10 Mistakes I Made on Amazon when I First Started Selling

You’re not alone if you’ve made some of the 10 mistakes commonly seen while selling on Amazon. Every new Amazon seller encounters bumps in the road. I remember feeling overwhelmed when I first started my Amazon business. You might find yourself facing tough competition—there are over 200,000 men’s T-shirt listings on Amazon alone! Most new Amazon sellers start with less than $5,000, and 81% use their own money, so every mistake can feel huge. Many of the 10 mistakes come from trying to do everything at once or rushing into selling without a plan. You can learn a lot from others who have already been there.

Here are a few things many new Amazon sellers face:

• 58% turn a profit in the first year, but it isn’t always easy.

• 50% spend 10 hours or less per week on their Amazon business.

• 38% struggle with rising advertising costs.

If you’ve made any of these 10 mistakes, don’t worry. You can always improve and grow your Amazon selling business.

Key Takeaways

• Pick products wisely by using data, customer reviews, and your own thinking. This helps you stay away from crowded markets and things that do not sell. Do good market research before you start selling. This helps you learn about your competition, what people want, and the rules. It can stop you from making expensive mistakes. Use great pictures, easy-to-read descriptions, and the best keywords in your listings. This will help bring in buyers and make more sales. Set smart prices by knowing what you spend and looking at what others charge. Do not set prices too high or too low so you can keep making money. Take care of your inventory by not running out or having too much. Use alerts and plan ahead to make customers happy and save money.

10 Mistakes New Amazon Sellers Make

Product Selection

Let’s talk about one of the biggest 10 mistakes you can make as a new Amazon seller: picking the wrong product. When I started selling, I thought I had found a winning product. I saw a cool gadget on a trend list and jumped in without doing enough product research. I didn’t check if the market was already crowded or if people really wanted it. My first product launch flopped. I ended up with boxes of unsold products in my garage.

You might think using data tools is enough, but that’s only part of the story. Many new Amazon sellers rely too much on numbers and forget to listen to what customers actually want. This can lead to costly mistakes like picking a product that looks good on paper but doesn’t sell. You need to combine data with real feedback and your own gut feeling.

Tip: Always ask yourself, “Is this product solving a real problem? Are there too many sellers already?” If you can’t answer yes to the first and no to the second, keep looking.

Market Research

Skipping market research is another one of the 10 mistakes that can cost you big time. You need to know who your buyers are and what they want. If you skip this step, you risk launching products that nobody needs or entering a market that’s already packed with competition.

Here’s what you should do before your next product launch:

• Check if the product is not already owned by a big private label brand.

• Look at how many FBA sellers are offering the same product. A good range is between 3 and 15.

• Make sure Amazon itself isn’t selling the product. Competing with Amazon is tough.

• Study the age of listings and their Best Sellers Rank to see if there’s real demand.

• Read customer reviews. Look for complaints and see if you can offer something better.

• Double-check if you’re allowed to sell the product and if there are any restrictions.

• Watch out for red flags like oversized items or adult content.

• Estimate your sales and make sure your return on investment is over 10%.

If you ignore these steps, you might face problems like too much competition, poor demand, or even legal trouble. Many sellers who skip thorough product research end up with products that just sit on the shelf. You don’t want to be one of them.

Note: New sellers who enter crowded markets often struggle to stand out. You need a plan to make your product different from the rest.

Supplier Issues

Supplier problems are another one of the 10 mistakes that can ruin your Amazon business before it even gets going. When you rush into a product launch without checking your suppliers, you risk running into delays, stockouts, or even getting banned from Amazon. I made the mistake of skipping inspections and trusting a supplier I found online. My first shipment arrived late, and some products were damaged. Customers complained, and my seller rating dropped.

Amazon sellers often have trouble tracking inventory because Amazon controls the fulfillment centers. This can lead to stockouts or canceled orders. If you use multiple suppliers, you might get stuck waiting for updates or dealing with late shipments. These issues can hurt your reputation and cost you sales.

Here’s how you can avoid costly mistakes with suppliers:

• Never skip inspections. Always check your products before they leave the factory.

• Use Amazon’s reporting tools and inventory management systems to track your stock.

• Make sure your suppliers follow Amazon’s rules for labor, safety, and transparency.

• Ask for audit reports and visit the factory if you can.

• If your supplier fails an audit, fix the problems right away or find a new one.

Alert: Skipping inspections is one of the most common seller mistakes. It can lead to poor quality products and unhappy customers.

If you take the time to vet your suppliers and keep a close eye on your inventory, you’ll avoid many of the 10 mistakes that trip up new Amazon sellers. Remember, every step you take before your product launch can save you money and stress later.

Amazon Selling Mistakes with Listings

When you start selling on Amazon, your product listing is your storefront. If you make mistakes here, you lose trust and sales fast. Many new sellers overlook the importance of quality in their listings. Let’s break down the most common amazon selling mistakes with listings and how you can fix them.

Poor Images

You might think any photo will do, but buyers want to see clear, high-quality images before they buy. About 78% of shoppers look for images in a product listing. If your photos are blurry or dark, people will skip your products. High-quality images can boost your sales by up to 70%. When you use professional photos, your product listing stands out and looks trustworthy. Try to show your product from different angles. Use bright lighting and a plain background. If you can, add a photo of the product in use. This helps buyers imagine owning it.

Tip: Upgrade your product listing images and watch your conversion rates climb. Even small changes can make a big difference.

Weak Descriptions

A weak description makes your product listing look unprofessional. Well-written descriptions can increase conversion rates by up to 78%. You want to tell buyers what makes your products special. Use simple words. List the main features and benefits. Answer common questions before buyers ask. If you skip this, your listing feels empty and buyers move on. Remember, reviews often mention missing details, so cover everything important.

• Use bullet points for easy reading.

• Highlight what makes your product unique.

• Avoid long, confusing sentences.

Missing Keywords

Missing keywords is one of the biggest reasons your product listing gets lost. About 80% of top Amazon sellers focus on keyword optimization. If you don’t use the right keywords, buyers can’t find your products. Good keywords help your listing show up in search results. This means more people see your product and you get more sales. A study found that using targeted keywords and valuable content builds trust and boosts sales. Try using tools to find what buyers search for. Add those words to your title, bullet points, and description.

Note: Most poor-quality product listings miss out on keywords, which leads to fewer reviews and lower sales.

If you focus on quality images, strong descriptions, and smart keywords, your product listing will shine. You’ll see more reviews, better sales, and a stronger Amazon business.

Pricing Mistakes

Setting the right price can make or break your Amazon business. Many new sellers get this wrong. You want to make a good profit, but you also want to attract buyers. Let’s look at two common pricing mistakes that can hurt your selling journey.

Overpricing

You might think a higher price means more profit. That sounds good, but it often backfires. When you set your price too high, buyers will skip your product and choose a cheaper option. I learned this the hard way. My first product sat on the shelf for weeks because I wanted a big profit. Other sellers offered the same thing for less. My sales dropped, and I missed out on building momentum.

Tip: Check what other sellers charge for similar products. Use Amazon’s pricing tools to stay competitive. If you want to stand out, offer a small bonus or bundle instead of just raising your price.

Underpricing

Trying to win the sale by going too low is another trap. You might get more sales at first, but your profit will shrink fast. Some sellers even lose money because they forget about Amazon fees and shipping costs. If you keep underpricing, you may start to feel burned out. Your business will struggle to grow.

Here’s a simple way to check your numbers:

Always know your costs before setting your price. Aim for a healthy profit, not just quick sales. Smart pricing helps you avoid mistakes and keeps your selling business strong.

Note: Review your prices often. The market changes fast, and you want to keep your profit steady.

Inventory Management

Managing your inventory can make or break your Amazon business. If you ignore this part, you might face big problems. Let’s look at two common mistakes: stockouts and overstocking.

Stockouts

Stockouts happen when you run out of products to sell. This mistake can hurt your selling journey more than you think. When buyers see your product is out of stock, they move on to someone else. You lose sales, and your ranking drops. I once ran out of my best-selling item right before the holidays. My listing lost its spot, and it took weeks to recover.

You are not alone. Many sellers have faced this problem:

1. An outdoor gear retailer on Amazon kept running out of stock during busy seasons. They lost sales and upset customers. After setting up a better inventory system, they cut stockouts by 85% and boosted sales by 30%.

2. Big brands like Walmart and KFC have also suffered. Walmart lost sales when shelves stayed empty. KFC had to close stores in the UK because they ran out of chicken.

Tip: Use inventory alerts and plan for busy times. Always keep some safety stock on hand.

Overstocking

Overstocking means you have too much product sitting in storage. This mistake ties up your money and can lead to high fees. I once ordered way too many units of a slow-selling product. The extra stock sat in Amazon’s warehouse, and I paid more in storage fees than I made in profit.

Here are some real-world examples:

• A home decor brand struggled with too much inventory because they guessed demand wrong. By counting stock often and bundling products, they cut overstock by 60% and improved cash flow by 25%.

• Nike lost $100 million from having too much or too little stock. Target Canada had so many supply chain problems that they lost billions and had to shut down.

Note: Review your inventory every week. Use reports to spot slow movers and adjust your orders.

Smart inventory management keeps your selling business healthy. You avoid lost sales, save money, and keep customers happy.

Ignoring Amazon Rules

If you break Amazon’s rules, your business can end fast. Many new sellers think they can ignore small warnings or bend the rules. This is a big mistake. Amazon watches everything sellers do. If you make a mistake, you could lose your account and all your work.

Policy Violations

Amazon sellers sometimes miss small rule details. Deleting a problem listing does not erase the issue. The problem stays on your record. Amazon checks your Account Health Rating (AHR). If your score drops below 200, you are in trouble. Amazon looks at things like Order Defect Rate and Late Shipment Rate. They also check if you follow the rules. If you ignore these, your account can get flagged.

Common mistakes include:

• Intellectual property complaints

• Product authenticity issues

• Listing duplicate products

• Selling unsafe or damaged items

If you do not fix these problems fast, Amazon can remove your listings. They might even close your account. New EU rules have strict timelines for appeals. You must act quickly to protect your business.

Tip: Check your Account Health Dashboard often. Fix problems right away. Do not wait for Amazon to contact you.

Account Suspensions

Account suspensions are tough. About one-third of Amazon sellers get suspended each year. Some sellers lose their whole business overnight. A lawsuit from 596 Amazon sellers showed $30 million in damages from suspensions. If your business is worth $100,000 or more, a suspension can destroy everything.

Amazon sellers get suspended for many reasons:

• Missed performance targets

• Unnoticed policy violations

• Slow customer service

When Amazon suspends your account, you lose sales right away. You cannot get your money or talk to your customers. The best way to avoid this is to know Amazon’s rules. Use Fulfillment by Amazon (FBA) to help follow the rules. Always keep your documents ready to prove your products are real.

Note: Act fast to save your account. Respond to every warning. Learn the rules and follow them closely.

If you want to do well as an Amazon seller, always follow the rules. Stay alert, fix problems quickly, and keep learning about new policies.

Neglecting Amazon SEO

When you start selling on Amazon, you want people to find your products. If you ignore Amazon SEO, your products can get lost in the crowd. Many new sellers make this mistake. You might have a great product, but if buyers can’t see it, you won’t get sales. Let’s look at two big parts of Amazon SEO you should never skip.

Keyword Research

You need to know what words shoppers use when they search for products. If you skip keyword research, your listing will not show up in Amazon search results. You want to use words that real people type in the search bar. Try to think like a buyer. What would you type if you wanted to buy your product?

Here are some easy steps to help you with keyword research:

• Look at top-selling products in your category.

• Check the words they use in their titles and bullet points.

• Use free tools to find popular search terms.

• Write down the best keywords and add them to your listing.

Tip: Good keyword research helps your product launch go smoother. You get more eyes on your product right from the start.

Search Visibility

Search visibility means how easy it is for buyers to find your product on Amazon. If your product does not show up on the first page, most people will never see it. You want your product to appear near the top when someone searches for it.

Here’s a simple table to show why search visibility matters:

You can boost your search visibility by using the right keywords, writing clear titles, and adding strong bullet points. Make sure your product images look great. When you launch a new product, focus on getting reviews early. Reviews help your product move up in search results.

Note: Amazon rewards listings that get clicks and sales. Keep your listing fresh and update your keywords often.

If you pay attention to Amazon SEO, you make it easier for buyers to find your products. This can help your selling journey and make your next product launch a success.

Skipping Brand Registry

Brand Protection

Some sellers think they can wait to join Brand Registry. But skipping this step can cause problems for your business. When you sign up for Amazon Brand Registry, you get special tools to protect your brand. You can control your product listings. Only you and trusted sellers can change them. This keeps your product details right and stops others from taking over your listings.

Amazon gives you search and reporting tools. You can find fake listings fast and report them easily. Automated protections work all the time. They remove bad listings before they hurt your brand. Amazon’s team can help you if someone tries to steal your ideas or sell fake products.

Tip: Brand Registry is not just for big brands. Small sellers can use it too. It helps keep your business safe and builds trust with buyers.

Counterfeit Risks

If you do not join Brand Registry, you might face fake product problems. Counterfeit items can hurt your reputation and make you lose sales. Amazon has stopped over 6 million fake products from reaching buyers. They use smart technology and expert teams to catch fakes early. Programs like Transparency let you add special barcodes to your products. Shoppers can scan these codes to see if the item is real.

Here are some ways Brand Registry helps stop fakes:

• Automated tools find and remove fake listings fast.

• Only approved sellers can list your products.

• Amazon’s Counterfeit Crimes Unit helps you report and stop fakes.

• Transparency barcodes let buyers check if a product is real.

• Project Zero gives you tools to remove fake products yourself.

• Machine learning finds suspicious activity before it gets worse.

Amazon has worked with brands like Valentino to take legal action against fake sellers. This shows Amazon is serious about protecting your business.

Note: Stopping counterfeits keeps your customers happy and your business strong.

Poor Customer Service

You might have the best product on amazon, but poor customer service can ruin your business fast. Many new sellers focus on listings and forget how important it is to help buyers quickly and kindly. If you ignore customer messages or handle complaints badly, you risk losing sales and getting bad customer reviews.

Slow Responses

When a buyer sends you a question, they want a quick answer. Amazon expects you to reply within 24 hours. If you take too long, buyers get frustrated. They might leave negative feedback or skip your product next time. Slow responses can even lead to penalties from amazon, like lower seller ratings or account suspension.

84% of customers expect fast and accurate help. If you wait too long, you lose their trust.

Here are some problems that come from slow responses:

• Buyers leave negative customer reviews.

• Your Contact Response Time (CRT) goes up, which hurts your seller rating.

• Amazon may lower your product ranking.

Try using automated replies to let buyers know you got their message. Always follow up as soon as you can. Fast answers show buyers you care.

Handling Complaints

Complaints happen to every seller. What matters is how you handle them. If you ignore complaints or give weak answers, buyers get upset. This leads to more negative customer reviews and can hurt your Order Defect Rate (ODR). Amazon watches these numbers closely.

Many complaints come from slow service, not enough staff, or confusing return steps. If you fix problems fast and stay polite, buyers often change their reviews or even leave good feedback. Never forget that neglecting customer reviews can make your business look bad to new buyers.

Tip: Always listen to buyers and try to solve their problems. Good service leads to better reviews and more sales on amazon.

Not Seeking Help

Lack of Mentorship

You might feel like you have to figure everything out by yourself. Many new sellers make this mistake. When you start something new, it is easy to get stuck or feel lost. You may spend hours reading guides or watching videos, but still feel unsure. Without a mentor, you can fall into analysis paralysis. You might overthink every step and worry about making mistakes. This can slow you down or even stop you from moving forward.

A mentor can help you avoid common mistakes. They have already faced the same problems and know what works. You get advice that fits your situation. You also learn how to make better decisions. Camron James points out that mentorship gives you hands-on help and real answers. You do not have to guess what to do next. You can ask questions and get support when you need it.

Tip: If you want to grow faster, look for a mentor who has experience selling online. You can learn from their wins and their mistakes.

Community Support

You do not have to do this alone. Joining a community of other sellers can make a big difference. When you talk to people who understand your struggles, you feel less stressed. You can share your wins and your problems. Other sellers might have tips that save you time and money.

A good community gives you a safe place to ask questions. You can get feedback on your product ideas or listings. You also hear about new trends and changes in the market. Many sellers say that being part of a group helps them stay motivated. You see that others have faced the same challenges and found ways to succeed.

Here are some ways to find support:

• Join online forums or social media groups for sellers.

• Attend local meetups or workshops.

• Take part in group chats or mastermind calls.

Note: You do not have to know everything. Asking for help is a smart move. It can help you avoid costly mistakes and keep you moving forward.

Lack of Patience

Starting your Amazon business can feel exciting. You might dream about making a big profit right away. Many new sellers hope for fast results, but Amazon selling works differently. Let’s talk about why patience matters and how you can set yourself up for long-term success.

Expecting Quick Profits

It’s easy to think you’ll make a profit in your first month. You see stories online about sellers earning six figures. The truth is, most people need time to build their business. Amazon FBA success today takes more strategy, more capital, and a lot more patience than before. You need to treat your business like a marathon, not a sprint. Most sellers who stick with it and keep learning can reach real profit, sometimes even six figures in their first year.

Statistics show that 63% of Amazon sellers become profitable within their first year. Almost half have lifetime profits over $100,000. Still, monthly sales can look very different. Half of sellers earn between $1,000 and $25,000 each month, but 22% make less than $500. These numbers show that profit comes with time, planning, and realistic goals. If you expect instant results, you might feel disappointed and give up too soon.

Tip: Set small, clear goals for your business. Celebrate each win, even if it’s just your first sale.

Premature Decisions

When you rush, you make mistakes. Some sellers quit after a slow start or change products too quickly. Others spend money on ads or tools before they understand their business. The best sellers keep learning and adjust their plans as they go.

You can learn a lot from others who faced the same challenges. Guides for Amazon sellers say you should stay flexible, watch your numbers, and keep testing new ideas. Amazon itself grew by trying new things, using data, and always improving. If you keep learning and stay persistent, you can overcome early problems and grow your business into something strong.

Note: Success on Amazon takes time. Keep learning, stay patient, and your profit will follow.

You can turn every mistake into a lesson for your business. When you research, stay patient, and connect with other sellers, you build a stronger business. Each step you take brings you closer to a successful amazon business. Don’t let setbacks stop you. Share your own stories or questions in the comments. Your experience can help someone else grow their business too! 🚀

FAQ

How much money do you need to start selling on Amazon?

You can start with as little as $500, but most sellers use $2,000 to $5,000. Start small, test your product, and grow as you learn.

What should you do if your product is not selling?

First, check your listing. Update your images and keywords. Lower your price if needed. Ask for feedback from buyers. Try small changes and watch for results.

How do you handle negative reviews?

Stay calm. Reply politely and offer a solution. Fix the problem if you can. Good customer service can turn a bad review into a positive experience.

Can you sell on Amazon without a brand?

Yes, you can sell unbranded products. However, joining Brand Registry gives you more control and protection. If you want to build a long-term business, consider creating your own brand.

See Also

Effective Strategies For Selling On Amazon In 2025

Common Supplier Communication Errors And Ways To Prevent Them

Complete 2025 Guide To Starting Your Dropshipping Business

Choosing Between Amazon And eBay For Your 2025 Business

Beginner’s Guide To Easily Selling Perfumes Online