Tag Archives: Ideas

How to Capitalize on Amazon’s Super Saver Shipping Price Change

Amazon just quietly changed the price for non-Prime members to qualify for Free Super Saver Shipping, a decrease from purchases of $35 down to $25. In other words, non-Prime members now have to buy only a minimum of $25 worth of Prime-eligible items in their shopping cart in order to qualify for free shipping. This can be an order containing a combination of items from every category.

This is not the first time Amazon has changed the price to qualify for free super saver shipping. In October of 2013, the price for free super saver shipping increased from $25 to $35 and remained $35 for almost 2 years. In early 2016, the minimum price increased from $35 to $49. In the middle of 2016, Amazon started to feel the impact of Walmart.com’s $25 free shipping threshold and responded by lowering super saver shipping from $49 back to $35. This week, Amazon has again lowered the minimum price back down to $25.

If you react correctly, then this change by Amazon will actually help your business. Here are some reasons to celebrate this change:

Amazon-Prime-Streaming-Video-Service-Bundles1. With this change, more people will be buying items that are Prime-eligible (this means items stored at FBA warehouses). With more people buying Prime-eligible items, there will be more people to buy your FBA products.

2. The more people who decide to use Prime shipping as a non-Prime member means that more people will be testing out Prime shipping benefits. More customers will fall in love with the free Prime 2-day shipping, and that will cause more people to sign up for Amazon Prime. The more Prime buyers, the more customers to buy your inventory.

It will take a little work, but those that react the fastest will win. I recommend doing some price changes quickly. Here is what I plan on doing with my inventory:

Price-Increase1. Price many items at $25. Search and see which inventory items I have priced between $22 and $25 to see if I should raise the price to $25. Based on my competition, this might be a great idea. This strategy will cause non-Prime shoppers to get free shipping on your items and they will choose your $25 item instead of a competitor’s item priced at $22 + $5 shipping.

2. Another “magic” price point will be $12.50. If the item you have could possibly be bought in multiple quantities, then this is a great price point for people who want to buy two. Two items at $12.50 total $25 and will qualify for Free Super Saver Shipping!

Of course there will be some exceptions to the above rules. Exceptions come into play when you look at other current FBA prices, how many items are being sold of that item, how the particular product category works, and more… but most of my prices will be updated with this thought process in mind! For more from Amazon on the Super Saver price change, click here.

So what do you think about the new $25 price point? How do you plan to react to these changes? I’d love to hear your thoughts in the comments below.

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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?

8 Tips for Making the Most of Amazon Prime Day 2017

Prime Day for 2017 will be July 11… and here is how to make the most of it.

In 2015, Amazon decided to celebrate its 20th birthday with a huge day of sales called Prime Day. Amazon promised its Prime customers would see even more deals on Prime Day than on Black Friday. The sale ended up living up to the hype as Amazon reported selling 398 items per second (source) that day. In 2016, Amazon brought back Prime Day in July, and again, it was a huge success eclipsing the sales numbers from the previous year.

This year, on July 11th, Prime Day will be back. Amazon is promising even more sales than the year before. In fact, they are going to start with early exclusive Prime deals starting well before Prime Day and every day leading up to the big day. With these pre-Prime Day deals, I think Amazon is basically “priming” their customers to buy even more on Prime Day (see what I did there?).

Prime Day is a day that Amazon has strategically created for multiple reasons. One reason is to get more people to sign up for a Prime membership. I love being a Prime member and all of the benefits it provides. If you’re not a Prime member yet, you really need to consider joining. As a Prime member, I’m able to do a better job selling items to Prime customers because I understand their mindset. (Plus, my wife wants to add, “Where else can I stream Downton Abbey?!”)

Another reason Amazon has created Prime Day is to bring in millions of new and return customers to Amazon. They know that if they provide the big deals, the customers will come. This huge increase in customers coming to shop on Amazon creates an incredible way for you to get a big bump in sales. The customers will come for the big Amazon deals and will stay to shop for other items they want to buy…. hopefully buying your inventory!

For the rest of this blog post, you can either scroll down and keep reading for the top 8 tips to make the most of Amazon Prime Day, or you can watch the video below for a more in depth look into my top 8 tips.

Prime Day is going to be filled with some amazing deals. If you’re prepared, you can maximize your Prime Day profits. Here are some timely tips on how to make the most of Amazon Prime Day 2017:

1. You might be tempted to buy some of the Prime Day deals to flip right back on Amazon. Don’t forget that it’s against Amazon’s rules to buy items using Prime shipping that you intend to resell on Amazon. This is a rule that many new Amazon sellers don’t know, but could get you in a lot of trouble if broken.

EBay_logo.svg2. Even though you can’t use Prime to buy inventory for Amazon, you can still use it to buy inventory to sell on other platforms like eBay, craigslist, or anywhere else you can make a profit.

3. Search the Prime deals for items you can use in your business, like shipping supplies, office supplies, a new processing laptop, or anything else you can deduct as a business expense.

4. Last year, other stores responded to Amazon’s plan for Prime Day with special sales of their own. Be sure you look at other online stores to see if they have special deals going on that day. I know Walmart had a big sale last year in response to Prime Day. I’m sure they (and other stores) will be doing so this year, too.

LC_OFF_Body_NLP5. In preparation, right now is a good time to reprice some of your inventory. With more people shopping on Amazon on Prime Day (as well as the days leading up to it), there is a greater chance for you to get increased sales. Be sure you competitively reprice your items to maximize your profits. Here is a post on how to manually reprice your inventory and another post with some smart repricing strategies to bring in quick sales.

6. Not only should you reprice your inventory to get more sales, you might want to reprice the inventory you have that will be charged a Long Term Storage Fee (LTSF). Remember, in one month Amazon will be charging you a LTSF. If you need some help with this, here is how to find out what items (and exactly how much) you’ll be charged come August 15th, and seven tips on how to avoid the Long Term Storage Fees.

7. Set a reminder on your calendar for July of 2018 and be sure you are ready for Prime Day next year. 2017 will be the third consecutive year Amazon has planned a Prime Day, so it’s a good bet it’ll be back in 2018. You want to be sure and be prepared each year to take advantage of this opportunity.

8. Have realistic expectations for Prime Day sales. An increase of sales is expected, but overall it will most likely be a nice bump in sales. While some people might have a day filled with tons of amazing sales, that probably won’t be the norm. Don’t get caught up with checking your sales every 10 minutes to see if you have any new sales. And don’t fall into the trap of comparing your sales with others who are posting online. Remember, comparison is the thief of joy. Just enjoy the nice bump in sales and then get back on track with your overall goals for your Amazon business.

If you have any more suggestions about how to make the most of Amazon Prime Day, then leave a comment below. I’d love to hear what you have to say.

Responding To The Latest Changes In Amazon Selling

changes-ahead-road-sign

Updated for March 2016. First posted May 2014.

The past few days have seen many Amazon sellers freaking out about the latest Amazon policy update. I’ve even heard of people saying they are going to quit selling on Amazon because of this change. In all honesty, I think that most people are just overreacting and it’s really not as bad as people think.

If you haven’t heard about the latest policy update from Amazon, then I’ll sum it up for you right here. Amazon is starting to restrict some 3rd party sellers from sending inventory of certain ASINs to Amazon FBA warehouses. You may have seen this policy update in action if you’ve listed anything lately and received this message:

You are already at the maximum inventory allowed for this product, due to capacity or other restrictions. This product must be removed from this shipment.

amazonwarehouse-Flickr_Scott_LewisBasically, Amazon thinks that it already has enough of that particular ASIN being stored at its multiple FBA warehouses, and there is no longer a need for more of that ASIN to be sent to Amazon. Amazon doesn’t want to store 500 of the same item when they know it will only sell twice a month. Sure, the new policy has been showing up on some very low ranked ASINs with no FBA competition, but I think that’s just a glitch in their algorithm that they will soon fix.

For some Amazon sellers, this new ASIN restriction is causing severe panic… but it doesn’t have to. This is not the first time Amazon has implemented a new policy that changed how people sell on Amazon, and it won’t be the last. There is no reason to panic over this change.

If you’ve been selling on Amazon for any length of time, maybe you remember some of these changes…

  • Amazon announces a new 6-month long term storage fee that would be in addition to the 12-month storage fee.
  • Amazon requires approval to sell any toy related to Star Wars Episode 7.
  • Amazon closes the categories for Grocery, Beauty, and Health & Personal Care and people who want to sell these items need to be approved.
  • Amazon “froze” everyone’s toys related to the movie Frozen to check on counterfeit claims and then requires anyone who wants to sell Frozen related toys to seek approval.
  • Amazon announces a new 12-month long term storage fee in addition to the monthly storage fees.
  • Amazon begins to split up shipments to different warehouses.

The changes that Amazon makes have the potential to be discouraging to us as Amazon sellers. But we have a choice whether or not we’re going to let these changes get us down.

So what are your options in the face of these changes? You could see all these frustrations as a sign of things to come and you could quit selling on Amazon altogether… You could go to Facebook and complain about these changes (and miss out on time sourcing, packing, shipping, or even miss out on valuable family time)… OR, you could adapt to the changes and make the most of your mental, emotional, and physical energy to push your business to the next level.

change-quoteChange happens. It’s inevitable. Most of the time, we have absolutely no say or influence in the changes that occur. The only thing we have control of is our response to change. Those who are going to succeed in this reselling line of work are those who will adapt to the changes and make the most of every situation.

Amazon stopping you from selling slow moving inventory with the ASIN restrictions? Stop over-worrying about it and focus on finding faster turning items to send in to Amazon. Amazon putting an ASIN restriction on the wrong items? Don’t complain about it on Facebook; instead open up a ticket with Seller Central and politely ask them to look into the ASIN restriction on that item and see if the restriction can be lifted.

Learn. Adjust. Grow. Learn more. Adapt.

These changes will not be the last ones. More changes will come, but the important thing for you to do is to focus on how you will respond to these changes. Those who will win are the ones who will respond with wisdom, patience, and a renewed desire to accomplish their overall goals, no matter what happens.

So what about you? How do you respond to changes in your business? I’d love to hear how you make the most of these changes. 

 

Why I’m Not Worried About the Post-Christmas Amazon Price Drops

price-drop-alert-resizedA quick question: Did you sell out of your entire inventory before Christmas? Neither did I. During Q4, many Amazon sellers get used to the abundance of  sales that come with the Christmas season. Actually, we get spoiled with so many sales per day that when January arrives, we get scared. All of a sudden the sales seem to stop, and for some sellers panic sets in. Some sellers think that the answer is to lower their prices ASAP in hopes of getting more sales, but is that really the answer?

One of the things I always try to remind people is patience brings profit. It’s true that sales in January are usually not as good as December, but they still can be outstanding. The question I want to ask you is this: What is your business model when it comes to selling on Amazon? If you have a model that is focused on fast turns (items that sell very quickly once they arrive at a FBA warehouse) then you will price items much differently than if you have a business model based on patience.

I sometimes hear about Amazon sellers stating they lost money on an item they purchased in the fall and were hoping to sell during the Christmas selling season. The items didn’t sell out and now the price has tanked. Sometimes the price has fallen so far that the current price on Amazon is lower than the price they paid for it back in the fall. This can be frustrating for any seller. So what is the answer?

If your business model is based on fast turns, then you might want to lower your price (even if you lose most of your money) so that you can get some of that capital back to reinvest in items that you think will bring a better and faster return. On the other hand, if you are patient, you might just see the price you want return to equilibrium and wind up making a profit. Since monthly FBA storage fees are usually around a few pennies per month per item, it would seem to me that patience could possibly pay off in the end.

CCC Q4I’ve seen it happen often: An item is selling for a great price in December, but then falls drastically in January. A few months later, the price begins to rise again, and in December the price is back up where the profit margins are the best. Does this happen 100% of the time? No, but it happens enough that the few cents per month to pay for the item to sit in an Amazon FBA warehouse might be worth the gamble. Look at the image above. Almost all year long, the prices are low, but when Q4 approaches, the prices shoot up.

ROISometimes, it’s better to have $50 five months from now than $5 today. Why? Because I adhere to the balanced business model. I try to stock my inventory with slow dimes, fast nickels, and super slow quarters. What does this mean? It means that my inventory is loaded with items that will sell fast, sell slow, and sell super slow. I’m ok with making a 30-50% ROI (Return On Investment) on the items that sell fast. On items that sell slower, I want to get at least 100% ROI, and for the items that sell super slowly (think long tail items), I want the ROI to be well above 200%. The waiting game isn’t always fun, but in this balanced business model, patience brings profit. 

I don’t want to wait 11 months if the ROI isn’t high enough. It all comes down to opportunity costs. The longer I have to wait to sell an item at a higher price, the higher the potential ROI needs to be.

20465.picIf I hold my higher price, I could sell it later and get more for my item… but if I lower the price and sell sooner, I could reinvest that capital into items that will sell much faster. Each item is different and will require a different pricing strategy. Sometimes it’s good to hold at your higher price, because you’ve seen on CamelCamelCamel that in a few months, that item will probably be selling at the higher price you have it listed at. On the other hand, if you’ve seen the CamelCamelCamel data and it looks like the price will not recover soon enough, then it’s a better idea to lower your price so you can get that capital back to invest in better inventory.

Bonus Tip: If you have multiple quantities of a particular product that hasn’t been selling and suddenly begins to sell, check to see if you need to raise the price. You don’t want to raise it so high that it won’t sell again, but raise it up enough to match everyone else’s price. If the items stop selling, you can always lower the price back to where it was.

So what about you? What works best for your business? Would you rather get your capital back to reinvest, or do you wait for the prices to return to what you’d like them to be?

*This article was originally written in 2014 but has been updated for January 2016

The Top 9 Ways to Use Your Q4 Income Wisely

q4-income2As I’ve stated before, the fourth quarter selling season on Amazon almost always brings your highest income possibilities of the year. Many Amazon sellers find that their sales sometimes multiply ten-fold from what they’re used to during the other three quarters. How you handle your increased profits can possibly help propel you into even more profits in the year to come.

In the rest of this blog post, I’m going to share some of my top ideas on how to wisely use your Q4 income. Please don’t assume I’m telling you to use your money on all of the following ideas; rather read them through and pick a few that most resonate with you and where your business is currently. Here are some ideas:

41goi0EX1bL

When buying a shrink-wrap machine, I recommend the 16 inch impulse sealer.

1.  Invest in time saving equipment – What are you doing now that can be done much faster with the help of some new equipment? Now is the time to research quality tools that can lessen your work load. A few years ago I purchased a 16 inch shrink-wrap machine and heat gun. Two years ago I purchased a box re-sizer and a newer laptop. Think about what tools can help you speed up your current work process. Could you be in the market for a Bar Code Scanner or Scan-Fob? Maybe you’d like to get a Dymo label printer. There are so many tools out there that help save time and money.

2. Invest in time saving programs – Maybe you’ve been listing your items directly on Amazon and are ready to save some time by signing up for Inventory Lab or other listing tools. Or maybe you want to cut your online arbitrage sourcing time dramatically with a tool like OAXray. These programs can help save a lot of time in many other areas of your business too (like repricing, financials, etc).

IMG_84833. Purchase more inventory – In the weeks leading up to Christmas, many stores start to put toys and other gift items on sale at really great prices. If you wait a little longer, right after Christmas, many stores start mega clearance sales. You’ll find sales in brick-and-mortar stores as well as online. If you don’t want to get out and source inventory in the cold weather, you can find many great sales at stores online. In store and online, there will probably be more items you can buy for resale than you have money for. Amazon sales in January are still really good as people have Christmas gift cards burning a hole in their pockets, so it’s wise to keep stocking up your inventory into the new year.

4. Purchase supplies in bulk – What items do you buy for your business all year long? 3-inch Packing tape, shipping boxes, Dymo labels, and printer ink are just a few of the items that I buy all year long. It would be wise to buy these items in bulk now (at much better prices per item) instead of spending more money to buy them later in smaller quantities. Click on the following links to see more about the supplies I use in my processing desk and shipping station.

debt-picture5. Pay off debt – As Dave Ramsey says, “Debt is not a wealth building tool.” If you have any debt, the wisest thing you can do is to pay it off as fast as you can. Imagine giving yourself a raise by doing the same amount of work you do now! When you are no longer paying debt interest fees, that’s money that you can use for your business. If you are in debt, I highly recommend Dave Ramsey’s Financial Peace University. For more information on getting out of debt, check out his book The Total Money Makeover.

6. Treat yourself – Sometimes we can be so focused on work that we forget ourselves. Getting too wrapped up in work can lead to burnout. If you can, give yourself a Christmas bonus and treat yourself to something fun.

All Devices7. Invest in Your Mind – Is there an Amazon FBA related book, course, or program that you have been interested in buying? This might be the best time to buy FBA training materials so that you can learn how to improve your current Amazon business. You are the number one asset to your business. Invest in yourself. The more you can learn, the more you can earn!

5-years-to-your-best-year-ever-logo8. Invest in your future – What if  you could make 2017 your best year ever? You don’t have to spend another year frustrated that you haven’t achieved all you know you’re capable of. Instead, you can enter the new year with the clarity you need to reach your full potential and make this your best year ever. All you need is a plan. Find out how by checking out 5 Days to Your Best Year Ever.

9. Give generously – If you have yet to discover the joy of giving, I challenge you to try it this holiday season. There are so many worthy causes and organizations that need your financial help. Remember to find out if the money you are giving is tax deductible or not. If it is, be sure to keep receipts for your tax records.

Q4 GrowthSo what about you? How do you best use your Q4 income to help you and your business succeed? I’d love to hear your ideas, so leave a comment below.

How To Find Which Items are Out of Stock on Amazon

It really happens. Amazon, from time to time, goes completely out of stock on items that sell often. Not only does Amazon go out of stock, but sometimes the 3rd party sellers also go out of stock. When nobody is in stock for a product, Amazon usually hides that product page from customer search results. Amazon is all about providing the best customer experience, so they don’t want customers to find product pages of items that are sold out (sold out product = unhappy customer).

But what if you, as a seller, need to find an item on Amazon, but it’s hidden because no one is currently selling it? Also, what if you wanted to find out which items are sold out on Amazon so you can go source those items yourself and meet the demand (for a pretty penny, of course)? How do you find the items on Amazon that are out of stock?

Here’s how to do it:

  1. On Amazon.com, enter in the search bar the item you are looking for (Note: this works on a desktop, laptop, tablet, or the full Amazon site on your smart phone’s browser app).
  2. Scroll through the first few pages of results to see if you can find your item.
  3. If you can’t find it, scroll up to the top of the page and pick a category to narrow your search results. Pick the most likely category.
  4. After you pick a category, a new search button will appear on the left column. Near the bottom of the “Show Results For” section, you can click the button for “Include Out of Stock.”
  5. Now you can scroll though the results again and see the items that are both in and out of stock. The out of stock items will not have a price listed with the image. You might find what you are looking for.

91cjwABNIVL._SL1500_Let’s run this tutorial through with a real life example. Imagine you are out at a thrift store and find a brand new Masters of the Universe Castle Grayskull. You scan the barcode on your smart phone, but get no results. You try a keyword search on the Amazon app, but you still get nothing. Here’s what to do next:

  1. Open the browser app on your smart phone and go to Amazon.com. If it shows you a mobile version of Amazon, be sure to click on “Full site.” In the Amazon search bar, type: “Castle Grayskull” 
  2. Scroll through the first few pages of results to see if you can find your item.
  3. If you can’t find it, scroll up to the top of the page and pick a category to narrow your search results. For this item, the category will be Toys & Games. 
  4. Screen Shot 2014-12-11 at 9.20.56 AMAfter you pick a category, a new search button will appear on the left
    column. Near the bottom of the “Show Results For” section, you can click the button for “Include Out of Stock.”
  5. Now you can scroll though the results again and see the items that are both in and out of stock. Remember, the out of stock items will not have a price listed with the image. 
  6. This is what your search results look like at the bottom of the first page:

Screen Shot 2015-09-14 at 5.43.57 PM

You found it! Now you can do some CamelCamelCamel research and see if this item is something worth selling.

Here’s a tip: If an item has been out of stock for a long time, then obviously the rank of that item will be very high (or zero), but don’t let that stop you from considering selling it. It may have sold well in the past, and if it’s a toy, it might sell come Q4. Remember this blog post on why I bought a toy ranked over 1 million? That toy sold very quickly. Rank is not always an indicator of sales velocity.

Another tip on discovering if an item will sell quickly is to look at the Amazon product reviews. If people have posted multiple recent reviews, then it should sell fairly quickly. 

IEBay_logo.svgf CamelCamelCamel does not contain enough data for you to make an informed buying or pricing decision and you still need help getting more information, then another tip is to look on eBay. You can use the Advanced Search link on eBay to see what buyers are paying for that item. Basically, do as much research as you can to make a smart sourcing decision. 

If you do all this searching and don’t see the item you are looking for, then you could potentially have a very high priced item on your hands. You can either create an Amazon product page for that board game or consider selling it on eBay. If you want to create a product page on Amazon, then here is a resource that can 116_1409831933help you create and optimize it for quick sales:

Amazon Advantage: How to Create Product Listings That Sell

BONUS TIP – If you found an item so rare that both Amazon and eBay are not
selling it, then here is a tip that might make you a lot of profit. If you are patient and don’t need to make a quick return on this item, then I would price it at least
four times what I assume I’d actually be able to sell it for. Since you are
the only person offering this item, you could possibly command a huge price. If, after a month or so, you don’t get a sale, then I’d start to lower the price by about $25 a month until it amazon12-1finally sells. Remember, if you only have one left of an item in stock, Amazon puts that information on the sales page, so it’s very likely that someone will want to pay a high price for this very rare item.

Now it’s your turn. See if you can find this exact Lion Pillow Pet on Amazon following my instructions above. Let me know in the comments if you were able to find it. 

Note: This toy is currently ranked 162,000 in Toys & Games so it might not be sold out for long! 

The 3 Keys to Growing Your FBA Business Into a Full-Time Income Generating Machine

Keys to Success

One of the most frequently asked questions I get is this: Is it really possible to make a full-time income from selling on Amazon? And my answer is always an enthusiastic “YES!” 

If you’re not familiar with my story, here is a really quick summary. In 2011 I was recently divorced, unemployed, and clueless about where my life was headed. I needed to find a way to financially support myself and my four little boys. While I was looking for a way to turn my eBay hobby into a full-time income, I stumbled across Amazon FBA. I bought Chris Green’s book Retail Arbitrage (now updated and titled Arbitrage) and devoured every last page. In late 2011 I sent in my first box to an Amazon FBA warehouse and I’ve never looked back. 

In 2013 I married Rebecca who is not only an amazing wife and stepmom, but has also become my business partner. Fast forward to today, and I’ve been making a full-time income via FBA for over 4 years, and my sales keep growing year after year. It requires hard work, patience, and dedication, but making a full-time income with Amazon FBA is very possible. 

Today, I’m excited to share with you the 3 keys that have helped me grow my FBA business to making a full-time income with only part-time hours

SMART-1-articleLarge1. Always be sourcing. You can find profitable inventory everywhere. Be on the look out and you will find it. It’s everywhere. Seriously, I’ll run out of money before I run out of inventory to find. Where do I find my inventory? How about garage sales, thrift stores, retail stores, clearance stores, liquidation stores, online arbitrage, grocery stores, at the airport, and even at my own house. I’ve found inventory on Facebook, Craigslist, Freecycle, and more! Profitable inventory can be found both online and locally

2. Always be learning. Learning is a huge part of finding success, but there is an art form to learning. In today’s world, there is so much information out there (both paid and free), that you could literally spend all day learning. Here is my advice when it comes to leaning. Pick only one Focustopic to learn at a time. Then, once you master that topic, move on to the next. Remember the acronym FOCUS – “Follow One Course Until Successful.”

Imagine a FBA seller who wants to learn about online arbitrage, buying wholesale, and selling grocery on Amazon. Which seller do you think will be more successful in a shorter amount of time? The seller who reads about online arbitrage on Monday, studies about wholesale on Tuesday, and then reads about how to profit on grocery items on Wednesday… or the seller who commits to learn all about online arbitrage this week until they feel comfortable putting their knowledge into action? Of course, it’s the seller who is focused. Always be learning, but follow one course until successful. If you’d like some ideas on what to learn next, check out our resources page

3. Always be outsourcing. Jim Cockrum (from the Proven Amazon Course) says “Only do what only you can do and outsource the rest.” When you find people who can do the easier stuff, that will free you up to do the harder, more profitable actions for your business. Think about it this way: How much money do you think you make per hour with selling on Amazon? Maybe $50 per hour? $75 per hour? If you could make that amount per hour working, why would you do any tasks that you could pay someone else $10-$12 per hour to do for you? 

Did you know that almost every part of your Amazon FBA business can be outsourced? Imagine having other people do most of the work for you, and you are free to focus on the most profitable aspects of your business. Now, that’s freedom! Here are some examples of what you can outsource:

3d-cover1-738x1024A. Retail Arbitrage – It’s possible that you might know someone you could hire to focus on garage sales, thrift stores, and other retail arbitrage sourcing in your area. Some people are afraid of training potential competition, but there are ways to avoid that. A great resource for leaning how to find, train, and hire quality people who can source inventory for you is Ryan Grant’s book Outsourcing Sourcing. I highly recommend it as it answers every question you may have about hiring someone to source in your local area. 

B. Online Arbitrage – There are many different ways you can outsource your OA. Some people hire VAs (Virtual Assistants) to source for them. They train a VA to find items online that meet certain sourcing parameters. Then the Amazon seller decides which items to actually buy. Other online sellers pay for a shared VA group and get daily sourcing lists. We currently use Cyber Monkey Deals for many of our OA finds and are trying out some other services as well.  

brownbox2C. Prepping, Packing, & Shipping (PPS) – Not only can you hire someone locally to prep, pack, and ship your items to Amazon, but there are also many reputable companies around the country who will do all of that work for you. They can remove price stickers, poly bag, shrink wrap, etc. Then once the items are prepped for Amazon, they can pack them and ship them off to Amazon for you. Some PPS companies (like My Inventory Team) are set up so you can ship your online arbitrage buys directly to them and they will prep, pack, and ship it for you. If you live near a PPS company, see if they will allow you to drop off your retail arbitrage items at their local warehouse. 

D. Household Cleaning and Lawn Maintenance – This might not be considered part of your business, but the same philosophy applies. Why would you stop your $75 per hour job selling on Amazon to clean your house when you could easily hire a quality maid service for much less? Same goes for taking care of your lawn.

il_340x270.508952328_rrmq4. Always be thankful. (Yes, I know I said there would be 3 keys, but it’s those who go above and beyond what’s expected of them that truly succeed). Remember to be thankful for the flexibility and freedom that selling online provides. Be thankful for the help of others, and give back. Be thankful for the mistakes you make so you don’t repeat them. Be thankful for all of the Amazon FBA seller related books that help straighten out the learning curve. Be thankful for the amazing opportunity this business model presents. 

Those are the 3 (actually 4) main keys that have helped Rebecca and I find success with our FBA business. Are we perfect in all of these areas? No, but we aim to do our best, learn what we can, apply what we’ve learned, and share those lessons with you on this blog. 

Yes, it’s totally possible to make a full-time income selling on Amazon, and I’d love to help you meet that goal. Be sure to scroll up and sign up to follow this blog. You’ll get a newsletter about once a week with helpful tips and strategies to turn part-time hours into a full-time income with Amazon FBA.

Now, I’d love to hear from you. What are your keys to FBA success? Please share with everyone so we all can learn, grow, and succeed! 

FBA Sourcing + Road Trip = Free Vacation!

It’s summer, and the perfect time to plan a sourcing road trip! Combining a road trip with FBA sourcing is a great idea that combines the fun of a vacation with sourcing in new and exciting places. Imagine driving to a location far from home and stopping at rural Walmarts along the way to find clearance items you can’t find anywhere else. Imagine the possibility of finding new “honey holes” for FBA inventory. Think about how much fun it could be to source at your favorite stores in a new town and find even more of the items you’ve already sourced in your own hometown. The possibilities are endless.

In 2014, Rebecca and I planned a three-day sourcing road trip to Kansas City, Missouri. We live in Fort Worth, Texas, and both thought it’d be fun to take our sourcing on the road. We booked two nights at a hotel in Kansas City and left Fort Worth on a Friday morning.

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I’m not saying we’re a good luck charm, but the Royals did go to the World Series the year we went to see them play.

When we got to Kansas City, we checked into our hotel and headed for Kauffman Stadium to see the Royals in action, just a few months before they made it to the World Series. Rebecca and I are both fans of baseball, and it’s been my dream to visit every Major League Baseball ballpark. What better way to liven up our sourcing trip than to work in two baseball games on the road?

Friday night we watched the Royals beat the Angels thanks to an Omar Infante grand slam.

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It’s so much fun filling up multiple carts!

On Saturday morning, we got up early and began to source. Before our trip, I made a map that included many of our favorite sourcing stores. We sourced all morning and found some really great inventory items. Come lunchtime, we headed back to Kauffman Stadium for another baseball game. This time, Rebecca and I went to the stadium early and toured the Royals Hall of Fame and walked all the way around the stadium. It was a lot of fun for both of us. The game began, but the clouds started rolling in. Before the sky fell, Rebecca and I decided it was time to go. Sure enough, the rain came hard, and the game was delayed.

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Rebecca asked, “Are we going to have enough room in the back for our luggage?” Maybe next time we’ll rent a trailer.

While the game was under a rain delay, there was no time to waste for Rebecca and me. We went back to sourcing and continued to find some amazing deals at stores all over Kansas City. We filled up our van and headed back to the hotel for the night. Bright and early Sunday morning, we packed up all of our things and made the drive back home to Texas.

That road trip to Kansas City was awesome. It was a lot of fun sourcing in a new city and watching the Royals play at Kauffman Stadium. It didn’t hurt that the Royals were also giving away free hats at one game and free bobbleheads at the second game. I sold those freebies on eBay and it helped pay for the game tickets and stadium parking. Not a bad deal.

If you’re looking for a fun way to get some vacation time in while still working some on your FBA business, a sourcing road trip might just work out for you. As long as sourcing (or other work-related activities) are your primary objective, then you would be able to write off the mileage and expenses. I know from experience that it is possible to make a trip like this profitable, even after all of the travel expenses.

Yes, we actually peeled stickers in the hotel room!

Yes, we actually peeled stickers in the hotel room! Click on the image above to get your own Scotty Peelers. They’re awesome!

Rebecca and I have gone on many sourcing road trips and have really found it to be both refreshing and a fun challenge for our business. One night, after coming back to the hotel room after a huge rural Walmart haul, we were so excited about all the inventory items we found that we actually took off all of the price stickers in the comfort of our hotel room. That’s right. We actually brought all of the items into our hotel room. You should have seen the faces of other guests as we loaded up the bellhop luggage cart with bags and bags of Walmart items.

Maybe a sourcing road trip is just the thing to help give you and your FBA business the kick it needs to get out of your comfort zone and source new places – or your normal places in new cities. Take a look at a map and see what surrounds you. See if there are any non-work-related activities you can combine with your sourcing trip. Maybe combine a sourcing trip with white water rafting… or a sourcing trip with camping at a beautiful state park. Maybe you could source on your way to and from a national landmark you want to visit…or to and from a city or state on your bucket list. The possibilities are endless.

ontheroadThere are a few really great resources that can help you make even more out of your sourcing trips. The books Amazon Autopilot: On the Road and Traveltage: Use Your Smartphone & FBA to Make Money, Travel, & Create The Life You Want are both good resources that walk you through everything you need to know (and more) about combining travel with working a successful 81+-bbgb+VLFBA business. When you go on a sourcing road trip, you really need to know all the ins and outs on how to make the most of your time, energy, money, and resources. Both Amazon Autopilot: On the Road and Traveltage help you gain the knowledge you need to make each and every one of your sourcing road trips a big success.

Now, I’d love to hear from you! Have you been on a sourcing road trip? Where did you go and what did you do? Have any tips to add for a successful sourcing road trip? Comment below and share your story.