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Analyzing whether a product category is worth entering

Analyzing whether a product category is worth entering


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Today, this article will tell you the most important thing you need to know about choosing products. This will help you get rid of this problem right away, avoid doing work that isn’t useful and avoid spending a lot of time on a product that isn’t worth doing. It’s a very big deal.

When we want to move into a new product category, the first thing we do is figure out if the products in that category are in a stable, rising, or falling period. If you choose a category of products that is losing popularity and, without realizing it, place a big order without thinking, you will have to wait for a lot of slow-moving stock once it is put on the shelves.

As an example of product, let’s look at the “foyer coat rack.”

At the front desk, look for the keyword “hall tree” in all departments. In just 22 years, the number of monthly searches has dropped from more than 60,000 in 1997 to more than 20,000. See here, We need to be vigilant.

We added this item to the BSR list. By looking at the monthly sales of the top 100, 50, and 10 products, we can see that, with the exception of two ASIN products that sell thousands each month, the other eight products don’t do well. There are only a few hundred, and the top 10 sell around 3000 copies each month. From the monthly sales of the top 10, we can see that the market for this product is very small, but the average price is not low. It costs about $90. For such a product, which has a large volume (which means high shipping costs), a small market, and high procurement costs (which take up money and pay back slowly), you can imagine what’s in store for you if you’re not sure you can take first place and become the BEST SELLER.

We can check both the monthly sales of BSR and the Amazon searches for this keyword as part of the background brand analysis.

The screenshot below shows that this word has a search ranking of more than 10,000, which is the same as what the BSR list says about monthly sales. This is also a good way to check and judge the product’s size and capacity. Basically, if a keyword in a large category has a search ranking of more than 10,000, it means that this category isn’t very big.

Some students may wonder if we shouldn’t think about this product as long as the search results are going down. It is not a good idea to get back into this category, even if you are very optimistic. Instead, you should be patient and wait to see the trend before making plans.

Even though it sometimes goes down in a single month, as a whole it is pretty stable and shows an upward trend in most months of the year, especially the most recent data. It’s pretty close to its peak, so this category can be taken into account, but that’s only one of its points. This category also means that there’s a lot of competition. Whether or not you can push it up depends on the quality, style, and style of your product. Your level of operation has gone up.

So, sellers and friends, if there is a lot of competition and the market is bad, you should be careful before entering a new category. Keep your eyes open, do research on the market and a deep analysis of the product, and don’t just jump in. In the end, to sum up today,

We mostly talked about how to figure out if a category can get in based on two things:

  1. During the falling period, think carefully about whether the product’s trend is going up, down, or staying the same.
  2. How big the market is for the product

You shouldn’t make products that are too small unless you are sure you can fit the top 1.2 competing products into them. Don’t do what you say just because you want to do it so badly. Even if you have more money, you won’t be able to burn it.

How Fulfillmen Can Help You

If you’re looking for ways to enhance your e-commerce solutions, we can help you here at Fulfillmen.

Fulfillmen is the best Chinese fulfillment center. We help e-commerce entrepreneurs from China and all around the world.

We work with e-commerce solutions, logistics, dropshipping, product sourcing, and many more. Just reach us out and we’ll help you with your needs! You can reach us out here.

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