Business Model of Buying from AliExpress and Selling on Amazon
In today’s digital era, doing online business is not only easy but also very profitable. Especially when you buy from AliExpress sell on Amazon a model that is providing financial freedom to thousands of people around the world. This model is also called the recycling or e-commerce orbit. In this, a person buys products at cheap prices and sells them at high prices on another online platform and keeps his profit from it.
This model is very important for those people who want to start their business with low capital because there are many such items on platforms like Alibaba that are available at very low prices, while on the other hand, Amazon is the world’s largest online marketplace where you can sell these products at a good margin. The biggest advantage of this model is that you do not need a large inventory or warehouse for this, and you can order from AliExpress.
You can also send the goods directly to your customers if you want to do drop shipping, or you can also buy from AliExpress sell on Amazon through Amazon’s FBA fulfillment system by ordering the goods first. This method seems very simple to look at, but to succeed in this, it will be very important for you to understand some basic things, otherwise, you will waste your time and money.
- Choosing the right product
- Finding a reliable supplier
- Mercer listing on Amazon
- The importance of customer service and reviews
If you want to succeed in this model, you have to understand these points well and start your business with a strategy.
What is AliExpress
AliExpress is an online shopping platform owned by the Chinese company Alibaba Group. This platform was primarily designed for retail customers, where they can buy products at low prices, even if they only buy a single item. Millions of people shop on AliExpress every day, especially those who buy from AliExpress sell on Amazon to profit by reselling cheap goods. On AliExpress, you can find all kinds of items such as electronics, fashion, and home decor, beauty products, jewelry, etc.
Features of Alibaba
Cheap prices: The biggest advantage of AliExpress is that you can see products at very low prices, often even lower than in the local market, which is why a large number of people shop on AliExpress.
Free shipping: On AliExpress, you are also given free shipping on many products, especially for those who order their products in countries outside China.
Global Range: AliExpress provides delivery facilities in almost every country in the world, which increases its global range.
Buyer Protection: If you order something from AliExpress and your order does not arrive on time or does not turn out as you ordered, then AliExpress will refund you the full amount.
Suppliers and Sales: There are thousands of suppliers and sellers of products on AliExpress. The review rating and service quality of each seller are different, so whenever you buy from AliExpress sell on Amazon, you have to look at the seller’s profile, their reviews, and their product details carefully so that you can avoid any losses.
Shipping Methods: AliExpress provides its buyers with different types of shipping options such as China Post ePacket, AliExpress Standard Shipping, DHL, and the shipping time can usually be from two to four weeks, but you can also order your product quickly through fast shipping.
How to Sell on Amazon
If you want to buy from AliExpress sell on Amazon, then you must first understand how to sell on Amazon. Selling products on Amazon is easy, but to achieve success, you have to understand a few steps and principles well.
Amazon Seller Account: If you want to sell any product on Amazon, you will first need a seller account, so you have to go to the Amazon Seller Center and create an account. There are two types of accounts. If you want to sell products on a small scale, you will choose an individual account, or if you want to do a large-scale and permanent business, you will choose a professional account. You have to pay a monthly fee to Amazon for a professional account, but the commission per product is less, so it is more beneficial.
Providing business information and documents: When you create an Amazon account, Amazon asks you for some information such as your ID card or passport, Bank account details, credit card, business address, or phone number.
Create a product listing: Once you have an Amazon Seller Central account, you will need to list your product on Amazon. Product title Description Keywords Image Price and shipping options A good listing is the foundation of your success. You should try to use the words that people search for in the product title.
FBA and FBM: If you buy from AliExpress sell on Amazon, you have two main fulfillment options. If you send your products to Amazon’s warehouse, Amazon will do everything else. This service is called FBA. In addition, if you buy goods from a seller and order them from them, they pack them themselves and ship the product to the customer. This service is called FBM. FBA is easy for new sellers, but you also have to pay some additional fees.
Which products are profitable to buy from AliExpress
If you plan to buy from AliExpress sell on Amazon, the most important question in your mind is which products to buy that will give you good profit because choosing the wrong product wastes your capital and time and effort, while choosing the right product can also give you thousands of profit.
Principles of choosing profitable products
Have a low price but sell expensively on Amazon: To sell on Amazon, you have to find such items on AliExpress that cost 2 to 5 dollars, and those products are being sold on Amazon for $15 or more. If you are successful in finding such a product, then this will be the first step to your success.
Light and small products: In this model, the cost of shipping is very important because if the cost of shipping is high, it has a direct impact on your profit, so you always have to choose small and light products to save on shipping fees.
Less Competition: If a product already has thousands of views on its list, it will be very difficult for new sellers to succeed, so you have to choose a product that has very few sellers.
Solution-providing products: You have to sell items that solve everyday problems, such as kitchen tools, mobile accessories, or fitness gadgets. These are products that provide solutions and take the hassle out of them.
Low brand value products: You have to choose products that are non-branded so that you can easily find and sell similar products on AliExpress.
Profitable products
- Phone covers and chargers
- Kitchen and garden tools
- Health and fitness
- Accessories
- Beauty products
- Pet supplies
Use product research tools: To successfully buy from AliExpress sell on Amazon, you can use tools like Jungle Scout or Helium 10. With their help, you can find profitable products. These tools will tell you which products are selling the most in the market and which products have less competition. Which products should you sell?
Strategies for Successful Selling
If you want to succeed in the buy from AliExpress sell on Amazon business, then the most important element is product research. If you have chosen the right product, then you have achieved half the success. Product research means that you have to find a product that has high demand in the market, low competition, and for which you can earn a lot of money.
Why is product research important? If you have chosen a product that has no demand in the market, then such a product will not sell, and you will lose money. On the contrary, if you have chosen a product that many people are already selling, then it will be very difficult for new sellers to make a place in it. In addition, if your product has a low profit margin, then your hard work can also be wasted.
The best research strategy
See hot-selling products on Amazon: The best seller list on Amazon is a great place where you can see which products people are buying the most. Are you buying, and which product is trending in the market.
Check the competition: If you are planning to sell a product that already has thousands of reviews, it shows that the competition is very tough. You have to choose a product that has fewer reviews but is in high demand.
Hypocritical margin: First of all, after deducting the cost of purchasing the product, Amazon fees, shipping charges, and other expenses, if you are making at least a 30-40 percent profit, then the product is good.
Use a research tool: There are many online tools in the market that help you in product research, for your buy from AliExpress sell on Amazon business, such as Jungle Scout, Helium 10 ,AMZ and Ali Express Dropshipping Center. With the help of these tools, you will find it easy to find out the sales volume, competition, and trend of the product.
How to Order Products from AliExpress
AliExpress is a huge online marketplace where thousands of suppliers sell cheap items. If you plan to buy from AliExpress sell on Amazon, you need to take a few precautions when placing an international order so that you can avoid any scams, damages, or delays.
Check the supplier’s rating: Whenever you see a product on AliExpress, the first thing you should do is check the seller’s rating and reviews. If the rating is above four and the reviews are positive, then he can be considered a reliable supplier. If his reviews are negative and people are complaining about the product, then it will not be beneficial to trust such a supplier.
Understand Buyer Protection: AliExpress provides good buyer protection. For example, if you do not receive the product or your product turns out to be defective, you can ask for a refund. You always have to keep track of the order on time. If the product is not delivered to you, open a dispute.
Don’t go for the low price: On AliExpress, you get to see very cheap products that are very cheap, but their quality can be just as bad. If you want to buy from AliExpress sell on Amazon successfully, so you should not only look at the price but also pay attention to good reviews, pictures, and descriptions so that you can avoid losses.
Evaluate shipping options: AliExpress provides different shipping methods such as AliExpress Standard Shipping, e-Packet, DHL, or FedEx. Usually, the shipping time on AliExpress can be from 10 to 30 days, so it is important to inform customers in advance.
Place a sample order: Whenever you contact a new product or a new seller on AliExpress, you should first order a single product to check its quality. This will make you satisfied, and you will be able to place your big order.
Adopt a secure payment method: When you pay on AliExpress, the money is kept safe through AliExpress until you confirm the product. If the order has been received, Ali does not release the money to the supplier.
Delivery Challenges and Solutions
Whenever you buy from AliExpress sell on Amazon, shipping and logistics become an important step, especially if your goods are shipped internationally or you use Amazon’s FBA program, it will be very important for you to understand the shipping challenges and their solutions.
Long delivery time: If you have ordered a product from AliExpress, AliExpress’s standard shipping can usually take 15 to 30 days. If the customer receives his goods late, he may also give a negative view.
Tracking issues: Some shipping methods do not have complete tracking, due to which the customer does not know the exact position of the order ,and becomes angry.
Customer and duty charges: Often, products are held at customs during international shipping and may also be subject to additional duties, which can be a problem for both buyers and sellers.
The risk of the package being damaged or lost: If the shipping service is poor, the package may be damaged or lost, especially when the packaging is not proper.
Solutions and precautions: When you buy from AliExpress sell on Amazon, Choosing the best shipping method, AliExpress Standard Shipping and ePacket are cheap If you are using FBA, send the product to the USA first through any repackaging company.
Choosing fast shipping: Although FedEx, DHL and UPS are expensive shipping companies, their delivery is are very short, and tracking is also complete.
Pay attention to packaging: You have to ask your supplier to pack the product safely so that any damage can be avoided during shipping.
Set a return policy: If the customer is not satisfied with the product after receiving it, it should have a return or refund policy.
How much to earn and how to determine
If you buy from AliExpress sell on Amazon and ship products to Amazon, then the profit in this business is not only on sales but also on setting the price strategically. You have to set a price by keeping all the costs in mind so that not only the buyer is satisfied but you also get a reasonable profit.
Keep the following factors in mind while setting the price
Product purchase cost: The price you are paying for the product from AliExpress is the basis.
Shipping duty charger: You have to include the fees, duties, and possible taxes in international shipping. These taxes are often ignored.
Amazon fees: Amazon charges you three types of fees: a referral fee, an FBA fee, a storage fee; all these fees can affect your bottom line.
Marketing costs: If you are running PPC ads on Amazon initially, you must also include its cost so that you can avoid losses later.
Profit Margin: As a general rule, you should aim for a 30 to 50 percent margin to sustain your business.
Look at the competition: You should look at what other sellers are selling the product for. If you are launching a new product, it is best to keep the price a little lower initially.
Conclusion
If you buy from AliExpress sell on Amazon, this is a modern and effective business model that starts with little capital, but for this you will need the right information, planning and constant perseverance. Within this model, you must master every step from the product section to shipping, reviews, pricing, customer service.
Success is not just about buying cheap products and selling them expensively, but also about market research, branding and winning the trust of the buyer. Whether you plan to sell beauty products on Amazon or any other category, If you work with intelligence, honesty and dedication, you can not only become a successful seller but also establish a complete brand. This journey is not so easy, but it is not impossible either. The only condition is that you are ready to learn, adapt and constantly improve.