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Amazon, one of the world’s top retailers, is projected to grow even bigger in the coming years. Insider Intelligence forecasts that its global retail eCommerce sales will reach close to $750 billion by this year. Furthermore, the eCommerce retail giant reported that its net sales increased by 9% during Q1 2023, jumping to $127.4 billion from $116.4 billion during the same period last year. This highlights an increase in segment sales not only in North America but also in its international and AWS segments.
In 2000, Amazon launched its third-party marketplace, which enabled small businesses to sell their products on the platform. Its international marketplaces had over 6 million third-party seller accounts registered in 2021. In 2022, the number jumped to 9.7 million global sellers, with nearly 2 million of them being active on the platform. In the same year, approximately 2 million businesses sold on Amazon.
In its Small Business Empowerment Report published on November 2022, Amazon reported that its US selling partners sold close to 4 billion products in 2021—an average of 7,500 products sold every minute. This resulted in an average sales of approximately $200,000 per seller. In 2022, some of the bestselling categories and products on the platform included home and kitchen products like sheets and pillows, clothing and jewelry, electronics like computers, TVs, and surveillance systems, and beauty and personal care products.
Which categories or products will likely become best sellers in 2024? How do you determine which products are potentially profitable? What components do you need to assess before putting up a product for sale on the platform? This guide is designed to help you find the best Amazon products to sell in 2024 and how you can leverage such products to rise in the rankings.
Keeping an eye out on Amazon retail trends gives you valuable insights that you can use to scale your business. Doing so also allows you to gain a competitive edge while letting you know how these trends can potentially affect your eCommerce business. Lastly, following trends, such as product trends, can give you an idea of what the landscape might look like in the future. This can help you uncover more potentially profitable products or new growth opportunities, shed light on changing consumer behavior, and have a better understanding of the competition.
With that said, below are some of the key trends to focus on this 2024:
Native Amazon products like Kindle readers and Echo smart speakers will highlight the platform’s move to integrate its products to enhance efficiency and provide better customer experiences. Furthermore, the eCommerce giant will likely make use of its unique ecosystem to entice more consumers to dive deeper into its sales funnel.
Amazon has a growing focus on sustainability efforts. This is in line with consumers’ growing need for more sustainable options, which include product packaging. In the last five years, a 71% increase was seen globally in searches for sustainable product options. Additionally, more and more consumers are opting to engage with sustainable businesses, according to the same report. To promote sustainability on the platform, Amazon is working toward using 100% renewable energy sources by 2025 to power its operations. Moreover, since 2015, it has eliminated 1.5 million tons of packaging and has shipped over 370 million Climate Pledge Friendly products to consumers in 2021.
It’s likely that retailers will be seeing more competition on the platform in the coming years. This is fueled by the belief of 84% of brands that selling on the platform can help them acquire more customers. Moreover, 61% of brands want to leverage their relationship with the platform to expand their reach.
Given the sheer amount of competition, figuring out which products are worth selling on Amazon can be tricky. However, finding products with great selling potential isn’t impossible. The key here is to find a product to sell that’s relatively affordable while still allowing you to make a profit.
While selling on Amazon can be a potentially rewarding venture, there are some key points you need to know before jumping the gun.
To come up with a profitable product to sell, you should consider the following:
The bigger or heavier the product is, the higher its logistics costs would potentially be.
Putting a lower price tag on your products may seemingly help them sell quickly. But it may actually have the opposite effect, as lower-priced items can become unprofitable when you factor in shipping and storage costs. On the other hand, higher prices may prevent your target audience from making a purchase. This is why it’s crucial that you strategically price your products in such a way that it makes them more accessible to customers while also allowing you to earn healthy profit margins.
Aside from selling evergreen products, or products that are sellable throughout the year, you also need to consider how you’re going to market your products. For instance, it’s a good idea to sell products that you can market visually, such as through engaging images or videos and compelling text. To ensure that your content adds value, you can highlight your products’ benefits or use your photos to serve as visual guides.
It’s worth noting that the best products to sell on the platform will depend on factors such as your business models, target audience and products they’re searching for, and your business goals. As of writing, some of the most popular products on the platform based on the Amazon Best Sellers list include:
How do certain products become best sellers on Amazon? Amazon’s Best Sellers Rank (BSR) is a key indicator of a product’s performance on the platform. A lower BSR translates to better sales. For instance, if a product is ranked #3, then it has much higher sales compared to a product that’s ranked #150. Note that BSR applies to products in a product category. Amazon doesn’t have an overall BSR showing how your product ranks against all other products on the platform. This means that it’s possible for products listed in multiple categories to have different BSRs.
Determining how the platform calculates its BSR can be tricky, given that Amazon doesn’t exactly reveal how it calculates a product’s BSR. However, one Amazon article sheds light on which factors contribute to BSR rankings. These include data on sales volume over time, recent sales, and all-time sales or historical sales volume. It’s also worth noting that a product’s BSR ranking isn’t affected by the number of page views and customer reviews. Furthermore, its ranking information can vary depending on the Amazon marketplace it’s listed on. For instance, a product that ranks #1 in the US might have a lower ranking on other Amazon global marketplaces.
Amazon has a whole host of popular product categories. Selling products under these categories can be a double-edged sword—while you can potentially sell more products, it’s also highly likely that you’ll come across a lot of competition. Some of the leading categories on the platform include Home and Kitchen, Beauty and Personal Care, Electronics, and Pet Supplies.
These categories hold a market share ranging from 13% to 35%. The primary driver of a category’s popularity is consumer demand. For instance, Home and Kitchen commands a sizeable market share because almost every consumer needs home or kitchen products.
The products under the categories below are some of the platform’s most popular products. These products are considered profitable for the following reasons:
Moreover, factors such as a product’s search volume, average revenue, average price, and best sellers rank can influence how a product becomes a best seller on the platform. With that in mind, below are some of the best Amazon products you can sell in 2024. Note that the products indicated below are ranked as best sellers (Amazon US Top 5 items based on sales) as of writing and may be subject to change:
It’s worth noting that aside from keeping an eye on these Amazon bestsellers, it’s also equally important to pay attention to Amazon’s list of restricted products. Selling restricted products, such as alcohol, tobacco and tobacco-related products, and animal and animal-related products, on the platform can result in you being suspended or stripped of your selling privileges. You can check out the full list of restricted products here.
Finding the right products to sell on Amazon can be challenging. You’ll need to look at current and emerging trends to gain market insights, identify potential gaps within your niche, and learn how you can position your business and products to better address your target audience’s pain points. By knowing the top Amazon products to sell in 2024, you can use this information as a starting point for growing your business. Using a marketplace management platform like Threecolts gives you access to a range of software solutions designed for eCommerce channels like Amazon. Threecolts offers a range of applications such as SmartRepricer to automate pricing and SellerBench for better profit recovery tactics.
Discover how Threecolts’ smart solutions can help your eCommerce business become more agile while helping you lower costs and expand your reach. Register for free today to start optimizing your business and grow it your way with Threecolts.
