A few years ago, the thought of selling on Amazon seemed like an easy way to make money. With little competition, it was possible to make a good living by simply listing products and waiting for orders to come in. Nowadays, the reality isn’t quite as rosy. In fact, 95% or more new FBA sellers never make any money at all. So why is this? Let’s find out.
The Rise of Competition
One of the biggest reasons that new FBA sellers fail is because there is too much competition on Amazon these days. When the platform first launched, there weren’t many sellers competing for attention, so it was relatively easy to stand out from the crowd. But now, practically every product category has dozens (if not hundreds) of competitors vying for buyers’ attention. This means that if you want to succeed as an Amazon seller, you need to be able to differentiate yourself from the competition and offer something that no one else can. Otherwise, your chances of success are slim-to-nonexistent.
Lack of Knowledge and Resources
Another problem with new FBA sellers is that they often don’t have access to the necessary knowledge and resources required to succeed on the platform. Many believe that all they need to do is list a product and wait for orders to come rolling in—but nothing could be further from the truth!
To be successful on Amazon these days requires a great deal of research and analysis into what customers want and need—as well as having access to capital in order to purchase inventory upfront or hire someone who knows how optimize listings for better visibility online. Without this knowledge and access, it will be nearly impossible for new sellers to make it big on Amazon.
Low Quality Products
Finally, another reason why so many new FBA sellers fail is because they often try to sell low-quality products at bargain basement prices—which usually results in poor customer reviews and negative feedback. Remember: when it comes down to making a purchasing decision between two similar products, customers will typically go with whoever has better ratings/reviews; so if your products aren’t up-to-par quality wise then you won’t stand much chance against your competitors who are offering higher quality items at similar prices.
As such, if you’re serious about becoming an Amazon seller then you must ensure that whatever product(s) you choose are high quality and worth paying for!
Aspiring Amazon Sellers should take note – success as an online seller does not come easy! To truly succeed on sites such as Amazon (and other online marketplaces), one must invest time into researching ideal products & niches; possess deep knowledge & resources; create quality items customers actually want; & gain insights into their target market’s preferences & behavior patterns – all while competing against thousands of other stores doing exactly the same thing! With this being said – only those who put in enough effort early on will have a chance at becoming successful long term FBA sellers – so get started today! Good luck!