Stop selling products with a low average order value of 9.9. Products with a high average order value are the future trend!

Stop selling products with a low average order value of 9.9. Products with a high average order value are the future trend!

Why do we need to make high-priced products?

Disadvantages of low-priced products

1. There is too much competition for products with low average order value. Temu and SHEIN continue to attack Amazon with extremely low prices and high-profile marketing. The continuous impact has reduced Amazon's traffic a lot.

2. You can’t stop losing money. It may take a year without seeing any return in the long run.

3. There must be no shortage of goods in the middle, and the requirements for operations and goods are pushed to the extreme (giant factories earn export tax rebates through trade, but traders have no chance at all)

4. Too low profits and unhealthy financial logic can easily crush a company.

5. After working hard for half a year to launch the product, within 3 months, a bunch of similar products appeared on the market with lower prices, resulting in inventory backlogs. The product had to be reduced in price and finally sold out at a loss, and then the search for the next product began.

Benefits of high-priced products

High-priced products are generally considered to be products with a price of more than 40 US dollars, and ultra-high-priced products are products with a price of more than 100 US dollars. Objectively speaking, high-priced products can screen out a group of people from a financial perspective.
1. The profit per order is higher (don’t expect hundreds of orders a day, one or two orders a day is acceptable)
2. One order is worth tens of dollars, the quantity is small, the stocking pressure is small, and the risk of inventory backlog is smaller
3. Built-in threshold to block opponents from entering
4. There is less competition, the CPC of ads is lower, the weight increases with time, and the position becomes more stable
5. Suitable for part-time sellers (you don’t need to stock a lot of inventory or pay close attention to the product situation every day, and you can generate high profits and returns every day without taking up a lot of your time and energy)
Products with high customer price have low natural position and conversion rate. Although high customer price may not have good sales, it is profitable. Only by finding products that have not been explored in the market can we better control profits. However, this will test our sellers' product development and product selection capabilities.
With a 5% conversion rate and a CPC of more than 2 yuan, there should be at least 20 US dollars in profit. A profit of 20 US dollars is enough to screen out many products. The selling price should be at least 40 US dollars. The way to explore the middle and high customer unit price is to look at this category and see where the bottom line of the middle and high customer unit price is. If the cost of acquiring an order on the advertising side is more than 2 times the profit, don't play it, spend the money elsewhere.

Therefore, in the future, sellers can develop products with high customer unit prices! Especially non-standard products with high customer unit prices. This is a huge profit position.


How to choose products with high average order value? Focus on 8 factors

<<:  How to improve the success rate of product selection in Amazon's blue ocean market?

>>:  20 Reasons Why Amazon Sales Suddenly Dropped

Recommend

What are firmabs? firmabs review

firmabs is a professional fitness apparel and acce...

Crazy price increase! The three major express delivery companies are out of stock, the price of air delivery may exceed 70, the price of air and sea freight continues to rise, and it is difficult to get a container!

At the beginning of 2021, the Suez Canal was block...

Amazon off-site promotion questions collection

The premise of our promotion is that the listing i...

Basic steps and methods to create high-end listing details page

Dear friends, do you want to create attractive li...

The search volume increased by 93%, and this type of product is bound to be a hot seller!

With the development of society, environmental pr...

What is Hansmann Group (HQTS)? Hansmann Group (HQTS) Review

Fuzhou Hansman Product Quality Technical Service C...

What is ezbuy? ezbuy Review

ezbuy is a full-category shopping platform for the...

What is Malaysia CIDB Building Product Certification? Malaysia CIDB Building Product Certification Review

CIDB is the regulatory body in charge of the const...

How to choose a popular product on Amazon to make a quick buck

We know that Amazon has provided a huge amount of ...

Two fates? LightInTheBox continues to grow rapidly, while Xinghui Precision is fined nearly 40 million!

The cross-border e-commerce circle is like a pyram...

What is InflueNex? InflueNex Review

InflueNex is a powerful tool for influencer market...

What is Top-Brand? Top-Brand Review

"Top-Brand" refers to a label that appea...

Thanksgiving Day is the most expensive day! What do American online shoppers like to buy in November?

It is learned that recently, according to a survey...

In 2022, the rates of major express delivery companies in North America will increase across the board!

Shopify reported that prices for goods and service...

Is Amazon's agency operation reliable?

I can only say that maybe 90% of them are not ver...