Can Amazon make money?
Many people are confused. When starting a new project, the first thing to do is to analyze the profitability of the project. At present, as for the e-commerce platforms, except for Taobao Tmall, JD.com, Pinduoduo and other popular domestic e-commerce platforms, many platforms are in a half-dead state, and even have no orders after entering the platform. This has given many people the idea of doing cross-border e-commerce.
If you have worked on AliExpress, cross-border e-commerce is relatively simple. From AliExpress to Lazada, or from eBay to Amazon, you can make money on many platforms. However, with the influx of more and more people, the platform rules are becoming more and more complicated. Some platforms, such as Wish, even continue to issue penalty rules. If you are not careful, you may lose all your money and all the money will be taken away by the platform. In addition, the various requirements and fees for entering the platform make many sellers discouraged.
Amazon's characteristics are low cost, high traffic and high profit. Sellers on Amazon often make more profits than on other platforms, even several times more, so many people choose Amazon and even give up other platforms. After all, energy is limited, so why not focus all your energy on the most profitable platform?
Overall, Amazon's ability to make money is still the strongest among all overseas platforms. First of all, its trust and brand value are unquestionable. Just like Tmall and JD.com in China, people will choose to shop on them. Although AliExpress has low prices, it cannot win the favor of overseas users, especially in developed countries such as the United States, Japan, and Europe. It is better in markets such as Brazil and Russia.
Secondly, Amazon's FBA strategy allows sellers to place goods in Amazon warehouses and have Amazon be responsible for shipping. This can greatly reduce shipping time and gain buyers' trust. There is no need to worry about sellers not shipping on time or mismatching goods. At the same time, Prime members can enjoy free shipping, which is an advantage for Amazon, which has a large number of premium members.
But then again, how can you make money on Amazon?
First of all, you need to have your own advantages and find products that suit you. If you are a factory, you can develop some unique styles of your own. If you do not have design capabilities, you can refer to some popular styles overseas and learn from others' advantages.
If you are purchasing products online, you can also look for products with high selling prices but low competition. If you know which products have low selling prices and competition, you can use a third-party tool like Jungle Scout to help you develop products quickly.
Then in the early stage, you can increase sales through some social media or advertising promotions, or third-party promotional code publishing platforms. With sales, there will be natural rankings, and then customers will naturally place orders. The chances of you making money without advertising or other investments are very high.
Of course, don't be too aggressive. If you are not familiar with it and are not sure, don't rush in, because there are still many pitfalls, such as malicious competition from peers and some restrictions on Amazon rules and products. So you can't be too hasty about some things. You have to proceed step by step. Once you find your own way, you can make a lot of money.
Another advice is not to attend any Amazon training sessions or open classes, as that might make your brain go crazy because a lot of those things are unrealistic, and you don't even need to listen to them. Listening to them will do more harm than good. A lot of things about Amazon are figured out through trial and error, and actually doing it yourself is the most important thing.
