This week it’s a feel good story, knowing that Amazon still has many gold mine opportunities.
You sometimes hear about people launching on Amazon and selling $100,000 per month in a matter of months….
Well to be frank, these are few and far between.
But today, I talk about a colleague who achieved this milestone earlier this year.
Now before you get too excited, let me share with you
- He has 4+ years of experience, running 7 figure brands on Amazon so REALLY knows his stuff
- It took him 12 months to launch, mainly the time it took to find a supplier who could meet his budget and make the modifications needed
- His first order was $25,000 worth of stock
So don’t be put off by that, rather take the mindset that Amazon FBA is an amazing way to start a new business or scale an existing one from 0 to $1,000,000 plus in under 12 months…
OUTLINE OF THE EPISODE
[01:32] Choosing a niche
[02:09] Sourcing a product
[02:47] Improving the product
[03:50] Launching on Amazon
[05:45] Key things to consider
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****** Full Podcast Transcription below *******
This article, we are going to talk all things Amazon speaking with Amazon FBA Expert from around the world to help me grow and build your Amazon business. Hey guys welcome to another article of CoachAMZ. Today we’re talking about is it possible to still launch on Amazon and get a six figure monthly business within three months.
Now that’s a bit of a crazy question because Amazon so competitive never met a what it was born to be a case study through one of my peers who I know and what he’s managed to achieve in the first 30 days of launching. Now just give us some context he’s a very experienced seller. He’d been on Amazon three years full time and actually manages Amazon accounts for major brands these brands are doing at least seven figures a year. So is a full time Amazon seller in terms of managing other companies accounts. And he also has his own personal account.
So, to give you the context he is a very experienced person, but what’s possible now? To give you some other background the product launch wasn’t a retail product it was actually in the business to business section so was a business as in businesses boarded rather than individuals buying it. It’s not like a kid’s toy or steak knives. It’s a product that are a retail shop would buy as part of the business.
So what are the key takeaways. The first one is he chose a very high selling niche. That’s what the Amazon FBA Expert refer us to the new business owner. So, the other competitors are doing at least Or the top sellers are doing a hundred twenty to a hundred eighty thousand dollars a month and he also chose a niche where there weren’t even very high sellers. It doesn’t have that really tough, the number of competitors is low as I’m trying to get at.
There’s not tens and tens of tens there’s probably half a dozen but very high volume and the reason is the barriers to enter are really high to get this product actually took him. The reason why actually going to say the product because if you find it then it wouldn’t be fair to my friend. But the product took to about 12 months to source.
That’s one of the major barriers because most people who want to get start on Amazon tried to find a product in, three or four weeks. Something is really out there they’re trying to copy it. They don’t really improve it and that’s why they don’t have the success. So these took 12 months to source and the main reason is no one who really spoke through Alibaba no one could get a price that was actually competitive and they weren’t willing to make the change to the model that he was after.
Then he eventually found a company that its sourcing. And they found a company that could do it. So that took a fair while, but the main thing that was a difference is everyone has the same product. He did one thing which was change its color and he also had a mould made which cost about a thousand dollars to make the product different. The reason he did that was in retail products everyone’s a bit more switched on the different colors and that. But when the buying for businesses everyone’s doing the boring same old color, so he actually change its color. Surprising it had a really big difference because the listing stands out so much.
But the real key was he went through all the listings and stand-out with a good Amazon Product Listing Optimization and there was a common complaint about every one of these products. That a feature they didn’t have and he need to get a mould made so there’s a special latch put on and it and that solved that issue. So that will probably scare or most but to find a way to find that product because most people after a month or two they can’t find a company that at a price to make money they just give up.
It took probably about six or eight months to actually find someone who could source to the price I wanted and the rest of the time was gone. The mould made tests that it worked then shipping it in so was about 12 months from start to go and that was on and off. So really focus on it would have been six or eight months.
When it was launched on Amazon we often talk about launch strategies or reviews. He only had three people review it just so there was some social proof. So, we always recommend at a minimum you want 10 before you launch. So, he had three reviews didn’t do any PPC into any product launch just put it on their he wasn’t on page one straight away but his product is very different and he did a really good image about showing the difference that all these people had these issues with that he’d managed to solve through this special mould. The result was in these products ranges to the ones about 20 dollars and ones about 60 dollars. these products sold really well and the major difference is that when you put up there it just stood out.
It was totally different to what everyone else had and the colleague also had the price of the colors different and also the price a slight lesser not much but enough get people’s attention. So, the majority of sales will go to the first three spots on Amazon but maybe in this industry I’m not sure what it was. Maybe a business that when buying you scroll further through but thousand units were ordered and they were pretty much sold up in the first month. The only downside was when the QA done there was an issue. So they did the QA but they didn’t actually do the QA in America, it was done in China and one of the latches had an issue.
So what they found out is maybe would have been about 20 or 50 of them had an issue with a latch and then people start to returning them and they got a couple of bad reviews and they got that fixed and the next order and they were already on the second order coming through to US now and it looks like after that order they’ll be on to do the six figures by month three. Amazon is an amazing opportunity to build a real business and build a real online business and we offer you an amazing Amazon Seller Consulting Services to increase your sale.
So reason I tell you that is, it is possible to really won Amazon but there’s a few key things you must do. I was in a club the other day and they showed me a product that looks good and they said the same thing and the first thing I said is if someone’s got a salvage product out there is doing really well. If you do the exact same thing there’s no way they will going to compete. While with someone you had the same product it looks the same no reviews no social proof no one’s going to pay for it. So you really got to think okay who’s the end customer how can I wow them what can I do different to add more value. They’ll make them say yep I want to buy the product over the competition even if it’s got less reviews then I’m still going to go with you so I always think that when your bring out a product what can you do different.
So even these niches we’re competitor had 120-180 thousand a month is a very boring product. It’s not smart it’s not sexy it’s not unique. But what they were doing is like the pieces in the past has in the same colors. So, a simple change of color going through all the reviews finding common fault that people kept saying time after time after time and finding someone that could actually build a mould and fix it. Most people aren’t willing to invest that money initially upfront.
When I heard how much the first order was all went well that’s a that’s a really big chunk of first order to take a punt on but he was very confident because he did his research knew what the issue was and was able to solve it. So that’s when the key insights that we look for a product. If you actually find something wrong with a product then it’s an awesome opportunity to show that you overcome that one. People love it and will make a huge difference.
The other thing I noticed from my friends from moving to this product is that most people look at retail consumer, retail products that have lots and lots of competition and if you look at most sellers the top four five normally take up at least 80 percent of sales and there’s a whole bunch of other people going for that last 20 percent. And this market there’s any about five or six people doing it. So to stand out wasn’t that hard. If you’re on your own going to be on page 2 we launch these products with these kind of video into you might be on page 4 or 5 with the same people in the market.
So a really good insight to think long term look don’t just jump on Alibaba I tried finding something in two weeks and get it, really find something that even if it’s got a lot of sales in their normal I’d never recommend anyone to go into a product that is doing over 100000 a month straight away. But he’s a very experienced seller but he took a different look at it he said I don’t care how big the market is on there’s a fundamental issue with all these manufacturers not resolving it and I’m going to take them myself to fix it up and he managed to do that.
But the real takeaway is you have to do something different. If you put a product out there exact same you’re not going to stand out. In such cases we like to make things simple with great Amazon Seller Consulting Services as that seems to work best.
So I hope that helped today. It was a bit of a different one is a bit shorter but it really shows you that there’s still some great niches out there. You do some amazing stuff but really take the time to think how you can be different. How can your business where that customer thing of? Who your target customer is? What their needs are? why the other products aren’t doing well and do a product that’s different that solves those problems with our Amazon FBA Expert and you’ll have a great success.
My name is Peter, hopefully you get some on these articles if you think they’re great. Love your Feedback. If you need some help reach out to us at the bottom of the article. Love to help you guys and see you succeed on Amazon.