Over 15,000 sellers have become millionaires by selling on Amazon, and over 3,500 vendors have become crorepatis.
You would want to take advantage of this opportunity.
E-commerce platforms such as Amazon have multiplied in recent years. E-commerce firms have grown in popularity due to the convenience of purchasing from home. Today, millions of products are available on Amazon from many different merchants.
This article will discuss how to sell on Amazon India. We’ll review why you should consider selling on Amazon India and discuss the entry requirements and the benefits of selling on Amazon India.
What is Amazon India?
Amazon.in is the Indian equivalent of Amazon.com, the prominent online B2C marketplace in the United States. It connects local consumers to national brands and retailers on the site, which sells over 20 million goods.
These items are categorized by the lowest to highest prices. With barely 5% of online retail transactions, India’s e-commerce sector is one of the world’s largest and least penetrated.
It is said to change in the following years, as e-commerce spending will more than double to more than $130 billion in GMV by 2025. The number of online consumers in India is about to reach 300 million.
Why should you sell on Amazon India?
A strong rationale and an impartial appraisal of the facts must support any business decision. Here are a few reasons you should consider selling on Amazon India:
Low entry barrier
There are no qualifications for selling on the marketplace. You need an active bank account and identification documents. We’ll review this more when discussing how to sign up for Amazon India.
Rising demand
Increased internet coverage and expansion in organised sectors within retail marketplaces drive rising e-commerce demand in India.
Furthermore, the government’s FDI policies will drive the growth of India’s e-commerce industry.
According to the IBEF, India’s e-commerce market should reach US$ 99 billion by 2024, rising at a CAGR of 27% between 2019 and 24. Grocery and clothing will also see an additional increase.
These things contribute significantly to the increased demand in the e-commerce business.
Reach millions of potential customers
In India, Amazon.in has over 100 million registered users. Every month, more than 300 million people visit the website. By selling on Amazon India, you may greatly expand your reach and pitch your product to hundreds of thousands of new buyers.
Increase your sales
Amazon India receives 150,000 orders every day. That equates to one order for every second vendor. If you provide quality goods, you can earn well.
Shipping
Aside from Flipkart, Amazon is India’s most reputable e-commerce marketplace. Amazon Prime customers can get expedited delivery. Sellers should take advantage of this.
SellerApp’s tools
Product research, keyword research, and advertising build a successful Amazon company.
With this in mind, our SellerApp professionals have taken their knowledge to India.
Our most potent and well-known products, such as the Product research tool, Keyword research tool, and Advertising suite, are now available to Indian marketplace vendors.
Low competition
Despite the fantastic results, Amazon India still has a lot of opportunities to develop. It is an excellent moment to get in before the competition heats up.
Product acquisition
Many foreign sellers acquire their items from Indian manufacturers. After China, India is one of the world’s major industrial centers.
So, getting products from India will undoubtedly increase your revenues. Furthermore, if you are an Indian vendor, keeping business connections and networks is simple.
Excellent customer service
Customers benefit from Amazon’s FBA program, which guarantees speedy delivery and hassle-free returns.
Even better, it makes sellers’ jobs easier by handling the entire fulfillment process on their behalf, enabling you to focus on other vital aspects of your business.
If you haven’t already, now is the moment to start selling on Amazon India.
What are the business models suitable for Amazon?
Before selling on Amazon India, you must decide on a business concept. Amazon sellers can choose from three different business models:
Retail model
In the retail model, you source products locally and resell them on Amazon. It is the most simple to start and earn quick money. In this model, you aim to source a low-value product and meet the demand with low availability.
However, if you wish to make this a sturdy income business, it is not the best model to choose because:
- Low-profit margins
- High competition
- Product Quality
In the retail business, if your product standards fail to comply with Amazon’s rules, there is a high probability that your Amazon account will get suspended.
Wholesale model
Here, you buy items at wholesale prices from well-known companies and sell them on Amazon.in. Of course, before listing, you must contact the brands and obtain their agreement.
It can be complicated, especially if you’re a new seller, because businesses may be cautious about collaborating with you.
However, this business model has its disadvantages:
- Product sourcing in bulk
- Huge monetary investment
- Storage space
- Risk of unsold items
The wholesale business model is best suited if you have funds to stock products. However, if you don’t, Amazon India has another business model for you.
Dropshipping model
Dropshipping is the easiest way to start a business on Amazon. You source products from a dropshipper or manufacturer and list them on your Amazon store.
When you receive an order on Amazon, you place that order with your dropshipper. The dropshipper then packs and ships the order directly to your customer.
With the dropshipping model, you can sell without actually stocking the product. Also, shipping is taken care of by the dropshipper; hence you only concentrate on promoting your products.
Dropshipping on Amazon has a lot of benefits:
- No inventory
- No risk
- Low entry barrier- anybody can sell without any investment
- Flexibility to add or remove products as per your sales data
- Set your margins
- Easy to test and scale your business
Print on demand model
With print-on-demand, you can sell customized products on Amazon India. You tie up with a print-on-demand company that handles printing, packing, and shipping your order.
It entails creating your private label on Amazon India. You research the market and your target audience and then create a winning product. The best aspect is that you can choose your pricing and retain 100% of the money. It is undoubtedly dedicated, but it is rewarding.
Print-on-demand is a profitable business model with benefits like
- High-quality products
- No risk of storing inventory
- No fulfillment and shipping hassles
- No initial investment
- More time to scale your business
- Boost brand awareness
Amazon merch on demand
Amazon Merch on Demand is Amazon’s print-on-demand fulfillment service in the United States. Amazon merch on demand makes it easier for anybody to sell unique designs on the platform.
However, getting approved to sell on the Amazon Merch platform is difficult as they have sfulfillments and regulations.
Amazon merch on demand is great for a side hustle. You must invest time to rank your products organically or require funds to run advertisements.
However, considering the competition, there are better sources of income than this one. You can view this as a side hustle. Due to Amazon’s stringent policies that may result in account suspension for policy violations, it is advisable to have a backup plan.
How to sell products on Amazon India?
Amazon has a plethora of categories. If you are a newcomer, choosing the proper product category and the right items to offer that have a high sales rank and provide a decent return is essential. It is the first step in figuring out how to sell on Amazon.
1. Create an Amazon Seller account
There are several methods to become an Amazon seller and sell things on Amazon.
To register on Amazon, go to sellercentral.amazon.in and begin the registration process to sell your goods online.
Documents Required for Amazon Registration –
- A PAN Card.
- GSTIN Number (required for Amazon sales).
- Bank account and supporting KYC papers (ID, address, and canceled cheque).
- Trademark/Brand undertaking or authorization for private label brands.
- Optional: add Amazon’s extra company address to the GSTIN doc for Amazon fulfillment.
2. List your products
You must give exact details about the products you sell once registered as an Amazon seller. Information, including the brand name and specifications of the product, is mandatory.
Providing all the product information will bring you happy customers and good reviews. It will also boost your sales with repeated purchases.
3. Manage fulfillment and shipping
Once you receive an order, you must decide how to fulfill the directive according to your business model.
Decide on the packaging and shipping, and also strategize how you wish to handle the returns of your orders.
4. Get paid from Amazon
After your items are approved and listed on the Amazon India seller portal, customers can purchase them through Amazon.com. Your sales revenue, minus Amazon fees, will be transferred to your bank account every seven days.
Customers will begin to purchase your items through Amazon.com once they have been approved and listed on the Amazon India seller portal; your sales money will be transferred to your bank account every seven days after subtracting Amazon fees.
As an Amazon India seller, you must follow specific rules and regulations. These include creating accurate product listings, offering outstanding customer service, keeping a high inventory level, and assuring the quality of all your products.
How to become a Amazon seller in India and increase profits?
While starting a business on Amazon is relatively easy, running it profitably can be challenging. Here are some tips to help you stay financially successful:
Take advantage of the competition
When competing with massive companies in your sector, ranking higher than their offerings might be challenging. A product ranking on the first page of search results captures 70-80% of sales, but a product ranking on the fourth page captures just 0-10% of sales. That’s a lot of money!
You must rank on the top page to increase your market share on Amazon. Here are a few steps you may take to outrank your competition:
- Determine the best competitors.
- Keep track of your competitors’ keywords.
- Targetted PPC campaigns
- Set competitor’s prices and Buy Box alerts.
- Take advantage of reviews and ratings.
Promotions & product bundles
Product bundles and promotions provide less risk and greater rewards from a financial viewpoint. Buyers like saving money by purchasing pricey items at a discount.
This path is advantageous for you because of the significant sales volume generated by the discounts. Furthermore, there would be fewer competitors when it comes to product bundling.
Slow down when necessary
An effective sales plan prioritizes maximizing sales and aims to recover all costs associated with the sales process.
If your advertising efforts or pricing techniques are fantastic, your sales might skyrocket, leading to inventory exhaustion. If this occurs and you cannot sustain the demand-supply cycle, it might result in out-of-stock or delivery delays.
Furthermore, your BSR and product rankings suffer, which has a knock-on effect on future sales.
For example, when you anticipate an out-of-stock scenario, you can slow down your sales by increasing costs or shipment time. These approaches, however, could be better. So, the best method to properly manage your inventory is to forecast your sales and keep track of your stock ahead of time.
Pricing techniques
You must continually monitor your items’ prices to enhance your Amazon income. Prices of products on any online marketplace, including Amazon, often alter due to shifting demand. It would be best if you always stayed up with them.
Using a repricing tool or putting a price alert on your competitors simplifies your task significantly.
To keep track of your competition, utilize SellerApp’s’ Business Alerts’ service.
Amazon promotions
Amazon PPC ads are a terrific way to supplement your marketing funnel. A great PPC campaign will increase your sales and help you rank higher in search results. With the increasing popularity of sponsored advertisements and the growing number of sellers, PPC campaigns are essential to expanding your Amazon business.
Inventory management
It is challenging to be lucrative in your Amazon business if you have a firm grasp on your Amazon inventory management. It might be frustrating for a seller to see a product go out of stock. Amazon does not want that either.
Sales during the holidays
Take advantage of special events and seasonal deals. Cyber Monday, Amazon Prime Day, the Great Indian Festival, and other holidays are critical for Amazon sellers. Make sure you have enough supplies to accommodate a large number of orders.
In addition, start running your PPC advertisements ahead of time to remain ahead of the competition and earn the most sales.
Amazon India is a developing market with enormous potential for businesses and e-commerce companies. So please make the most of it to reap the most significant rewards.
Trending products to sell on Amazon India
1. Electronics
Customers constantly seek the newest technology, from computers and televisions to surveillance systems and wearable devices, especially when purchasing online. In fact, over half of all computer and electronics sales take place online.
Amazon continually offers competitive rates on some of the world’s most popular electronics, so it’s no surprise that customers frequently purchase from the site. If you can buy electronics in volume, this might be a viable sector to investigate as a third-party vendor.
For example, Tripod and other photography and videography materials are famous and in high demand.
The electronics category has an average profit margin of roughly 20%, making it an excellent area for sellers hoping to earn a substantial profit on Amazon. Remembering to optimize your listing to succeed in this category would be best.
2. Personal care & beauty
Because of the pandemic, most people are more receptive to personal care, raising the demand for beauty and personal care items. Furthermore, beauty and personal care items align with most consumers’ New Year’s resolutions.
In Google, the phrase’ personal care items’ returns over 5 billion results and has an average search traffic of 2,400 as of 2022. As a result, consumers’ interest in personal care and beauty items confirms the current demand that vendors may capitalize on.
Top-selling products in this category are facial kits, loofah balls, mists, and hair products.
3. Print on demand products
Are you a designer or an artist? Print-on-demand is a terrific method to monetize your talent if you’re creative. It’s the simplest method to begin selling products online.
You don’t stock any product. Instead, you use a print-on-demand service like Printful or Qikink. They provide the items, and you add your designs. It’s really that simple.
As an example, suppose a consumer purchases a t-shirt you created. Your design will be printed on the t-shirt and sent to the buyer by the print-on-demand supplier.
Then they deduct their charges, including shipping fees, and you keep the difference. Let me remind you that you are the one who determines the selling price.
Print on demand also manages order fulfillment and product shipment to customers.
They also support other platforms like eBay and Etsy, which provide more options to sell things and grow your business.
You can customize T-shirts, hoodies, hats, posters, backpacks, mugs, and other items with your design.
And don’t worry; print-on-demand stuff is in high demand. In 2021, the POD market was worth $4.9 billion.
Furthermore, interest in print-on-demand fulfillment has rapidly increased over the last year, making now the ideal moment to come on board and cash in.
4. Pet supplies
Pet ownership has increased in recent years, parcustomized during the pandemic, contributing to Pet Supplies becoming a booming Amazon category in 2023, with a 22% average profit margin.
It is hardly surprising, given that more than 80 million families in the United States are estimated to own a pet. Aside from actual businesses, owners like shopping for their pets on Amazon.
Top-selling products in this category include:
- Dog Poop Bags
- Pee Pads for Dogs and Puppies
- Clumping Fresh Step Cat Litter
Note: If you want to improve your earnings in this Amazon category, the best things to offer should concentrate on the two most popular pets worldwide: dogs and cats. Concentrate your inventory on things that interest dog and cat owners. It might include pet food, apparel, accessories, and other popular items.
5. Computer and video games
Completing successful Amazon categories without discussing video games and their 23% average profit margin is challenging. The video game industry value is around $138 billion.
Because of Amazon’s dedication to the video game business, video games have become one of Amazon merchants’ most profitable product categories. As a video game merchant, you must give your buyer options.
Playstations, board games, and Xbox are among the few best-selling products.
Amazon built Twitch, a video game broadcasting network, to entertain gamers. It would be best to use this to sell video games on Amazon. Promote the availability of your video game on
Twitch to appeal to the Amazon-created cohort of gamers known as Twitch Prime Members.
6. Home decor
We generally spend much time at homPlaystationsr houses to be as attractive and pleasant as possible.
Amazon buyers and sellers both love the home decor and kitchen product category.
A basic organic search yielded almost 1.2 billion results. Furthermore, it is a profitable product area with millions of best-selling goods.
On this platform, you can sell decor, kitchen appliances, dining sets, furniture, food, gardening supplies, tools, and anything else that helps customers improve their homes.
Alternatively, you might focus on a specific product niche market, such as décor or furnishings.
You narrow your search to “instant pot cooking” and ride the wave. The items are in great demand, and the search traffic is enormous. Some keywords receive over one million monthly searches.
Some keywords have little competition, while others have a lot. Regardless, home and kitchen supplies are among Amazon’s best-selling commodities.
Air purifiers, pillowcases, coffee, air fry ovens, fleece blankets, diffusers, bed sheets, and other items are among the best-selling things on Amazon. You have a lot of options.
Home and kitchen are among the finest product categories for generating stable sales margins and building a sustainable business.
7. Clothing and accessories
It’s no wonder that Clothing, Shoes, and Accessories are some of Amazon’s most popular product categories. After all, the e-commerce platform accounts for roughly 35% of all online garment sales, making it one of the most popular online fashion stores. Amazon customers, in particular, choose casual clothing over luxury clothing.
It’s vital to remember that this sector might get oversaturated, so make sure you can provide something distinctive. People do not shop on Amazon for pricey brand things but hunt for bargains. So, whether you want to sell clothes, shoes, or jewelry, ensure your goods are of excellent quality.
8. Books And Ebooks
Books are a common Amazon FBA item. Right now, many small enterprises are selling books on Amazon.
Don’t worry if you want to sell books but need help writing to save a cat. Amazon still allows you to sell books and ebooks. Do you have special knowledge in a particular field? You can publish your expertise as a book or an ebook. Then, you may sell on Amazon.
You may pay authors to write books that you can subsequently sell on Amazon if you are a publisher or know one.
There is little competition in this industry because, let’s face it, you can’t replicate John Grisham’s creative thinking or style.
If you can create a phrase long enough to persuade readers to purchase, you can earn significant money on Amazon.
Write accessible ebooks instead of novels if you want to avoid writing novels. Recipes, baby books, children’s stories, and technical instructions in your field are good examples.
Many individuals are eager to pay for your knowledge and talents. Or you could finish that manuscript you’ve been putting off for years.
9. Handcrafts
Handcrafted things are popular among Amazon sellers. You could believe that Etsy sells handmade items, but this is false! This sort of merchandise is also available from Amazon vendors.
Handmade things provide internet customers access to one-of-a-kind items. This sort of Amazon product is frequently both unusual and valuable.
Handcrafted jewelry, purses, and home décor products are among the handmade things Amazon merchants sell.
10. Fitness and training
However, fitness equipment has long been a top seller on Amazon, particularly in the last year or two. People were seeking methods to remain fit when COVID-19 limitations forced gyms to close and forced them to stay at home.
Gyms have reopened, but many are still looking for ways to remain fit in the comfort of their own homes. Fitness equipment sales on Amazon are significant. Therefore, this is an ideal product category to cover.
5 Tips to find best-selling products to sell on Amazon
Consider the following suggestions for selecting the best products to sell on Amazon:
Learn about what’s trending
Find out what’s popular to help you narrow your selections and choose the best things to sell on Amazon. Check out Amazon’s best-seller list. Google Trends is another option. Products from retail stores that are currently popular will most certainly be in great demand, regardless of how many Amazon sellers offer them.
Select a specific niche
With high-demand products and popular ones, you’ll encounter formidable rivals. That is why you must select a specialized niche.
When you focus on a specific niche, you may still sell popular things while standing out. Furthermore, you will gain a devoted following among Amazon buyers who get familiar with your online business and what you sell.
Avoid buying seasonal items
Seasonal products may sell throughout the specific season or holiday period. If you don’t sell them within that period, you’ll be stuck with inventory till next year. Seasonal things are appealing, but they might be a wrong financial decision if you have too many and they sell slowly.
Browse product reviews
Check out product reviews on things you wish to sell if you want to offer products that are in great demand and have a devoted following. Use keywords to narrow down your search to specific goods. Reading customer reviews will show you how long these items have been on the
Amazon market and how well they have performed. You may also read more about the specific things, including what purchasers like and dislike about them.
Choose products in high demand
Even if the products are less popular now, ensure they’re in great demand. Choose a product people want and explain why they should buy it from your shop.
How to sell on Amazon USA from India?
The demand for Indian products in the United States is steadily increasing—MSMEs and countless vendors in India benefit from increased exports. Any potential overseas seller requires an Import Export Code (IEC).
IEC stands for Import Export Code
IEC is a 10-digit company identification number issued by the Directorate General of Foreign Trade (DGFT), allowing Indian merchants to export their goods overseas. For importing or exporting goods or services from another country, an Import Export Code (IEC) is mandatory.
Authorised Distributor (AD)
Banks that deal in foreign currency are assigned a 14-digit special designation known as an “authorized dealer” (AD) code by the RBI. Exporters must get an AD code letter from the bank holding their company’s account. Banks and customs authorities can monitor export transactions after registering an AD Code.
LUT GST
Exporters can utilize the Letter of Undertaking (LUT) to avoid paying IGST on their products or services. Exporters can use the GST site to generate a LUT and benefit from zero-rated turnover.
IOR (Importer On Record)
It would be best to have an Importer on Record (IOR) when importing products into the United States. An IOR is responsible for paying and reporting import customs, taxes, and paperwork and ensuring that imported products conform to local laws and regulations.
Note: It is necessary to have a valid credit card, bank account, phone number, and tax information. You may also be required to supply supporting documentation, such as scanned copies of your passport, government-issued ID, bank account, or credit card statement. You may see the list of documents on the Amazon Exports Compliance Dashboard to learn more about it.
With 3 billion monthly visitors to American marketplaces and expected North American e-commerce revenues of $1 trillion by 2023.
Amazon USA allows Indian sellers to increase their user base and earnings by commencing an export business.
Once you have all the documents, you can start listing your products on the Amazon Seller Central portal. Promote your products globally and boost your revenue.
Will it be profitable to sell on Amazon in 2023?
Almost all sellers (85%) want to continue selling on Amazon in 2023, and 82% believe that selling on Amazon will be a viable method to generate money online in the future, compared to 63% last year.
Amazon is an industry, but it is also closely linked to many other sectors. Therefore, sellers have an excellent opportunity to identify a successful niche to sell on Amazon.
While 9% of SMB sellers are not yet successful, the majority are already taking large amounts of Amazon money home – or investing it further in their businesses:
Amazon sellers with less than a 10% profit margin: 25%
The profit margin is 11-20%: 25%
The profit margin is 21-50%: 23%
A profit margin of more than 50%: 4%
What is the monetary value of this? Let’s say it’s enough to be labeled “side hustle money.”
Conclusion
Right now, Amazon India represents massive potential. And, with Amazon’s investments in infrastructure and partnerships with local merchants, it is anticipated to rise further.
To be successful, you must follow specific procedures, such as researching your niche, conducting keyword research, and optimizing your listing–each step is critical. You must learn to achieve each one correctly so your road to the top is as smooth as possible.
Amazon Marketplace may benefit certain sellers’ retail approach, but it may only work for some now. Diversifying your revenue streams and avoiding dependence on a single source is crucial, regardless of whether you sell on Amazon.
Furthermore, rising competition requires accurate order and inventory management to ensure customer satisfaction. It is not impossible, but it does need much preparation and thinking.
Selling on Amazon has significantly more advantages than disadvantages. Will every Amazon seller who premieres a product be successful? If you put in the effort, consistently improve, and learn from your failures, you can sell on Amazon.
Do you have any further questions regarding Amazon India? Tell us in the comments!
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Frequently Asked Questions
What are the benefits of selling on Amazon India?
- Amazon is the largest and most reputable online marketplace, with a global presence that allows you to reach more buyers.
- About 150 million visitors visit Amazon.
- Amazon uses the best tools and practices to guarantee that your product listings are apparent and you have every opportunity to sell.
- Amazon has several fulfilment options, including fulfilled by Amazon, fulfilled by merchants, and pick up from particular Amazon associates in several cities.
- Their prices are the most competitive for merchants.
- The Amazon seller dashboard is simple to use and packed with features.
What is Amazon Seller Central?
You can access your Seller Central dashboard after registering as an Amazon seller. It is where you run your whole business. Everything you need to operate your business is here, from adding your first product to discovering tools to help you create a successful brand.
The following are just a handful of what you can do using Seller Central.
- Using the Inventory tab, you can keep track of your inventory and change your listings.
- Download customised business reports and bookmark templates that you use frequently.
- Contact Selling Partner Support and open assistance cases using the Case Log to track your seller performance.
- Keep track of your daily sales for all the Amazon goods you sell.
Is GST mandatory to sell on Amazon India?
Yes, GST is mandatory to sell on Amazon India. Amazon does not issue a GST number; you must get one from the official GST webpage. Here’s how you can quickly apply for GSTin
Visit the official GST site and register for a GST number. To begin the application process, go to the “Services” page, then “Registration,” and then “New Registration” on the site. Fill in the required information and wait for the verification process to complete.
What makes Amazon dropshipping the best business model to sell online?
If you have limited money to invest at the outset of your Amazon business, this product-sourcing dropshipping tips is a great solution. You do not need to purchase inventory in advance and may sell things as requests come in.
You don’t have to worry about holding goods. The order information is transmitted to your supplier when a customer purchases a product from your website. The supplier is responsible for fulfilling it. Typically, these products are generic.
Furthermore, with a dropshipping approach, you have no storage responsibilities.
How long does it take to make money on Amazon?
Amazon sellers often obtain profits within the first year of selling on Amazon. Profits will vary across Amazon sellers owing to various factors such as strategy, supply chain delays, seasonality, and optimising your listings. Prioritising the rear end of your product listing can help you get there faster.
How long does it take to make money on Amazon?
Amazon sellers often obtain profits within the first year of selling on Amazon. Profits will vary across Amazon sellers owing to various factors such as strategy, supply chain delays, seasonality, and optimising your listings. Prioritising the rear end of your product listing can help you get there faster.
With over 6+ years of experience in the industry, Ayushi excels in building strong customer relationships and guiding clients toward growth as a Brand Partnership Manager. She enjoys sharing her experience in her content.
