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Jungle Scout Wholesale: Everything You Should Know to Start

July 12, 2024
Written and researched by experts at AvadaLearn more about our methodology

By Sam Nguyen

CEO Avada Commerce

Starting an Amazon wholesale business can be tough, but Jungle Scout simplifies the process and boosts profits. This guide will walk you through setting up your account, finding winning products, and connecting with suppliers. You also learn how to optimize your listings, manage inventory efficiently, and use data-driven strategies to stay ahead of the competition.

Amazon Wholesale: At a Brief

Amazon Wholesale is a business model where sellers purchase bulk quantities of products directly from brands or authorized distributors and then resell them on Amazon. This model offers entrepreneurs and established businesses a unique opportunity to leverage the vast reach of the Amazon marketplace and tap into existing product demand. 

Unlike private label sellers who create their own products, wholesale sellers focus on sourcing popular, established brands with proven track records.

How it differs from other Amazon business models 

Amazon Wholesale stands apart from other Amazon business models in distinct ways:

Wholesale vs. Private Label

  • Product Origin: Wholesale focuses on reselling existing products from established brands, while private label involves creating and branding your unique products.
  • Control: Wholesale sellers have limited control over branding and product differentiation, while private label sellers have complete control over their brand identity and product design

Wholesale vs. Retail Arbitrage

  • Sourcing: Wholesale involves buying in bulk directly from manufacturers or distributors, while retail arbitrage involves finding discounted products from various retailers.
  • Pricing: Wholesale sellers leverage bulk discounts to offer competitive prices, while retail arbitrage sellers rely on price discrepancies between retailers and Amazon.

Wholesale vs. Dropshipping

  • Inventory: Wholesale sellers own and manage their inventory, while dropshippers never handle the product directly.
  • Fulfillment: Wholesale sellers can choose to fulfill orders themselves or use Amazon FBA, while dropshippers rely on their suppliers to ship products directly to customers.

How Jungle Scout Supports Wholesale Sellers

When it comes to wholesale selling on Amazon, Jungle Scout stands out as a useful tool for streamlining operations and maximizing profits. Let’s explore how Jungle Scout can boost your wholesale business: 

Product Research Tool 

One of Jungle Scout’s most robust features is its product research capabilities. This tool is essential for identifying lucrative niches and products with high market potential.

Product Database

Jungle Scout’s Product Database is a goldmine for finding profitable niches. It includes a vast collection of products listed on Amazon, easily filtered by various criteria like category, price, and sales. This allows me to identify high-demand, profitable products. 

Product Database

Moreover, the database helps me determine the trending items that are perfect for wholesale. By analyzing sales data and identifying products with consistently high demand and healthy profit margins, I can confidently select products that are likely to be successful in the wholesale market.

Opportunity Finder

The Opportunity Finder in Jungle Scout for wholesale is a powerful tool that helps sellers identify profitable product opportunities. By analyzing market trends, sales data, and competition levels, it shows niches with high demand and relatively low competition. 

Opportunity Finder

Instead of relying on guesswork or intuition, the Opportunity Finder provides concrete data on estimated sales, revenue potential, and competition levels. This empowers sellers to make informed decisions about which products to stock, ensuring they invest in items with the highest profit potential.

Product Tracker

Jungle Scout’s Product Tracker provides a detailed view of a product’s performance over time. By monitoring key metrics like sales volume, pricing trends, and inventory levels, I can gain a deep understanding of a product’s market dynamics.

Product Tracker

Keyword Scout 

Keyword Scout is a vital tool in Jungle Scout’s product research suite, designed to help wholesale sellers. It works as a search engine for Amazon keywords, providing insights into search volume, competition, and PPC costs. By entering relevant keywords or ASINs, sellers can discover the exact terms customers use to find products like theirs. 

Keyword Scout

Sales Estimation & Review

In addition to solid product research tools, Jungle Scout offers invaluable sales estimation and review features, helping wholesalers keep a close eye on their financial health.

Profit Overview

The Profit Overview tool acts as your financial dashboard. It offers insights into sales trends, expenses, historical profit data, and other vital metrics. 

Profit Overview

By monitoring these metrics, I can quickly see which products are performing well and identify areas where I can cut costs or optimize spending.

P&L Statement

Jungle Scout’s P&L Statement, part of its Sales Analytics tool, gives wholesale sellers a clear picture of their Amazon business finances. It breaks down revenue and expenses, showing which products are most profitable and where costs are high. This detailed analysis helps sellers pinpoint areas for improvement, like reducing expenses or adjusting pricing.

Additionally, it simplifies tax preparation by providing a complete record of income and expenses.

Marketing & Advertising 

Jungle Scout offers essential features for marketing and advertising. These tools help wholesale sellers manage promotions, automate review requests, and optimize ad campaigns, ensuring a comprehensive approach to growing their Amazon business. 

Promotions

Jungle Scout’s Promotions tool lets you launch and manage promotional campaigns directly from the platform. Whether you’re looking to offer discounts or special deals to boost sales, this tool simplifies the process. 

From my experience, setting up promotions through Jungle Scout is straightforward and helps increase product visibility and sales during peak times or special events.

Review Automation

Jungle Scout’s Review Automation is a valuable tool for wholesale sellers, simplifying the process of gathering crucial product reviews. Automatically sending review requests to eligible customers saves sellers valuable time and increases the likelihood of receiving feedback, ultimately boosting product visibility and sales. 

Review Automation

Additionally, the feature’s data insights allow sellers to track the effectiveness of their review strategy, making data-driven improvements for continuous growth. 

Ads Analytics

Jungle Scout’s Ads Analytics tool provides detailed insights into key metrics such as Advertising Cost of Sales (ACoS), Total Advertising Cost of Sales (TACoS), click-through rates (CTR), conversion rates (CVR), and cost per click (CPC).  This helps me get a clear overview of your ad spend performance and profitability. 

Ads Analytics

Inventory Management 

Jungle Scout’s Inventory Manager is a valuable tool for wholesalers who are selling on Amazon. It helps predict demand accurately, preventing costly stockouts and overstocks. 

Inventory Manager

Jungle Scout’s Inventory Manager helps you stay updated on your inventory status. It tracks stock levels, sales data, and lead times, guiding you on when to restock. This tool prevents stockouts, leading to lost sales and lower customer satisfaction. By analysing sales patterns and predicting future needs, Inventory Manager ensures you maintain optimal stock levels so you never run out of popular products.

Moreover, it evaluates Amazon storage fees by monitoring how long products stay in the warehouse. Consequently, you can avoid unnecessary long-term storage fees, which can quickly add up.

Product Costs and Settings

Product Costs and Settings

The Product Costs and Settings tool helps you track the costs of each product sold on Amazon. It alerts you to price changes, so you can stay on top of your expenses. Additionally, this tool allows you to adjust product prices and settings for accurate reporting throughout Jungle Scout.

Additional Jungle Scout Tools & Resources

These features go beyond product research and sales analytics, helping you create optimised listings, find and manage suppliers, and streamline your workflow with a handy browser extension. 

Listing Builder

Creating compelling product listings is crucial for attracting customers and driving sales. Jungle Scout’s Listing Builder offers several features to help you optimize your listings:

  • Keyword optimisation: Provide data-driven keyword recommendations to ensure the listing includes the most relevant search terms
  • Creating new keyword lists: Flexibly add winning keywords to your listing products 
  • Keyword usage tracking: As you compose your title, bullet points, and description, the tool can track the keyword you have used and which keywords should be needed 
  • AI Assist: This feature uses machine learning to generate optimized product titles and descriptions, saving time and effort.
Listing Builder

Supplier Tracker

Finding reliable suppliers is a critical step in building a successful wholesale business. Jungle Scout’s Supplier Tracker helps you manage and organize your suppliers:

  • Save and organize suppliers: You can save supplier information and organize them into groups for easy access.
  • Track communication: Add contact info for each supplier and keep track of your communications.
  • Sample analysis: Upload photos and add comments about the quality of any samples you receive.
  • Quote comparisons: Store and compare quotes from different suppliers in one place.
  • Purchase orders: Create professional purchase orders once you’ve selected a supplier.
Supplier Tracker

This tool has streamlined my supplier management process, making it easier to keep track of communications and compare quotes.

Supplier Database

The Supplier Database is a powerful tool for finding high-quality suppliers. It provides up-to-date information, including addresses, shipping histories, and customers:

  • Search options: You can search by product name, company name, supplier name, or ASIN to find potential suppliers.
  • Detailed information: The database reveals the top U.S. customers of the supplier, ensuring they have a history of shipping to the U.S. It also shows the weight and quantity of shipped orders.

Browser Extension

The Jungle Scout browser extension allows you to use some of its tools directly from Amazon’s search results page, product listing pages, and Seller Central home page:

  • On-the-Go analysis: Get average monthly sales, average sales rank, and Opportunity Score of products, keywords, and niches without leaving Amazon.
  • In-depth insights: Perform deeper analysis on individual listings to see sales volume, monthly revenue, FBA fees, income after fees, and more.
Browser Extension

Step-by-Step Guide to Amazon Wholesale Success

Starting a wholesale business on Amazon involves several critical steps to ensure success. Below is a detailed guide to help you navigate the process effectively.

Step 1: Before Getting Started: Amazon Wholesale Account Requirements

Before contacting any brands, it is essential to prepare the necessary documentation and meet their prerequisites for opening a wholesale account:

  • Establish a legal business entity: This could be an LLC, corporation, or sole proprietorship. Registering your business is crucial because most brands and distributors require this information for wholesale applications.
  • Obtain a resale certificate: This certificate allows you to purchase products tax-free from brands, distributors, or wholesalers. To get one, apply through your state’s tax office.
  • Apply for an EIN: An EIN is necessary to open a business bank account, apply for business licenses, and file taxes.
  • Amazon’s policies: Familiar yourself with Amazon’s selling policies, especially those related to wholesale.

Step 2: Conduct thorough Product Research

Jungle Scout offers powerful tools to help you identify profitable products and understand your competition. Here’s how you can use Jungle Scout to conduct effective product research.

  • Use Jungle Scout’s Product Database

First, click “Product Research” and then “Product Database” and set the search filters depending on your products. 

First, click Product Research and then Product Database and set the search filters depending on your products. 

Click the orange “Search” button.

Click the orange Search button.

After finishing all the information, you should be on a page like the one below with numerous potential winning products. 

After finishing all the information, you should be on a page like the one below with numerous potential winning products. 

Once you’ve found one without legal or regulatory concerns, click on the Amazon logo next to the product title.

  • Explore the Opportunity Finder

The Opportunity Finder is another powerful tool within Jungle Scout that helps you uncover high-demand, low-competition products.  Using the Opportunity Finder to start your product research: 

First, click the “Product Research” tab in the dashboard menu. Then, choose the “Opportunity Finder” option from the list.

First, click the Product Research tab in the dashboard menu. Then, choose the Opportunity Finder option from the list.

After that, adjust the search filters to match your desired criteria. Here are some recommended settings:

  • Exclude categories
  • Average monthly units sold
  • Monthly search volume
  • 30-day search trend
  • Competition and seasonality

Once your filters are set, click the “Search” button to begin the search process.

  • Analyze Competitors’ Listings

To succeed in Amazon wholesale, it’s important to understand what your competitors are doing. 

First, go to the “Product Database” to search for similar products.

Then, identify top sellers by looking at products with high reviews, consistent sales, and high sales ranks. For example, select your competitors’s average price from your search results.

 identify top sellers by looking at products with high reviews, consistent sales, and high sales ranks

Step 3: Build Relationships with Suppliers

This step involves finding potential suppliers, making initial contact, and negotiating terms to ensure a smooth and profitable partnership. Here’s how you can effectively build relationships with suppliers using Jungle Scout.

  • Contact Potential Suppliers

Jungle Scout’s Supplier Database is a fantastic tool for this purpose. Once logged in, locate the main navigation menu. Click on the “Suppliers” tab to access the Supplier Database. 

Then, use the search bar within the Supplier Database to find suppliers for your desired products.

Contact Potential Suppliers

After identifying potential suppliers, the next step is to make contact. Introducing yourself is essential whether you choose to reach out via email or phone.

  • Negotiate Terms

Negotiating terms with suppliers is a critical step to ensure profitability. Here are some key points: Minimum Order Quantities (MOQs), pricing and payment terms.

When negotiating with suppliers, I always emphasized the potential for a long-term partnership and the benefits of working together. This approach often helped me secure better terms.

Step 4: Creating Optimized Product Listings 

Jungle Scout provides powerful tools to help you craft listings that rank well and convert visitors into buyers. 

  • Use Keyword Scout for High-Traffic Keywords

Start by clicking “Keywords” → “Keyword Scout” from the left-hand navigation panel.

Then, enter a keyword in the search field, and click the “Search” button. 

enter a keyword in the search field, and click the Search button

After that, choose keywords that have high search volume but relatively low competition. These keywords are more likely to help your listing rank higher in search results.

Once you have your list of high-traffic keywords, it’s time to incorporate them into your product listing

  • Use High-Quality Images and Create A+ Content

Make sure to use high-quality images that showcase your product from different angles.  Then, create A+ content, which allows you to add more detailed information, images, and videos to your product listings.

Step 5: Manage Inventory and Fulfill Orders

Choosing the right fulfillment method and maintaining optimal stock levels ensures smooth operations and satisfied customers. 

  • Choose Between FBA and FBM

One of the first decisions you must make is using Fulfillment by Amazon (FBA) or Fulfillment by Merchant (FBM).

  • FBA (Fulfillment by Amazon): With FBA, Amazon handles storage, packaging, and shipping of your products. They also take care of customer service and returns. This is an excellent option to scale your business quickly without worrying about logistics.
  • FBM (Fulfillment by Merchant): With FBM, you handle storage, packaging, shipping, and customer service. This method gives you more control over your inventory and can be cost-effective if you have the resources to manage fulfillment.

When I started, I opted for FBA because it allowed me to focus on growing my business while Amazon handled the logistics. However, FBM might be the better choice depending on your resources and preferences.

  • Maintain Adequate Stock Levels

Jungle Scout offers tools like Inventory Manager to help you keep track of your stock levels and predict when to reorder.

Maintain Adequate Stock Levels

Once logged in, find the left toolbar. Then, click the “Inventory” icon to access the Inventory Manager. 

In the Inventory Manager, get a snapshot of your inventory’s performance, including sales trends and stock levels.

Step 6: Market and Promote Your Products

Jungle Scout’s Ads Analytics tool can help you optimize your PPC campaigns for better performance. 

From the Jungle Scout dashboard, find the left-hand navigation panel. Then, click on the “Advertising” tab.

Click “Ads Analytics” in the Advertising section to access the feature. 

Navigate back to Ads Analytics and review the populated charts and metrics to analyze the performance of your advertising campaigns across different marketplaces below:

Market and Promote Your Products

Beyond Amazon PPC, use platforms like Facebook, Instagram, and Pinterest to promote your products. Share engaging content, run ads, and interact with potential customers to build brand awareness and drive traffic to your Amazon listings.

Step 7: Analyze and Optimize Your Performance

Jungle Scout provides several essential analytics tools for tracking your business performance: Sales Analytics, Profit Overview, and Inventory Manager. 

First, navigate to the Sales Analytics or Profit Overview section in Jungle Scout. Then, click on the dropdown menu to open the date picker.

After that, select the date range or enter a custom time frame using the date picker. Click “Apply” to update the statement with information corresponding to the selected date range.

Analyze and Optimize Your Performance

Additional Tips and Strategies for Wholesale Success

Achieving success in Amazon wholesale involves more than just the basics. Here are additional tips and strategies to enhance your business.

Additional Tips and Strategies for Wholesale Success
  • Diversifying Your Product Portfolio: By having various products, you can cater to different customer needs and reduce dependence on a single product line.
  • Staying Informed About Market Trends and Competitor Activity: Keep up-to-date with market trends and monitor your competitors’ activities. Use tools like Jungle Scout’s Market Intelligence to stay ahead of trends and adjust your strategies accordingly.
  • Building a Strong Brand Presence on Amazon: Use high-quality images, compelling product descriptions, clear messages, or strong action will improve customer loyalty.
  • Providing Excellent Customer Service: Respond promptly to customer inquiries, address any issues swiftly, and encourage positive reviews to enhance your brand’s reputation.

Final Thoughts

Jungle Scout can make your Amazon wholesale business easier and more successful. Its tools help find products, source suppliers, optimise listings, and track performance. Following the steps for setting up your account, researching products, building supplier relationships, and continually optimizing your strategies will help you succeed. 

FAQs

Yes, Jungle Scout offers a Supplier Database to find verified product suppliers. This helps ensure you are sourcing from reliable manufacturers and distributors.

Yes, you can buy wholesale products and resell them on Amazon. This involves purchasing products in bulk from suppliers and listing them on Amazon for retail sales.

To purchase bulk items for resale, you need to contact suppliers, negotiate terms, and place bulk orders. Jungle Scout's Supplier Database can help you find reputable suppliers for your bulk purchasing needs.

Yes, wholesaling on Amazon can be profitable. Many sellers report achieving profit margins of 15% or more, and it often involves selling well-known brands that already have market demand.​


Sam Nguyen is the CEO and founder of Avada Commerce, an e-commerce solution provider headquartered in Singapore. He is an expert on the Shopify e-commerce platform for online stores and retail point-of-sale systems. Sam loves talking about e-commerce and he aims to help over a million online businesses grow and thrive.