October 17, 2020

Tips for Amazon FBA Sellers that Buy their Products in China

China Inepction service

What keywords to choose, in order to catch people who search on Amazon? In some categories the keywords are obvious. Don’t forget other companies’ brands or product names that people search for.

Tools such as Google Trends, Keyword inspector, Merchant Word, etc. can help.

Amazon’s search box has an “autocomplete” feature that shows related keywords when one keyword is entered. Keywords can be tested by paying for clicks on Google Adwords or Facebook.

Strategy for launching an Amazon-based business Start with a simple, generic product (in a branded carton) on Amazon and iterate little by little based on the feedback (e.g. click-through rate on Amazon, what keywords performed well so far, the reviews you got…)

Do tests outside of Amazon — pay for traffic from Facebook or Google to a landing page where customers can pre-order the product. Track the important metrics: click-through rate on Facebook/Google, conversion on the landing page, etc. Quality of photos and copywriting can be A/B tested with specialized software. All these brand management aspects are very important.

How to calculate all costs before setting the price?Purchasing price + logistics (based on the volumetric weight) + import duties + Amazon’s fees (30-35%) + returns (around 3-5%, and might be higher for electronic products) = total cost.

How to manage cash flow? Find the right supplier and negotiate for lower minimum order quantities — it is sometimes better to work with a less reliable supplier, control their quality carefully and systematically, and enjoy their extra flexibility.

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