1: In the operation process of e-commerce companies, daily product selection requires a lot of time and energy. Even though they are exploring opportunities for hot products every day, most teams often encounter product selection failures. Failure in product selection is a normal thing for e-commerce merchants. As long as we sort out the reasons for failure and sum up experience, it will be more meaningful to operate the store. Today I would like to share with you some product selection experience gained from operating a store.
2 Prioritize small-volume products
This suggestion is for sellers who have just started to operate a store. In order to shorten the replenishment cycle, reduce inventory pressure, and improve the capital turnover rate in the early stage, When selecting products, you should try to avoid products that are too large and give priority to products that are light and small. Then on this basis, choosing air transportation can shorten the delivery cycle and ensure sufficient profit margins.
3: Don’t forget the hidden costs when calculating profit margins
When you see that a certain product is selling well, and you happen to know its gross profit, you think that you can lower the unit price and use the price advantage to make a considerable profit. But in fact, your opponent's products have a minimum volume, so he is bound to get a lower cost. If a price war starts, your opponent has a better chance of winning. In addition, most consumers are safetyists. The lower the price of a product without reviews, the less willing they are to take risks and would rather spend a little more for peace of mind.
Therefore, when considering a price war, it is better to consider investing in promotion, buying reviews, and ensuring after-sales service. This is also a considerable hidden cost.
4: Subjective product selection, self-limitation
Avoid preconceptions when selecting products. Be sure to analyze the market demand and consumption habits of the target country from multiple dimensions, such as consumer age distribution, customary preferences, Chinese and foreign aesthetic differences, etc. Everything speaks for itself with data. You can use some product selection analysis tools, such as querying the search volume of keywords on "Google Trends", conducting online research on industry trends such as product, season and category development, and conducting product research and market analysis.
5 product appearance product function
is also for novice sellers: in the early stage, do not consider products with overly complex functions and make them as simple as possible. We know that more functions mean more selling points and increased competitiveness. However, at the same time, such a product will increase a certain degree of after-sales risk. An abnormality in one of the functions may cause buyers to initiate returns or exchanges and complain about negative reviews. New stores are particularly sensitive to data such as return rates and praise rates. In order to reduce operational burdens, they must choose products that are less prone to errors.
As for how to differentiate their products, novice sellers can start with the appearance of the product, such as expanding their ideas on color, matching, and customized logos.
7: review highlights of similar products
Before selecting a product, everyone knows that you should go to the platform to analyze reviews of similar products, which can help you position your product more clearly.
Good reviews: You can find the core selling points of the product and identify which one is the most important to impress the seller;
Bad reviews: You can avoid the most common problems of the product and comprehensively analyze whether the product has greater risks.
8 Choose carefully Products with lower selling prices
Although products with lower selling prices will be more competitive, they also have higher requirements for cost control. For example, products selling for less than 10 yuan, excluding purchase price, promotion and after-sales costs, etc. After that, there may be little profit margin left. At this time, if the product is slightly improperly operated, it will be difficult to guarantee profits. Therefore, the price range of the selected products can be controlled between 15 and 40 US dollars. The competition is relatively small, and it is easier to find the best-selling products that maximize profits.
9 Do not blindly follow the trend and select the best-selling products.
The approach of following the trend and following the trend is very unreliable.
First, although the market for some best-selling products is good, it has been dominated by a few big sellers. They divide the entire market among themselves and dominate the screen to occupy important positions. Even if new sellers enter, it will be difficult to survive.
Secondly, the best-selling products that stand out in the limelight often do not have long-term demand. In the future, there may be excessive inventory backlog due to unsalable products, which will put pressure on capital turnover.
Third, before considering selecting products, you should first check whether they have trademark and property rights protection. Otherwise, blindly following the trend will easily lead to complaints of infringement, which may seriously lead to the closure of accounts and stores.
In an era where products are king, product selection tests the patience and vision of sellers. Product selection is a long-term task. Only by paying more attention to the information you come into contact with daily and maintaining effective communication with the industry can you continue to accumulate progress.
