15 Best High-Margin Products to Sell Online
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A high-margin product is a golden goose for online businesses: a product that is low cost to secure and store but high profit when it comes to selling. With inflation on the rise in many global markets, you don’t want to be stuck surviving from sale to sale as the price of things increases. Instead, wouldn’t it be better to have that significant profit overhead so you can relax and keep your online business afloat through these choppy waters?
With this guide, we’ll help you identify and eventually take advantage of the best high profit margin products to sell online, and more importantly which platforms to sell them on. Shopify is fantastic for online stores selling more than 20 products thanks to its powerful inventory, while Squarespace is great for building online stores with lots of product images.
Wix is more suited to smaller stores with limited or homemade inventories. There are also third-party apps like Amazon and Etsy to sell on, but wherever you do sell remember it’s the profit margin that will keep you high and dry in these uncertain times. So let’s explore 15 of the best high-margin products for you to sell online!
What Are the Attributes of High-Margin Products?
- High quality
- High demand
- Limited competition
- Potential for repeat custom
- Easy to ship
- Durable and sustainable
- Sellable all year round
- A high enough price point to make a profit (but not too high that it makes it hard to sell)
- Easily marketable
Where to Find Inspiration for High-Margin Products?
The trick to choosing the best high-margin products to sell online is to do your research. Customer demand and consumer trends are two of the most crucial factors to consider. After all, why sell a product nobody actually wants to buy?
We’ve listed some of the best places below where you can find inspiration for high-margin ecommerce products.
Google Trends is a free tool that allows merchants to better understand what products their customers are interested in. The tool offers invaluable data and insights into the most popular products on the market.
Social media is a great place to find inspiration for almost anything, including high-margin products. People love to share product information, hacks, and wish lists so be sure to monitor relevant hashtags and groups. Identify your target audience and undertake research to discover what products they’re talking about online.
Major ecommerce platforms such as Amazon and eBay usually feature a “trending products” section featuring the most popular items. Although this is used as a prompt to encourage visitors to buy more, you can use it for inspiration on what is currently popular online.
Closely monitor your competition to see what products are selling well for them – do they have items that are regularly out of stock creating a gap for you to fill?
Make sure that there isn’t already more than enough opportunity to buy your chosen product online. Too many merchants offering the same item will make it harder for you to price competitively, causing a hit to your profit margins.
Now you’ve got a clearer idea about what high-margin products are and where to look for them, it’s time to check out our list of the best high-margin products to sell online, to help you boost conversions, sales, and profits.
If you’re wondering what product has the best profit margin – Jewelry remains one of the most popular products on the market. And selling jewelry online offers merchants a great chance to boost their profit margins.
Depending on your supplier you could look to markup your prices by up to 100%, making jewelry one of the best high profit margin products.
It also benefits from year-round interest, since there’s always someone to buy jewelry for, or an event that needs a special piece.
Jewelry is a great product for merchants because it’s often easy to store and ship, helping you to keep your overheads low and boost your profit margins even further.
#2 Beauty Products
Beauty products such as makeup, skincare, fragrance, nail supplies, and wellness products are some of the highest margin products available.
With so many suppliers and manufacturers, you’ll be sure to find a great wholesale price and the items themselves are often easy to display and market to customers.
The beauty industry also provides you with various niches to choose from (hair, skin, natural products, etc) allowing you to create a defined niche that stands out from the competition.
These items aren’t impacted by seasonality, and annual beauty sales online hit an estimated $25.73 billion – making it one of the most profitable products to sell online.
With such great value, however, comes great competition. There are already multiple popular online merchants selling beauty products online so you’ll need to carve out your own niche in order to succeed.
#3 Bamboo Toothbrushes
It’s never been a better time to go green. Eco-conscious shoppers are looking for items that come with good green credentials.
One of the best high-margin sustainable products you could decide to sell are bamboo toothbrushes. Sustainability isn’t a trend that’s going to disappear so you can rest assured that there will always be a market for wooden brushes.
Bamboo toothbrushes are biodegradable (their key selling point) and are flying off the shelves. They’re easy to source, lightweight to store and ship, and need to be replaced throughout the year, all but guaranteeing you return custom.
The sun is always shining somewhere, even if it may not feel like it in the deep depths of winter.
Sunglasses, therefore, are a great high-margin product option. Whether it’s someone living in a sunny clime or a customer about to go on vacation, there is always demand for stylish sunglasses.
If you find a good supplier you’ll be able to get your hands on a stock of sunglasses for a great price, and you can even consider using a dropshipping supplier to remove the hassle of storage and shipping.
Watches make a great high-margin product, mainly because there are so many options available.
Analog watches, smartwatches, designer watches, or outdoor watches; there are multiple categories and sub-niches for you to explore.
Watches are no longer just about telling the time, and customers want attractive timepieces that are an accessory in their own right. There are no seasonality limits but you’ll likely see a boost around major holidays such as Christmas and Valentine’s Day.
#6 Women’s Apparel
There is always a high demand for women’s apparel – in fact, it’s one of the most popular online sales niches. In the US alone the industry hit revenue of over $160,000 million in 2021.
Whether you decide to create your own line or source from other suppliers, you can usually keep your overheads low with bulk orders, allowing you to further boost your profit margins.
There’s already a ton of competition out there so you need to find a niche, such as designer coats or plus-size fashion, in order to get your ecommerce store in front of the right eyes.
Not being dependent on developers was the #1 reason I chose Shopify, and it saved me money. I find Shopify easy to use, both front end and back end. It accommodated selling footwear in multiple sizes and widths without extra coding.
Shopify 2.0 was not released when I launched, and I have not updated to it yet. I wished I had known it was about to be released. I think the feature of removing and re-arranging sections throughout the site is a good one. I am using Shogun to build landing pages. It would be nice to have a feature like that built into all themes.
#7 Fitness Equipment
More and more people are looking to stay fit and active from the comfort of their own homes. Thanks in a large part to the COVID-19 pandemic, people are looking for fitness equipment to implement into their routines.
Whilst there are many suppliers already online, the popularity of the items makes sourcing available stock tricky, providing you with a gap in the market to fill.
The active market means you can considerably markup your products and still appeal to customers. Take a look at the competition and see what sells out quickly from their sites when choosing which products to stock.
#8 Yoga Leggings
If you can combine a high-quality pair of yoga leggings with unique designs then you’ll have a great high-margin product on your hands.
Whilst the initial cost of yoga leggings is often higher than that of other product options, they continue to be an item that’s popular all year round.
You can earn up to a 30% profit if you manage to cater to specific interests and niches, for example, “HIIT Yoga Leggings” or “Yoga Leggings for Running”.
Whilst you will need considerable storage space if you choose to fulfill orders yourself, the items are so lightweight that shipping will be a breeze.
#9 Kids’ Toys
There is always going to be a demand for kids’ toys. With birthdays and special achievements spread right through the year, there’s always a reason for parents to add yet another piece of bright plastic to their homes.
Of course, you should expect a seasonal boost in December when Christmas shopping begins, but if you manage to source the very best toy options, you’ll be able to ramp up your profit margins all year round.
Keep in mind that there’s already a lot of competition out there. The best thing to do is to ensure your products meet the highest quality standards, giving parents a reason to pick you above the competition.
#10 Pet Care
Pet care supplies are a great high-margin product thanks to the fact that the profit margin on pet supplies is estimated to be around 60%.
We all know how much we love our pets, and pet owners worldwide are willing to spend a fortune on everything from crates to leads to bowls and toys to keep their furry friends happy.
The great thing about selling pet supplies online is that there are no seasonal trends you need to be aware of. People are taking care of their pets all year round and that won’t be changing any time soon.
The cost of making candles is pretty low, even if you use the most high-quality oils and wax scents.
Candles are always a popular item, so whether people are buying one for themselves or as a gift, you’ll never run out of opportunities to market your products to your target audience.
Generally speaking, customers are willing to pay extra for a high-quality candle that offers a strong scent pay-off, which if you manage to keep your overheads low, will result in a healthy profit margin for you.
#12 Aromatherapy Purifiers
Aromatherapy purifiers are a great high-margin product to sell online thanks to their increased popularity with customers.
Despite an increase in demand, there’s still a relatively low amount of brand names selling them, which is something you can cash in on.
For a quality version customers are willing to pay anywhere from $30 all the way up to $100 for the best of the best. These prices can provide you with healthy profit margins of around 60%. Not to be sniffed at!
#13 Phone Accessories
Our relationships with our smartphones won’t be ending anytime soon and with manufacturers releasing new models every month, there are plenty of opportunities to sell phone accessories.
These could be anything from earphones, cases, charms, cleaning equipment, and trackers.
With people regularly updating their devices there’s always a steady stream of demand. And thanks to the generally small size of smartphone accessories, storage and shipping are easy and low-cost.
#14 Home Office Products
Ahh, the humble home office. Once a rarity on real estate listings, almost every home now has a home office of some description (even if it’s just your kitchen table!)
Thanks to the COVID-19 pandemic, flexible working looks like it’s here to stay, meaning more and more people are choosing to work from the comfort of their own homes.
Demand for office supplies, covering everything from ergonomic chairs to printer paper, is through the roof.
Many companies are also offering their staff subsidiaries on any supplies they buy meaning you can raise your prices without risking losing custom.
#15 Information Products
You don’t just have to sell physical items from your online store. Informational products such as online courses, fitness programs, or photo filters are all examples of high-margin intangible products.
If you have a skill that people would be willing to pay for then providing an information product can be a great way of making money. The ease of the transactions – there are no shipping costs to contend with – makes these kinds of items incredibly popular in the digital age.
Customers have access to the product in seconds, all they have to do is pay and download, meaning they’ll only continue to grow in popularity.
Where to Sell Your Products
You’ve done your research, worked out your potential profit margins, and chosen the high-margin products you want to sell. Now you just need somewhere to sell them!
Selling Through an Ecommerce Builder
All that work finding your high-margin product, and you’re going to trust a third party to sell it? For those of us who like to keep everything on track, an ecommerce builder is the way to go.
Compared to a marketplace, it is more of a time investment but the amount of control you get in the long run can’t be ignored. Additionally, builders like Shopify and Wix make the process more accessible than ever. Wix has the best website features out of all the builders we’ve tested, with a features score of 4.4 out of 5. It’s also great value, making it perfect for beginners starting a small online business. Shopify meanwhile is the king of sales features with an impressive 4.5 out of 5 for its sales tools, and has all the scalability and inventory you need for running a big store with many products.
Shopify and Wix are great options for building an online store rather than just on a marketplace. In our research Wix got an overall score of 4.7 out of 5 due to its ease of use, great features, ecommerce capabilities, and good help and support. Shopify got a score of 4.6 out of 5, because it’s a fantastic all-round ecommerce builder that has great sales features and offers lots of payment options, but is a little trickier to use than Wix.
Remember, there’s no rule that says you can’t sell on both your own website and a marketplace! Multichannel ecommerce made an estimated $350 billion in 2021, so it’s even in your best interest to find multiple platforms.
Make sure you check out our guide to ecommerce website builders to find the one that’s right for you.
Selling on a Third Party Marketplace
The other way to sell your high-margin products is to use a third-party marketplace such as Amazon, Etsy, or eBay. These are well-known and well-trusted platforms where millions of people make online purchases. Competition is fierce, and you’ll have to pay a fee to the marketplace provider – but you get an instant audience ready to buy.
Best High-Margin Products: Summary
Now you know what the best high-margin products are to sell from your online store you can begin planning, purchasing, and updating your online catalog.
It’s always important to remember that having the right products alone won’t make your online store a success. A reliable customer base is also crucial. Marketplaces like Amazon, Etsy, and eBay already give you a massive audience to sell to, but also incur fees. If you’d rather go on your own, you’ll need to invest time creating a great shopfront, a digital marketing strategy, and customer retention tactics.
If you’re a beginner, Wix is better for opening a smaller store and has all the best marketing features and designs to really make your store your own. If you want some incredible templates that focus more on the images of your products then we recommend trying Squarespace, since it scores best for design in our research.
If you’re wanting to operate a bigger store and need more robust sales and business tools, Shopify is our choice.
If you do all this, combined with a great selection of high-margin products, then your ecommerce business is destined for success.
- Beauty Products
- Bamboo Toothbrushes
- Women’s Apparel
- Fitness Equipment
- Yoga Leggings
- Kids’ Toys
- Pet Care
To work out the product margin, that is the gross profit divided by the selling price. So $50/£200 is 0.25 or 25%.