This article will help you to choose a product to sell online by lowering the risk of total failure. What do we mean by failure? Purchasing thousands of dollars for a product that isn’t popular, could be undercut by a competitor, or a saturated market of the product you want to sell. There are many things you need to do before starting an online business. Choosing the first product to sell is one of the most important steps.
No matter the type of online business you choose to run, at some point you will need to choose a product to sell. Even though ecommerce is the most popular form of online business being launched these days, we will be sharing some tips on how to find the first product to sell online for any kind of business.
We’ll give you a general sense of what will work and what will not. From there, follow your passions to make the choice that is right for you. Without loving what you sell, you probably won’t go too far, so this is the first rule of thumb.
The Online Business Opportunity
There are a lot of possibilities for opportunity when it comes to e-commerce. As of 2022, ecommerce is a $3.3 trillion industry and is expected to reach $5.4 trillion by 2026. Right now is the right time to get involved.
There are so many apps, programs, and websites on the market that are available to help you succeed. Whether it is a digital product or physical ones, the opportunity to make money online is endless.
The products you choose are the fundamental backbone of this endeavor. They affect how you’ll market your product, what profit margins you’ll have, and what design aspects you’ll choose.
What you choose could also influence what countries will be most interested in your products, so you’d also have to consider shipping and logistics in some cases. Check out our article on how to launch an ecommerce business to learn more.
What Will Your Niche Be?
E-commerce brings in a lot of money because so many companies are doing it. This means that most mainstream ideas are saturated. You are going to need a niche if you want to make money. The name of the game is getting the largest audience, of course, but when you have a niche, you’re more likely to be noticed. You can’t go against large companies such as Google or Absolute Vodka.
Do some research on the smallest market you can think of. Think yoga props for seniors, travel accessories specifically for digital nomads, or other things that are a “one-off” and not thought of yet. The perfect opportunity that sustains you which you can adequately serve is what we’re talking about here.
This can grow into something bigger later but in a beautifully organic way that makes it less stressful and more fulfilling. If you’re having an issue coming up with ideas, read our article on how to find niche markets for your online business.
Look at What You Already Have or Obtain
One of the easiest ways to find a product to sell online is to look at what you already have or can obtain for a reasonable cost. When you’re first starting, the important thing is to learn what works and what doesn’t work for you.
Entrepreneurship is a continual learning experience. The sooner you can learn how to successfully run your business, the sooner you will reap the rewards of your hard work.
If you are launching an ecommerce business but have never sold anything online, you may want to first attempt selling a product on eBay or Poshmark. Starting an eBay or Poshmark business is easier than many people think and can kickstart a person’s entrepreneurship journey.
These sites allow you to sell items you already own or are used. If you have a knack for acquiring items you no longer need, you can turn around and sell those items.
What Do You Know and Care About?
One of the mistakes many first-time entrepreneurs make is choosing a business idea where they have little or no experience. While this sometimes works out for some, people come to find that they have gotten in over their heads. Many of these business owners get crushed by the competition simply because they didn’t have the experience and knowledge base.
This is why it is important to think about products related to areas in which you have at least some knowledge and, if possible, are passionate about. Whether it is sports, pop culture, food, or fashion, you can find a product that people will want to pay for if you are knowledgeable about the product and the target market.
Give the People What they Want
By addressing a need, it’s easier to market and ultimately easier to sell. Think of a problem that your potential product will solve. If it does solve a problem, you’re in business. For example, if you could create a beach bag that keeps sand off your personal items while you’re at the beach, chances are, beach lovers would be into buying your product.
This could be a one-off product where you could build other products along the way. Eventually, you could become the premier beach bag company or travel accessory conglomerate. It starts with one idea that solves a problem that everyone faces.
Think of needs that aren’t being filled with the industry or product you have in mind. If you have a hobby that you’ve loved for a long time that fills this need, even better. If not, listen to people’s problems and see if there is an idea that flourishes to solve them.
Forecast the Profit Gain
It might be fun to go into business because you’re passionate about something, but all said and done, is it going to make money? When you put all your heart and soul into an idea, this is an important factor. When you first start selling your product, you want to ensure success. Keep it simple in the beginning. Don’t sink too much money into development and marketing if you’re not confident the product is going to be successful.
Look at the profit margin. How much is it costing you to buy the product and how much are you selling it for? A higher profit margin will help you succeed in the beginning phases. When your business is showing revenue, you can start making a lower profit on items but in the beginning, look to products that will support your business.
Go With the Trends
Another way of making money with products online is to pay close attention to what is trending. There is a difference between fads and trends. A fad dies out quickly. You could put a lot of time and effort into marketing only to have it die down when you’re finally making progress. Trends will stand the test of time, making it worth your while.
Something that is consistently good is what you should keep an eye on. You do not want to end up with a bunch of merchandise you can’t sell. Pay attention to trends in the areas where you are looking to start your online business. Then, choose something that is popular but also has some staying power.
These tips should help you find a great product that will be successful to sell online. If you want to be successful and make money, it’s going to take thought and effort. Find a niche, find a market, solve people’s problems, and be proud of the product you stand behind. These are ways you can develop and create a successful e-commerce product for yourself. Once you’ve gotten these going, you can move on the the other activities that will help your online business succeed.
This article was first published in November 2019 but has been updated and expanded.