Why people gets failure on Amazon FBA Business | Saqib Azhar

I came across one question in this group that "why people gets failure on Amazon FBA Business" so writing thoughts for everyone!

There could be many reasons for failure but in my point of view these are main key reasons which someone end up loosing into this business.

Wrong Product selection - This is the NUMBER 1 reason people fail at FBA. They rush the first part of doing product research and pick the first product that looks OK. Then when they actually try to launch the product they realize the product is not that great after all. They will figure out there is either too much competition, or barely any demand for example. Or even worse: They did not check if the product was seasonal, and that cool inflatable toy they researched in July is not doing as much in sales as in October!

Wrong Expectation: Many people think FBA is a great way to get extremely rich overnight and work 1 hour a day from your home. Of course, this is not the reality. Amazon FBA is a real business, that requires a lot of hard work and dedication. Therefore you should treat it as a real business. In business, everybody will make mistakes. It’s up to you how you handle these mistakes and learn from them

Low-quality product: Always, ALWAYS! Have your production inspected while it is still in the factory in China! As soon as your products leave the factory they are yours and your Chinese supplier will not take them back. Therefore it is essential you find any defects before you pay the 70% balance

No diversification - You probably heard this one before: “Don’t put all your eggs in one basket”. If you have 1 successful product on Amazon; Make sure you expand ASAP and have 5 successful products running! In case one of them drops for whatever reason, you will still have 4 profitable products to rely on

Falling for the hype - How many FBA sellers do you think there are around, that have a huge amount of fidget spinners left over? Don’t fall for the hype! Your goal is to create a long-term sustainable business. if you manage to spot a hype exactly at the beginning you can make a serious amount of profit. But since most of people in Pakistan are beginners here; there is a good chance you will launch your hype product right at the peak, when it’s already fully saturated.

System is not wrong – it’s people who make wrong decision / wrong choice and less profit margin product which could turn them to continue to burn!

If you go and listen to everyone’s advice out there, you end up with analysis paralysis

That’s because more mentors, more experts, and more content doesn’t mean more action.

Especially if they contradict each other.

You can also end up with a to - do list a mile long and get overwhelmed by “too much stuff to do”

Choose Wisely and Think Wisely.

Saqib Azhar
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