What are the Best Products to Sell on Amazon? (TIER LIST)

Grocery and Food [0:18]

• This category is considered S-tier for selling on Amazon, with profitability often found by identifying brands sold by retail stores.
• Sourcing involves looking at private label brands of major retailers and checking competitor data on platforms like SellerApp to find profitable pricing.
• An example demonstrated a profitable coffee product that could be purchased for $4.50 and sold for $15, although the initial eligibility to sell the product required an "auto ungating" process which can occur after a few initial sales.
• If direct approval isn't immediate, obtaining an invoice from purchasing directly from the brand can be used to gain approval.

"And within grocery specifically, this is something that's going to apply to sourcing basically any category, any type of products."

Automotive and Powersports [0:44]

• This category is rated as a low B to C tier, placed in the high C tier, primarily due to high return rates and difficulty in sourcing at discounted prices.
• Products often involve car parts, which can lead to buyers purchasing the wrong item and returning it, increasing complexity.
• Discounts and sales are less common compared to other categories, making it harder to achieve significant profit margins.
• Sourcing strategies involve checking third-party sellers on popular listings to identify successful brands like Toyota, Honda, and BMW, but personal experience highlights struggles with creating sufficient discounts.

"The problem with the automotive category is that there are pretty heavy returns in auto."

Video Games [0:26]

• Video games are considered a high B tier, with significant opportunities during Q4 holidays and Black Friday sales.
• The used video game market is also a viable source, with items often found cheaply at yard sales or thrift stores.
• The primary limitation for this category is the lack of a wide variety of brands, which restricts consistent restock opportunities.

"Video games is one of those categories that is super good during certain times of the year."

Baby Products [0:70]

• Baby products are placed in the C tier due to potential extra account health requirements and the need for child protection documents, especially for items like formula.
• Sourcing requires extreme caution to ensure legitimate inventory, often necessitating documentation approvals from Amazon.
• While some products can be profitable, it's not considered the most beginner-friendly category, with limited discounts available.

"Especially when it comes to selling formulas and anything that a baby will put in their body, you got to be very careful that you're buying legit inventory."

Sports and Outdoors [0:66]

• This category is rated as an A tier, with many opportunities due to competing websites offering discounts on top brands.
• Strategies involve looking at established outdoors brands like REI, Merrell shoes, and similar products that have many third-party sellers already succeeding.
• This niche has consistently been in the top three to five for the presenter, offering good profit potential.

"When it comes to the top sporting brands, outdoors brands, that kind of thing, there's usually only a handful at the top of those categories."

Pet Supplies [0:47]

• Pet supplies are ranked in the A tier, with potential for S tier if brand diversity were higher.
• It's considered a somewhat recession-proof category, as people consistently spend on their pets.
• Sourcing can be done from major pet retailers like Chewy, PetSmart, and Petco, with an emphasis on using discounted gift cards (e.g., buying a $50 gift card for $43.75 to get an immediate 12.5% discount).
• The niche is somewhat dominated by private label sellers, limiting the variety of brands available for third-party resellers.

"So, the nice part about selling pet supplies is it is a somewhat recessionproof category for your business."

Clothing, Shoes, and Jewelry [10:18]

• This category is an S tier, offering excellent profitability, exemplified by a pair of shorts bought for $16 and sold for $35 with a $5 profit per unit after a 20% discount.
• A key advantage is the ability to find multiple profitable variations (sizes, colors) of the same product on a single listing.
• While returns are a factor, the consistency of profitable items and the discovery of multiple profitable variations make it a strong category.
• The advice is to buy only solidly profitable items and be prepared for returns.

"Once you've found one profitable item in the clothing niche, you've almost definitely found more profitable products."

DVD [11:35]

• DVDs are placed in D tier due to significant risks of account health issues, IP complaints, and copyright infringement.
• It's difficult to source new DVDs profitably, and while retail arbitrage might yield some finds, online sourcing is challenging.
• The category is known for counterfeit product issues, making Amazon cautious about sellers.

"When it comes to selling DVDs, it's probably the most classic example of an industry that wants to avoid counterfeit products going out there."

Beauty [12:11]

• The Beauty category is considered a great opportunity, with frequent sales and discounts due to its non-essential nature.
• It exhibits a unique economic indicator where demand can increase during recessions (e.g., lipstick sales).
• Loyalty reward programs from retailers like Ulta can provide additional discounts or free inventory.
• A significant con is the prevalence of counterfeits, which has led to many popular brands being locked off for sellers, preventing it from being an S-tier category.

"There's a very common kind of economics indicator being during a recession things like lipstick start selling in higher volume."

Toys and Games [13:39]

• This category is placed at the top of B tier, particularly strong during Q4 for holiday sales.
• Outside of the holiday season, finding consistent discounts and sales can be difficult for online arbitrage.
• Retail arbitrage is more viable, capitalizing on clearance items or toys from past popular movies.
• Documentation requests are likely for safety compliance for products intended for children.

"But overall, especially if you're considering the Q4 potential of toys and games, I'm probably going to put that at the top of B tier for me."

Books [14:29]

• Selling new books is discouraged due to risks of IP complaints and copyright infringement, similar to DVDs.
• Used books, however, are a fantastic opportunity, as they are abundant and can be found cheaply at places like yard sales or thrift stores.
• Using scanning apps like SellerAmp can reveal profitable selling prices on Amazon.
• The presenter started their Amazon journey with used books, DVDs, and VCR players, making this category a personal favorite, placed in low B tier.

"So, when it comes to selling new books, it's not something that I would really ever recommend, but selling used books on Amazon is fantastic because they are abundant."

Camera and Photo [15:27]

• This category is largely dominated by wholesalers and expensive products, making it less appealing for typical resellers.
• While items like film can be repeat purchases, significant deals are not frequently encountered.
• The presenter places this in the bottom of C tier, having only found a couple of profitable products in this category.

"The camera and photo category is largely dominated by wholesalers and very expensive products, which are not something I typically like to mess with."

Cell Phones and Accessories [15:53]

• For resellers, this category is considered D tier due to popular brands like Otterbox, Apple, and headphone brands being largely inaccessible.
• While clearance items like phone cases can be found, consistent opportunities are scarce.
• The presenter suggests it might offer more potential for private label sellers.

"And that is also honestly similar to cell phones and accessories, especially for resellers."

Health and Personal Care [16:23]

• This category is an S-tier favorite for sourcing due to the availability of popular supplement and healthcare brands across many websites.
• It offers numerous sales opportunities and products that customers repurchase consistently, leading to low returns.
• Many products in this niche have a high degree of consistency and are often non-returnable.
• While not always the highest ROI, it provides consistent replenishable inventory.

"This is honestly one of my favorite categories to source because again, it's one of those where a lot of different websites are selling a handful of very popular supplement brands and healthcare brands."

Home and Garden [17:15]

• This category is generally considered top of B tier or low A tier, with seasonal opportunities in areas like harvest and pickling supplies.
• The best approach to find opportunities is to examine the storefronts of successful sellers in the niche.
• While not a "home run" category, it consistently offers good opportunities without negative experiences.

"I would say again, this is kind of one of those more seasonal categories, at least it is for me."

Industrial and Scientific [18:01]

• This is a category that is "very much sleeping on," with the potential for high profits on niche replacement parts and plumbing supplies.
• The main drawback is the lack of widespread sales on these types of items, often requiring purchase at retail price.
• Despite this, it's rated as an A-tier category due to the essential nature of the products and the potential for banger items when found.

"This is one that honestly people are very much sleeping on."