How to Find a Profitable Product

for Online Selling?

What to sell on online market place: – This is one of the most imperative factors in creating a
successful e-Commerce business to know for a seller and the person who has desire to sell their
products on ecommerce platform, because analyzing the ideal products to sell is the most
important step in creating a profitable and growing business.
But you don’t worry, ecommerce guru is here to make this process easier with some innovative
ideas & suggestion which will help you to choose right product to sell online by few simple
steps.

1. Select the Items that are not Gated & Don’t need Category Approval
For selling the items there is a process to categorize the products before listing on market
place, where sellers need to take category approval from the panels, but you can also establish
your business on the panels by taking the products which is not gated & do not require
category approval on most of the panels.

Below are Some Examples:-

 Mobile Accessories: screen guards, back covers, headphones, data cable, charges, etc.
 Disposables
 Ladies Footwear
 Kids Toys
 Fashion Jewelry
 Stationary
 Goggles
 Wallets
 Belts
 Watches
 Daily Use: foil paper, napkins, hanky, socks, mufflers, caps, hats

2. Basic Taxation Concept

Before organizing your business you should be more aware of the taxes which you will pay for
selling product online, with the correct tax information you can compare the low and high tax
products as well.

GST (Goods and Service Tax) Percentage Rate & HSN Code
GST -Whether you’re someone who wants to sell your items online, there are a few artefact
that you need to figure out before your next step. You should be aware of the different kinds of
taxes which apply in online sales, and ensure that you do not get into trouble because you
didn’t know regarding tax which you’re going to pay.

Below are some tax rate examples or you can click on the below link to know more
information:
https://cleartax.in/s/gst-rates

Tax
Rates Products Dairy Product & Vegetables
0% Phool Bhari Jhadoo Milk

0% Books Eggs

0% Unbranded Maida Curd

0% Unbranded Atta Lassi

0% Children’s Drawing & Colouring Books Unpacked Paneer

0% Palmyra Jaggery Besan

0% Salt

0% Fresh Vegetables

5% Coal Spices

5% Fabric Cashew Nuts

5% Footwear (< Rs.500) Tea

5% Apparels (< Rs.1000) Sugar

5% Coir Mats, Matting & Floor Covering Roasted Coffee Beans

5% Agarbatti Mishti/Mithai (Indian Sweets)

HSN – “Harmonized System of Nomenclature” this is a multifunction global product

nomenclature expanded by the (WCO) World Customs Organization. It first came into action in
1988.
The primary concept of HSN is to classify goods from all over the World in a systematic and
logical manner.
 What are the tax rates for different product categories?
Here is the complete guide to understand the tax rate in brief, Click on below link:

http://www.cbic.gov.in/resources//htdocs-cbec/gst/goods-rates-booklet-03July2017.pdf

You can also click on attached below link to find current and exact GST rate with HSN

https://www.indiafilings.com/find-gst-rate#stq=footwear&stp=1

3. Referral Fee of Online Market Place

Referral fee is the charges which is included each time when you sell a product on the market
place or it’s a fee amount which is charged by the panels, basically it is a percentage of the total
sales price. The percentage varies based on the product category.

You can also get the referral fee information and understanding of the exact fee which require
for any of the product category before selling on line.

As Amazon have the panel to seek the information of the referral fee by its amazon service
page. Click here – AMAZON SERVICES

4. Trending Ecommerce Niche Product

If you already planned that what to sell on panels (Amazon, Flipkart, Shopclues, Paytm,
Snapdeal and more), then start searching how equitable your idea is already performing on the
market places. Or if you are not sure about selling product, then you can look at new trends to
help inspire your decision. Keeping your eye on the marketplace which helps you to recognize
the various needs of your product for listing on account.
Here are some resources to begin your research:
 Product directories
 Other stores
 Newspapers & magazines
Product Advised:-
 Natural beauty products
 Portable LED projectors
 Bags
 Phone accessories
 Men’s Watches
 Shoes
 Kid’s Trending Products
5. Competitive Products and Landscape
There will be similar products on other websites, this means that you need to have a firm
understanding of your competition, that way you can stand in between the crowd, by making
your product price more competitive and categorize your competitors, for this you need to visit
the market places/websites.

Target audience: –
Once you have selected reasonable product to sell online, then you need to consider that who
you’re selling to, also known as target audience. Having an understanding of your customer
needs and requirement can help you to form the price decisions, for this you can plan your
marketing strategies and establish your brand and try to figure out the following information
about your audience:

 Price sensitivity
 Basic demographics
 Customer motivation
 Daily Used Product
This will help to increase your business value and revenue eventually.