In the wide world of selling on Amazon, there are numerous paths to seller success. Whether your goal is to make some extra cash or build an entire business from the ground up, Amazon provides incredible potential. You can choose to sporadically sell random household goods around your house or start a full-time private label company. And get this – you can even make money selling open-box items on Amazon through the Amazon Renewed program.
Refurbished items are a great money maker as many shoppers are looking for deals and are willing to buy open-box items to save money. With quite a unique set of standards, it’s an often overlooked way to make money on Amazon. In this article, we’ll break down the distinctive details of how to sell renewed products on Amazon, the benefits of Amazon renewed, and hopefully help identify if this opportunity is right for you.
What is the Amazon Renewed Program?
Amazon Renewed is a specialized platform that offers customers certified refurbished products on Amazon. These products undergo rigorous testing, inspection, and restoration to meet specific quality standards. Electronics, home appliances, and other select categories fall under the umbrella of eligible items for the Amazon Renewed Program.
Amazon Renewed
Amazon Renewed is your trusted destination for pre-owned, refurbished products. Renewed items on Amazon are professionally inspected and tested to work as expected by an Amazon-qualified and performance-managed supplier. If we source products from a third-party seller, the third-party seller tests and inspects the product.
Can You Sell Refurbished Items on Amazon?
Absolutely! Refurbished products can be sold on Amazon and they welcome refurbished products on the platform with open arms. What is a renewed product on Amazon? Generally, they fall into one of the following categories within the Amazon Renewed program:
- Refurbished: Professionally restored products with warranties, commonly for those seeking like-new quality at a discount.
- Pre-owned: Previously used items in good working order, ideal for eco-conscious shoppers on a budget.
- Open-box: Slightly used products in excellent condition with original packaging, offering the best savings.
Amazon Renewed allows you the opportunity to sell refurbished products in many different categories across the E-commerce site. This means you can probably find a product that falls under your area of expertise. Refurbished items often refer to electronics but don’t have to be! You can sell Amazon refurbished products in all of the following categories:
- Laptops and computers
- Smartphones
- Tablets
- Cameras
- Video game consoles
- Headphones and audio
- Televisions
- Office equipment
- Home and industrial tools
- Watches
- Home appliances
- Kitchen appliances
- Automotive parts
- Outdoor and sports
- Musical instruments
Benefits of Selling on Amazon Renewed
From making money with less competition to reducing the amount of consumer waste, the benefits of selling on Amazon Renewed are extensive and far-reaching. Let’s dive into the key benefits that make this program attractive to a wide range of sellers.
1. Less Competition
With so much opportunity to make money on the platform, selling on Amazon can be incredibly competitive, leading to price and advertising wars that can cut into profits. Entering the Amazon Renewed market doesn’t eliminate competition, but the standards and requirements gatekeep this community to some degree, increasing the likelihood of your success in hotter product markets.
2. Expand Your Product Range
Selling on Amazon Renewed allows you to breathe new life into returned or overstocked items that might otherwise languish in your inventory or be tossed aside. By giving these products a second chance, you can reduce waste, boost sustainability, and generate additional revenue streams. This flexibility in your product range can attract new customers and keep existing ones engaged, as they know they can find a wider variety of items from your brand on Amazon Renewed.
3. Leverage the Amazon Reputation
One of the biggest advantages of selling on Amazon Renewed is the inherent trust associated with the Amazon brand. Customers feel a sense of security knowing that Amazon-backed programs like Renewed adhere to strict quality standards and come with a 90-Day Satisfaction Guarantee. This built-in trust factor eliminates some buyers’ hesitation towards pre-owned goods, making it easier for you to convert leads and build lasting customer relationships.
4. A Sustainable Solution
Additionally, products in the Amazon Renewed program often make high-end items more accessible to a broader audience and save working products from going to waste. Further, selling certified refurbished items extends a product’s life and reduces e-waste and raw material extraction, aligning with Amazon’s Climate-Friendly initiative.
In summary, selling on Amazon Renewed presents a unique opportunity for businesses to tap into a growing market, expand their product range, and leverage the trust and resources of a global e-commerce leader. From reaching eco-conscious consumers to streamlining operations and benefiting from targeted marketing, the advantages of this program are undeniable.
Eligibility Requirements for Selling in the ARP
Because selling refurbished, pre-owned, and open-box products creates potential issues with consumer trust and product quality, there is a strict set of Amazon Renewed seller requirements to ensure the marketplace maintains its integrity and doesn’t lead to unhappy customers.
To qualify to sell refurbished and pre-owned products on Amazon Renewed, Amazon requires details of your selling experience. You need to meet the following criteria to qualify as a seller on Amazon Renewed:
How to Get Started with Amazon Renewed
First, anyone pursuing this opportunity must be a registered seller on Amazon. Whether selling products or reselling items for profit, you must sign up to sell on Amazon or access your Seller Central account.
Before completing an application to sell via Amazon Renewed, you must figure out what product you will sell. Unsure where to start? Our favorite Amazon product research tool is Product Discovery. This tool provides a list of product ideas matching your completely personalizable budget and sales goals. With a few simple filters and inputs given your goals and resources, you can search and see a set of results customized to your criteria.
Once you’ve compiled some products that may fit your goals and resources, we strongly encourage you to validate these product ideas in Market Intelligence before sourcing products to sell on Amazon.
Validating Your Product Ideas
While Product Discovery results can save time otherwise spent inefficiently searching for products, it is not the end-all, be-all for finding Amazon products. Market Intelligence fills in the gaps, allowing you a more in-depth view into the product market, even supplying tips, warnings, and alerts related to potential pitfalls for sellers of a particular product. Within Market Intelligence, you can get an accurate look into estimated sales, seasonality, market maturity, and virtually anything you could want to know before jumping headfirst into selling a product on Amazon.
Source and Apply
Once you’ve landed on the product you want to build your Amazon storefront with, you’ll need to find a supplier. You can find refurbished items to sell on Amazon through Alibaba or other wholesale suppliers, liquidation websites offering products that meet the standards of the Renewed program, or any way you can get your hands on a large enough order of used, pre-owned, or refurbished goods to include on the application.
Finally, apply for the Amazon Renewed program by completing this application. In it, you must answer questions such as if you are a distributor/reseller or manufacturer, confirm that your products meet the quality requirements of the program, and provide relevant pieces of information about your business and seller history.
Once the application has been completed, Amazon typically notifies sellers of its approval or rejection within 10 days. If you get rejected, be sure to note the reason for the denial. Also, sellers can still list products on standard ASINs under the “Used” condition to sell products that aren’t brand new.
How to Prepare Your Products for AMZ Renewed
In an ideal world, the customer purchasing your product will have to carefully inspect your product once it’s been delivered. “Where are the signs of it being used or damaged?” is perhaps the best possible thought a shopper can have once they’ve purchased an item. Every shopper loves a great deal, and receiving a product under retail price in virtually brand-new condition.
While it isn’t always possible to provide a like-new appearance with the product and packaging, first impressions matter even in the second-hand world. If you possess the original packaging in great condition, go with that to preserve that like-new feeling and give the customer as much of the intended buying experience as possible. Swap out tired boxes for pristine new ones, banish tangled wires with neat organizers, and give everything a sparkling clean – inside and out.
In addition to the original packaging or substituting for it, providing details about the quality assurance, inspection process, and final testing can reassure the customer about their purchase so they can feel content and confident with their product.
No matter how you package your product, you will want to ensure you abide by the packaging and prep requirements Amazon sets, or risk visibility suppression or even suspension on the platform. You don’t want that!
How To Price Your Refurbished Products
Finding the sweet spot for pricing? Consider cost, market demand, product condition, and warranty when formulating competitive pricing strategies for refurbished goods. Below, we’ll delve into primary considerations when determining how to price your products.
1. Cost of Refurbishment
It all starts with the numbers. Calculate the true cost of refurbishment, factoring in labor, parts, testing, and any additional expenses. This baseline cost sets the minimum price you need to charge to avoid operating at a loss.
2. Market Demand and Competition
Research the market and closely analyze your competitors’ pricing strategies. Understand the demand for your specific product category and the price range that similar refurbished items command. Aim to be competitive within this landscape, offering compelling value without undercutting yourself.
3. Product Condition and Warranty
The condition of your refurbished product plays a crucial role in pricing. Be transparent about any cosmetic blemishes or minor imperfections, and adjust your price accordingly. Remember, offering longer warranty periods for higher-grade refurbished items can justify a slightly higher price point.
4. Monitor and Adapt
Pricing is not a one-time decision. Continuously monitor your sales data and competitor activity. Be prepared to adjust your prices based on real-time feedback and market fluctuations. A data-driven approach will help you optimize your pricing strategy and balance profitability and competitiveness.
Sellers can streamline their research that factors into pricing with trustworthy tools for Amazon sellers. Tools like Market Intelligence and Competitor Intelligence offer unmatched accuracy regarding sales estimates and pricing history. Within these tools, you can find the latest market and pricing trends, own the analytical advantage over competitors, and stride through this delicate balancing act gracefully.
Marketing Your Amazon Renewed Products
For most products, simply offering them on the marketplace won’t be enough. Getting lost in the immense Amazon marketplace is easy even in a less crowded market. To experience long-term success, you must find ways to stand out from the crowd and drive traffic to your product.
Creating compelling product listings and leveraging Amazon’s promotional tools are crucial for effectively marketing refurbished Amazon products. Your product listings are the first point of contact with potential customers. Make them shine! Use high-quality photos that clearly depict the item’s condition. Write detailed descriptions that highlight the product’s features, benefits, and refurbished status. Be transparent about any minor imperfections, using clear language and photos to avoid surprises. Include relevant keywords to boost search visibility and ensure your products reach the right audience.
On top of an attractive, SEO-friendly listing, Amazon’s built-in advertising console can make a tremendous difference in reaching customers. Advertising on Amazon via Sponsored Products and Sponsored Brands can greatly increase product visibility when constructed appropriately, ensuring customers see your product even if your organic ranking leaves room to be desired.
Customer Service and Returns Management
Excellent customer service is a cornerstone of success within the Amazon Renewed Program. Handling inquiries and managing returns professionally fosters positive customer experiences and builds a sterling reputation crucial for sustained success.
With refurbished items, the most beneficial thing a seller can do is be proactive with quality control. Double-checking products and ensuring an airtight process that decreases the likelihood an item makes it to a customer’s door before it’s ready is the best way to prevent returns and unhappy customers.
Remember, customers are entrusting you with a second-hand purchase, and their experience will not only impact their future buying decisions but also affect your overall success. A string of negative reviews can be especially detrimental given the extra attention to detail customers place on buying used items.
When customers do have feedback, be sure to listen! Positive and negative customer feedback can help you identify improvement opportunities and avoid future issues. Above all, responding to praise and criticism demonstrates your commitment to customer satisfaction and continuous improvement.
By adopting these best practices and prioritizing customer service, you can effectively handle inquiries and returns, build customer trust, and establish a stellar reputation within the Amazon Renewed program.
Conclusion
In conclusion, the Amazon Renewed program presents a compelling opportunity for businesses of all sizes to tap into a growing market, expand their product offerings, and leverage the resources and reputation of a global e-commerce leader.
From attracting eco-conscious consumers to streamlining operations and benefiting from targeted marketing tools, the advantages of this program are undeniable. By embracing the program’s distinct requirements, sellers can establish themselves as trusted providers of high-quality pre-loved goods, contributing to a more sustainable future while building a successful and profitable business.
Now that we’ve tackled the fundamental aspects of how to sell refurbished products on Amazon, it’s your time to decide if it’s a fruitful opportunity for you. Whether you’re considering making the leap to sell on Amazon or expanding your existing Amazon storefront to include Renewed items, we have the data-driven tools to fuel your entrepreneurial success.
