Leveraging AI for Product Research Tests
In today's competitive e-commerce landscape, finding profitable products to sell can make or break your business. Traditional product research is time-consuming and often relies on incomplete and a shrinking pool of data. But what if AI could help you identify market opportunities more efficiently? In this post, ShelfTrend explores how AI-powered research can transform your product selection process.
The Challenge: Finding Market Demand
As an auto parts seller or manufacturer, one of the most critical questions is: "Is there enough demand for this product to make it worth selling?"
To answer this question ShelfTrend AI analyzed the Toyota Hilux 2022 brake pad cross border opportunity between the UK and Australia markets. The USA is excluded as the Hilux isn’t sold there but this analysis would work equally for the Toyota Tacoma and Tundra that are Toyota local models
OK Let's see what insights emerged on a broad search for “Toyota Hilux Brake Pads 2022”
Case Study: Toyota Hilux Brake Pad Market Analysis
The Product
ShelfTrend analyzed Toyota Hilux 2022 brake pads in both the UK and Australian markets to demonstrate how opportunities compare across regions.
What AI Can Extrapolate
Using AI, ShelfTrend was able to generate reasonable estimates based on:
Vehicle sales volumes
Replacement cycles
DIY market percentages
Platform preferences
Competitive landscape
Let's look at some of the data:
Toyota Hilux: A Tale of Two Markets
The power of AI-driven research becomes clear when comparing international markets:
This comparison immediately reveals that Australia represents a much stronger market for Hilux brake pads, with nearly 5 times the potential customers compared to the UK.
Key Benefits of AI-Powered Research
1. Rapid Market Assessment
Within minutes, AI can analyze multiple markets and product opportunities that would take days with traditional research methods.
2. Data-Driven Decision Making
By incorporating variables like:
Production volumes
Replacement cycles
DIY percentages
Platform preferences
AI provides structured estimates based on logical assumptions rather than gut feelings.
3. Cross-Market Comparison
As shown in our Hilux example, AI can quickly identify which geographic markets offer the best opportunity for your product.
4. Cost-Effective Research
Traditional market research firms charge thousands for similar analyses. AI tools can provide comparable insights at a fraction of the cost.
How to Apply This to Your Business
When using AI for product research, consider these best practices:
Provide Specific Products: The more specific your product description, the more accurate the analysis.
Ask About Variables: Understanding what data points impact sales estimates helps you refine your research.
Compare Markets: Don't limit yourself to one region or marketplace—cross-market comparisons often reveal surprising opportunities.
Validate Key Assumptions: While AI provides reasonable estimates, verify critical data points where possible.
Use for Initial Screening: AI research is ideal for initial product screening before investing in inventory.
Limitations to Keep in Mind
AI-powered research is powerful but not perfect:
Estimates are based on available data (in this case, up to October 2024)
Actual results will vary based on execution, pricing, and competition
Some niche markets may have limited available data
AI-powered product research represents a significant advantage for online sellers looking to identify profitable opportunities. By quickly analyzing market size, competition, and sales potential across different platforms and regions, you can make more informed inventory decisions and focus your efforts on the most promising products.
As demonstrated with our brake pad analysis, AI can help you identify not just whether to sell a product, but where to sell it, on which platforms, and what volume to expect—all crucial information for inventory planning and business forecasting.
What Are Your Product Research Challenges?
ShelfTrend wants to hear from you! What products have you been considering but aren't sure about the market potential? What research challenges have you faced when trying to find profitable items to sell?
Share your experiences in the comments below or email us at contact@shelftrend.com
Your insight might be featured in our next AI product research case study!
Sources used for these estimates include Toyota Annual Reports, Australian Federal Chamber of Automotive Industries, UK Society of Motor Manufacturers and Traders, Auto Care Association Market Research, eBay Motors Market Insights, and various transportation departments. All figures should be considered estimates based on data available as of October 2024.