Frustrated woman struggling with remote work stress and digital challenges indoors.

The 5 Smartest Steps to Grow Your Business

  • Clear P&L across Amazon, Flipkart, Website & Offline.
  • Defined 12-month Sales Target & Vision.
  • Actionable Roadmap to Achieve Goals.
  • Strong Marketing & Branding Strategy.
  • Effective Stock Planning to Avoid Over/Out of Stock.

How to Choose the Right Product for Amazon: A Step-by-Step Guide

Pick Smart. Build Strong. Grow Long-Term.

Launching a product on Amazon is easy.
Launching the right one is what sets you apart.

Don’t rely on instincts or trends — use logic, data, and sourcing clarity.
Here’s your complete guide to selecting a product that sells, sustains, and scales.


✅ Step 1: Understand the Market & Competition

  • How many sellers are already offering this product?
  • Are the top 5 sellers capturing 60%+ of the sales?
    👉 If yes, it’s a tight market — hard to compete.
  • 👉 Choose products where sales are driven by value and utility — not by brand name, seller reputation, or lowest price.

If you can’t clearly add value — through quality, packaging, positioning — step away.


✅ Step 2: Analyze Pricing vs Quantity (with Logic)

Don’t look at just the MRP. Look at the price vs actual units sold.

Example: Product A :

SellerPrice (₹)Units Sold
A2991,000
B39950
C4995

Not Suggested: If a Product Sells Only on Price, It’s Not a Business — It’s a Battle

Example: Product B :

SellerPrice (₹)Units Sold
A2991,000
B399500
C499350

Product B May be a good option

👉 Buyers are not choosing only the cheapest.
They’re choosing a balance of price + quality + trust.


✅ Step 3: Confirm Your Profitability

Do the math before you place your order:

  • Product Cost
  • Packaging
  • Amazon FBA/Referral Fees
  • Advertising
  • Estimated Returns/Damages

Now compare your final selling price with the actual sales data.
Let’s say, after calculating all costs, your ideal selling price is ₹400. Based on market data, similar products at this price point are selling around 400 units per month.

👉 If this sales volume aligns with your vision and business goals, then it’s a product you can consider launching.

But the work doesn’t end here.
There are still several important factors to evaluate before making the final decision.


✅ Step 4: Review Deeply Before You Decide

Top 5 listings are your free research lab.

  • Read positive and negative reviews
  • Note what customers love (must deliver that)
  • Spot what they hate (you can fix it)
  • Check review frequency — consistent reviews = real sales
    (Bulk reviews in 2–3 days? Likely fake.)

✅ Step 5: Check Demand Stability & Long-Term Potential

Use Helium 10, Google Trends, Amazon data to ask:

  • Is this a seasonal product or a year-round need?
  • Is this a one-hit launch — or part of a category you can grow in?

📦 Choose the Right Product Type

  • Must be useful across the year, not just during festivals/seasons
  • Must solve a problem or be a daily-use item
  • Must not be brand-dependent & Price Dependent — let your quality drive sales
  • Prefer repeatable demand, not trends that fade

🔍 Nail Your Sourcing Strategy

Before finalizing, ask your vendor:

  • Can I get the best quality at the lowest stable cost?
  • What’s the dispatch time after placing an order?
  • Do I need to pay full advance, or can I get credit?
  • Is the pricing stable or volatile?

✅ Ideal Sourcing Scenarios:

Payment TermsDelivery TimeRecommended?
100% Advance, 30 Days❌ Avoid (Cash stuck, high risk)if profit margin is high & you have good cash flow can consider.
100% on Delivery, 30 Days✅ AcceptableIt’s recommended to hold inventory worth at least 45 days of sales.
30 Days Credit After Delivery, Delivery Time 30 Days✅ Ideal (Best for cash flow)Maintain at least 45 days of inventory to ensure smooth sales flow.
Place your next order on the same day you receive the previous one — this keeps your supply chain consistent and prevents stockouts.
Ready Stock with Upfront Pay✅ Ideal (Fast & Flexible)Maintain at least 10 days of inventory to ensure smooth sales flow.

📦 Inventory Planning Tip

If your vendor takes 30 days to deliver, you must plan to hold 45 days of stock.
That buffer keeps your listings live and ads running without stockouts.


🎯 Final Thought

Most sellers fail not because of bad ads — but because of bad product choices.
Do your groundwork. Validate everything. Then move fast.

Before you invest ₹1 in inventory, invest 1 hour in research.
That’s how smart Amazon businesses are built.

👇 Need help?
Explore our free blog posts — designed for real sellers, not textbook gurus.

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