Case Teaching - Product Selection on Amazon:Face Slimming Strap

2020-05-15

You can use SellerSprite to select products through the following steps:
Product Research - Market Research - Custom Category - Competitor Lookup

1. Hair Brushes
1) Product Research

In SellerSprite - Product Research, directly select the “potential” presets, and then check the categories you are interested in.
Take Beauty & Personal Care as an example.
We mainly analyze the products on the first page.
In order to simplify the Amazon listing process without submitting product certification materials, it is necessary to exclude the bulk, electrical appliances, chemicals, liquids, and others. The reason why we do not do chemical and electrical products is that it needs relevant certification. We only demonstrate how to select products without any resources in the simplest case.




According to the above reasons, some products are excluded and check the market data of the corresponding subdivided categories for the remaining products.




We filtered a product - Hair Brush, which has been launched for 3 months. It ranks 20,493 in the BSR for the main category and has increased a lot recently. The sales trend is on the rise as well.




2) Market Research
Click the “market analysis” to view the market analysis report, and you can see the detailed data of the level-4 category.
Our system automatically selects the top 100 products as a reference. The reason for researching the top product is that it is more representative and the final prospect of the product can be seen.
The average monthly sales are 2,728 and the average sellers are 3.2, indicating that this category has many follow-ups.




Then check the detailed data. Researching category needs to study the industry trend of this category, that is, the trend of the main keywords. As can be seen from the trend chart, the main keywords are:
   ·shampoo brush
   ·scalp brush
   ·scalp scrubber
   ·scalp exfoliator
   ·beauty products for women

According to the trend in the past two years, there will be a small peak from February to April and from Jun to August, and the overall trend is stable.




Then look at other details.
The commodity concentration is 29.5%, the brand concentration is 64.2%, the seller concentration is 47%, most products that have been launched for more than one year, 70% products’ reviews are above 500, and the rating is mainly 4.0-4.5.
Through the above data, it can be concluded that this category is not available:
(1) The concentration metric is good, indicating that buyers will not often buy at the same store or brand, which is a good metric for new products;
(2) There are not many products that have been launched recently, so there may be few opportunities for new products;
(3) The industry barrier is high. If you want to capture the market share, you need a large operating cost and at least 300 reviews.
(4) There is not much room for product improvement. Most products’ rating is above 4.0, and customer satisfaction is high, so we cannot make a difference.

2. Face Slimming Strap
1) Product Research

The same method was used for the second filtering, and finally, a product performed well was found.




This product is under the level-5 category of “masks”. It has been launched for 5 months, with a monthly sales growth rate of 44%, and a profit margin of 67%.




2) Market Research
Click the “Market Analysis” to view the industry data reports.
The average monthly sales are 4,258 and the average sellers are 3.8, indicating that this category has many follow-ups.




Due to the recent epidemic, “Mask” has been mostly related to surgical masks, and the keywords are not related to our products. This is because this product belongs to the more subdivided category under the category of “Mask”, and does not belong to the top products. Therefore, we can only take this market analysis as a rough reference.

The commodity concentration is 29.6%, the brand concentration is 46.3%, the seller concentration is 40.2%, there are new products that have been launched recently, product launch time is mainly in 2019 and 2020, 44% products’ reviews are above 500, the rating is mainly 4.0-4.5, and the price is mainly 0-30$.

3) Custom Category
After referring to the data of the level-5 category, we need to find the "level-6 category" where this product belongs, which requires the custom category. First, find the product’s main keywords through SellerSprite - Reverse ASIN.




In general, the precise keywords of the product can be found in the top 5 keywords. If you are not sure, you can hover the mouse over the keyword and the system will automatically show the BSR products under the keyword.

The precise keywords: double chin, face slimming strap, slimming strap, chin strap for double chin.
The traffic keywords: face mask.
Since July 2019, the search volume of precise keywords has been rising.

In order to establish a custom category, we need to find enough products. In SellerSprite - Competitor Lookup, choose the Level-5 category: Beauty & Personal Care > Skin Care > Face > Treatments & Masks > Masks, and enter the precise keyword “double chin”.
Roughly browse the product to see if it is similar to what we are looking for. We still select 100 products as the sample, choose “100 items/page” at the bottom of the page, and then check the button before “add to custom category” to add the whole page of products to the custom category.
If there are a few products that are not of the same type, you can choose to eliminate them. For example, although the product in the picture below is also a face slimming product, it is obviously not the same category as ours’, so you can choose to remove it.




Then we can get the market report of the "level-6 category". Enter the custom category page to view all the saved subcategory data.




   · The average reviews for this sub-category are 151, and barriers are not high;
   · Most products are fulfilled by Amazon;
   · The average price is around $15, so you need to consider that $15 is a point when purchasing;
   · New products account for 18%, and there is room for new products to enter;
   · The average rating of 3.9 indicates that there is still room for improvement;
   · The concentration metric is not high, and there is no monopoly.
   · To sum up, the product has room for improvement and new products are still available. FBA is recommended for logistics.

4) Competitor Lookup
According to the BSR of this category (Mask) on Amazon, we found that there were three competing products in this level-5 category. Use these three competing products as our reference to monitor the sales and keywords, which can be used to optimize Listing and estimate sales.




To find the improved method, we need to check the negative reviews of this kind of products, which are mainly 1-2 stars. The buyer's complaint is our breakthrough.
According to the negative reviews, ear discomfort is the biggest pain point while wearing it, and the small size of the mask and facial allergy are also major problems. Therefore, it is necessary to pay special attention to such problems when selecting sources.