need to spend some time researching the company behind this program. You probably already know the basics about Amazon, but this information should stimulate your thought process.

    This company works hard to bridge the gap between consumers and merchants in nearly every market. People who are new to selling on Amazon should note how small businesses, authors, and innovative inventors have taken their newest offerings to Amazon’s platform.

    Amazon sells more than books and consumer goods; they also sell a wide variety of new and interesting entertainment. Their products include Prime Video, Amazon Music, Fire Tablets, Fire TV, Kindle, Echo, and Alexa.

  • How FBA Started:

    In an article that addresses FBA and Prime membership changes, Forbes discusses the legacy behind the Amazon FBA program. Forbes is a reliable source of news pertaining to business, finance, investing, and marketing, and they have a lot to say about the FBA development.

    The FBA Program was launched by Amazon in 2006. It was groundbreaking when it first came out, revolutionizing the ways that merchants can earn a living from their online sales. The aspect of having access to Amazon’s resources was a huge improvement for many sellers.

    Initially, sellers were excited about having access to Amazon’s highly-sophisticated fulfillment centers. It didn’t matter where an item was going because the predictable fee would remain the same. This is why the FBA Program became so popular.

    In addition to helping sellers predict the cost of shipping their products, the FBA Program ensures that products will ship at a reliable speed. The list of benefits for joining the FBA Program goes on, including providing sellers with an easier time setting up product pages.

  • Recent Changes to Amazon FBA:

    Even though the changes to Amazon’s FBA Program are small, it’s worth noting how these changes will impact shipping rates. In order to be successful in your business endeavors, you need to make sure that you’re charging enough money to make up for fee changes.

    Some fees have changed, and others have remained the same. Luckily, many of the large items will ship at the same rate. Small oversize items, large oversize items, and special oversize items will all ship at the same rate as usual.

    Small standard size items will now ship for 9 to 15 cents more per unit. Medium oversize items will cost around $1.50 more to ship per item. Some large standard size items will ship at the same rate, but others will cost 12 to 20 cents more.

    These rates are separate from the new fee changes for clothing. Clothing items will ship at a slightly different, predictable rate. If you plan on selling clothing on Amazon, you should be sure to take a look at these new rates.

  • Future Trends for Amazon FBA:

    When you’re trying to get ahead of other sellers, it’s important to realize which trends are taking place in the market. Among other trends, Product Spy Pro has brought our attention to the demand for Amazon Organics products.

    Product Spy Pro provides monitoring and alert services that are automated in order to give sellers a winning edge among competition. A new trend they’ve spotted is the likelihood of brands to build their entire network on Amazon’s platform.

    Since Amazon Stores are becoming a popular trend, a new way of selling to consumers has emerged. The idea of providing a physical shopping space for customers to browse products on the platform gives more reason for Amazon sellers to create their own Brand Stores.

    Product Spy Pro also predicts that Amazon will find more ways to merge with social media platforms. Consumers have already seen how Amazon is capable of working with Instagram and Snapchat.

    FBA sellers should anticipate more of this type of advanced marketing integration.

  • Amazon FBA Statistics to Consider:

    Take a look at these statistics we’ve found from Big Commerce. This company provides relevant statistics as a valuable resource for merchants who want to excel in online business endeavors. Their platform provides support for Amazon sellers as well.

    Price matters, and research suggests 90 percent of shoppers will check the price of a product against competitors before they buy it. In total, Amazon has approximately 12 million products for sale on its platform.

    In the US, nearly 100 million people have an Amazon Prime membership. It’s worth appealing to Prime members because reports have indicated that members spend an average of $1,400 on a yearly basis.

    For people who aren’t sure if there’s money to be made in the Amazon FBA Program, Big Commerce has a few stats that might change your mind. Did you know that over half the sales reported on Amazon are from third-party companies?

    Typically, sellers involved in Amazon FBA are the types of people who are interested in finding multiple streams of income. In fact, 80 percent of the people selling on Amazon’s platform have another sales platform.

How Does Amazon FBA Work?

In order to make the most of your experience as a seller on Amazon, you need to spend some time figuring out how to use platform specifics.

This section is dedicated to providing insight on strategies that successful people are using to make a fortune with Amazon’s program.

  • Picking a Category:

    Since there are so many products to sell on Amazon, it’s easy to get lost in selecting a category for your market. While you might be tempted to get involved in several categories at once, it’s easier to pay attention to trends happening in one category.

    Amazing is a business consultant company that helps merchants find financial freedom. One of the tips they give for people interested in Amazon’s FBA Program is to pick a “top-level category” because you’ll have an easier time finding quality products.

    It’s also important to pick a category that you enjoy. When you choose categories which you find interesting, you’ll have an easier time creating quality content which directs people to the products that you want to sell.

  • Select a Product to Sell:

    In addition to picking a category that interests you, you’ll need to spend time doing qualitative research on the products themselves. Amazing has a few sets of criteria that they recommend for new sellers who want to be successful with Amazon FBA.

    If you want to find products that don’t have a lot of competition, you should choose items that have a rank of 300 to 5,000. In addition, Amazing suggests using search control filters to provide the optimal Best Seller Rank (BSR) that you desire.

    Since consumers often take a look at reviews for the products they intend to purchase, it’s a good idea to invest ample time into researching which products have an optimal amount of positive reviews.

    Amazing suggests finding products with just under 1,000 reviews. Products with thousands of reviews might actually be difficult to sell because there will likely be a lot of competition.

    When you’re just starting out in the Amazon marketplace, it’s a good idea to consider selling products that have a lower weight. A light product will cost less money to ship than a heavy one, and you’ll have fewer issues accepting returns and exchanges.

How Do You Become Successful at Amazon FBA?

We’ve put together some practical tips to help you succeed in selling with Amazon FBA. Nurturing your own understanding of what it takes to be successful in the business world will reflect upon positive outcomes in the Amazon marketplace.

  • Get a Good Education:

    In addition to learning from the other online marketing pros, you might want to invest some resources into taking classes at a higher learning institution. You could consider attending business school, but basic accounting classes are also incredibly helpful.

    There are skills that you’ll learn from business classes that will help you find the right way to market your products to consumers. If you can’t afford to go to a university, you should sign up for a library card to rent books about marketing strategies.

    Check out the community college near your home if you need to brush up on the skills that you’ll use to run a business. Skills like accounting, marketing, and business management can be obtained by attending continuing education classes.

  • Work Experience and Training That Counts:

    It’s better that you learn from your mistakes early, and there’s no better way to learn than by working with a seasoned entrepreneur. You should try approaching someone who is already making money as a member of the Amazon FBA Program.

    If you’re lucky, they’ll have apprentice positions that they need filled, so you could learn how they run their business by lending your time. If you’re lucky enough to work with a veteran seller, you’ll be able to avoid costly mistakes when you start working on your own.

    There are other jobs outside of the Amazon community that help prepare you for learning to sell better to consumers. For instance, working in a sales department will put you directly in touch with understanding what consumers are demanding in niche markets.

  • Get More Leads by Paying for Exposure:

    Sometimes you need to pay to get more people to click on the links for the products you are selling, and other times you are able to figure out how to get enough organic traffic to turn a profit.

    Organic traffic comes from researching products that are popular among consumers; you need to create quality content in order to answer relevant questions that consumers might have. Use keywords to help your content rank high on search engines.

    When you’re attempting to get people interested in a product that is highly competitive, you’re probably going to need to pay to rank high in the search results.

    According to entrepreneur Sam Priestly, setting up a PPC (pay-per-click) campaign on Amazon is easy. It’s similar when paying to rank high for keyword use on search engine result pages, but Amazon selects the winner based upon how products relate to the keyword.

    In an article that was published a few years ago, Sam Priestly claimed that the reason behind winning the bid for keyword results is a mystery. This is still unclear today. However, Sam Priestly claims that the price is determined by whichever person is second to your winning bid.


Amazon Statistics You Should Know: Opportunities to Make the Most of America’s Top Online Marketplace