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List of Best category for new sellers of Private label product

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Best Categories for New Sellers of Private Label Products

So you have taken the plunge and decided to tread the path of online business? Sounds like a very good decision. However, e-commerce has its own set of challenges and they are not very different from the conventional ‘Brick & Mortar’ one. The foremost challenge is deciding the niche or category you want to do business in and that is where you have to be very careful. One wrong or haphazard move in category selection can make or mar your aspirations.

 

Why is Category Selection Important?

The question must be pestering you as to why at all I have to be careful? It is not different from a businessman’s dilemma as to what is he going to sell? Selecting the product or category in which you’ll do business is of utmost importance because initially, with all the apprehensions in mind you are less risk-taking and want to start with a low investment. Selecting a right product category with less competition and less number of sellers is what will give you a head start.

Although there are hundreds of categories to choose from, tools like Product Research Tool (PRT) of AMZ blast lets you know which category is already crowded and which category still has the scope of penetration.

Follow this video there we have discussed everything in detail

Why You Should Avoid Brands?

Most of the categories are brand dominated. Although when you are a newbie in the online business, you must avoid brands at all costs. Why not established brand? As they are big brands, there are thousands of sellers already selling the same products and there is huge competition. So if you opt for branded products, at first there are very low chances of getting the visibility and even if you get visibility, margins are so less that you feel demotivated.

Create Your Own Brand

When you are a beginner, it is always recommended that you start with a small investment and focus on creating your own brand. Choose one or two products, try wholeheartedly to get sales in that category and get initial motivation. Only after you have got a foothold in the domain, you can increase your products and inventory.

If you focus on creating your own private label, it will not only give you good margin, you’ll be able to stand out from the crowd with your brand.

There are certain categories like clothes and apparels and electronics and computer, which have huge competition and it is very difficult to achieve sale targets in these categories. It is not at all advisable for beginners to go in these categories. However, there are some categories like baby and pet products where you can make your mark with your own brand.

Let’s have a look at the categories you should or you should not consider while you are starting out.

Categories to Go ForEager to know? Here they are:

1. Baby Products– In this category, some products are dominated by brands but it also has huge potential for beginners to make their own brand.

2. Beauty Products– Only a few products dominated by brands and offer a great opportunity to enter for starters.

3. Car &Motorbike– This category is very good for beginners and very good margins can be availed.

4. Health and Fitness– This category has a few brand dominated products but much of this is open to beginners.

5. Miscellaneous Categories to go for– Garden and outdoors, Home and kitchen, industry and scientific, luggage and bags, Music instruments, office products, pet supplies, sports and fitness, tools and home improvements, Toys and games are some of the very promising categories to start with.

Categories to Avoid as a Novice Seller

1. Books and Unstitched Cloths– Both of these categories don’t require you to have GSTN that’s why huge numbers of sellers have cropped up and hence huge competition.

2. Digital Content (APPs, Games, and Software) and Music– These categories are largely dominated by brands thus give least opportunities for new brands. Also off late Amazon has also put certain restrictions on these and accepting products from big brands only.

3. Clothing, Apparel and Accessories– Not suggested to beginners because of two reasons-
• Huge competitions from a lot of sellers
• Thousands of products already there.

Choose this category only if you plan to go with hundreds of design and a huge investment.

4. Jeweller, Designer products and Shoes, Handbags– These categories are already flooded with numerous designs and a lot of competition is there. Totally avoidable for absolute beginners.

5. Grocery and Gourmet Products– we don’t suggest beginners to go for edible food products and grocery products as they are largely dominated by brands and also require certifications from ’FSSAI’.

6. Furniture– Avoid this category unless you are a manufacturer because of size of the products. Even if you are manufacturer, enter only after calculating the shipping costs and margins. A strict NO for absolute beginners.

7. Computer & Accessories – Not suggested for beginners because of lot of refund and returns. It may demotivate new sellers.

When you take decisions after proper research and analysis, you are less likely to fail. So before starting your online selling journey, make use of AMZ Blast’s expertise and excel in your endeavours.

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