Amazon is a global giant in the field of e-commerce
So, Amazon is a global giant in the field of e-commerce, with over half of the US population and a multitude of users from other countries worldwide. The Amazon marketplace provides a unique opportunity to sell your products to a massive audience that makes millions of purchases daily. Furthermore, many sellers on Amazon earn significant profits. However, success on this platform is far from guaranteed.
For many people in CIS countries, where the economic situation is not always favorable, trading on Amazon may seem like an attractive way to earn income. The internet is full of promises of easy and quick earnings on Amazon, with minimal effort and investment. However, such claims can raise suspicions, as in reality, a successful business on Amazon requires careful planning, hard work, and a professional approach.
Indeed, Amazon provides opportunities to sell one's own products on a huge market, but the competition is also enormous. Amazon account owners have to pay fees and, in case of rule violations, risk losing their accounts. However, the main factor for success on Amazon is the right choice of products, suppliers, effective marketing, and careful business management.
Many sellers on Amazon achieve success and earn significant amounts of money, but it requires effort, knowledge, and determination. Trading on Amazon is not an easy and quick way to make money.
Main Mistakes of Unprofitable Business on Amazon
Incorrect Product Selection
In case the product is chosen incorrectly, sales may not be high enough, or high competition can overshadow the revenue from sales due to high advertising expenses.
Poorly crafted business plan and lack of a well-thought-out budget
Even if the product is chosen correctly, miscalculated expenses can still become a problem. It is important to understand that selling a product on Amazon takes time, and to generate profit, active sales need to be conducted for several months, while covering marketing and fulfillment costs.
Insufficient knowledge of the rules and policies of the Amazon marketplace can also be a problem
Violating the rules can lead to a loss of rating, receiving penalties, and ultimately, account suspension.
Neglecting SEO and marketing
Even if you have a great product that sells at a competitive price, customers may not be able to find it due to a poorly crafted listing, lack of keywords, or absence of reviews, which can result in low sales.
Lack of customer interaction
Customers in the United States are demanding, and therefore continuous communication with clients, politeness, and quality responses play an important role. A satisfied customer is the key to success. Otherwise, you may encounter returns, low ratings, and negative reviews.
Conclusions about the business on Amazon
Business on Amazon is a reality if you are ready for continuous learning, hard work, and growth. Attention to detail, perseverance, and entrepreneurial spirit are important qualities that can lead to significant profits from selling on Amazon.