Author Archives: Stephen

How to Find Profitable Wholesale Accounts For Amazon FBA

In my previous blog post I gave you my top 9 reasons why you should consider adding wholesale sourcing to your Amazon FBA business. You may have read that post and started thinking, “Great, Stephen, I’m convinced. I definitely want to try out wholesale sourcing, make my business more streamlined, and protect my seller account. Now where do I find profitable wholesale suppliers?

That type of question is where we end up any time we want to make a change in our business. “OK, I see my sticking points, and I’m ready to press on to get beyond them. But how do I take that next step?

With finding wholesale suppliers, your possibilities are really only limited by your creativity. Ultimately, you want to find unique wholesale accounts where you can develop a great business relationship with your supplier and provide an awesome product to Amazon customers.

Let’s discuss the top four ways you can make that connection and find profitable wholesale accounts:

1. Trade Shows

All throughout the year you can find a trade show going on in areas all across the U.S. (Or in other countries! Don’t limit yourself geographically) and in all niches of products. Think trade shows for toys, bridal products, baby items, kitchen gadgets, home and garden, crafts, you name it.

Beyond those niche trade shows, you can also find larger trade shows and markets where you can find products across all categories presented in one show. The biggest trade show out there is called ASD, and it happens in Las Vegas every March and August.

If you live in a big city, chances are there are trade shows and markets happening nearby throughout the year. I recommend doing a Google search for trade shows in your town or somewhere you can travel to, and check out what’s coming up in the months ahead. Most of these types of shows are free to enter, and you can walk around the exhibits, talk with the exhibitors, and see what types of products are available at the different booths.

One thing you should keep in mind is that two different types of exhibitors set up booths at trade shows: manufacturers and distributors. A manufacturer would be a direct connection to the source of the product, without any middle man. If you get a wholesale account with a manufacturer, you will likely need to make purchases in larger amounts, but you will get a better price per unit. With a distributor, you are usually dealing with a middle man. You can make smaller purchases, but you will pay more per unit.

2. Trade Show Websites

Even if you can’t attend a particular trade show, you can benefit from signing up for the show and doing research on the exhibitors. On the trade show website you can get access to the vendor list and their contact info, which you can then use to call or email for more information on the products they offer.

Whether you attend in person or make contact through the trade show website, it’s all about making connections with the vendors, asking good questions, and developing a relationship that could lead to a mutually beneficial arrangement. You will need to have a resale certificate to open a wholesale account once you have made that connection, so be sure you have your certificate on hand before starting the process to open an account.

If you are interested in more details about how to maximize the opportunities on trade show websites, check out the book Trade Show No Show by Jim Peterson and Jim Cockrum.

3. Product Packaging

This may seem overly simplistic, but finding wholesale sources really doesn’t have to be that complicated!

Pretty much every product you can imagine is going to have the manufacturer’s name and contact info printed right on the product’s packaging. If you can only find the name or part of the contact info, use Google to find the rest of the info, and you’re one step closer to making contact and finding out how to open a wholesale account.

If you have an awesome retail find that you would love to sell more of, check out the product packaging for that contact info and see if you could start buying that product at wholesale prices.

One strategy you can use to get an edge on your competition is to think of products that are made locally to your town or area. What is your area known for? Food products can be especially profitable, if there’s a local favorite that can’t be found in other parts of the country. Find these types of products on your local shelves, get the manufacturer’s info off the packaging, and start making contact.

4. Amazon Best Sellers

Again, it doesn’t have to be overly complicated to find great ideas for wholesale sources. You can research the popular items in your favorite category by checking out the Top 100 sellers and looking up their manufacturer’s info online.

To make it even easier, we have created a quick link, fulltimefba.com/bestsellers, to take you right to the Amazon best sellers page, where you can drill down from the main Amazon categories. Once you find a product you are interested in researching, click to go to the product page, and you should see the name of the manufacturer listed below the product title. You can then do a Google search for their contact info and start the process of opening a wholesale account.

Note: I do not recommend opening wholesale accounts with companies when Amazon is selling the product. Even if you think you can get a great wholesale price, Amazon is likely getting an even greater volume discount, and it’s too hard to compete. You should also check out the sales history on CamelCamelCamel and Keepa to see if Amazon is out of stock now, but might have been on the listing in the past. There are plenty of other products out there, so move on to ones where Amazon isn’t currently on the listing or doesn’t seem like they’ll come back in stock in the future.

There you have it, my top 4 ways to find products where you can open a wholesale account. The key to getting those accounts is to just make contact. Get the door open, start a conversation, ask for a catalog, ask what you need to do to apply for an account – it really doesn’t have to be more complicated than that.

Last week, I shared with you a free video that showed you how to find amazing wholesale opportunities with a strategy unlike what anyone else is teaching. Well, today I have another free video about wholesale.

In today’s free wholesale training video, my buddies Dan and Eric will show you:

– How to recognize awesome potential wholesale products
– How to avoid purchasing bad wholesale products and wasting $100’s or even $1000’s
– How one good account could make you $1000 per month (and how to find accounts like that)
– The top 3 factors for great wholesale products to sell on Amazon
– The free tool you can use to make better wholesale decisions
– Why the number of Amazon competitors is a meaningless number (and what number you really should be focusing on instead)
– And so much more!

To access today’s free video right now, all you need to do is click here.

Remember, these free videos are only going to be accessible for a limited time, so you need to click here and watch today.

Do you have other tried-and-true places you like to look for profitable wholesale sources? If you would like to add to my list, we would love to hear from you in the comments!

9 Reasons Why You Should Add Wholesale to Your Amazon FBA Business

The more you talk with Amazon FBA sellers from all walks of life, the more you understand why each seller prefers the sourcing model used in their business.

Some folks love the thrill of the hunt, and they thrive on getting out there and scanning to their heart’s content at garage sales and thrift stores. Other sellers enjoy working retail arbitrage into their daily routine, or they love the huge profits that come from RA during the Q4 selling season. Some sellers live in a remote area or their time is limited, so they choose to do online arbitrage (OA) or wholesale. Still others like all aspects of product development and marketing, so they dive into private labeling.

Today I want to focus on one method of sourcing for Amazon FBA: sourcing from wholesale suppliers. We’re going to have a couple more posts after this one, so stick with me to learn more about where to find wholesale sources and other wholesale time hacks. But for today, let’s discuss the top 9 reasons why you should consider adding wholesale sourcing to your Amazon FBA business.

1. Profit potential

We’re all in this business to make profits, right? Well, selling items sourced via wholesale has huge profit potentials. You can find items with great return on investment (ROI) for resale on Amazon because you buy them at a low wholesale price, compared to what other sellers are getting by buying from retail sources.

2. Go both wide and deep on inventory

Buying via a wholesale account gives you the opportunity to search their catalog for several different profitable items in one product line, and you can then buy larger quantities of those items than you would be able to if sourcing via RA or OA. Once you’ve done your research on the sales history data on CamelCamelCamel and Keepa, as well as researching how much your competition has in stock (we use the How Many? extension for doing this research), you can make an informed decision and buy as many of an item as you feel comfortable buying, rather than being limited to what’s on the shelf at the retail store.

But you don’t have to worry about making a huge wholesale order of only one item to meet a company’s minimum purchase requirement. You can order a few of several different items, test them out, assess the results of your sales, and make a decision about reordering and possibly going deeper.

3. Opportunity for consistent replens

“Replen” is short for replenishable. A replenishable item is one that is profitable to buy over and over again because you can sell through the item at a decent rate. Replens can be a lovely cash cow for your business, since all you have to do is order, send to FBA, sell, order, send to FBA, sell, and repeat, repeat, repeat. Finding a replen today saves you time tomorrow by not having to repeat your sourcing research once the item sells out. You’ve already done the research – now all you need to do is reorder and send that item in again. It’s a much more time-efficient process than the one-offs that come with RA, OA, garage saling, and thrifting.

4. Potential for less competition

If an item isn’t available from retail sources at a low enough price to resell on Amazon BUT you can find it at a wholesale source, you will have lower competition. If you’re sourcing items that anyone can find at a retail store and resell for profit, it’s often only a matter of time until a ton of sellers jump on that listing. Sourcing via wholesale opens the door of opportunity to find unique items that RA and OA sellers can’t source at your buy cost.

5. Predictable cash flow

Once you have found several replens through wholesale sourcing, you can get to a place in your business where you have more predictable cash flow. Often with RA, OA, and thrifting, you will see ebbs and flows with your sales throughout the year, depending on what’s going on in your part of the country or in the stores where you like to source. Wholesale sourcing can provide more stability when it comes to ordering products to sell consistently throughout the year.

6. Saves time

Like I said above, finding a wholesale replen saves you a ton of time when it comes to not having to constantly be out sourcing for more one-off items to resell. It could take you all day to drive around town and spend $800 on RA finds, or you could spend a couple of hours doing wholesale research and find a great replen, place an $800 order, and then just reorder when you’ve sold out.

Another way wholesale saves time is when it comes to prepping your inventory. Wholesale items won’t have stickers to remove, and they often (though not always) come already poly bagged. You also can save time in listing the items. Instead of having to list and price 20 one-offs from RA clearance, you could list and price one item with 20 multiples from a wholesale source.

7. Easier to scale the business

As your FBA business grows, you will need to find ways to scale the business. Scaling your business means being able to increase your output. There are only so many garage sales in your town every week, so unless you hire folks in other towns to source for you, you can’t scale an FBA business based on garage saling. Same with retail arbitrage – you only have so many hours in the day to drive to retail stores, so you will need to hire someone else to source if you want to scale your RA business. But with wholesale, it is much easier to keep your business simple, source large amounts of inventory, and process it without needing to hire help. In fact, if you use a prep and pack center to process your inventory, you can grow your Amazon FBA business even more through wholesale.

8. Protects your seller account

Many Amazon FBA sellers experience great anxiety over the thought of being suspended because of claims by customers, especially claims of inauthentic products. As of this writing, Amazon is accepting retail receipts as proof of your source for inventory, but it’s often more difficult to prove your case with Amazon using retail receipts than using wholesale invoices – not to mention, at any point Amazon could stop accepting retail receipts altogether. Adding wholesale sources to your Amazon inventory gives you a level of protection for your seller account.

9. Become a brand approved seller

Brand restrictions on Amazon can be tricky when you’re looking for good retail sources for inventory. There’s nothing worse than finding an awesome item for resale, only to discover you are restricted from selling that brand. But with wholesale sources, you have the potential to work with Amazon and the manufacturer to become a brand approved seller. It requires some time and effort to get approval, but if you’re successful, you have the potential to make even more profits with even lower competition.

Now you have plenty of good reasons why you should consider adding wholesale to your Amazon FBA business. Stay tuned because in our next blog post, we’ll share with you how to find profitable wholesale accounts.

For the longest time I had wanted to add wholesale to my Amazon business. I have actually gone through 3 different wholesale courses to teach me how to do it. Each time I went through a new wholesale course, I would try what was taught, and I kept coming up empty. It was extremely frustrating… then I scheduled a phone call with Dan, one of the guys behind The Wholesale Formula. That conversation opened up my eyes to things about wholesale I’ve never thought about before. I took his advice and began to find multiple wholesale accounts.

Would you have wanted to listen in on that conversation? Unfortunately, we didn’t record the call, but Dan and his business partner Eric recently recorded an entire video series that focuses exactly on adding wholesale to your Amazon FBA business. The best part? It’s free! So many people think that you have to have thousands of dollars or special connections to start selling wholesale items on Amazon, but that’s just not true.

In this free video series my wholesale mentors, Dan and Eric, will teach you exactly how to find profitable items to buy via wholesale so you can experience growth in your Amazon business.

Now here’s the deal. These free videos are only going to be accessible for a limited time, so you need to click here and watch today.

Have you considered adding wholesale to your Amazon business? Have you been successful? If you have not tried it yet, what’s stopping you? What’s getting in the way of you sourcing directly from wholesale suppliers? Let me know in the comments so I can best help you in our current wholesale blog series.

4 Tips for Handling Amazon FBA Taxes

Before you hit the snooze button and move on to a more exciting post, let me acknowledge up front that taxes aren’t the most glamorous topic out there. Unless you’re a CPA or tax professional. In which case I don’t mean any offense by saying that taxes are boring.

Is anyone still with me at this point in this blog post? I hope so – because the topic of taxes, while potentially a snoozer, is of great importance to the success of your Amazon FBA business. If handled incorrectly, your business taxes could negatively impact your success at FBA – but taxes don’t have to be something that holds you back from making progress as an Amazon seller.

We at Full-Time FBA are not tax professionals or CPAs, and we do not intend to give advice for preparing your taxes in this blog post. We also do not give advice in our Facebook group, so if you ask tax questions there we will give you the same disclaimer and point you towards the services of someone qualified to give that type of advice.

Which leads us nicely to our first tip out of four for handling taxes for your Amazon FBA business…

1. Find a good CPA. 

Our biggest piece of advice for you when it comes to handling your taxes is to find a good CPA who can take care of all the nitty gritty details for you. We are greatly indebted to our own CPA for her help throughout the year and at tax time in keeping our business running smoothly and above board with our taxes. A good CPA will know all the ins and outs of the rules related to business taxes (both federal and state, depending on where you live), and a good CPA is worth every penny you pay for their services.

When I say you need to find a “good CPA” I mean a couple of things by it. First, you don’t want to just pick the first person who pops up in a Google search for CPAs in your area. You need to find someone who has the heart of a teacher, who is willing to help you understand the tax rules and how to be compliant. It might take time to find this person and to ask questions to make sure you’re a good fit with each other.

Note: Please do not go to a bunch of different CPAs and ask questions under the pretense of “seeing if you’re a good fit.” For a service professional, nothing is worse than being taken advantage of by someone looking for free advice. Be respectful of your potential CPA’s time and pay them well.

The second thing you need to look for in a CPA is someone who understands taxes as related to ecommerce, Amazon FBA, self-employment, an LLC, or whatever particular situation your business is in. Be sure to ask questions up front to make sure the person you hire has the relevant experience to best assist you in preparing your taxes.

2. Keep good records throughout the year.

Keeping good records is crucial to preparing your taxes and protecting yourself in case of audit. Your records should include (but aren’t limited to) receipts for inventory, receipts for supplies, receipts for any other business expenses, records of your disbursements or other income, any business-related fees, any payments for business-related services, etc.

We use Inventory Lab to track inventory-related financial information, and we have our CPA do our bookkeeping every month throughout the year. We have a simple system for filing our receipts by month, and we use Evernote and email folders to track online receipts.

Whether you already have a good system in place for keeping good records or not, nothing is stopping you from keeping your records organized from this point forward. You can’t change the past, but you can make a difference in the future. Don’t get overwhelmed with your receipts, take it one step at a time, and make the most of the year ahead by knowing your numbers, organizing your receipts, and paying attention to business reports in Seller Central, Inventory Lab, or whatever program you are using.

3. Run the right reports for your CPA.

In order to prepare your taxes, your CPA (or whoever is preparing your taxes) will need to know the money you have coming in, the money you have going out, the amount of inventory you have in stock that hasn’t been sold, etc. Talk with this individual to be sure exactly what they need.

As a good starting point you can check out this blog post with instructions for how to run the most useful year end reports within Seller Central. We like to run reports for our CPA on our year end inventory, our monthly inventory history, and our received inventory.

Note: It’s best to run your year end inventory report as close to December 31 or January 1 as possible, to give your CPA the most accurate picture of the inventory you had in FBA warehouses at year’s end.

4. When it comes to sales tax, look into services like TaxJar to automate the process for you.

We like to point our readers to the TaxJar website when it comes to handling sales tax. TaxJar has a wealth of free information and links on their website to point you in the right direction for knowing the sales tax regulations in each state. When you’re ready to automate the process of dealing with sales tax, TaxJar can help you get set up.

Dealing with taxes definitely isn’t the most fun part of running your own business – we would all rather be out sourcing and finding treasure and making big profits than talking about taxes, right? But getting your business set up to handle taxes correctly is an important component of business success. You really want to do things the right way as quickly as you can, so that you won’t have to pay penalties or fines later. You can take a few simple steps today to set yourself up for the year ahead and make the most of your Amazon FBA opportunities.

Make 2017 your Best Amazon Sales Year Ever! 

Imagine knowing exactly what to expect in your Amazon FBA business every month of the year.

Imagine what it would feel like knowing you were not missing out on any of the opportunities that will come your way in 2017.

Imagine working on your Amazon business knowing exactly what your priorities are, what you need to avoid, and what you need to accomplish during each month to make progress toward making 2017 your best sales year ever.

On January 10, the price of this book will be going up permanently. Find out more about The Reseller’s Guide to a Year in FBA: A Month by Month Guide to a Profitable Amazon Business today. The package includes a 200-page ebook, monthly live webinars, and 4 special bonuses.

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What are you doing today to prepare for the year ahead? How are you taking steps to handle your taxes the right way? We would love to hear from you in the comments!

Top 10 Tips For Finishing Strong in 2016

finishing-strong-2016First off, if you can see this… thank you for taking time out of your busy schedule to read today’s blog post. I know Q4 is crazy busy, and I hope my blog posts can help you take action t0 save time and increase your profits.

As we all know, the holiday selling season is in full bloom, and I hope you’ve been able to stock the Amazon warehouses with as much quality inventory as you possibly can. It seems pretty obvious to say, but you can’t sell a lot of items if you don’t have a lot of items in stock. To help you continue to make this month your best selling month ever, here are my top ten tips for finishing strong in 2016:

christmas-lights1. Reprice holiday related items. It’s crunch time. Log into Seller Central and check all of your holiday related items in your inventory. Do a keyword search for words like “holiday” and “Christmas” and make sure that all of your holiday items are competitively priced. While some of these seasonal items actually sell throughout the year, there might still be some in stock that you need to reprice. As always, double check with CamelCamelCamel and Keepa to see what prices and sales you could possibly expect. If you have multiples of higher ranked holiday items, it’s probably a good time to lower your prices to get the sale. You don’t want to hold on to these items another full year… especially with long term stores fees coming up in February.

2. The week before Christmas is a Prime spending frenzy! For items sold through FBA, hold on to your prices that you think will sell for Christmas. It’s not rare to see an item going for $15 on December 14th to be selling for $25 on December 19th. This is especially true for items where you’re the only FBA seller or one of a few FBA sellers. On the other hand, if the competition for sales is fierce, you might want to lower your price just a little to sell out before the newbie Amazon sellers freak out and lower their prices too far.

returns.jpg3. Be prepared for an increase in returns. Naturally, with an increase in sales, there is also an increase in returns. Don’t let this make you anxious or worried. It’s a natural part of selling. As you might already know, Amazon automatically refunds the FBA customer the full purchase price when the buyer requests to return an item. If the buyer fails to return the item to Amazon, then Amazon is supposed to automatically reimburse you for the item after 45 days have passed, but many times Amazon “forgets” and needs to be reminded. For more about how to make sure returned items are actually returned to Amazon, check out this popular blog post.

feedback4. Be prepared for an increase in negative and/or positive feedback. If you’re keeping to best business practices, then you’ll most likely get lots of new positive (4 or 5) feedback, but you’ll also get the occasional negative (1 or 2) or neutral (3) feedback score. If the feedback is actually about the FBA process (“my item came 2 days late”) or a product review (“this coffee maker is hard to use”), then it’s up to you to do whatever you can to get the feedback removed. Your feedback score is a huge aspect of your seller metrics. The better seller metrics you have, the more opportunities you’ll have to earn the buy box for your products. To read more about how I handle feedback issues (and how I keep a 100% feedback score), then check out this blog post.

5. Look at sales ranks differently. As you already know, the sales velocity in December shoots through the roof! This should make you look at sales rank differently than during the rest of the year. Here is an example: A toy with a sales rank of 10,000 in July might sell 25 times a week… while a toy with a rank of 10,000 in December might sell 50 times a day. This is important to know when you are out sourcing for inventory. Know that after Christmas and into January, many of these sales ranks will start to return to their normal patterns (slower sales), and it’s up to you to recalibrate your mind to what you need to expect when you’re out sourcing. Again, look at CamelCamelCamel and Keepa to see what prices and sales velocity to expect in January.

targetstore6. Be careful with sale prices at retail chain stores. Retail stores are realizing that they need to do whatever it takes to sell their stuff as soon as possible. Often, this means some outrageous clearance sales. But be careful, the items you’re finding clearanced at large national chains might be the same items hundreds of other resellers are finding. You don’t want to be slow moving on these sales. If you decide to buy, you need to get those items to Amazon as fast as possible… and I wouldn’t recommend going too deep. It’s possible that Amazon is about to be flooded with these items from other resellers sourcing at the same sales in their town. Buy fast, prep fast, and ship fast so it can sell fast.

7. Profit from selling items Merchant Fulfilled. We all love selling via FBA, but this week still provides a nice money making opportunity if you are willing to do a little more work. Selling via Merchant Fulfilled can still bring about some nice profits this week for items that buyers need to buy today. The best items to sell MF are those that both Amazon and FBA sellers have sold out of, are backordered, ones that are “Currently Unavailable” on their Amazon product page, and ones with a low rank that you don’t want to risk the extra time it takes to travel to a fulfillment center.

amazon_gift_card8. Keep sourcing for post-Christmas buyers. On the days after Christmas and well into January, many people have brand new Amazon gift cards burning a hole in their pockets. They head on over to Amazon and look for items to spend these gift cards on, and you want to be sure you have what they want waiting for them. Not only do gift card buyers show up, but so do the people who didn’t get what they wanted for Christmas. They know what they want, and since they didn’t get it, they decide to give themselves the gift they really want. Again, you want to be sure you have what they want when they go shopping for themselves.

list-of-updated-after-christmas-sales-20099. Buy Christmas-themed items at huge discounts. The week before, and right after Christmas, all of the Christmas related items go on sale at drastically reduced prices. This is a great time for you to stock up for your Amazon inventory. Like I’ve said before, seasonal items sell both in and out of season. I’ve seen Christmas ornaments sell in May, candy canes sell in March, and holiday DVDs sell in August. The stuff sells year round, but especially in July as people have “Christmas in July” parties. So, now might be a good time to buy holiday decor at 75% – 90% off. Again (I might be sounding like a broken record by now), check CamelCamelCamel and Keepa to see what prices and sales velocity to expect throughout the year.

10. Look towards the new year. Why am I talking about the new year in December? I honestly believe that if you wait until the first of January to start thinking about the new year, then you’re already behind in the game and are at a disadvantage. Imagine someone showing up for a marathon without doing any training beforehand. The runner would most likely quit before they even pass the 5 mile marker. Don’t be that guy. When January 1 arrives, we all begin a 365 day marathon, and I want to be sure you are ready for the journey. One great way is to grab my book, The Reseller’s Guide to a Year in FBA: A Month by Month Guide to a Profitable Amazon Business. This resource will help you know exactly what to do and what to avoid for each month of the year.

How about you? What strategies are you implementing to finish strong in 2016? I’d love to hear your ideas, so comment below.

 

Monitoring Prices on Your Replenishables – StockUp Review

stock-up-titleOne of the most frustrating aspects of selling on Amazon is when your competition comes in and begins to lower the prices of an item that you were once consistently selling. When an amazing source of profit seems to dry up, we often decide to sell out as fast as we can so we can reinvest that capital into inventory that will bring profits much faster. Usually once the price of a formerly profitable item has “tanked,” we don’t think about that item again.

But what if we’re missing something? What if the price goes back up? How would we even know?

Do we ever actually go back and see if the price has recovered? Usually the answer to that question is “no.”

search-computerFor a long time I searched and searched to see if there was a tool out there that would track the prices of items on Amazon and would automatically notify me when those items reached a certain higher price point, but never found one. I love using Keepa and CamelCamelCamel, but those services only notify you automatically when the prices of items on Amazon fall to a desired price point. I  just couldn’t find an easy way to keep track of prices when they go back up.

Sure, I could probably create a spreadsheet with a list of ASINs I wanted to track, then then copy and paste the ASIN in Amazon to see if the price has recovered. I could try to remember to do that once a week or once a month… but honestly, I don’t have time for that. I needed a tool to do everything for me.

online_toolsSince there was no tool, I decided to reach out to my buddy Christopher Grant who has created some awesome tools like revROI (an easy tool to maximize your cash back on OA purchases) and BrickSeek (if an item is sold out online, this tool will show you where you can buy it locally based on your ZIP Code). I told Christopher about my frustrations and my idea for a new tool and he said he thought he could make it happen. After a few months of working with developers and beta-testing, and the StockUp tool is ready!

StockUp – the only tool that will automatically notify you when the price of an item goes back up to the price you want.

stock-upWith StockUp, all you have to do is go to the Amazon product page for the item you want to track, click on the StockUp extension, put in your name and email address (don’t worry, we aren’t keeping these for later), then choose a price, any price. The StockUp tool will then check Keepa for you once an hour and if the price goes up to the level you choose, then StockUp will send you an email to notify you. There will even be a link you can click on to take you to the Amazon product page so you can double check and make sure the price really has recovered. Then, all you need to do is go and buy it again from your source. So easy! I’ll show you a video in a moment, but here’s what it looks like:

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StockUp is a Google Chrome extension that you easily install into your Chrome browser. If you don’t use Chrome, the web browser is a free download and super easy to use. In fact, I formerly used Safari for my online browser, but have since moved to Chrome as it’s so much more user friendly (as well as all the amazing extensions you can install).

To see StockUp in action, check out this video where I walk you through just how easy it is.

Save today with coupon code!

Here’s the deal… right now, StockUp is available at a one time fee for a lifetime of use. Plus, if you use the coupon code SMOTHERMAN then you can save $8 off the price of the extension. Right now, we’re working on adding a texting notification as well, but that’s still in the planning stages… once the texting capabilities are in place, we’ll definitely be raising the prices on the extension. In fact, the StockUp extension might end up going to a monthly fee as we continue to add more features… so now is the best time to get this tool.

Can you imagine how awesome it will be when the price of one your replenishable items comes back up and you can add it back to your inventory again? Talk about easy sourcing!

 

Feedback Genius Review – Get More Positive (and Eliminate Negative) Feedback

feedback-genuis-reviewMost Amazon sellers will agree: It takes a verrrrrry looooooong time to build up your feedback on the Amazon platform.

Most Amazon customers aren’t accustomed to leaving seller feedback for FBA purchases, at least not with the same frequency as eBay customers leave seller feedback. It could take 100 sales via FBA to receive one or two customers leaving feedback on Amazon. At that rate, it seems to take forever to build up a solid feedback score.

That rate also means that just one negative feedback carries a huge punch. The effects of one negative feedback can be devastating to your seller account, if you don’t have enough positive feedback to counterbalance it. No one knows for sure exactly what algorithm Amazon uses to award the buy box, but feedback scores have some component to it. I absolutely must pay careful attention to keeping my feedback score as close to 100% as possible if I want to keep the buy box and get more FBA sales.

This is where the genius of Feedback Genius comes in. Feedback Genius helps me keep my 100% positive feedback score, and it also helps me fight off the occasional negative feedback that I receive as an FBA seller.

1. Fmail-1454731_1280eedback Genius automatically sends my customers an email the day their item will be delivered.

The email lets the customer know to be expecting the item, and it gives the customer a link where they can leave positive feedback for you as a seller if everything went well in the transaction. The email also asks the customer to just reply to the email with any issues that need to be resolved before they leave a negative feedback.

Feedback Genius emails allow you to set a positive tone with your customer right off the bat and to be proactive in avoiding negative feedback. With just this one email, I can increase my positive feedback and descrease my negative feedback.

do-it-now-1432945_12802. If the customer hasn’t left feedback in 4-5 days, Feedback Genius sends a reminder email.

Again, this reminder email gives me another chance to increase my positive feedback from customers and decrease the negative. I’ve seen a huge increase in my feedback score overall since signing up with Feedback Genius, and I’m convinced this increase has had a positive impact on my ability to get the buy box.

feedback-genius-text3. Feedback Genius sends me a text and email if I receive a feedback score of 3 or below.

This feature is even more of a game changer for me, as far as Feedback Genius is concerned. I wrote a blog post a while back about how one day a text from Feedback Genius at the beginning of lunch helped me act quickly and have a negative feedback completely removed by the time I was paying the check and headed back to work.

Amazon considers 4 and 5 to be a positive feedback score, 3 is neutral, and 1 or 2 are negative. Although a 3 is technically neutral, it will still negatively impact my feedback score. I don’t want to waste any time when it comes to dealing with negative feedback on my FBA account. For me, that text notification from Feedback Genius is a must.

To find out more about how to handle removing negative feedback, check out this blog post or this YouTube video.

ratings-1482011_1280-14. Feedback Genius can also be used with product reviews for specific ASINs.

In addition to helping monitor my seller feedback, I’ve also used Feedback Genius to send out emails to request product reviews for specific ASINs. The service also allows me to set up alerts for negative product reviews on specific ASINs. Just as seller feedback is important for helping me get the buy box, the number and quality of product reviews helps an item show up higher in search results and potentially get more sales. For any seller who creates their own listings, whether it’s a one-off product, a bundle, or a private label product line, having a way to monitor or increase product reviews (without breaking the Amazon seller terms of service) is critical to business.

parameters5. Feedback Genius is customizable as to the content and number of emails you wish to send out.

Some sellers want to send lots of emails, some just a few. Some want to just send out the content of the template email, some want to tweak it and personalize it. Feedback Genius lets you take the lead in deciding what you want to say to your customers, when you want to say it, and how often.

FB-GeniusSpecial Offer from Feedback Genius

I spoke with Jeff from Seller Labs (creator of Feedback Genius) and he is offering Full-Time FBA blog readers a special offer of 500 free messages for signing up for Feedback Genius. That’s 500 free messages to your buyers asking for them to leave you 5-star reviews, to contact you if there is a problem, or to leave a product review. That’s a lot of messages, and you get them for free when you sign up for Feedback Genius. You’ll also get a 60 day free trial (that’s twice as long as their normal 30-day trial period). There is really no reason why you shouldn’t give Feedback Genius a try today.

How to Provide Box Level Details on Amazon FBA Shipments

box-content-info-blogIf you’ve been reading your seller emails from Amazon, you know that starting November 1, 2016, FBA sellers will be required to provide box level details of the contents of their shipments to FBA warehouses. Failing to provide those details will incur a fee for your shipments of 15 cents per item. Additionally, Amazon has stated that shipments without box contents provided might experience a slower check-in time than shipments providing the box level details.

The thought of adding an extra step to the FBA shipment process isn’t super appealing to most Amazon sellers – the fewer the steps the better, right? But I (Stephen) have added box level details to my shipments for the past month now, and I can tell you it’s not as bad as you might have heard.

sC_b001h9nxvg-boxpileReally, it’s in your best interest to start NOW learning how to add the details and practicing with shipments of various sizes. In the long run, spending 5-10 extra minutes per shipment to add the box level details will definitely save you money and potentially save you time: definitely the money from the fees for not providing the details and potentially the time of your shipment being delayed during check-in because you didn’t provide the details.

There are five ways you can handle adding the box level details to your shipment:

  1. Only ship one box at a time – no need to provide extra details.
  2. Ship multiple boxes, but only one SKU per box – no need to provide extra details.
  3. Ship 25 SKUs or less in multiple boxes, and you can provide details through the web-based form on Seller Central.
  4. Ship more than 25 SKUs in multiple boxes, and you can provide details through an Excel spreadsheet uploaded to Seller Central.
  5. Use a third-party listing software to provide details.

I’m not exaggerating when I say providing box contents will add only 5-10 minutes to packing your shipment. It really isn’t a long, time-consuming process. So far, I’ve been listing my shipments in Inventory Lab and then finishing out the shipment process (including providing box level details) in Seller Central. In the very near future I will try out Inventory Lab’s new box level detail process and report back on my thoughts on it.

For a tutorial of how to use the #3 and #4 methods above, I’ve made the following screen capture video walking you through the process.

As you can see in the video, the steps for filling out the forms are rather straightforward. To assist in the process of knowing which items I’ve packed in which boxes, I always print out my form so that I can check off the items on paper as I’m packing; then I transfer my check marks to the online form or Excel sheet once the boxes are packed.

money-fees-add-up-fastIf you decide that providing the box content details is too annoying or time-consuming, you do have the option to skip this step in the process, but you will incur a fee of 15 cents per item in that shipment. This may seem like a small fee, but be careful because those charges can add up quickly. Let me show you how.

I recently had a 92-item shipment of more than 25 SKUs, so the fees to skip the box level details for that shipment would be $13.80. I timed myself as I provided the box contents for the shipment through Excel, and it only added 6 minutes to my processing time. If you do the math, $13.80 in fees versus 6 minutes of my time means that I would have been paying Amazon $138/hour to allow me to skip that step. It’s worth it to me to just spend the extra 6 minutes and keep that $13.80 in fees to spend on more inventory to sell on Amazon.

As with so many other changes that happen over time in selling on Amazon, there will be a day in the not-so-distant future where adding box content details is ingrained in our minds as just one more step in the process, not as a new time-sucking step. Ultimately, providing box level details should theoretically help us as sellers have an easier time reconciling issues with lost inventory from shipments during the check-in process, which makes the entire process worth it, in my mind.

To read for yourself the Amazon guidelines about providing box level details, click here.

Have you been using the web form or Excel sheet to provide box level details on your Amazon FBA shipments? Do you have any advice to add on this topic? Please let us hear from you in the comments!

Amazon’s Latest Long Term Storage Fee Policy Update

long-term-storageIf you have an account as an Amazon FBA seller, you received an email this week with this subject line: Free removal of selected FBA inventory through October 14, 2016.

Wow, that’s good news, right? But did you keep reading the email to find out what Amazon was really saying in this email?

This wasn’t an email about a random period of time with free removals of inventory. This email was to notify FBA sellers of a change to Amazon’s policy about long term storage fees.

On August 15 and February 15 of each year, Amazon charges long term storage fees for items at their FBA warehouses. If items have been at the warehouse for longer than 6 months as of the fee date, those items are charged $11.25 per cubic foot; items at the warehouse longer than 12 months are charged $22.50 per cubic foot.

In the past, Amazon has granted an exemption from the long term storage fee for one unit per ASIN. Basically, the long term storage fee only applied to items with multiple units at the warehouses. If your item was a one-off, there was no long term storage fee.

exemptionsThis is where the change comes in. Moving forward, Amazon will be charging long term storage fees for all items at FBA warehouses longer than 6 months as of the fee date, regardless of whether you only have one unit of that ASIN. No more exemptions for one-off items. (Note: Amazon is offering a free removal of one unit per ASIN from now until October 14, 2016, as a way to help sellers deal with these changes. For our video about how to create removal orders, click here.)

If you know me at all, you know that my approach to this change is not to panic. Getting freaked out over these types of changes really doesn’t help your business’ bottom line. Instead, here are a few points for you to consider about the changes in long term storage fees:

5 Points to Consider about Changes in Long Term Storage Fees:

  1. amazon-warehouseUnderstand that Amazon does not want to be your long term storage solution.

The above statement is nothing new. Amazon has been trying to tell sellers for the past few years that FBA warehouses cannot be their long term storage solution. When I first started selling on Amazon, there were no long term storage fees. More and more sellers began using the Amazon platform, and the warehouses started filling up. So Amazon instituted 12 month long term storage fees. The warehouses continued to fill up. So Amazon instituted 6 month long term storage fees. The warehouses are still filling up. So Amazon put in place steeper monthly storage fees during Q4, and now they’re removing the exemption for one unit per ASIN for long term fees.

Surely we should be getting the picture. Amazon wants us to send inventory to FBA warehouses that will sell relatively fast. Amazon doesn’t want to be a long term storage facility. To find out exactly what your long term storage fees will be, click here.

  1. keep-calm-change-can-be-goodThis change is an opportunity to improve your business model.

As with anything in life, mindset goes a long way towards determining our outcomes. Do you have a growth mindset or a fixed mindset about these policy changes? Do you see the fee changes as a huge blow to your business? Then it will be a huge blow to your business. Do you see the fee changes as a chance to tighten up your inventory and streamline your processes? Then your business will improve as a result.

If you sell a lot of books or shoes, these changes might impact you more because of the long-tail nature of selling in those categories. How can you approach these changes as an opportunity to adjust your business model and continue to achieve success in selling on Amazon? Look for the opportunities to grow and adapt, rather than feeling doomed because things will be different moving forward.

  1. 6-months-long-tail The term “long-tail” is being redefined.

Whether we like it or not, 6 months just became the new long-tail. In the past, long-tail might be as long as 2 or 3 years. But unless you can find items with such a massively high return on investment (ROI) that you can absorb the monthly storage fees and long term storage fees on one-off items, long-tail might need to be no more than 6 months moving forward.

Do we like these changes? Not really. Will it shut down our business? No, because we have a balanced inventory model that depends on fast nickels, slow dimes, and really slow quarters. Fast nickels make a lower ROI, but they do it relatively quickly. Slow dimes take a bit longer to sell, but we get higher ROI. Really slow quarters have fantastic ROI, but who knows how long it will take to sell. Moving forward, we have to make sourcing decisions based on whether or not storage fees will eat into the ROI too much on our slow quarters. For some sellers, this isn’t a huge deal; for others, you might want to redefine your parameters for what types of long-tail items you are willing to source.

  1. price-tag-267x300Now is the time to be more proactive about repricing.

Whether you choose to manually reprice as we do (see how we do it in this blog post) or subscribe to a repricer, now is the time to make sure your inventory is priced competitively.

Please do not hear me say, “Drop your prices! Sell it all NOW!” What I’m saying is that if you’ve been accustomed in the past to setting your prices when you send in inventory and then never looking at the prices again, you’re going to need to adapt and begin checking your prices on at least a semi-regular basis to make sure they’re still competitive. Be proactive in repricing throughout the year so that you don’t have to be reactive in repricing every August 14 or February 14 to avoid long term storage fees.

  1. sourcing-buy-yes-noConsider tightening your sourcing parameters for the future.

Moving forward you might need to change how you decide whether or not to buy an inventory item. You might need to look for items with a lower sales rank or with fewer competitors, in order to get a faster sales velocity. I highly recommend learning how to read CamelCamelCamel and Keepa graphs so you can make smarter sourcing decisions (click here for a Camel tutorial and here for a Keepa tutorial).

positivesUltimately, these changes to long term storage fees can have minimal negative effects and actually have positive effects on your Amazon FBA business if you handle them correctly. A few positives I see potentially happening as a result of these changes:

* We can improve our skills as sourcers.

By tightening our sourcing parameters and looking for faster moving inventory, we will expand our abilities as sourcers. It may seem slow going at first, but over time we will be able to find better inventory much faster.

Cut-Lead-Costs-in-Half-and-Increase-Sales-Revenue-by-105-Percent* These changes will likely weed out our competition.

New fees are a hurdle that many sellers won’t want to jump over. Many sellers are likely to give up when the going gets tough and move on to another venture. That’s less competition for us…so stick with it and don’t be one of the ones to move on!

* Finding faster turning inventory will improve your bottom line.

If you improve your sourcing skills and find better inventory, you will get more sales and make more profits. You will have higher disbursements that you can then reinvest more quickly into more inventory…again and again. Thank you, Amazon, for helping us get more sales in the long run!

If you want more from me on this topic, be sure to watch the video below. This blog post is full of the highlights, but in this video, I add even more thoughts, tips, and strategies to handle this recent change.

So how are you going to handle these changes? Are you going to have a growth mindset and leverage these fee changes into an opportunity to improve your business? That’s the course I recommend, along with taking advantage of the free removal of one unit per ASIN through October 14, 2016.

How to Know What to Do Next in Your Amazon FBA Business

what-to-do-nextInformation about selling on Amazon is everywhere… Blogs, Facebook groups, YouTube, eBooks, video courses, and even live conferences. There is such a vast amount of information available, both free and paid, how can you ever filter through all the noise and decide on your best course of action?

I wish I could just tell you exactly what to do next, but that would not be the best advice to give you. Your situation, your finances, your time, your skills, and your passions are all unique to you, and therefor what you need to do next is also unique to you.

While I can’t give you a simple step by step process on exactly what to do next, here are 5 things you need to think about that will help you see your next steps with much more clarity.

manage-time1. TIME – I think the first thing you need to do is to consider how much your time is worth to you… If you have a TON of time available, then it’s not a bad idea to look for as much free information online as you can. If you don’t have a lot of free time, then I recommend purchasing a quality course/book/conference so you can streamline your time and get focused information all in one place.

banner-quality2. QUALITY – Of course, you want to be sure that the info you learn from (either free or paid) is of top quality. The best way to do this is to put what the person teaches to the test. For paid content, see if the author has a lot of free content to consume first… then if you see the quality of the free content, purchase the paid content, since you know it’ll be good. If you have to pay to find out if the information is high quality, then make sure there is a refund policy, and then get your money back if it’s not up to your standards.

trust3. TRUST – You want to be sure you can trust the person teaching you. Again, if you can put any author’s teaching into action and get good results, you can trust their other material is good too. Trust can also come from the teacher showing you their results and proving that what they teach has worked for then. For example, here on this blog it’s our goal to help you turn part time hours into a full time income with Amazon FBA… and that’s exactly what we do. I spend about 20 hours a week on Amazon FBA and our disbursements pay our bills. We are full-time FBA sellers and from that I would think you could trust us.

photo-sep-12-11-27-57-am4. FOCUS – This is the big one… I love the acronym for FOCUS: Follow One Course Until Successful. I even have that phrase on a Post It Note on my desk. It’s so easy to think that some new strategy or book will be the answer… but if we have not followed through on strategy #1, then why would we think strategy #2 or #3 will work better? Here’s a question: Who do you think finds success faster? Person A or Person B? Person A works on learning RA on Monday, learning OA on Tuesday, learning Wholesale on Wednesday, learning Private Label on Thursday, and learning Merch on Friday… or Person B who learns ONE STRATEGY on Monday, Tuesday, Wednesday, Thursday, and Friday. Of course the person who FOCUSES will find success faster.

follow-your-passion5. PASSION – Passion is the fuel that pushes you forward and helps you avoid burnout. What strategy do you feel passionate about? Which one gets you most excited? Follow that strategy until successful, and then you can look to add another strategy once your first strategy gets put on autopilot. If you’re passionate about the idea of sourcing from home via online arbitrage, then focus on that… if you love the thrill of a retail arbitrage treasure hunt, then focus on that. If you love making T-shirts, then focus on Merch. Pick something you’re passionate about and see it through.

So if you’re wondering what you need to do next in your Amazon business, you can think about the above points and see which strategy/book/blog/course/etc stands out to you… and then follow it through until successful. If you’ve started a book or course and then are tempted to jump ship to some “shiny” new strategy, just calm yourself down and finish that book or course until you can see results. If you find something that you’re passionate about and see it through until the end, you will thank yourself for the results, and you’ll continue on your road toward success that much faster.

I hope these five tips will help you find direction in what you need to do next in your Amazon FBA business. Now, I’d love to hear from you. What methods or strategies have you found to be helpful when deciding what your next step needs to be with your Amazon FBA business?

Calculating Amazon FBA Fees – Know Your Numbers and Make Better Buying Decisions

Know Your Numbers - FeesA while back I saw a super scary video. It was truly horrifying. I still have nightmares when I think about it for too long.

I showed a short clip of this video to my wife. She actually screamed at the TV: “Nooooooo!!!!!!!!” She was just as terrified as I was.

In this video people were walking the aisles of a big box retail store, scanning toys with the Amazon app. Not the Amazon Seller app. The Amazon app. The one you use to buy merchandise from Amazon. These people were looking up toys on Amazon, comparing the price on the retail store shelf, and loading up a shopping cart if the price was even the slightest bit higher on Amazon. They intended to buy this shopping cart full of toys and sell them on Amazon.

As if this scenario weren’t gruesome enough, these people were actually encouraging their viewers to go out and do the same thing. They exuberantly proclaimed that anyone can sell on Amazon, see, look, there’s merchandise everywhere that sells higher on Amazon than in stores. You, too, should go out and buy toys by the shopping cart load, and just send them in to Amazon and wait for your paycheck.

At this point you might be ready to ask me a few questions. “How is this scene any different than what you do in your Amazon FBA business every day? Don’t you use retail arbitrage as one of your strategies for finding FBA inventory? Isn’t that what these folks are doing – and showing others how to do?”

The key difference boils down to one simple factor: I never buy an item for resale without knowing the Amazon FBA fees for that item first. If someone were to actually follow the methods these people were using in this Amazon FBA horror movie, they would be hit with fees they hadn’t calculated beforehand and suffer financial loss.

2631823For anyone who wants to make a profit running an FBA business, you have to know your numbers. You have to know all of your expenses, including inbound shipping, taxes where applicable, prep fees, materials, and the cost of any subscriptions or services you buy. You also have to have a good handle on the FBA fees that apply to any items you intend to have Amazon fulfill for you.

If you aren’t aware, the name of this blog is Full-Time FBA. About 99% of our Amazon business is through the FBA (Fulfillment By Amazon) program. We do choose to Merchant Fulfill items on occasion (check out our YouTube video where we discuss those occasions), but overall we prefer to stick with having Amazon fulfill our inventory when a customer buys it (see also our blog post “Overcoming Your Fear of Selling via FBA versus Merchant Fulfilled or eBay”).

There are 4 easy ways you can calculate the potential Amazon FBA fees before you buy an inventory item. We’ve listed below two options for calculating fees on your smart phone and two for calculating fees on a web browser:

  1. AZ Seller app screen shotAmazon Seller app – FREE

The Amazon Seller app is free and allows you to scan items either by barcode or using Amazon Flow (the camera of your phone recognizes an item’s image and matches it with the product in the Amazon catalog). The Amazon Seller app allows you to see the fees for an item if you sell it Merchant Fulfilled or through FBA. It allows you to adjust your selling price, your inbound shipping cost, and the cost of purchase. It then subtracts the fees and your cost of purchases, giving you your estimated net proceeds. (See this blog post for more pros and cons on the Amazon Seller app.)

  1. Photo Apr 15, 10 23 15 PMThird party scanning app, like Scoutify, Profit Bandit, or ScanPower – PAID

Similar to the Amazon Seller app, third party scanning apps allow you to scan items by barcode or enter a text search for the item. Third party apps also allow you to adjust selling price, inbound shipping, and cost of purchase before you subtract out the FBA fees and see your estimated net proceeds. We personally use Scoutify most often when sourcing, with Profit Bandit being our back-up on occasion. (For more info on third party scanning apps, check out our blog post about why we use Scoutify.)

  1. FBA CalculatorThe FBA Calculator website – FREE

If you are doing product research on a web browser, Amazon Seller Central has an FBA revenue calculator where you can enter the ASIN, UPC, or product name of an item and do the same calculations as above to find out your potential fees and potential profit. We highly recommend creating a bookmark for the revenue calculator so you can easily reference it when making online purchases, determining prices for your inventory during the listing process, or repricing your inventory after it’s at the warehouse. We’ve also created a quick link for the calculator: www.fulltimefba.com/calculator

To see the FBA revenue calculator in action, I’ve created a screen capture video explaining how it works.

  1. Scanalyze 1Google Chrome extensions, like Scanalyze  – PAID

Another easy way to see FBA fees when doing online arbitrage or product research is by using Google Chrome extensions that show the fees right on the Amazon product page. We use Scanalyze (available through the Cyber Monkey Deals website) and love it. You simply click the “Scanalyze” button and the fee calculator pops up at the bottom of your screen.

Scanalyze 2

Hopefully you’re equipped now to calculate your fees and know up front what your profit potential is before you buy inventory to send to Amazon. Please don’t become another victim in a scary movie! You can make good choices. You can build a profitable Amazon FBA business because you know your numbers.