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Are you an Owner or Re-seller?

Knowing whether you are a re-seller or a brand owner is one of the critical questions to be considered in starting an Amazon business.

If you are a re-seller, there is not much value moving the business to Amazon.

Being a re-seller means you need to compete for the buy box and have limited opportunities to make an awesome listing

If you are a brand owner, Amazon is a great opportunity for you as opens a new sales channel, access to million of customers and leverage Amazon’s amazing distribution and fulfilment network

Key Feature – Amazon FBA

One of the key benefits offered by Amazon is their FBA (Fulfillment by Amazon) that was recently launched in Amazon Australia.

Amazon heavily promotes FBA where they store your products, dispatch them and manage most of the customer service.

If you are not yet using the FBA, you will struggle to grow your Amazon sales .

Amazon Brand Registry

One of the keys to have the ability to build an awesome Amazon product listing is Amazon’s brand registry. You will need a trademark and a couple of other things, but its well worth it.

Amazon Advertising

The last thing that you may want to consider would be advertising with Amazon. Amazon has its campaign manager tool, that is easy to use and is similar to google AdWords.

Simply add your product to campaign manager, select either exact, broad or phrase and let Amazon chose the keywords or you can suggest them.

Then within 24 hours, Amazon will provide you with stat’s on how many people viewed your ad, clicked on, sales made and cost per sale….. it’s an amazing tool and really powerful in terms of determining what people are searching for and using that information to update your listing


[00:28] Owner or Reseller?

[03:55] Key Feature – FBA

[07:15] Brand Registry

[09:14] Amazon Advertising

We are Amazon consultants and Amazon FBA experts. If you are an expanding business, want to launch or Amazon or just work with a trusted partner to sky rocket your Amazon sales, then please contact us to see how we can help

Listen to Our Podcast and make your Amazon Sales Shine


****** Full Podcast Transcription below *******

Episode 17

Today’s topic I’m pretty excited about because, we’re writing about if you’re a business owner whether you’re a bricks and mortar or an e-commerce seller, with this you’d actually go online to Amazon and to fair point to us because a lot of people think Amazon is the Holy Grail and you can get amazing results for it. And that’s absolutely true.

Before you do anything to know how to sell on Amazon Australia or internationally, you need to comprehend how Amazon works. If you have the right strategy in place and you know how to work the Amazon system and have the right strategy and marketing behind it. But before we work with any business clients the first thing I always find out is whether they’re a reseller of a product or where they sell their own products.

And the reason being that that’s the most critical question you ask. If you move on Amazon and the reason being if you’re a reseller there’s not much value moving to Amazon. The reason I say that is there’s something called the buy box, and the Buy Box works where if you’re selling steak knives and it’s a brand it’s nice and there’s eight different sellers. Amazon will pretty much send the sale to whoever is at the lowest price.

So, there’s a few other things but if you’re the lowest price and as long as you slow writing is not terrible you’re going to get the sales. So, Amazon works is that there’s only one listing per product but multiple people can sell that product. So, if you’re selling steak knives and as a brand one there’s not eight different listings like eBay has.

There’s just one listing which multiple people can sell. The reason if you’re a reseller is you can’t really differentiate your service compared to anyone else who’s selling it. So you’re selling steak knives and you know that the manufacturer could actually move on Amazon. He’s only at the lowest price and when he lowers his price unless you lower it he’s only at the Buy Box.

So, if you’re a reseller moving on Amazon is one the few times it’s not an ideal option. The reason being is you can’t go into any of the Buy Box and it pretty much becomes a race to the bottom. Whoever can lower the price. The other part is in the US not so much in Australia yet, Amazon is done by more and more products that it uses through its sites or in FBA.

So, what’s happening if they find a really good product that’s moving a lot they actually go out and source out product and store it themselves and sell it under their brand and if you’re competing on that one they’ll just keep dropping the price until you fall off the listing because it’s so low there’s no margins. So, the really important question if you’re a business and so on social and even Amazon the very first question you need to ask is are you a reseller or do you have your own brand if you’re a reseller?

There’s a few situations where you may wonder if the biggest guy out there you know get the best price you’d look at it but for the majority of resellers there’s not much not much benefit in moving to Amazon. So, I always put that one out there because businesses always say give me on Amazon, give me on Amazon and a word with a couple of companies and when I asked them if they are a reseller, look you move on there you’ll get some sales, but for those sales is it really worth the effort of going to all that time and effort to own the Amazon product listing optimization.

On the other hand, if you’re a business and you have your own product where you’re not a reseller then Amazon is an amazing opportunity of thoroughly recommend looking at moving on Amazon. You’re in Australia now is it time to move it slowly opening up the categories. And I’d always recommend going to the US because a market is so big there it’s establish and it’s a really good opportunity.

So, if you’re in a situation where you have your own brand or your own label then Amazon is an amazing opportunity and you must learn all about how to sell on Amazon Australia. A lot of talk about these, lots of times when the key things do need to do is use the FBA service that’s Fulfillment by Amazon.

And that was opened up last week in Australia. There’s a few reasons you need to do this. Firstly Amazon heavily promotes FBA if you’re not using it and what it means is print it. You send your product into their warehouse they store it they send it out. They track it. They deliver customer service.

But if you’re not using FBA if you’re actually doing like an eBay model you’ve got to know you’re in Warehouse. You set up a listing then dispatch it yourself. You’re going to really struggle to get many sales off this. Meantime the pass in free for every 10 units I’d saw through FBA or even 20. Or get one FBM fulfillment by merchant where you keep your in warehouse.

So, if you are a private label your on Amazon, fantastic! As per Amazon FBA experts, you definitely have to move to FBA and that opens up are a bigger question as well because people say well I’ve got my own warehouse at the moment I’ve got my staff I’ve got my logistics the rent all those things that go with it. Does asking question well is it worth having half a warehouse and half Amazon or do you just start moving your whole business into Amazon and cut off a lot of those overheads.

You have an existing warehouse that’s a major shift in your strategy that you need to consider. But one good thing is that Amazon makes it really easy to work out the costs. It’s pretty transparent and flat pricing structure. So, you know every month what you’re going to be for storage and also the cost every month to pick impact so send those out and they’ve got really competitive rates.

So, we’ve actually worked with or with one customer who is now moving out of their existing warehouse and moving all their products onto FBA and it’s not a quick process. They’re looking at one to two years to do that because they are quite a big warehouse of stock if you are a business. That’s another model that people don’t know about is, you can actually start using Amazon as a third-party logistics so you can actually move out of having your own warehouse and then slowly just quietly sort of push out as well.

Every now and then send an email, where they’re suggesting businesses start looking at that, where they look after logistics and all their transportation of your goods. So, it’s definitely something worthwhile to consider along with everything else including Amazon product listing optimization.

So those two things said great if you move to Amazon use FBA you still have to have a great listing. There’s no point moving on Amazon star selling there unless you have an absolutely kickass world class listing and those things are pretty obvious.

I can almost look at a review now a product and tell by their reviews their imagery how much they’re going to be selling in terms of the competition. Normally the first giveaway. Not always. The first one is the top reviewer and has the biggest sales.

And then if you look at the image they’ve got really good imagery in terms of the product itself but also the emotional lifestyle images like people use their products if it is a steak knife. They may be around the kitchen coming up having a laugh. Some pictures of how sharp it is or how to maintain it.

You get those emotional images as well and then they also use, lastly enhanced brain content. So that means there’s a trademark and if you scroll down it’s almost like a website they got all bunch of images and descriptions really cool stuff it’s just not the same as a text. So, going back two or three years on an Amazon listing, you pretty much had your images and using your description at the top and then down the bottom was just some text description that’s all changed now with the brand registry.

So, if you are a business moving onto Amazon you really want to make sure you have that great listing. And one of the key things to do that is to reach in for brand registering and it’s pretty easy to make sure products got trademarked logo on the product you can send it in and it’s a fantastic thing to do and makes your listing look awesome but also protect your listing from other people trying to come on there and sell it and make changes to it.

So, it’s really important to have that to protect your own brand. So, if you’re a business and are considering even Amazon the few things you need to consider first a reseller or a private label private label jump on it. Secondly you have two use FBA if you want to rank high and thirdly you just can’t live on Amazon and not do your homework.

You have to have an awesome listing, imagery, description, lots of customer reviews and an Amazon product listing optimization that really makes people buy. And then lastly, I’m told that you have to be happy to comply with Amazon’s rules and regulations. Amazon has pretty strict on their rules and if you don’t adhere by it they can kick you off pretty quickly. One of their Metrics is that customer emails need to be responded to within 24 hours and it’s even on the weekends.

So, if you are building a move on Amazon you to make sure you get a support team whether your customer support team or if you’re a solopreneur that’s yourself. But you still have to be in the position where you’re responding to people within 24 hours. If you get outside of that it’s one of the key metrics at Amazon measures and you do get penalize.

So, Amazon FBA experts all over the world suggest that using FBA is fantastic because Amazon will look after probably 90 percent of your customer inquiries if not more for 95 percent. But you still need to be geared up to have those in place and you still need to follow all the other cool things. I have great customer service great e-mail sequences encouraging reviews and the whole focus on Amazon in terms of its another sales channel.

It is not just something you set up and put it there but it’s something you really monitor and do well. And probably that’s the last thing you want to look at as well as your advertising on Amazon, Amazon has got a great product called campaign manager and it’s so easy to use it’s almost like Google AdWords but it’s super simple you just put your ads your descriptions you find out how many people are viewing them how much it’s costing how much the key words and pretty soon you know what keywords are being used and you sort of use that to then go and update your listing so it’s a really powerful tool to use.

It will incorporate into tool walks on Amazon. So, guys that’s what I want to cover if you’re a business that looking at moving Amazon it is an awesome and amazing opportunity. Absolutely skyrocket sales but there are few things you need to consider and the really golden question is whether you are a reseller or a private label.

So, I hope that helped today look our job here is to work with businesses and really take them to the next level in terms of sales. We have those guys out there who are just starting out you want some one on one help. We do have a coaching program where you walk you through it and we love helping people. Well our goal here is to help businesses and people succeed on Amazon. If we can be part of that journey then we’d love to hear from you.

So, you guys had a great time reading this article. You got some value. You thought it was great. Feel free to go over to iTunes. Give a great review because that helps us and it helps us help more people.

Have a great day guys. Remember take action and enjoy life.

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