The first step is to determine your own operating model for Amazon!

If you are going to do Amazon, first learn about Amazon's operating model.

In fact, there should be more than 10 mature Amazon practices and operating models, and the more mature ones that are most common among overseas sellers are the following:

1. Retail Arbitrage offline arbitrage. To put it bluntly, it means buying low-priced products in offline shopping malls and then selling them on Amazon at a high price.

For example, in shopping malls in the United States, almost every shopping mall has a discount area, and you can see very obvious signs after entering. Even supermarkets or shopping malls of the same brand have different discount products and promotional strengths in different branches. This creates a lot of space for sellers doing Amazon.

2. Online arbitrage. The principle is the same as the Retail Arbitrage model, but instead of shopping offline, you order products through the supermarket's website.

This model breaks the geographical restrictions. No matter where you are in the world, as long as you can access the Internet, you can buy discounted products on supermarket websites and then sell them on Amazon. In this way, even if you are in China, you can completely operate through the online arbitrage model, just like sellers in the United States.

3. Wholesale, that is, wholesale products from manufacturers or distributors, and then sell them on Amazon. This model is a daily business, looking for manufacturers, negotiating, wholesale products, transportation, and sales. After negotiating with a manufacturer or distributor, you have solved the problem of supply. Basically, you don’t have to run back and forth to find products. If there is no stock, you can directly replenish it. It is very stable.

4. Liquidation/outlet. Do tail goods and tail orders. This way of playing is really, really, really profitable. It’s just that it’s more troublesome to operate in China. Although the products are very cheap, clearance products may be damaged and the packaging is incomplete, so they need to be checked before selling. It is more convenient if you are in the United States. If you are not in the United States, find a more reliable third party to receive and inspect the goods.

5. Private Label. This is what China often calls the boutique route. To put it bluntly, it is to select some products and make your own brand and trademark. I won’t say much about this. There are many great sellers in China. However, it is difficult for novices to get started because they need good product selection and operation experience, as well as a large amount of capital investment. It is probably difficult to get started without 200,000.

6. Dropshipping. It is similar to what China calls distribution, but it is completely different from the so-called distribution without source. Dropping means contacting brands, manufacturers or wholesalers, and they give you authorization. You can wait for their products. Once they are sold, tell the manufacturer or wholesaler, and then they will ship them to customers.

If you are going to do Amazon, you must at least know these operating models, their respective advantages and disadvantages, and then determine which one is suitable for you, and then study in depth.