Stop selling products with a low average order value of 9.9. Products with a high average order value are the future trend!

Why do we need to make high-priced products?

Disadvantages of low-priced products

1. There is too much competition for products with low average order value. Temu and SHEIN continue to attack Amazon with extremely low prices and high-profile marketing. The continuous impact has reduced Amazon's traffic a lot.

2. You can’t stop losing money. It may take a year without seeing any return in the long run.

3. There must be no shortage of goods in the middle, and the requirements for operations and goods are pushed to the extreme (giant factories earn export tax rebates through trade, but traders have no chance at all)

4. Too low profits and unhealthy financial logic can easily crush a company.

5. After working hard for half a year to launch the product, within 3 months, a bunch of similar products appeared on the market with lower prices, resulting in inventory backlogs. The product had to be reduced in price and finally sold out at a loss, and then the search for the next product began.

Benefits of high-priced products

High-priced products are generally considered to be products with a price of more than 40 US dollars, and ultra-high-priced products are products with a price of more than 100 US dollars. Objectively speaking, high-priced products can screen out a group of people from a financial perspective.

1. The profit per order is higher (don’t expect hundreds of orders a day, one or two orders a day is acceptable)

2. One order is worth tens of dollars, the quantity is small, the stocking pressure is small, and the risk of inventory backlog is smaller

3. Built-in threshold to block opponents from entering

4. There is less competition, the CPC of ads is lower, the weight increases with time, and the position becomes more stable

5. Suitable for part-time sellers (you don’t need to stock a lot of inventory or pay close attention to the product situation every day, and you can generate high profits and returns every day without taking up a lot of your time and energy)

Products with high customer price have low natural position and conversion rate. Although high customer price may not have good sales, it is profitable. Only by finding products that have not been explored in the market can we better control profits. However, this will test our sellers' product development and product selection capabilities.

With a 5% conversion rate and a CPC of more than 2 yuan, there should be at least 20 US dollars in profit. A profit of 20 US dollars is enough to screen out many products. The selling price should be at least 40 US dollars. The way to explore the middle and high customer unit price is to look at this category and see where the bottom line of the middle and high customer unit price is. If the cost of acquiring an order on the advertising side is more than 2 times the profit, don't play it, spend the money elsewhere.

Therefore, in the future, sellers can develop products with high customer unit prices! Especially non-standard products with high customer unit prices. This is a huge profit position.

How to choose products with high average order value? Focus on 8 factors

<<: How to improve the success rate of product selection in Amazon's blue ocean market?

>>: 20 Reasons Why Amazon Sales Suddenly Dropped

What is the Founding Seller Program? Review of the Founding Seller Program

Stop selling products with a low average order value of 9.9. Products with a high average order value are the future trend!

What is the Founding Seller Program? Review of the Founding Seller Program

Sales exceeded 170,000! "Made in China" Christmas mailboxes are urgently recalled!

What is mecilla? Mecilla Review

What is Cobone.com? Cobone.com Review

The top three apps by downloads during the 2021 US holiday shopping season: Amazon, Walmart, and Target!

What is Joom Account Verification? Joom Account Verification Review

"Translation software" is essential for cross-border e-commerce

With debts of hundreds of thousands, Shenzhen Daimai faces the risk of delisting!

Amazon is actually going to subsidize sellers using FBA?

FedEx's on-time delivery rate increased by 5% in October! Both USPS and UPS slowed down

Recommend

What is Amazon Global Selling? Amazon Global Selling Review

Amazon adds extra return charges? Traffic data for each site is released!

What are the Sakata Five? Sakata Five Review

8 million frozen in account! Price chain went against the tide during the peak season, with a loss of nearly 10 million?

In 2020, the worst-hit industry is cross-border e-commerce, no doubt about it!

Empty containers are piling up in the U.S., prices are plummeting! They will continue to fall in the coming months

TikTok will never be banned

【Amazon】How to improve conversion rate?

What is Turbo Ad Finder? Turbo Ad Finder Review

What is European Distance Selling Law? A Review of European Distance Selling Law

Amazon's hot-selling operation process (practical operation)

What is UangTeman? UangTeman Review

The only Amazon advertising metric you know is ACOS?

Big news! The government will help blocked businesses, and sellers can receive up to 3 million yuan in subsidies!

Amazon sellers, please take note! This product cannot be listed, and some sellers have been banned due to 50 reviews!