Best Amazon Product Research Software for Online Sellers

In 2023, U.S.-based sellers sold more than 4.5 billion items, averaging over 8,600 items per minute.Global trends suggest that the "Home and Kitchen" category is gaining popularity, with 35% of small and medium-sized business sellers listing items in this category. One of the most crucial factors in achieving success as an Amazon seller is conducting effective product research. Choosing the right products to sell can determine the profitability of your Amazon business in any country. The process of researching products manually can be overwhelming, even for new sellers. This is where Amazon product research software tools come into play. These tools provide data-driven insights that can help sellers make informed decisions, discover profitable products, find sourcing data and help stay ahead of the competition.

In this comprehensive listing, we will explore why product research is essential for any Amazon sellers, the key features to look for in a good product research software, and how these tools can transform your Amazon business while getting started. Also, we will recommend some of the top Amazon product research software tools.

Why Product Research is Important for Amazon Sellers?

Effective product research is the foundation of any Amazon seller centric business. The KPIs of product research is to find products that have a good profit margin, low competition, large demand, and comparatively low returns. Also, the product shouldn’t be seasonal and shall deliver round the year sales. This can ensure a swift inventory and minimum wastage on marketing spends. There are several factors that make product research essential for Amazon sellers:

• Identifying Profitable Products: Ensuring a product reaches profitability after all associated fees in the Amazon marketplace is a complex task to accomplish. This is one of the most obvious reasons that you should do an in-depth product analysis to find high demand, low competition products with good profit margins. 
• Competitive Analysis: Understanding the competition is key to determining whether a product is worth pursuing. A thorough product research process can help you gauge how many other sellers are selling similar products, their pricing strategies, and how saturated the market is. This allows you to assess if you can enter the market profitably and differentiate your offering.
• Market Trends and Seasonality: Trends in consumer demand change frequently. Some products may be in high demand during specific seasons, while others may have sustained interest throughout the year. Product research helps you identify products that are aligned with current market trends, enabling you to make smarter buying and selling decisions.
• Risk Reduction: Sellers who skip product research often end up with products that don’t sell well. Conducting research allows you to minimize the risks of investing in products that won’t perform as expected. By analyzing data on sales velocity, customer feedback, and market saturation, you can avoid costly mistakes.

Key Features to Look for in Amazon Product Research Software

When selecting a product research software tool, it's essential to evaluate the features that will provide the most value to your business. The following are critical features to look for in an Amazon product research tool:

• Product Database and Search Filters: Having a robust product database with search filters is the backbone of any product research tool. You should be able to search for products based on a variety of filters such as sales volume, price range, product category, profit margins, number of reviews, and sales velocity. Advanced search filters allow you to narrow down your options and find the most profitable products that align with your business goals.
• Sales and Performance Analytics: Analyzing a product's sales history and performance over time is crucial for assessing its potential. An Amazon product research tool should provide sales data, including the number of units sold, revenue generated, and average selling price. 
• Profitability Calculators: Profitability calculators are essential tools for estimating the profitability of a product before you invest in it. These calculators factor in all the costs associated with selling a product on Amazon, including the product cost, Amazon fees, shipping costs, and advertising expenses. This lets you calculate the profit margins, thus letting you decide if the product is worth pursuing.
• Customer Reviews and Sentiment Analysis: Customer reviews are one of the most powerful sources of feedback on Amazon. Product research tools that offer sentiment analysis can help you evaluate customer feedback to understand what buyers like or dislike about a product. By examining reviews and ratings, you can identify potential improvements or tweaks to your product to make it more appealing to customers.
• Trend Tracking: Tracking emerging consumer needs and behavior in the long term can provide insights on market gaps. Product research software tools that offer trend tracking capabilities can help you identify niche products that are gaining momentum. These insights allow you to stay ahead of the market and seize opportunities as they arise.
• Supplier and Sourcing Information: A good amazon product research tool should provide supplier and sourcing information. By identifying reputable suppliers with competitive pricing and good track records, sellers can minimise the risk of sourcing low-quality products and ensure a smooth supply chain.