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Hey Reader, If you value your money, never enter these categories on Amazon as a beginner: 1. Clothing This space is overcrowded. Manufacturers themselves are selling directly, creating brutal price wars. Plus, Amazon isn't a fashion-first platform like Myntra. Customers come here for convenience, not style discovery. Result? High returns (people order 3 sizes, keep 1), razor-thin margins, zero growth potential. 2. Footwear Size issues kill this category. Even with size charts, 40% of shoes get returned because of fitting problems. Building trust without a strong brand is nearly impossible. Why would someone buy ₹3,000 shoes from an unknown seller? This category sees more refunds than actual revenue. 3. Food products Complete compliance nightmare. FSSAI license, expiry date management, temperature-controlled storage, batch tracking. One small mistake - expired product, wrong labeling, contamination issue - and Amazon suspends your account permanently. Regulations change frequently. One policy update can destroy your entire business overnight. 4. Skincare This is purely trust-based. Customers won't risk their skin on unknown brands. Without celebrity endorsements or years of reputation building, you're invisible in this space. Returns are high (skin reactions, didn't work as expected) and margins are low due to heavy marketing costs. 5. Furniture Heavy, bulky, easily damaged during shipping. Logistics costs eat up profits. Customer receives a scratched ₹15,000 dining table? You pay return shipping (₹2,000+) plus replacement costs. Insurance claims, assembly issues, space problems - headaches multiply fast. Focus on high-ticket niche products instead. Target categories where you can earn minimum 30% profit margins and build sustainable businesses. These categories have fewer sellers, higher margins, and customers who value quality over price. Don't waste time fighting in overcrowded, low-margin categories. Find your profitable niche and dominate it. If you want to learn the right way to do the Amazon business, checkout the free training:
See you then. Happy building! Ali Lokhandwala, India’s Top Amazon Expert Once a champion, always a champion.
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India's Top Amazon Expert | Generated over 50 Crore Revenue | Trained 15,000+ Entrepreneurs | I help businesses and entrepreneurs start and scale a profitable Amazon business.
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