How to Start an Amazon Store: 4 Things You Need to Know
If we all knew how to start an Amazon store, we would be one step closer to financial freedom.
In the personal development classic Rich Dad Poor Dad, Robert Kiyosaki makes a simple but important distinction between the way low-income and high-income families teach their children to achieve financial freedom.
One set teaches kids to work to make money; the other teaches kids to make their money work for them. You can guess which is which.
Popular wisdom says that millionaires in America have an average of seven income streams. Whether this is true remains to be seen, but the idea is pretty spot-on. Intelligent finance becomes enormously crucial as you evolve through your career and climb tax brackets. Most successful people in their 60s and 70s spend their retirement administering what they made earlier in life.
You can leverage this wise strategy way before you reach retirement age. Passive income is one decisive way you can expedite the arrival of the bank statement you long for.
You can use Amazon to generate passive income. Read on to learn how to start an Amazon store.
1. Pick the right Amazon products
The #1 mistake made by people who do not know how to start an Amazon store is choosing products for their store based on personal preference. Your Amazon wishlist can be a valuable indicator when combined with research – but taken by itself, what you like does not translate to sales—much less, profit.
The way to choose what products to sell on Amazon is by researching existing demand. You want to market to a defined target audience that has already proven its eagerness to buy your product.
Step number one is looking for a product with a buzz on social media and volume in keyword searches. Step number two should be narrowing this search into only those products that aren’t saturated with sellers.
Selling on Amazon can be very competitive. The safest way to become cashflow positive from week one is to sell to a market with a lot of volume in searches but as little competition as possible.
Suppose you want to move ahead past all the tedious work of research to find the right products. In that case, our team of Amazon store management experts at NextGen Strategic Investments can create, manage, and optimize your plan of attack, so your online store sees continued growth. We do thorough research into which products work and which don’t to ensure that your store is profitable.
2. Build the perfect listing
Before your store gets its first reviews, the algorithm that connects your customer with your product will only know your brand by your keyword choices.
Creating a successful Amazon store is about generating reviews. People buy from brands they trust, and they trust brands with social proof.
However, your store will not start with anywhere near the amount of social proof it needs to organically bubble to the top of your target demos’ searches. When you start, the customer’s search results must discover your product based on nothing but keywords. A smart keyword strategy is essential.
This essential marketing decision has the power to either propel you to the top or sink you to the bottom. If you want to learn how to start an Amazon store, the first step is to settle on keywords.
There are various tools and methods available to find the right keywords for your listing, but why put yourself through all that work when you can simply have it done for you by experts who know this industry like the back of their hand?
You can rely on NextGen to conduct all this research for you so that you don’t need to deal with the headache of putting together a product listing. When maintaining your store, we mitigate chargebacks and handle all product reviews.
3. Manage Amazon Ad campaigns
Ads are a way to buy the initial burst of momentum Amazon often calls for if you want to get your product in a dominant position.
Amazon’s search algorithm is built using a momentum model. Ads are a way to buy this initial burst of momentum to get the ball rolling. It will not work, however, if your product page is not up to par. That is why you need to greenlight these five things before you pay for ads:
- Fulfillment Method
These five pillars ensure a positive ROI when you commit to spending on ads. One way or another, ranking organically is a difficult task. You will most likely need to invest a part of your budget in advertising.
4. Use an Amazon management service to make passive income
Most Amazon sellers are not cash-flow-positive from day one. Dropshipping requires expertise in both marketing and product research. This can translate to slow profits and a frustrating learning curve.
If you want to ensure profitability for your Amazon store and have your investment pay off, use an Amazon management service to set up, maintain, and optimize your store for you. Not only will you be generating income, but it will be entirely hands-free for you. This means that you can enjoy the benefits of having a recurrent stream of revenue from an Amazon store without doing any work.
How to get started
There are ways to make it easy for yourself. Our team of Amazon automation experts can create the hands-off passive income that entrepreneurs dream of. Schedule a complimentary consultation today to learn how you can get started.
We have a team of Amazon specialists dedicated to keeping up with the day to day activities of managing the store. In addition to this, you’ll also have support from our team if you have any questions.