Daraz Seller in-depth Guide: Product Research Like A Pro!

Created by Hasnain Khurshid, Modified on Sat, 13 May 2023 at 10:13 AM by Hasnain Khurshid

The one thing that experts stress if you want to make huge money as an Daraz seller is market evaluation. So it becomes absolutely crucial to do proper Daraz product research before diving into it full time.

Researching for products on Daraz has evolved over the last few years. What used to work before may or may not work now.

What Is Daraz Product Research?

Daraz Product Research is all about analyzing current market trends to choose “winning” items – something that can generate high sales.

The idea is to search for products that you can get for cheap and yet sell for competitive prices with a good profit margin in return

Say, for instance, you can sell gym socks at PKR 300 for each pair but if they aren’t that good, you will end up getting negative feedback from your customers, eventually generating low sales.

Hence, you need to look for those “winner” products but also sell high and get fetch positive reviews.

Why Is It Important To Do A Product Research?

The foremost and the most crucial step to kick start as an Daraz seller is to find a kick-ass product.

With an increased number of sellers and stringent selling policies, it is important to understand that those old tricks of finding products are no longer going to work in the current scenario.

You need to list down the best-selling products on Daraz, which you desire to sell. Then, do a deep analysis if similar items are making enough sales. This step is imperative because you will never want to trade items that people are not even searching for.

After you have jotted down the list of potentially profitable products, the further steps involved in looking at their statistics like sales, reviews, ratings, and similar products.

In simple words, you need to go for products that will have a great opportunity, good demand, and yet below competitive.

Key Elements Of An Amazing Product Opportunity

Make a note of the criteria listed below, as they will help you make a wise decision for your business.

Daraz Product Criteria

Must HaveGreat To Have
Huge demandLightweight items
Decent profit marginsSmall items
Low competitionProducts with a room for improvement
Low seasonalityNo Electronic Item
No legal issues
Products Price > PKR 200

To be a successful Daraz, these are the key aspects to remember:

  • Low seasonality: Look for products that can sell year-round and aren’t limited to season sales.
  • No legal problems: Avoid picking up products that have trademark, branded or legal issues.
  • A price that is greater than PKR 200: You can easily increase the ability to make thousands of rupees through sales by having a higher price per unit.
  • Lightweight and small: These types of products tend to generate better sales than the ones that are not. This is due to two reasons- one: lower shipping charges, and two reduced storage and handling.

Room for improvement: If you can choose a product that can perform better than your competitors, then it increases the chances of making more sales.

Checklist Of Daraz Product Research Requirements

Here is a quick checklist of what is required to come up with the right product. With these criteria, your job gets easier.

  1. Product prices that fall between the range of PKR 200-2,500
  2. Products that make at least 10 sales a day
  3. Not seasonal products. They can be sold year-round
  4. Top 2-3 products with less than 50-100 reviews on the first page
  5. Small and lightweight products (under 50 grams)
  6. No brand names or trademarks associated with the product
  7. A product can be set up for 25% or even lesser than the sale price
  8. Proper room for product optimization and improvement of present listings
  9. Multiple product-related keyword opportunities
  10. Quick and easy product sourcing from China
  11. The product should not be fragile & electronic
  12. Ability to expand your brand with related products
  13. Can make a superior product over similar products in the market
  14. The product encourages recurring purchases
  15. The product should not have any legal issues

How To Do A Product Research On Daraz?

Generating a product idea can also be done through the following ways:

  • Daraz’s flash sale page
  • Daraz storefronts
  • Browsing Daraz sub-categories
  • Exploring the retail & wholesale stores
  • Amazon’s best-seller list
  • Browsing about a few products on Pinterest
  • Exploring the Shopify stores
  • Looking at eBay’s trending list
  • Seeing through the AliExpress’s Weekly best-sellers list

Once you have an idea about the niche and the respective product, see if the product is in-demand or not through the following ways:

  • Google Keyword Planner
  • XenonHunt Chrome extension
  • Google Trends

Few tips to keep in mind when researching the product’s page:

When you check a product page in detail, you will tend to get multiple new ideas. With thousands and thousands of products listed, it is very easy to be carried away, it is important to be clear to understand what you are exactly looking for.

Moreover, you will have to check if there is enough demand for the product and see if it can sell easily. Also, is the product seasonal or is it only good if is sold during holidays?

Product Categories To Avoid

If you are going to be a “private label seller,” then understand that not all items are created equally. You need to avoid choosing some complex products such as Cameras, Paintings,Electronic & Fragile Items, Home Appliances, etc. for some reason.

Do not pick products that have complications with shipping and manufacturing, as they turn out to be the biggest headaches later on. This is mainly because such massive products involve liabilities, quality assurance, returns, and customer reviews.

In addition, anything that foes “in” or “on” your body – like foods, lotions, creams, nutritional supplements tend to have potential liabilities. So, it is good to ignore such products.

On the other hand, categories like shoes and clothing are worth noting too. Since most individuals have their brand preferences, creating your brand might not be successful.

Lastly all you need is to access the Xenonhunt’s tools and get everything in a single place. The tools are exclusively designed to give you an estimate of monthly sales, monthly revenue, number of reviews, and a bunch of other useful tools to make the research more enhanced, efficient, and organized. It is a great way to quickly and easily validate your Product Research.

What Not To Do While Doing A Product Research?

Outlined are the key mistakes that sellers often tend to do while researching a product on Daraz. So, make sure not to do them.

Choosing a very small niche

It is important to choose an active market – where your products get noticed and sold. Never do the mistake of narrowing down too much, especially in some obscure product categories.

Setting up products for an extremely low price

As a seller, the moment you start racing by offering the lowest price than the competitors, understand that you are sabotaging your income in a great way.

Your pricing decision should never be based on what your competitors have put up, as you aren’t aware of their profit margins, sourcing costs, or the logic behind their scheme.

Nevertheless, if you put up the product price below your planned price (considering the competition), you will undermine your online business.

Consequently, your unit finances are out of whack, or even worse, you put your selling occupation in the “low-quality and low-cost” quadrant.

Selling undifferentiated products

You need to realize that Daraz is no longer like the one it used to be a few years ago. Those god olden days are gone. It has become more saturated and competitive today. You cannot private label speedy chopper, silicone gloves, or door stopper and collect that hefty check. If you are choosing undifferentiated items, it becomes even harder to sell.

Not calculating the profit margins

This is another big mistake new sellers tend to do. They underestimate the kind of impact Daraz’s fee can have on the products they prefer to sell. Hence, it is very important to use a good Net profit calculator to know proper estimates for a product.

Closing Notes

For all the ideas mentioned above, you can get your product sold in any of the ways mentioned below

  • Taking the same product with or without some improvement
  • Creating a color or size or feature variation of the same
  • Creating an accessory for a high performing product which may also sell well
  • Create variation with more gift-able packaging
  • Bundling is very advantageous. You can bundle the products at a reduced price. This way you provide more value to the user as well as increase your profits for the same product.
  • Packaging innovation of the same high selling product that may increase the appeal of buying the product.

If you follow these steps, your Daraz Product Research will not only be comprehensive but super competitive. To get the ball rolling, identify exciting products to sell and competitively list your products to start playing with the big boys.

To make that happen, it’s a smart idea to have XenonHunt by your side. We will handle all the tricky bits you might not think about and allow room for customization when you want to step in and take control.

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