Avoiding Costly Mistakes in Amazon Wholesale: Lessons Learned
As an Amazon wholesale seller, I've made my fair share of mistakes. In fact, it's through these mistakes that I've learned what not to do when it comes to sourcing products and sending them to Amazon. In this article, I'll be sharing three different products that I sourced, sent to Amazon, and lost money on. My hope is that by sharing these experiences, you'll be able to avoid making the same mistakes that I did.
The Importance of Taking Your Time
The first product I want to share with you is probably the most recent mistake I made. I was in a rush to finish sourcing products and didn't take the time to thoroughly evaluate the data. As a result, I missed some major red flags that even beginners would have noticed. I ended up ordering 200 units of a product that Amazon controlled 90-95% of the time. I had to hold onto the inventory for six months before selling the first 100 units. By the time I sold out of the product, I had broken even at best. The lesson here is to take your time and evaluate the data thoroughly. Speed is important, but solid buying decisions and investments are even more important.
The Importance of Having Data
The second product I want to share with you is a Marvel Legends Deadpool toy. I sourced this product when Deadpool was growing in popularity, and I anticipated that it would sell well. However, there wasn't enough data available for me to make an informed decision. The BSR was at 700,000 when I first saw the product, but it quickly dropped to 700 in the Toys and Games category. I planned on selling the product for $38, which would have been very profitable for me. However, the price dropped quickly to $18, and I had to make a decision. I sold a few units at $38, but ultimately, I lost money on every unit that was sold. The lesson here is to make sure you have enough data before making a buying decision. If the data isn't there to support your decision, don't overcommit.
The Importance of Clear Product Descriptions
The third and final product I want to share with you is a wireless charger. I thought this product was a home run, but it ended up being a nightmare. The review rating was low, but I overlooked it because I thought the product was so good. However, the return rate was incredibly high because the product wasn't clear in the headline or description. Customers didn't realize that they needed a specific phone case to use the wireless charger, and as a result, they returned the product. The majority of the returns were unfulfillable, which meant that I lost money on every unit that was returned. The lesson here is to make sure your product descriptions are clear and accurate. If customers don't understand what they're buying, they're more likely to return the product.
Conclusion
In conclusion, these mistakes have taught me valuable lessons about Amazon wholesale. I've learned the importance of taking my time, having enough data, and having clear product descriptions. I don't see these mistakes as failures, but rather as opportunities to learn and grow as a seller. If you're just starting out in Amazon wholesale, I hope that these lessons will help you avoid making the same mistakes that I did.
Highlights
- Take your time and evaluate the data thoroughly before making a buying decision.
- Make sure you have enough data before making a buying decision.
- Make sure your product descriptions are clear and accurate.
FAQ
Q: What is Amazon wholesale?
A: Amazon wholesale is a program that allows sellers to purchase products in bulk and sell them on Amazon.
Q: How do I avoid making costly mistakes in Amazon wholesale?
A: Take your time, evaluate the data thoroughly, and make sure your product descriptions are clear and accurate.
Q: What should I do if I make a mistake in Amazon wholesale?
A: Learn from your mistake and use it as an opportunity to grow as a seller.
