Profitable Products

byesien

86 followers

4 years ago

Find Profitable Products

The internet has brought us to a new age wherein the world has seen transfer of information and skills at a rate never seen before. It has opened a new door to a lot of opportunities in the fields of Education, Business and Commerce, and Health to name a few. The internet, together with different social media platforms, has reduced social distance and gap. In effect, producers and consumers have been closer to one another –advertising has been easier. This ease in advertising opens a door for anyone to start their own business without getting to worry about how to advertise themselves and get their products noticed. Hence, many take their chance to start their business venture. However, there is still one common question for those about to start their business, “What product to sell?” or “How to find profitable products?”

If you are still in the stage of planning your new business and contemplating what product to sell, you may want to consider the salability of the product. You have to ask yourself how strong the demand for the product is. My father used to say that you can never go wrong with food-related business because no matter what happens, there will be no shortage of demand for food. The only challenge to this is you have to make it sure that you have an immediate market because food expire or lose their quality in extended period. Of course, non-food items are also profitable, it is just a question of where and when you are going to set-up your business or what your target market is. Example, opening a book and school supplies store in a university area is a good idea since there is a constant demand from students and faculties. You can also set-up your online bookshop and advertise yourself in social media groups.

Next to consider as you find profitable products is profit margin and price point. If you are able to source a ball pen at $0.20 and sell it at $1.00, that is a good profit margin. However, you need to sell a lot of ball pens for you to generate a good income. Now compare that to a laptop sourced at $250 and retailed at $350 --good profit margin, right? But how salable it is? As you can see, the cheaper the product, the more you struggle in generating income. But the more expensive it is, the more challenging it is to sell.

One factor that is often overlooked by new entrepreneurs as they find profitable products is the size and weight of the item they are to sell. Remember that products you sell need to be transported; the bulkier and heavier they are, the more they cost in logistics part of your business. Hence, logistics might take of few bucks from what you could have made as profit. Of course, this is normal part of business; it is just prudent to consider this so that you can look for alternative suppliers to source your goods.

After all these things are considered, looking for profitable products would boil down to competition. No matter how in demand a product is, if there is already a strong market competition, you will have a hard time making profit. Basically, what is happening is that you are just chewing away a small part of the pie in market shares. This is where innovation comes in. If there is a strong competition, you can reinvent a product to gain advantage over your competitors.