TAS 015 What Is Too Much Competition When Choosing Your Amazon Private Label Product?

In this Episode of The Amazing Seller Podcast I'm going to answer a couple questions I received from listeners about product selection and competition.

I'm going to give you my opinion and how I would approach this in my own business. I personally don't want to always have to heavily promote my product. I would rather go after products that may have less daily sales, but easier to rank and market moving forward.

My plan would be to go after a more competitive product after I have built my brand and have a higher seller feedback rating. This will also allow me to cross promote using my other products using my BRAND. This is why I only want to release products that support each other. It's so much easier to sell to your existing customers than always having to find new ones.

Key Points Discussed:

1. Find one product I can easily promote using My Launch Strategy

2. Find more products that I can sell to same customer (My Finding Products Method)

Quick Competition Check List

  • – Best Seller Ranking between 500 to 5,000 top 10 listings
  • – Track Sales per day per ASIN (AMZ Shark or FREE Method Shared on Podcast)
  • – Check BSR and Price History (CamelCamelCamel.com)
  • – Number of Reviews (500 or Less for top 10 listings)

If I find a product that is close to my metrics I look at how I can make the product more valuable or better quality. I would look through my competitors 1, 2 and 3 star reviews. See what people are complaining about and fixing it or adding it to my product.

  • 1. Add an Accessory
  • 2. Bundling more than 1 item
  • 3. Better Quality – Material – Features
  • 4. Better Listing (Headline – Images – Bullets – Description)

Links Shared:

Join the discussion

  • Scott,
    Thanks for such a wonderful free podcasts. I adds a lot of value to beginner like us. I have following questions.
    1. What are the steps to follow to find out whether there is a market for 10 sales a day for that product.
    2. What are the steps to find unique products so it is hard to be copied because most of the products can be copied these days by just putting different label on it.

  • Hey Scott! Quick question — why do you say things like “… so I know if I can get to BSR 3000 I can hit 10 sales a day ..”?

    Isn’t the BSR determined by how many units you’re selling and not the other way around? Did I mishear / misunderstand what you were saying in the episode?

    • Hey Mike, sales determine BSR, once you’ve been in a market or you use a tool like jungle scout you will start to get a feel for what benchmarks hit different bsr’s so I know if a product im selling at 10 sales a day has a bsr of 4000, something with 3000 is going to be selling more.

  • Hey Scott,
    love the podcasts, great information for free.
    I am doing market research at the moment on a product category that I would like to start my own private label FBA business within.

    Now I see that there is a huge competition, which means there is a huge market. However, I feel that with the great connections to the local producers in the country that I reside in and some additional marketing ideas that I have it would be possible to penetrate the market and get a share of it.

    I also have a charity idea behind because I want to give back to the local producers.

    Do you offer any mentoring? I would look for someone who might be able to offer advice 1-2 times a month.


    • Hey Christian, I don’t do any one on one consulting, but any of the members inside the private label classroom have some access to me via our monthly hangouts and our private facebook group.

  • Hey Scott, I got a question. When you mention the 10x10x1 strategy, do you count the fba fees? I mean, if I invest 5$ per product (it includes shipping), should I sell it on 15$ or 15+fees so I have a 10$ only in earnings? Thank you!

  • Hi Scott,
    Thanks so much for your advice! I am looking to compete on the baby category. The main competitor is the number one as it looks it really captures all the sales. Nonetheless their reviews are not good (53% are 5 stars, 9% is 2 stars, 7% one star and so on. I can really change the product and make it better.
    Here are the numbers for the competitors
    reviews 1350 BSR 255
    reviews 420 BSR 1856
    reviews 75 BSR 2345
    reviews 5 BSR 3321
    reviews 87 BSR 3385
    reviews 242 BSR 3633
    reviews 59 BSR 5261
    reviews 68 BSR 6665
    reviews 124 BSR 6858
    reviews 94 BSR 11291


    • Hey Maria, Im no expert in that category but with what i’ve seen from a quick look it looks like the demand might not be there to get you to 10 sales a day, since most of those listings are doing less than that. If your goal is lower than that, i’d say it’s worth looking a little more deeply into.

        • Scott,
          Just two more questions. How do you know how much they are selling with those BSR? I thought between 2000-5000 we were talking about at least 20 per day..

          Another issue I have noticed is that the BSR changes a lot close to the weekend and the BSR today for the same products have changed to this ones. Does this really impact the amount of items sold too much?
          Reviews 1309 BSR 155
          Reviews 431 BSR 964
          Reviews 75 BSR 2391
          Reviews 5 BSR 3754
          Reviews 59 BSR 4243
          Reviews 242 BSR 4310
          Reviews 87 BSR 5094
          Reviews 68 BSR 6032
          Reviews 124 BSR 7640
          Reviews 94 BSR 7992
          Many thanks!

          • Hey Maria, you would want to use something like junglescout. If you don’t have the plugin (you should!) you can drop the BSR into junglescout.com/estimator and take a look that way.

  • Hello Scott,

    your information is very clear. Thanks a lot.

    One question:
    How would you evaluate competition in a niche where there is a mix or domination of “top brands” and “private labeled products”. For example the products listed for “radio controlled watch”:

    The listing is dominated by big brands like “Casio” and “Citizen”. In between the top branded products there are some private labeled watches.

    Would you advise against entering a niche where the “big brands” are?

    Best regards

    • I wouldn’t avoid it just because there are big brands, I wouldn’t count on taking as many sales from them as you might from smaller brands or PL sellers. If the demand is there absent the Large brands, it’s still worth looking at!

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