If you’ve been struggling to find success selling on Amazon, you’re not alone. Many sellers chase fierce competition and get lost in the crowd. Did you know that focusing on low competition products can unlock hidden goldmines? This guide will show you exactly how to spot and validate these opportunities so you can stand out and grow your business.
What counts as low competition on Amazon?
Many sellers think low competition means no one else sells the product. That’s a misconception. Low competition usually means fewer sellers actively ranking for and heavily marketing a product niche—especially with strong keywords and reviews.
Why? Because many products have plenty of interest but aren’t saturated with top-performing sellers or massive ad spend.
To identify low competition:
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Look for products with fewer than 1000 competing listings ranking for key search terms.
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Use tools like Amazon’s Product Opportunity Explorer to check if annual sales surpass $3M but have manageable competitor numbers.
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Find keywords with decent search volume but lower competition according to keyword tools.
Key takeaway: Low competition means you can rank well and capture demand without battling a giant sea of sellers. According to sellers’ data, targeting niches with moderate demand but under 25% keyword competition boosts chances of success dramatically.
Why most sellers overlook hidden opportunities
The biggest mistake? Sellers only chase trending or high-demand products without analyzing competition depth.
Here’s why it happens:
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Most sellers want quick wins and jump on hot items, getting buried under thousands of reviews.
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They fear “small markets” and miss profitable niches with meaningful but less obvious demand.
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Some don’t know how to research effectively and rely on guesswork.
So, what can you do instead?
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Focus on “middle ground” niches: enough demand to sell consistently, but not flooded with top competitors.
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Use competitive data—not just sales volume—to find gaps.
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Pick product types with room to differentiate on quality, bundling, or branding.
Remember: Overlooking hidden niches results in wasted ad budgets and frustration. Sellers who dig deeper see profitability jump by 20-30% more than those chasing hype alone.
Using keyword research to detect gaps in the market
Keyword research is your secret weapon to uncover low competition gems.
Start by:
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Identifying top competitor ASINs.
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Plugging them into reverse ASIN tools (like Helium 10’s Cerebro) to see what keywords they rank for.
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Filtering for keywords with decent search volume but fewer than 1000 competing products.
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Collecting relevant “golden keywords” that competitors miss or underutilize.
Why does this matter?
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Keywords drive search visibility. Ranking for low competition yet relevant keywords skyrockets your listing’s traffic.
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According to Helium 10 data, focusing on low competition keywords can increase conversion rates by up to 28%.
Here’s how to implement it:
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Use tools to map keyword opportunities before sourcing products.
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Prioritize keywords with buyer intent signals (click and purchase rates).
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Continuously refine your listings to improve rankings on these gaps.
Bottom line: Smart keyword research reveals market gaps where you can rank faster and start selling without burning cash on expensive ads.
Case examples of overlooked product niches
Some of the biggest Amazon wins come from niches others ignored:
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Eco-friendly kitchen gadgets with moderate demand but fewer than 500 active sellers.
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Specialty fitness accessories targeting micro-segments like resistance bands for seniors.
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Travel organizers with unique features that aren’t well served by existing brands.
For example, a seller who focused on a niche category like “silicone stretch lids” found a product with steady demand ($3M+ annual sales) but below 10 major competitors dominating search results. They grew sales quickly by optimizing keywords others overlooked.
These case studies show:
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Low competition doesn’t mean low sales.
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You can thrive by choosing niches with a clear audience but few dominant players.
How to validate a product before investing
Launching without validation is a costly mistake many make.
Here’s a clear step-by-step to avoid that:
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Set your success criteria upfront (e.g., $150k/year revenue, 20-25% profit margin, 400+ monthly sales).
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Use Amazon’s Product Opportunity Explorer to confirm demand metrics (annual sales, units sold, seasonality).
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Analyze competition by looking at reviews, ads, and top sellers’ strength.
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Confirm profitability by factoring in product cost, shipping, Amazon fees, and ad spend.
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Test with small batches or launch with a minimal viable product to gather real customer feedback.
This disciplined validation process reduces risk and ensures your investment targets real opportunity.
Balancing competition level with demand
Too often, sellers pick high demand but ultra-competitive markets, or very low competition but no real buyers.
The sweet spot is:
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Moderate to high demand (>$3M annual sales or local niche demand).
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Low to medium competition (keyword competition under 25%, competitors manageable).
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Room to differentiate with branding, bundles, or better customer service.
Why it matters:
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Balancing demand with competition improves profitability and reduces costly price wars.
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Pricing strategies work better when you’re not the cheapest but the best visible option.
Pro tip: Regularly monitor competition and demand trends to adjust your focus and stay ahead.
You don’t need to do everything at once — just start with one step today. Focus your keyword research, validate one product idea carefully, and explore hidden niches patiently.
Which of these tips will you try first? Share your biggest challenge in the comments — I’d love to hear it.
Want help with finding your next low competition product? Let’s chat.
FAQs
Q: What defines low competition products on Amazon?
A: Low competition products have fewer strong sellers competing on key keywords, making it easier to rank and convert.
Q: How can keyword research uncover product opportunities?
A: By identifying keywords with good search volume but less competition, you can find gaps competitors haven’t exploited.
Q: Why do sellers miss low competition niches?
A: Many chase trending products or underestimate the potential of smaller but steady markets.
Q: What tools help validate Amazon products?
A: Amazon’s Product Opportunity Explorer, Helium 10, and reverse ASIN lookup tools are top choices.
Q: How do I balance competition and demand when selecting a product?
A: Choose products with moderate to high demand but manageable competitor levels for best results.
