You must know your costs before you sell!
When doing product research, you should first confirm the costs and profits to ensure that your sales are profitable. You need to consider the purchase costs, the fees charged by Amazon, the costs for shipping to Amazon FBA warehouses, and conduct an in-depth research on the market demand and competition, making sure that your business keeps in earnings.
What types of fees are charged when selling on Amazon?
Referral fees: Sellers need to pay a referral fee to Amazon for each item sold.
Inventory storage fees: Amazon charges you to store inventory in their warehouses when using FBA program.
In addition, it also includes long-term storage fees, returns processing fees, and removal order fees.