In this article, we will take a look at the 30 low cost products with high profit margins. If you want to skip our detailed analysis, you can go directly to 5 Low Cost Products With High Profit Margins.
Increasing Personalization is Key for Online Sellers
According to Forbes, the outlook for e-commerce in 2024 seems competitive and fierce. While the vision is positive for the first half of the year, the expected economic strains in the second half may leave a dent in consumer buying. Forbes, however, does suggest key factors to keep in mind for online sellers. Online sellers are expected to integrate personalization and customization of products and content using artificial intelligence. The new Google AI-driven Search Generative Experience beta positions an immense focus on high-quality content with accurate linking and placement of images. Amazon.com, Inc. (NASDAQ:AMZN) is also experimenting with contextual search and shopping to enhance the customer experience, especially on mobile. Such implies that online sellers must significantly invest in improving mobile-based selling. Moreover, sellers need to be more mindful of the trends in the market. For instance, live streaming and video content are expected to be one of the most traffic-inducing content forms ahead of 2024. Showcasing and storytelling through videos will be key for online sellers. Lastly, social commerce or smartphone commerce coupled with multi-channel selling may take the lead as primary selling procedures. According to the report, TikTok and Instagram should be primary areas of focus for online sellers.
Best Online Selling Platforms
Some of the leading platforms for sellers include Amazon.com, Inc. (NASDAQ:AMZN), Shopify Inc. (NYSE:SHOP), and eBay Inc. (NASDAQ:EBAY). These companies tend to benefit from the large influx of online sellers, which explains their financial performance. Let’s take a look at some of the recent updates from these companies. You can also read our piece on the trending products to sell online in 2024.
While Amazon.com, Inc. (NASDAQ:AMZN) benefits from the large influx of online selling, the company also holds a major stake in fuelling innovation. On January 17, Amazon.com, Inc. (NASDAQ:AMZN) posted an update to the Amazon Industrial Innovation Fund. In 2024, the fund will expand to the transportation industry, especially autonomous vehicles and last-mile technologies. Moreover, the fund also expects to see a greater use of systems backed by artificial intelligence and machine learning. A significant breakthrough expected ahead of 2024 is the launch of bi-pedal robots. Last October, in 2023, the company launched a new mechanism, Agility Robotics, a pilot aimed at testing its Dogit robot across Amazon’s operations.
The company’s financial performance is a testament to its popularity among online sellers. Amazon.com, Inc. (NASDAQ:AMZN) was a part of 286 hedge fund portfolios at the close of the third quarter of 2023. The total stakes of these hedge funds amounted to $38.90 billion, up from $34.90 billion in the previous quarter with 278 positions. The hedge fund sentiment for the stock is positive. As of December 31, 2023, Beech Hill Partners is the largest shareholder in Amazon.com, Inc. (NASDAQ:AMZN) and has a position worth $8.01 million. The stock covers 3.87% of the fund’s portfolio.
Shopify Inc. (NYSE:SHOP) is one of the best platforms for online sellers. On December 13, 2023, Shopify Inc. (NYSE:SHOP) announced new features for partners and developers. Now, developers can add essential functionalities directly to customer’s accounts. These functionalities include order index, order status, and customer profile pages. Moreover, developers working for the “Customer Accounts Extensibility Developer Preview” will be able to enjoy co-marketing opportunities.
Shopify Inc. (NYSE:SHOP) is also on analysts’ radars. On January 22, RBC Capital analyst Paul Treiber reiterated an Outperform rating on Shopify Inc. (NYSE:SHOP) and maintained his price target of $100. Over the past 3 months, 11 Wall Street analysts have given a buy rating on Shopify Inc. (NYSE:SHOP). Shopify Inc. (NYSE:SHOP) has an average price target of $77.42 and a high forecast of $100.
eBay Inc.’s (NASDAQ:EBAY) commitment to improve the seller experience explains why it is a preferred platform across the globe. On December 6, 2023, eBay Inc. (NASDAQ:EBAY) launched combined shipping under its international shipping functionality. Sellers will now be able to send multiple items together in one shipment, regardless of the number of orders. To enjoy the new functionality, sellers must be enrolled in eBay International Shipping. For enrolled members, the lists are updated automatically.
Wall Street is bullish on eBay Inc.’s (NASDAQ:EBAY). On January 9, BMO Capital analyst Brian Pitz took coverage of the stock with a market perform rating and a price target of $49. Over the past 3 months, 5 Wall Street analysts have given a buy rating on eBay Inc. (NASDAQ:EBAY). eBay Inc. (NASDAQ:EBAY) has an average price target of $45.44 and a high forecast of $56.
You can also take a look at the high demand products with low competition. With that, let’s discuss the 30 low cost products with high profit margins.
30 Low Cost Products With High Profit Margins
Our Methodology
Coming up with a methodology for the 30 low cost products with high profit margins was a difficult task. Therefore, we employed a consensus approach to identify some of the low cost products trending in the market. We sifted through 4 reports on the internet including AliDropship, Hostinger, Shopify, and Alibaba. We only included products that appeared in at least 50% of our sources. Since it was not possible to get aggregated net margins for each product, we used product demand as a metric to assess the profitability of a product. We resorted to Amazon’s “Best Seller” tab and used the number of reviews as an assessment of the product demand. Our list of the 30 low cost products with high profit margins is in ascending order of the number of customer reviews on Amazon as a primary metric and the retail price of the product on Amazon. All values were sourced on January 23, 2024.
By the way, Insider Monkey is an investing website that tracks the movements of corporate insiders and hedge funds. By using a similar consensus approach, we identify the best stock picks of more than 900 hedge funds investing in US stocks. The top 10 consensus stock picks of hedge funds outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here). Whether you are a beginner investor or a professional looking for the best stocks to buy, you can benefit from the wisdom of hedge funds and corporate insiders.
30 Low Cost Products With High Profit Margins
30. Car Organizers
Number of Reviews on Amazon, as of January 23: 12,024
Retail Price on Amazon, as of January 23: $17.59
According to our methodology, car organizers rank as one of the best low cost products with high profit margins. The Honey-Can-Do Trunk Organizer is a best-selling item on Amazon, with a star rating of 4.5. More than 3,000 items were sold during the past month.
29. Neck Pillows
Number of Reviews on Amazon, as of January 23: 16,384
Retail Price on Amazon, as of January 23: $10.99
The rise in travel has boosted the demand for complementary products such as neck pillows. The Wolf Essentials Microfiber Neck Pillow is available for only $10.99 and has a star rating of 4.5 on Amazon.
28. Cargo Pants
Number of Reviews on Amazon, as of January 23: 18,710
Retail Price on Amazon, as of January 23: $27.99
Cargo pants rank as one of the most trending low cost products to sell in 2024. The Wrangler Authentics Cargo Pant is available on Amazon for $27.99 and has a star rating of 4.5.
27. Dog Toys
Number of Reviews on Amazon, as of January 23: 18,758
Retail Price on Amazon, as of January 23: $5.99
Dog toys are among the best low cost products with high profit margins. The Crinkle Dog Toy is available for only $5.99 and has a star rating of 4.4. Over 40,000 items of the product were sold during the past month.
26. Phone Cases
Number of Reviews on Amazon, as of January 23: 19,154
Retail Price on Amazon, as of January 23: $28.95
Phone cases, especially customized phone cases, are trending products to sell. The OtterBox Commuter Series Case is available for $28.95 on Amazon. More than 10,000 items of the product were sold during the past month.
25. Air Purifiers
Number of Reviews on Amazon, as of January 23: 20,493
Retail Price on Amazon, as of January 23: $49.99
Air purifiers are among the most profitable low cost products to sell in 2024. The LEVOIT Air Purifier is a best-selling item on Amazon. It has a price tag of $49.99 and a star rating of 4.6.
24. Car USB Charger
Number of Reviews on Amazon, as of January 23: 20,735
Retail Price on Amazon, as of January 23: $8.99
According to our methodology, a car USB charger is one of the best low cost products to sell online. The Amazon Basic Two-Port USB Charger is available on Amazon for $8.99 and has a star rating of 4.6.
23. Pet Accessories
Number of Reviews on Amazon, as of January 23: 29,561
Retail Price on Amazon, as of January 23: $23.97
Pet odor eliminators and pet beds are among the best low cost products with high profit margins to sell online. The Pooph Pet Odor Eliminator is one of the best-selling items on Amazon. More than 90,000 items of the product were sold during the past month.
22. Press On Nails
Number of Reviews on Amazon, as of January 23: 29,941
Retail Price on Amazon, as of January 23: $4.97
According to our methodology, press on nails are some of the most profitable low cost products to sell. The Everlasting Press On Nails by KISS is a 28-piece set and is available on Amazon for $4.97. More than 10,000 items of the product were sold during the past month.
21. Reusable Bottles
Number of Reviews on Amazon, as of January 23: 30,032
Retail Price on Amazon, as of January 23: $12.89
The Brita Insulated Filtered Water Bottle with a Straw is one of the best-selling items on Amazon. It is available for $12.89 and has a star rating of 4.6. More than 10,000 items of the product were sold during the past month.
20. Wireless Charging Stations
Number of Reviews on Amazon, as of January 23: 30,933
Retail Price on Amazon, as of January 23: $19.88
Wireless charging stations are among the best low cost products with high profit margins to sell. The INIU Wireless Charging Station is available on Amazon for $19.88. The product has a star rating of 4.3.
19. Microphones
Number of Reviews on Amazon, as of January 23: 32,164
Retail Price on Amazon, as of January 23: $68.89
The rise in user-generated content creation, vlogging, and podcasting on social media has boosted the demand for microphones and ring lights. The Logitech Blue Yeti USB Microphone is a best-selling item on Amazon and is available for $68.89.
18. Candles
Number of Reviews on Amazon, as of January 23: 34,950
Retail Price on Amazon, as of January 23: $15.99
Candles, especially scented candles, have been trending for quite a while. The Yankee MidSummer’s Night Scented Candle is available for a retail price of $15.99 on Amazon. The product was sold more than 10,000 times during the past month.
17. Wireless Speakers
Number of Reviews on Amazon, as of January 23: 36,365
Retail Price on Amazon, as of January 23: $49.99
Wireless speakers are among the best low cost products to sell. The Go 3 Portable Speaker by JBL is a best-selling item on Amazon. More than 10,000 items were sold during the past month.
16. Home Decor Items
Number of Reviews on Amazon, as of January 23: 40,479
Retail Price on Amazon, as of January 23: $29.99
The Homedics Tabletop Decor Soothing Sound Machine is a best-selling item on Amazon. The product is available for $29.99 and has 40,479 customer reviews. More than 10,000 items of the product were sold during the past month.
15. Gardening Supplies
Number of Reviews on Amazon, as of January 23: 41,774
Retail Price on Amazon, as of January 23: $13.58
According to our methodology, gardening supplies are one of the best low cost products with high profit margins to sell online. The Fiskars Garden Clippers are a best-selling item on Amazon. More than 6,000 items of the product were sold during the past month.
14. Watch Accessories
Number of Reviews on Amazon, as of January 23: 43,311
Retail Price on Amazon, as of January 23: $9.85
Watches are one of the most popular pieces of accessories to wear. The trend of matching outfits with watch straps and dials has significantly boosted the demand for watch accessories. The Duracell Lithium Battery Set is available for $9.85 on Amazon.
13. Car LED Light
Number of Reviews on Amazon, as of January 23: 47,741
Retail Price on Amazon, as of January 23: $10.99
Car LED lights have been in demand for quite a while. The Marsauto White Replacement Bulbs for Cars are placed on the best seller tab on Amazon. The product is available for only $10.99.
12. Pet Carrier
Number of Reviews on Amazon, as of January 23: 54,061
Retail Price on Amazon, as of January 23: $27.25
Pet carriers are some of the most trending low cost products to sell in 2024. The Amazon Basics Pet Travel Carrier is available on Amazon for $27.25. 54,062 customers left a review of the product on Amazon.
11. Baby Carriers
Number of Reviews on Amazon, as of January 23: 67,158
Retail Price on Amazon, as of January 23: $32.98
According to our methodology, a baby carrier is one of the best low cost products to sell in 2024. The Infantino Flip Carrier is one of the best-selling items on Amazon. The product is available for $32.98.
10. Hair Oil
Number of Reviews on Amazon, as of January 23: 70,751
Retail Price on Amazon, as of January 23: $8.89
With 70,751 customer reviews on Amazon, the Mielle Organics Hair Strengthening Oil is one of the best low cost products with high profit margins. More than 100,000 items of the product were sold during the past month on Amazon.
9. Yoga Mats
Number of Reviews on Amazon, as of January 23: 75,447
Retail Price on Amazon, as of January 23: $20.38
Fitness taking precedence as a trend explains why yoga mats are ranked among the most profitable low cost products. The Amazon Basics Extra Thick Yoga Mat is available for $20.38. Over 30,000 items of the product were sold during the past month on Amazon.
8. Cat Litter
Number of Reviews on Amazon, as of January 23: 84,120
Retail Price on Amazon, as of January 23: $11.39
Cat litter is one of the most profitable low cost products to sell in 2024. More than 50,000 items of the Febreze Clumping Cat Litter were sold during the past month on Amazon. The product is available for a retail price of $11.39.
7. Car Seat Covers
Number of Reviews on Amazon, as of January 23: 109,075
Retail Price on Amazon, as of January 23: $27.90
According to our methodology, car seat covers rank as one of the best low cost products with high profit margins to sell online. The BDK Car Seat set is a best-selling item on Amazon and is priced at $27.90.
6. Camping Gear
Number of Reviews on Amazon, as of January 23: 112,452
Retail Price on Amazon, as of January 23: $17.17
The boost in travel explains why camping products are some of the best low cost products with high profit margins. The Personal Water Filter for Hiking, Camping, and Travel is available for $17.17 on Amazon. More than 30,000 items of the product were sold in the past month.
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Disclosure: None. 30 Low Cost Products With High Profit Margins is originally published on Insider Monkey.