Private labels are a relatively new concept for many ecommerce retailers, but they’re quickly becoming an important part of the ecommerce landscape.
Private labels are products that you design, brand and sell under your own company’s name.
The primary benefit to owning a private label on Amazon is that it allows you to take advantage of Amazon’s marketplace model, which provides a ton of benefits to both sellers and customers alike.
These best selling product categories are worth exploring for private label potential:
Here’s the best amazon private label products
Arts, Crafts & Sewing
Home & Kitchen
Kitchen & Housewares
Patio, Lawn, & Garden
Sports & Outdoors
Tools & Hardware
Toys & Games
There is a lot to consider when choosing the right product for your private label line. This Amazon private label checklist will help you find the best product to sell and make sure you’re making an informed decision before committing to a product.
Here are some things to consider:
Popularity of the product category
Your competition in that category on Amazon
Saturation of similar products on Amazon (if many similar products exist, it may be difficult to rank)
Sales trends, seasonality, and demand consistency
The availability of quality suppliers
Whether or not your target categories are restricted
The cost and complexity of shipping your product
Amazon private label products are sold by third-party sellers who create the products or manufacture the products themselves, then sell them on Amazon at a profit.
You can use this Amazon private label checklist to decide if private labeling might be right for you.
It’s important to know that the majority of private label sellers make very little money. It is estimated that only 1% of all Amazon sellers achieve $1 million in annual sales, and most of those are private label sellers. However, there are plenty of successful private label sellers who are making over six figures per month.
Here is a checklist to help you decide if private labeling is right for you:
Do you have an understanding of which product categories are most suited for private labeling? (See further below.)
Do you understand how to find a supplier? (See how to find suppliers further below.)
Do you understand how to manage inventory, ship orders, and track shipment costs? (Read our guide on How to Start an Amazon FBA Business.)
Do you have enough startup capital? (Read our article on How Much Does it Cost to Start an Amazon Business?)
Popular Product Categories
These best selling product categories are worth exploring for private label potential