Yeah, there are definitely too many FBA sellers who are 100% reliant on the Amazon audience for sales. No online store (Shopify etc.), no marketing, no email list etc. It's hard hearing those cases where seller accounts get turned off for some reason and the seller has to fight to get them item back online.
As for some being "scammy" - yeah sure, there's definitely a bit of people looking to make a quick buck on whatever they can at FBA. Every market has that. But the people I've seen have the most success on FBA do just what you mentioned
- listen to the customer via reviews
- improve value via product fixes, bundling, packaging, etc.
- provide good feedback & service
That said - I don't know how anyone selling commodity, off-brand stuff does it. I could see that being a huge race to the bottom as stated. The only people I know doing FBA stuff are going the private label route to avoid competing solely on price.
My brother actually makes a full-time living off of FBA now via private label goods. He really enjoys being his own boss and providing a BETTER product than what was available before.
I sold my first FBA product, not a huge success, but validated the business model is real if you work at it. FYI - I've started compiling info for small-scale eCommerce sellers at http://www.privatelabelweekly.com for any sellers interested.
As for some being "scammy" - yeah sure, there's definitely a bit of people looking to make a quick buck on whatever they can at FBA. Every market has that. But the people I've seen have the most success on FBA do just what you mentioned
- listen to the customer via reviews - improve value via product fixes, bundling, packaging, etc. - provide good feedback & service
That said - I don't know how anyone selling commodity, off-brand stuff does it. I could see that being a huge race to the bottom as stated. The only people I know doing FBA stuff are going the private label route to avoid competing solely on price.
My brother actually makes a full-time living off of FBA now via private label goods. He really enjoys being his own boss and providing a BETTER product than what was available before.
I sold my first FBA product, not a huge success, but validated the business model is real if you work at it. FYI - I've started compiling info for small-scale eCommerce sellers at http://www.privatelabelweekly.com for any sellers interested.