The Secret to Amazon Private Label Profits in 2025

The Secret to Amazon Private Label Profits in 2025 Speaker 1: So let's get started. So welcome. Obviously, guys, I kind of asked this already, but who here is currently has an Amazon brand selling with FBA? So private label brand. Is there anyone here that has a current Amazon brand selling with FBA? Go ahead and type that into the chat box if you are. And who is looking to get started with an Amazon FBA brand? So if you're looking to get started, private label, FBA brand, let me know in the chat as well. So I know we've already had a couple. We've got Gina looking to start, Jerry looking to start in a private label, Eduardo looking to start. So that's great. Essentially, I think either way you look at it, you're in the right place because as I mentioned already, we've got some great stuff to offer both people who are just getting started and people who are already doing this. Great to have you guys here and we'll walk through a lot of this stuff. Get everybody familiar with the process and then dig deep. So what we're going to cover today is first, we're going to talk about why you are struggling to make Amazon FBA work the way you want for those current sellers. Then we're going to talk about how to make Amazon FBA work for you going forward. So obviously if you're struggling, even if you're just struggling to get started, this will start to show you how to look to get, you know, improving and get started going forward. And then we're going to talk about what you need to stop doing in order to make this a lifestyle business that earns you income month after month. Does that sound good to everybody? So if it sounds good, cover those three topics, get going. We'll also talk about how to get started and everything like that. And I've got a really great spreadsheet I wanna show you. I call it a tool, but it's a spreadsheet to show you how to get started. So does that sound good to everybody? You guys excited? Because I'm excited because I got a lot to talk to you about today. All right, Gina, Richie, yes, great. All right, so I'm gonna give you a very brief intro to who I am just so you know who the heck is giving you advice because I don't wanna sit here and toot my own horn and brag about myself. I just want you to know who I am, what I've accomplished and kind of show you that this is possible, right? So this is me selling on Amazon since 2013. I think I'm even wearing the same shirt. So that's pretty impressive. I didn't even realize that. I've sold over $12 million in sales between my own brands and brands I've ran for others. I've also created three separate seven-figure Amazon training programs. That's been, you know, over the last 12 years or so, I've been able to accomplish that. And then I've also worked with thousands, literally thousands of sellers to help them improve their businesses. I've been self-employed since 2015, living free of a daily commute or soul-sucking job and this is also me. So I'm not an internet marketer. I'm not what you would call like an online guru. I don't go out and do affiliate promotions and make a bunch of money selling other people's stuff. I don't pretend to have millions of dollars in the bank. I work in my business every day and you will too if you're selling on Amazon. I drive a Toyota, a Toyota Corolla, not a Lamborghini. So I'm sorry to disappoint anybody who thought they were coming on here to show some sort of lavish lifestyle. I'm not in an office in Tahiti. I am in Las Vegas. That's where I live. I am in my home. I work from home and I help all my clients and run my businesses from my home. I don't find value in overhyping things or using fear to get people to work with me. That's not what I want. I would love for you to be able to do what I do, get your own successful Amazon business running, and that's what I want. I don't want you to sit here and pretend like everything's great in life. Life is hard, life is great, but at the same time, life is very hard and businesses can be hard. I'm not gonna sit here and try to stress you out more than what you already may be stressed. I want you to build a business that can actually alleviate some of that stress. I work hard with my clients to help them succeed in their businesses as well. There are just a handful of clients, or sorry, these are just a handful of clients I have worked with just so you know who I have worked with and what they've been able to accomplish. First up is Kevin. He actually, I started working with him about four or five years ago and he was able to improve his conversion rates on his products by using benefits instead of writing about the features and some of the kind of like, you know, measurements and stuff like that about his products. He increased his conversion rate from 20, 22% to 28%. That's 6% conversion is quite a bit when you're talking about Amazon, when you're getting, you know, a hundred sessions a day, that might lead to six more sales a day. And you compound that over time. And that's a lot of money. Now that's a small one, obviously, but it's, it's still there. Now, James is actually a client who, Some of his story is here, but basically let me sum up his story for you. He was ready to quit. He had come to me after about four or five failed products and said, this is my last shot. Do you think I can make this? I said, James, I don't know if you can, but I'm going to help you the best of my abilities. I legitimately said, like, I don't know. I can't guarantee this. He picked a product. We talked about it. He kept saying, I don't know if it's right. I don't know if it's right. I don't know if it's going to work. Long story short, he started selling that product. He ended up about two years later selling his business for seven figures. That was one of the most dramatic turnarounds I've ever seen from an Amazon seller in my life. He went from literally Like the verge of quitting, he had $6,000 left on a credit card that he was going to fund his next product with. He turned that into a seven-figure payout within two years, which was fantastic. He got his wife to retire from her job. He actually still kept working at his job, but his story was great and inspirational. Really good friend. I've talked to him over the years. He's a great guy, but it was just one of those success stories that I couldn't have been happier for someone because it was literally one of those points where he was gonna quit. He turned to me and said, do you think I can do this? I said, yes, you can do this. Let's work together and it really worked out. So it's one of those great things that I've, one of the greatest things I've seen on Amazon. This is Heather. When we first started working together, it was actually her and her sisters. Their goal was to get to, I think it was $200,000. Yeah, $200,000. They were about $132,000. I said, okay, well think bigger. Let's get your conversion rates up. Let's make your listings better. Within, I think it was like in 60 days or 45 days, they actually hit a $300,000 30-day period. So in a month, they actually did $300,000 in sales, which was pretty impressive because they more than doubled their best sales month. And then this is Corey. Corey actually was already selling pretty well. This was actually the screenshot. It's a little small there. But the screenshot essentially is showing you that, if you can see it, that he basically doubled his sales from one year to the next. He went from something like 115 to 230 or $220,000 in sales. And then he actually grew it even further. He created an office. He started doing other brands. He started kind of branching out for clients and stuff like that. He was doing really well. And the best part of this was he says, thank you so much. For what you do, my two young daughters get to see me a lot more because of your help. And that's what it's really all about. You don't care about the money as long as you can use the money to do something that betters your life. If money makes your life worse, don't do it, right? Don't just think about how can I make money? Think about how can money make my life better? That's how you should be thinking. And then Tony at the bottom here, he says, after five years in the business, I finally hit the $100,000 club and that's in a 30 day period. And basically he couldn't have been happier. He said, time to crack open a bottle of the bubbly. So again, those are some of my clients that I've worked with over the years, but I'm going to tell you, obviously as a mandatory disclaimer, any results shared are not guaranteed or even typical. I don't say this because I'm just trying to warn you of like, Hey, you know, I, you know, these things are just the highlights. They're not the only people who have ever had success working with me, but I can't guarantee that you'll ever make money on Amazon. It's an absolute rule of law that you're never gonna be guaranteed to make money in any business. I don't know what actions you'll take, if any. I don't know what products you're gonna pick. I don't know any of that stuff to this point right now. So don't think I'm sitting here saying everybody can do this. I'm realist, right? I want you to understand that there are risks in business, but I also want you to understand that there are rewards if you do things the right way. And let me quickly explain the Amazon FBA ecosystems for brands. So what is Amazon FBA? It simply stands for Fulfillment by Amazon. This is where you send your goods to Amazon. Notice your goods is highlighted, right? When a customer buys your product, Amazon ships it and handles almost all customer service. You do very little once the inventory is at Amazon, because they'll take the order, they'll ship the item, they'll store the goods, all that stuff. So you're probably thinking, well, what do you mean my products? I am saying that you will create your own brand of products and sell them. This has to be very clear. You'll be creating your own brand of products like Aquafresh has toothpaste, Tide has detergent. You'll have your own brand of complimentary products that you will put on Amazon and sell them on their platform. This is what is known as private label selling on FBA. So PL on FBA or private label, you'll see a lot. Private label means you're going to create your own products and put your own brand on that label, right? So it's gonna be, you know, Gina's brand or Eduardo's brand, whatever that brand is gonna be called. So why do I recommend selling your own brand of products? So why should you create a brand? First, you control profit margins, unlike drop shipping or wholesaling, which only allows you to sell at the lowest prices. Sure, you can get really good discounts or coupons and then resell stuff to get some markups, some profit from that. But after Amazon takes all their fees, it really is like kind of like a slap in the face for you trying to do this work and making like 10, $12 an hour. You leverage the existing market and Amazon's platform to put your brand right next to top sellers. So instead of selling, you know, another bottle of Tide detergent, you're selling, you know, Gina's detergent right next to Tide, and you can get ranking right next to that. And if you have any sort of discretion, like, you know, sort of, you know, You know, differentiation or some sort of, you know, price discount or whatever, because you're not selling their stuff. You can sell yours a little cheaper or whatever that, you know, unique proposition is. You can immediately become a market leader by standing right next to, you know, tried and true brands that have been around for years. Your product goes right next to theirs on Amazon. So not only do you control your profit margins, but you kind of control the position and the visibility of where your products will show up. You pay a fraction of the marketing that big brands do to get awareness because they've already paid for everybody to know what a Tide Pod is or what a shovel is, right? There's been no shortage of money that they've spent for people to understand what these things are. You go out and sell your brand of those things and you don't have to pay for anybody to know that Tide Pods is a search term in Amazon or whatever that might be, right? You also cut out the middleman of retail stores to give a great value product to buyers on Amazon. So you don't have to send to, you know, Walmart or Target or any of those places and then they market up again and now that becomes the sales price. So for example, at Target, maybe a, you know, big thing of Tide cost $25. Well, you know, you don't have to pay that because you're not giving them, you know, another 30% increase or whatever so they can make that market. You can actually sell this, sell your own version of that around 15 or $20. And then the product is sold directly to the customer without the retailer there. So you can actually get them to save money and give them just as good of product as the big brands. You're also able to directly sell to customers. So that's the other part, like not only you give them the great value, but you sell directly to them. And again, you cut out that middleman. But the biggest reason to create a brand It's a sellable asset with a value that is not limited. I wanna stress that because the value of the business itself is not limited. Unlike online arbitrage or wholesale where you're the one that's doing all the work, you're kind of the sellable asset because people will then say, well, how do you do it? And maybe pay you for that knowledge or pay you to do it for them. But you can't walk away from that business and sell that business unless you have everything in place for you to be able to walk away basically somebody else doing all the work. This is a sellable asset that you can see inherent value in just by saying, here's my brand. Here's the sales. Here's the, you know, trailing 12 months data and say, this is what it's worth. I want to get paid and I want to walk away. That's what a brand can do where you can't do that with any other version of an Amazon business. I have coached several sellers who have sold their business for over a million dollars, which is mind blowing to me. Cause I never thought that that was a thing that you could do in 2013. All I ever thought about was like, Hey, let's make some money. Let's put some products on there. Let's do some private label. Let's build our own brands. And then just like, you know, make that a thing and grow it. Never thought you could actually have an exit strategy like, you know, a big seven figure payday, but that is what happened. And this has happened over the years. It's not as prevalent now because a lot of the, you know, some of those, Buying the business things have kind of not been so active lately, like the big companies that were going out and buying all the businesses. But there are plenty of people who once you get your business going, they will take over your business. And I actually just had one of my clients sell her business to another seller. And I actually sold my business, one of my businesses, one of my brands to another seller this year. So it is definitely something you can still do. It is 100% an option for your business. If you want to build a business that allows you to create a sellable asset, then you need to build your own brand. Does everybody understand that? Do you understand the value of creating your own brand so that way you can possibly have an exit strategy of not just letting it run out of money? It's actually you can sell it at its height or at its peak and make a big payout for that brand. So there are six major steps to selling your own brand on Amazon FBA. So if you're not aware about this, this is kind of the oversimplified version, but it is the six major steps to selling your own brand on Amazon FBA. First, you need to create your own brand around your passion. So these are just some examples. They're Wendy's, Nestle, Pepsi, General Electric, Nike, Baskin Robbins, right? So you create a brand just like that. Now, obviously those sell completely different things. You'd probably pick something around your passion and then choose a really good product, logo, brand, get that ideal client in mind, especially if it's something that you're passionate about, you'd be the ideal client. So then you would build a brand of things that you would like to actually use, right? From there, you would choose products to sell based on research. So you do a lot of research on Amazon and I'm gonna go over that with you today to show you exactly how to do this. And then you're gonna find a supplier through Alibaba. I'll actually show you how to do this as well today. Not completely like finding all the granular details, but I will show you how to use Alibaba for sure. Then you would send your goods to Amazon warehouses. They actually have two different kinds of warehouses now, but simplified overview here is that you would send your goods to Amazon warehouses. So that way Amazon can handle all your shipping, storage, all the processing of orders, all that stuff. And then you're going to set up a product page. Well, you actually kind of do this in that meantime, but you'd set up your product page and have, you know, all the details there, all the images, everything like that. So customers land on there and they'd be willing to buy that product. And then you're going to launch and market that product. So essentially you're going to start running ads. You're going to start getting reviews. You're going to start, you know, getting that thing positioned out into the world. So that way other people can see that you are now a branded product on Amazon. And basically from there, you just repeat steps two through six constantly over and over and over and over. So you're gonna see this process over and over and over again as an Amazon private label seller. You'll just keep going through this process. That's the brand setup overview. And there are definitely a lot of other things to set up and understand, but those are the six major steps. If you have any questions about those, because I know there's a lot, I'm kind of branching off and saying this is the overarching simplified version. If you have any questions about that, please ask in the Q&A only section. We'll get to those kind of towards the end. And I hope that you'll understand that we will answer all the questions that you have and then some. But basically, I don't want to spend all the time on that because That alone is an entire training program, right? Now let's talk about how it works when you're actually selling because this is what even the starters are gonna wanna know, right? So even if you haven't started selling an Amazon branded product on Amazon yet, this is what you're gonna wanna know. All the pitfalls that you should be aware of, all the things that you need to know so that way you can run this business right away from the start, right? So the first thing I'm gonna walk over is why are you struggling to make Amazon FBA work the way you want? And again, these are the three major things we're gonna cover. So why are you gonna struggle? Why are you struggling to make your business work? Or why do people struggle to make their business work? First, you don't know what actions to take that will create profit in your business. This is a big one. People always know how to get sales. You see sales screenshots all the time. Like, oh, I got, you know, $100,000 in sales. Was there profit there? Every time I see our screenshot, I know that those clients have actually done profit. I don't care about how many sales they have. I only care about them if they make profit. You don't know how to analyze your business to clarify what needs fixing. This is huge. If you were running a restaurant, you would want to know how to fix that business basically to make it better, right? But people on Amazon, they just throw products up there and just expect it to work. And if it doesn't, they don't know what to do to fix it. You don't know how to pick and launch products that generate income. We are going to cover that for sure today. You're going to love the Launchalyzer that I'm going to go over today. You aren't sure how to run ads that will give you profit and sales instead of debt. We're gonna cover that as well. You don't know what to prioritize in your business. Your business has killed your motivation to work on it. And anyone here who's been on Amazon for years, everybody gets to that point at some point. I'm gonna talk about that as well. Your lack of experience creates doubt and confusion. You don't have enough time in the day to do everything you need to do. I wish we could, you know, get 17 extra more hours in a day, but then again, you only have a certain amount of time on this planet. No matter how many hours are in a day, you have to just manage your time better. You have to understand what you need to do. You have to prioritize and focus on the main tasks, right? You're overwhelmed by the new skills and new tasks you have to acquire and accomplish in order to make this business successful. This is something I hear all the time. I'm overwhelmed. I don't know where to start. I don't know what to do. What's my next step, right? This is stuff that we'll cover today. Does any of that sound like your situation right now? Even if you're selling, you know, online arbitrage wholesale, any of that stuff, do any of those things sound like what's going on with you and your business right now? Go ahead and type that into the chat and let me know. I know it probably does because as unique as we all are, as sellers, we all have the same problems. Even this guy. I have the same problems you have. But how do you actually make it work for you going forward? That's what we wanna talk about, right? So let me know if you see anything in common with the first set of issues here. So I'm highlighting these in red, right? I'll put a little bracket around, you know, the red ones here. You don't know what actions to take that will create profit in your business. You don't know how to analyze your business to clarify what needs fixing. You don't know how to pick and launch products that generate income. You aren't sure how to run ads that give you profit and sales instead of debt. Do you guys see anything in common with those four issues right there? I'll give you a moment to kind of look at it, but do you see anything in common with those four issues? Anyone spot similarities of those challenges right there? These are all selling issues. These are all things that are highly focused on the business itself. They are things that when you start selling, you'll find yourself panicking or worrying or being overwhelmed by, right? Profit, what needs fixing? How do you find and launch products? How do you run ads profitably, right? Those are things that you will spend days and nights trying to find solutions for, but they're all selling issues. So how do you fix these issues in your business? Well, that's what I'm here to talk about today. I'm gonna try to cover all four of those major topics for you right now. So if you're looking at solving your selling issues, you don't know what actions to take that will create profit in your business. All right, analyze your products to see which ones are making profit. I'm gonna walk you through the ProfitLizer, the spreadsheet that I have, that's gonna show you exactly how to do this. You don't know how to analyze your business to clarify what needs fixing. Well, you need to analyze your metrics to see what part of your products or business need improving. I'm gonna also talk to you about that today. So two steps that you're already gonna get kind of solved today. Number three, you don't know how to pick and launch products that generate income. Analyze your products and niches to find which ones have the ability to make you income and fit in your budget. That's what the Launchalyzer spreadsheet I'm gonna talk about today is gonna cover as well. So right now you're getting all three of these issues, these selling issues solved today. You aren't sure how to run ads that basically give you profit and sales instead of debt? Analyze your ad metrics to determine if you're spending a proper amount of your revenue on ads. I am also gonna talk to you about that today. So those four major things that you're gonna worry about as an Amazon FBA seller with a private label business, all four of those things that you're gonna worry about, we're gonna talk about and we're gonna solve today. How does that sound to you guys? Does it sound like, you know, does that sound like something you're gonna need, you know, help with or you want me to cover? So good news, I am going to cover all four of those topics today. How does that sound to you guys? Awesome. So I see a couple of people saying, yes, let's do it. All right. Once you're done analyzing, then you just need to take the appropriate actions to fix these issues. Right. So it's not just about understanding what's wrong, but you also have to do something about it. Right. So if you knew your car was on fire, would you just let it burn or would you actually try to put it out or would you try to get some help to put it out? Right. Like those are things that you have to do in your life. But when people have problems in their business, say their whole business is burning, and metaphorically what I mean by, you know, their business isn't burning to the ground, but maybe their competitors are outpacing them now. Maybe they started out really good, but then all of a sudden they slid back, their sales are starting to drop. You would probably be panicked about that. Most people don't do anything about it, or they just arbitrarily try to fix these things without having any idea what to fix, right? So that's what we're gonna talk about today. So the first thing you wanna talk about when you're talking about fixing your profit issues is use a spreadsheet like the one I'm about to show you to determine if your products are even profitable, right? So you have to know if your products are going to be profitable. Otherwise, what's the point? And then you also have to see if your products are profitable, go to the next steps to analyze the metrics of that product. And we'll talk about the metrics here in a little bit, but we'll first, you know, analyze the profitability of those products and then we'll move to the metrics. If they're not profitable, have the conversation with yourself about whether you think the products can be profitable if some things are fixed. If you think it's a lost cause, why are you sitting there struggling and fussing about it? You can let it go. I understand everybody's got this attachment to their products. Everybody's got money tied up into them. But trust me, when you let those things go, it's something that you can't put a price on. Letting go of a bad product is kind of like life-saving to some people because it feels like you just get this massive burden off of you. If you think they can be fixed, then we go to the next steps and analyze the metrics again. So if they're profitable, you analyze the metrics, see how can you be better. If they're not profitable, can it be profitable? If yes, go to analyze the metrics and see what you can do. If you think it's a lost cause or will cost even more money before it ever becomes profitable, make a plan to sell it off, liquidate it or dispose of it. All of those things can be done on Amazon. And trust me, I've made these mistakes, right? So I picked a product where I had to dispose 4,000 units. I sent 2,000 to the US and 2,000 to the UK. I think I sold about 250 combined in a year and a half and I started to see some long-term storage fees come in. I started to put the numbers together and said, why is this not working? Now, this was probably 2017, so it's been a while, but I started to put the numbers together and I said, it's actually cheaper for me just to dispose of these products than to actually try to keep selling it. Cause I would have to spend money on ads. I have to pay Amazon fees. I have to keep paying that storage. So I just said, get rid of, I think it was about 3,600 units or something somewhere around that. And it wasn't cheap. But once I did that, I was like, oh, now my business can go back to taking off instead of being dragged down. So that's the kind of different mindset you have to have. You can't look at every product as your baby, as your thing that you have to hold onto for dear life. Yes, you've put money, time and effort into it. But at some point that thing is actually going to, if it's not working, it's going to pull you right down. You're not going to keep making this business work or you're going to quit because that thing is just taking all of that time, money and effort, all that motivation, everything from you, right? So you have to understand it's just a business decision. These things don't have, you know, heartbeats, right? They're just, they're just products. So if you get rid of it, the only thing that benefits is you and, and, and really, you know, I should say not the only thing of benefits. You benefit the most from that, right? So the products aren't gonna care that they're being disposed of or liquidated or whatever. They'll go to a nice new home somewhere else. Somebody will pick them up on a bargain bin or whatever and buy them. It's fine. Don't worry about that kind of stuff. Just try to get yourself in the place where you can keep moving your business forward. If I would have got that concerned about those products back then and I said, oh, I'm gonna let it, I'm gonna keep trying. I might've burned myself out and I wouldn't be here today. And again, that was in about 2017. So just think about that. I've let products go. I've had to do this exact same thing that I'm telling you and if I didn't I wouldn't be here today. So let's go ahead and look at the Profilizer demonstration. This is one of my favorite parts of the kind of the presentation here because this is a way for you to understand that little things can actually make a big difference. So I'm going to go ahead and share my screen right now. And we'll get into this. So you can see my screen. Can everybody see the thing that says Profilizer and Launchilizer on their screen? Say the original Amazon coach in the highlighted cell there. So let me know that you guys can see this, making sure that, you know, I don't start without everybody being able to see this visibly. I have a drink of water real quick. And we'll actually go through this step-by-step. You'll see a couple of examples here. Eduardo's giving me the thumbs up, so that's good. Hopefully it's clear. It's not grainy or anything like that. But we're gonna go ahead and walk through this step-by-step. I'm gonna use these two examples here. Example one, example two. It's the same product, but I'm just going to show you the difference in things that can make you profitable or unprofitable. And I'll walk you through a couple of them here. So let's say you're selling prices $15.97. Now, these are based on a product that's not a product that I've sold, but a very, very close, similar product to what I'm selling. Almost all these numbers are like from that. So I want you to understand that this is real data. I'm just going to kind of manipulate a couple things here and there to show you how you can become profitable or unprofitable, right? So the first thing you have to understand is that your selling price is $15.97. The cost of goods for this product might be somewhere around $3.20. That's how much you pay per product to the factory. So if you bought a thousand units, the price at the factory would be $3,200 and that would be from a product, a factory probably in China most likely. That's where most, you know, private label products come from. You can get some stuff in the US. You can get some stuff elsewhere. The easiest, most effective and efficient way with the best quality goods at the lowest prices usually comes from China. It's unfortunate. I don't want to have to do that if I don't want to or if I didn't have to, but it is literally where most consumer goods come from these days. So I know there's tariffs and a lot of stuff and I'm telling you. All that stuff will be included in your projections, in your profitability. So you'll actually have hard data here. So $3.20 cost of good per unit, 40 cents freight cost. That's including tariffs, right? So you'd put that in here. So maybe it's 26 cents to get it shipped per unit and then a 14 cent per unit tariff. Okay, put that into the freight cost. You know that that's your fixed cost, right? C and D, column C and D there, fixed cost. You can't change that right now. Then what you do is you go to Amazon and you go to your business reports and you would actually go into the section where it says, you know, last 30 days, or it says something like sales, sales detail page by child ASIN. You go in there, you look at the actual sales over the last 30 days for this one, let's just say it's a thousand and you'd put that in there. So it's a thousand units. If it's 960 or 920 or 900, whatever it is over that time period, over those last 30 days, put that in there. And then this is actually a pre-filled, pre-calculated column. This is the Amazon FBA 15% commission. This is the sales fee for listing a product on Amazon's platform. It's 15% in most categories. Sometimes it's a little different for like media and stuff like that, but for physical products, it's almost always 15%. And you'll see that calculation there, this price times 15%. So that's why you get that number there, $2.40. Then Amazon has a pick and pack fee. So if you're very brand new to this and you've never seen all these fees, all the stuff I'm putting into this is all the fees that Amazon will take. There's a couple of storage fees on a monthly basis that'll be up and down depending on how much you send in there. That's not in here, but you can always, you know, add that into the profitability, you know, profit and loss at the end of the month and say, these are the fees that, you know, Amazon takes in and out. I don't put the, you know, $45 for the professional selling plan in there either, but essentially by product, not by business, but by product, these are almost all the fees you'll see in Amazon. And usually the storage fee, if you know what you're doing, you know, making small light products or getting, you know, taking out as much I'm here to talk to you about how you can save money and actually ship easier and make things way more, you know, inexpensive, save on fees and storage fees. So the pick and pack fee is essentially what that means is they will charge you for grabbing your item off the shelf, putting it into a envelope or box, And shipping into the customer. So that's the hard cost of that thing. And it's based on what they call dimensional weight. This is going to be kind of hard to understand, but basically there's a calculation of they'll take what's either greater. So your dimensional weight, which is your height, width, length, times your weight of the product. So height, width, length, times weight. And I think it's divided by like 132 or something like that. Some weird random formula. And they'll see if that's more in pounds than what your product weighs. So if your product weight is like two pounds, And your dimensional weight is three pounds. They'll charge you for the three pounds pick and pack fee. If it's one pound dimensional weight and two pounds product weight, they'll charge you the two pounds for the product weight. Does that make sense to everybody? So it's pretty, it's kind of a complicated thing that Amazon puts together, but you can actually figure that out even before you start selling. And I have tools that actually show you how to do that. And it's a fixed fee. So it happens just on the sale of every single unit. So $4.40, that's what we're gonna put in there. So all those are pretty much fixed costs. This is going to then calculate your profit per unit. So it's $5.50, $5.57 with about a 35% profit margin. Your revenue in the last 30 days would be about $16,000 and your profit per month before ads will be about $5,575, which sounds great, but that's not including ads, right? So that's what we also need to figure out. Then we need to go into our Amazon account and look at our ad spend over the last 30 days for those products. Let's take this as an example. If you're at $3,000 for your last 30-day ad spend, then your tacos, now I don't want to get too jargony here, but tacos is just your ad spend, this number here, divided by your revenue, this number here. So you'll see column L2, divided by J2. So you take 3,000 divided by basically 16,000 and you get 18.79%. A good tacos is between 8 and 20%. And I'll talk more about that in just a little bit, but just understand that's good. And how do you know that's good? Well, because your profit after ads is $2,575 roughly. Are you making profit? Yes. And you're making decent profit. So, you know, you're making profit that you can actually take, reinvest in the business and possibly even pay yourself some of that every single month. Now, that might not look like a lot to some people, $2,600, but that's just one product, right? Now, if you had five or six products and each of them might be making two, $3,000 or even $1,500, you know, 1,500, not 500, but you know, 1,500, you put those things together, you start amassing a lot of profit that you can then straight, you know, start paying yourself You know an expected income every month. That's what I want for you guys. So you can not only see it there that it's those numbers are live accurate and true. Those things can actually happen. These are numbers that are based on a real product. But here's how you can also become unprofitable with that exact same profit or with that exact same product. Say you don't really understand what you're doing with ads and you just keep spending because Amazon says, raise the budget, raise the budget, raise the bids. So that way you can compete and get more and more sales. Well, you might be getting more sales, but if you're spending more on ads, then your tacos or your ad spend divided by your revenue is going to actually be really high. So 37, almost 38% here. This product is now losing money at $425 in the hole every month. So no, you're not making profit after ads. So this is something you have to understand. Once you start putting your products in here and let's just do another example and say, well, okay, what if we got this down to like $3 and then down to like 30 cents and we just, you know, did this across the board exactly the same. Right. So then we did, okay, $3,000. How much money would we make? Well, we'd make $300 more a month. And if we, you know, if we got it down to, you know, 2800, You'd make $500 more a month. And that's, these are real things that you can kind of look in and see if you can make more money. Say you got it down to 275 or you raised it up to 1699. You can start to see that you'll actually make these decisions. You know, you got a 40%, 41% profit margin. You're making $4,000. It's little adjustments, maybe making a dollar extra here and lowering the cost there and even keeping this the same. If you start to really plan out and actually do these things with your business, find your best profitability, but also keep your sales the same. Like if your sales are still a thousand and you've raised it by a dollar, you've done a great thing for your business by just raising your brand or your product $1 and still keeping that amount of sales. So this single sheet can help you figure out how to keep a product from going basically extinct and losing you money. You know, at $6,000 in ad spend, and it'll help you immediately reconsider, you know, hey, maybe I should stop spending so much on ads. Maybe I should bring it down to $4,500. At least now I'm profitable. I'm not making a lot of money, but at least it's profitable. Now it's like stop the bleeding, right? So you just immediately stop $1,500 in ads. You refocus on the things that work and take away the things that don't. But can you guys see how this would actually start to, you know, immediately Change your business. Once you start looking at your actual products numbers and looking at the profitability and finding ways to, you know, you know, make a better, you know, make a better cost of goods, a margin there, or do, do freight a little bit differently to save a little bit of money, you know, raise, raise it by a dollar, spend less on ads, get these things kind of sorted out. Can you see how your product will then become profitable? Even, you know, even with the same or more ad spend, you could still become profitable. Do you guys see how you can do that? And I'm hoping you do because a spreadsheet like this, when I first started, we had a Rudimentary version of this, had no idea how much ads would cost because we didn't know how ads even worked at the time. Like Amazon was still trying to figure out ads. Now we can start to put these things together and it's almost like a roadmap. Sure, you're just looking at numbers and you might not understand like what's the fix and what's, you know, how to actually adjust these things. But just like I said, maybe you just raise a dollar. Maybe you get better cost of goods. Maybe you spend less on ads. These are the fixes. Then it'll show you whether or not you're gonna be profitable, right? So hopefully that makes sense to everybody. If anybody's confused, I would highly suggest watching this part of the replay again so you can understand it. But again, these are the things that you need to do in your business to look at the actual numbers so you can get better at growing your business the right way. Does that make sense to everybody? So do you guys see how you can find the profit leaks in your business by analyzing your current products? You see how you can do that just by looking over what is actually, you know, In the numbers, like you have to analyze the data. This is the thing that people don't tell you when you start selling on Amazon. It's a real business. I'm not here to blow smoke up your butt, guys. I want you to understand this is a real business. If you had a real business, you'd be analyzing each product on your menu, each thing that you bring in the door, what the sales prices are, how many people are buying it, all that stuff. You would be doing this. Just because you have an online business doesn't mean you stop doing this. You have to keep doing the same things that you would do in any other business. So hopefully you guys can see how this will actually fix those leaks in your business by analyzing those products. Now you have to actually figure out what to fix with the products, right? So let's go into that. So if you're fixing your listing issues, so this is, you know, your products aren't working, maybe your conversion rate's not working. Let's talk about that. First thing you have to do. Make sure to track the metrics of your products, the key metrics. So sessions, units sold, unit sessions percentage or what we call conversion rate, ad clicks, ad sales, ad spend, best sellers rating, which is basically telling you how good you're doing in that niche. Your main keyword ranking, so when somebody searches, you know, whatever it might be, you know, garden shovel on Amazon, where do you rank on Amazon when those come up without the sponsored searches? The FBA pick and pack fee, your product cost, your freight, all that stuff. You have to know these numbers and you have to put it into a spreadsheet. These are things that I do every week and I show my clients how to do it. They actually figure it out. They understand it. They know that if their conversion rate drops and they need to do something, maybe lower their price or do whatever. But let's talk about that. Look at the data over the past 30 to 60 days and see what seems off or worse than expected. So is your conversion rate really low for your price point? We'll talk about that in a second. Or maybe your sessions are just not, you're not getting enough people to your page. How do you fix that, right? Put a plan together to fix that particular metric. Anytime you see something off or you see like, well, if this thing's gonna not cause me to get to where I wanna go, I need to fix that data point. And the way that you can do that, we'll talk about it today, okay? For example, if your conversion rate is low, lower your price, update your bullet points, update your titles, update your images or get more reviews or better reviews. All those things help your conversion rate. If your keyword ranking is low, check your listing to see if you include those phrases in your listing front and back. So there's a You have to put all the information into the Amazon database in this like backend editor and you have to put in all your main keywords. You have to put them in your title, your bullet points, all this stuff, right? So these are things that you need to do to make yourself get free traffic to your listings. You do this, you have a better chance of getting free traffic and that's where you want people to show up. Obviously, you still have to advertise on those keywords as well, but you need as much relevancy from your actual listing that you can possibly get for free. Call it like SEO, search engine optimization, right? So how do you know if your metrics are not good? Well, I'm glad you asked because let me give you some general guidelines about what's good and what's not. And again, these will not apply to all products, but they are a good frame of reference and they will likely apply to your products. Cause these are pretty generalized, right? Like I've done thousands of different products and metrics for all of them over the years. And these are some pretty good guidelines. Like they're not going to be set in stone, but they're pretty good guidelines. So let's talk about a metrics reference point. So how many sessions, how many times do people click on your page per day for that product, right? For products under 10, products between 10 and 20 and products between 20 and $35, every kind of, for ideal sessions for each one of those products, types of products, you're gonna wanna at least aim for 100 per day. Now I know it's gonna be kind of a long stretch or a long shot for products that are higher price because you might not get as many people looking for that product, but you ideally wanna shoot for 100 plus per day. Sometimes you can get two, three, four, 500 a day depending on what kind of product you sell. But then you have to convert those people, right? So once they're on your listing, that listing has to be good enough at these price points to get these numbers. So at $10 or under, it should convert at about 20%. So 2 out of every 10 people that come to your listing should be buying when your product is under $10. Does everybody understand that? I'm telling you that the ideal conversion rate when your product is under $10 is around 20%. Two out of every 10 people that click on your listing should be buying that product because it's very cheap, right? Not a lot of people are making a lot of conscious decisions about whether or not they buy something for $10. They're like, okay, it looks good enough in the cart, check it out. For products between 10 and $20, Ideally, you're between 10 and 20% somewhere in there, but above 10%, that's the ideal scenario. So one out of every 10 people are buying when your product's between 10 and 20. And for products between 20 to 35 or more, you're looking at 5% plus is ideal. Now, I'm not saying every product, you know, 20 plus dollars is going to get 5% conversion rate, but that's kind of what you want to shoot for. Ideally, you would get 5%. Sometimes you're only going to get three. Sometimes you're only going to get two and a half. Maybe you have a $60 or $200 product. You only get 1%. Well, you have to just understand that and then try to improve it the best you can. And once you get to the point where you think it's as good as it can possibly be, then just be satisfied with that and then just drive more traffic to it. Does that make sense to everybody? These are the numbers that you have to understand. So when you actually have those sessions and those conversion rates, well, look at that, your ideal sales per day, you know, under $10 will be 20, between 10 and 20 will be 10 plus, right? Between 20 and 35 or plus 35, it would be five or more sales a day. So you're looking at 20, 10 or five sales per day, just based on the numbers, right? So 100 sessions, 20% conversion, that's 20 plus sales. Now let's also talk about return rates because once you get to a certain point in price, people have this expectation that it's gotta be really great or else they'll return it. So for products under $10, you should have absolutely less than a 2% return rate. Almost nobody ever returns those products. They'll just throw them away if they're unhappy. They're not too concerned. Products between 10 and $20, probably less than 3%. Products between 20 and 35, that's probably less than 8%, sometimes less than 5%. And I have to stress this, these are not including apparel. In apparel, return rates are really high. They can be up to 30, 40%. So, you know, it's a thing that, you know, fit, design, fashion, how does it look on them? If you're doing apparel, be prepared for really high return rates. It's just part of that category. It's one of the reasons why it's very hard to make an apparel business work and why I don't suggest selling apparel products. What if you aren't achieving those metrics? So here's how you fix your listing issues. So low sessions per day or low conversion rate. Look at your main image. Does it stand out and attract your ideal client in a good way? If you're just putting up the product and it looks exactly the same as all your competitors on that page, and there's no reason to pick your product just by the image alone, you need to fix that. You need to attract more people with your main image. Now there's kind of limited things you can do, but maybe you have a really cool packaging. Include that packaging into your main image, for example. Look at your title. Is it clear, concise and have your main keyword up front? You need to have that. That helps you with visibility. It helps with people understanding what they're looking at right away. Sometimes you look at a product and it's got other things in there like a person holding something. You're like, I don't even know what the product is. But then you say like right up front what that product is like, you know, arm harness or arm sling or something like that, you know, for somebody who's got a bad shoulder. Without that, they might not know what the product is. So you have to make sure that your main keyword for that product, what that product is, is right up front as well in the title. Look at your bullet points. Do you have benefit-led bullet points that tell people why they should use your product? This is huge. Why they should use your product. If you're selling an arm sling, like, oh, you've got an injured arm, this will help your injured arm. This will stabilize your injured arm and keep you from harming yourself further or alleviate some of your pain by holding it in place. These are real life benefits. It's not talking about the mesh material. It's not talking about how breathable it is. It's not talking about the durability. It's not talking about that. You can say that as well. Extra strong construction and tell them how and why that helps them, but don't just talk about the features. Talk about the benefits in your bullet points. Look at your images and your A-plus content. Are you appealing and using text to explain the images? If so, great. Maybe you're not using text. Well, explain those images. I always tell people, if somebody's looking at your image and you don't specifically tell them what you think about that image, they'll just not think anything. They'll just look at it and go, okay, cool, move on. But if you tell them, here's the reason why you need to use it, here's the benefit, and then show them somebody using it in that way, you'll have a much better conversion rate and people will trust that product a lot more than ones that don't. Look at your keyword ranking on main keywords. If you're not on page one, you probably need to advertise to get there. Stop thinking that advertising is a waste of money. It's the only way to start to get into the places where you need to be if you're not currently there. Look at your ad campaigns. Are you bidding enough to get clicks each day? So if you're not getting clicks in your ad campaigns, bid higher, right? Like if you're only spending, you know, 15 cents per bid on all your keywords, well, you don't have any clicks, raise the bids. You need to get there, right? You need to be seen. Look at your backend keywords. So these are the things you put into the backend editor for Amazon's listings. Do you have your main keywords and other relevant keywords in the applicable fields? So title, bullet points, product description, generic keywords, whatever they call them, search terms, whatever the term is now. All those things need to be filled in. A huge one, look at your price. Are you offering a competitive price to the best sellers of that same type of product? Now, I'm not saying you have to sell at $5 because there will be Chinese manufacturers that just go on and put prices at like five, $6. But what I am saying is for the branded products, the ones that people trust, the ones that people will buy, are you selling at a price that's competitive? $1 below at their price, $1 above, somewhere in that range, you need to be selling at. You can't be selling at $10 above and expect them to come in and buy you because the best sellers are already selling $10 below and people trust that one. So why would they buy you, a seller that they don't trust, a product they don't trust, for $10 more? You'd have to have a really, really good proposition for that. Look at your reviews and star ratings. Do you have more than 50 reviews with a star rating at or above your competition? Usually 4.5, anything above that is really good. People trust those types of products. But you need to have a decent amount of reviews as well. If you spot something that doesn't, that looks like it can be improved and doesn't kind of fit, make a plan to improve it. This is why you track these metrics. This is why you understand them. So all that stuff that I just explained, you can do any of that stuff and fix the issues with your listing. This is actually a pretty famous quote. Maybe you guys have seen it. Let me know if you've ever actually heard this or seen this quote before. Just type yes in the chat or no in the chat or this is the first time I've seen it before. But the quote is, running a business without knowing how to use metrics to improve it is like shooting at a target in the dark with a blindfold on. Let me explain this again. Running a business without knowing how to use metrics to improve it is like shooting at a target in the dark with a blindfold on. You guys ever heard that quote before? You know who said it? Well, I said that just right now. So it's not a famous one, but it's very, very, very important. This is very similar to what any top business person will tell you. Running a business without knowing how to use your metrics to improve it is like shooting at a target in the dark with a blindfold on. Do not do that. Don't just guess at what needs to be fixed. Track the metrics, find out what's kind of low and then fix it based on what's low. Now that you know how to spot and fix what some of your issues are by using your metrics, Let's talk about another huge issue sellers have. Launching new products. This is the part where we're gonna fix your launch issues. So it's important. This is probably the most important for especially for you guys who are just getting started. The most important part of this entire presentation is this part. So pay extra special attention to this. It's important. You need to know what your budget for each product is before you ever order it. You need to know what your budget for each product is before you ever order it. Do not choose products that you can't afford to launch. How do you know if you can't afford to launch it? That's what the Launch Realizer is gonna show you. And that's what I'm gonna use AMZScout for as well to kind of show you what you can and can't afford. So do not choose products you can't afford to launch. We're gonna talk about how to know what that means in just a minute. Again, use AMZScout to determine how competitive a niche will be. That will help you determine whether or not you can kind of compete in that with your budget. You also need to add on factors such as cost to market the product, reorder costs, and how much cash you'll have during each phase of the product's lifecycle. These things will kind of be made clear as you go through this, but basically the launch analyzer will help you understand that it's not just about ordering the product and putting it on, you know, on a ship and getting it to Amazon. Those are not the final cost. Like you have to understand if you make this product successful, you then have to reorder probably double that amount and have that money available. So if you can't afford, you know, two times that amount later, you're probably going to run out of money. I use AMZScout to fill in a proprietary spreadsheet that I call the Launchalyzer to figure out if I can launch a product within a certain budget. That's what we're gonna talk about right now. So let me go over to my screen and I'll show you what the Launchalyzer looks like as well. Hopefully you're starting to get some ideas about this is a business, right? This isn't just some sort of whim. It's not passive income. It's not like throwing $100 in a, you know, in a retirement fund or $2,000 in stock market. This is a business where you can actually figure things out. And if you're good, especially at looking at numbers, you don't have to be great at looking at numbers, but if you're really good at looking at numbers and just get used to it and just kind of fall in love with knowing that these are things that can tell you how to fix your business. You'll gain so much more experience on just business in general, and you'll learn how to actually become a real business person, not just an Amazon seller, right? So these are the things that. Quantifiably determine whether or not you'll be successful or not. It's not a matter of, you know, hey, I'm going to pick the winning product right off the bat, this hero product that just magically sells. No, you can find out if you can compete, you have a budget, and then you start to sell this product. So in this example, this is the Launchalyzer now. So it's saying feasibility of future products. And then down here, the Profitalizer is viability of current products. So future versus current. This is the Launchalyzer. So you're gonna put in your budget for your next three months for a single product. So I put in $10,000 because I feel like that's about what I'm willing to invest. Now, I know not everybody's gonna have 10,000. You can put 5,000 in here. It's going to narrow the amount of products that you can find, but you can still probably find products for $5,000 in the next three months. You just have to realize after three months, you might have a couple more thousand dollars that needs to be put in there for reorders, I'm here to help you grow your business or for more marketing or whatever, but for the first three months, let's talk about that. Cause that's kind of your launch phase. That's why this is called the Launchalyzer. So in the next three months, I'm going to expect to spend maybe up to $10,000 between the product cost, the freight and the marketing of that product to get this thing to start selling and hopefully be profitable to some extent, making profit per unit per sale. Once this thing is actually live and selling maybe 45 to 60 days after I start. So, all I'm going to do is I'm going to go to Amazon. Now, I've actually already pre-searched this because I didn't want to pull up, you know, everything on Amazon. I just wanted to pull up Hammock. So, this is what the product we're going to use for this example is a Hammock. Now, we have to remember this is summer. Hammocks are probably selling a lot better now than they usually do. That's okay. We're going to use this data anyway. So, basically, if you come to Amazon, And let's just, you know, we'll type in hammock, hit search, and then we're going to have the AMZScout Pro AI right here. We're just going to click on this because this is actually what we're going to use to analyze our products niche. Now I'm gonna fill in that launch analyzer as well with this information. But basically the first thing we need to do is we're going to actually download the CSV from this. We wanna make sure that everything looks like a hammock and everything does look like a hammock, right? So if there was like, you know, just hammock straps in here, but not hammock, like this thing here, there's the hammock frame. So number eight on this list, Elevon, we're not gonna include that in the CSV because it's not actually a hammock. It's probably showing up there because it's sponsored. Or if it's not, it might've just moved up there, but we're not gonna include that because it's not the type of product we're gonna sell. Well, let's just look. Does it actually naturally show up there or is it sponsored? Okay, so this is actually naturally occurring there. So that's okay. We'll keep it in there, but let's go ahead and open this back up. Because what we wanna do is we actually still have to know whether or not we can pass these products, right? So a majority of them are hammocks and if they were sponsored and they're not supposed to be there, we'll find that out here in a second. Like maybe this one that's only got $309. This one here that's got $329. These are probably not gonna show up in positions two and three because they're sponsored, right? That's what this SP means. That's an ad. They're paying for that placement. We wanna know where these ones naturally fit. This one here as well, only $82. We're gonna download the CSV. And when we download it, you can see I've already done that, but I'm going to do it again. I've opened that up. And then we're going to look at this spreadsheet again. It's about data, right? So we really want to know whether or not we have the ability to afford this product. So what we want to do is we're going to look here. Number eight, was that still hammock? Yep. Okay. Is this anything else seem out of place? What I mean by out of place is, you know, if, The average BSR, for example, is really, really high, like in the hundred thousands. They're probably not gonna naturally show up in positions two, three, four and five. Those are sponsored, right? And we can also double check that here and make sure that they're sponsored and not supposed to really show up there. So that's the case. The reason why we're doing this is because we wanna know how competitive the top 15 is in this niche. And the top 15 is important because it's where you wanna be If essentially you want to make profit, right? So you have to know in any niche, what the top 15 kind of sales volume looks like, because you need to get there to be profitable for most niches. Now, not always, you could be number 30 and making pretty good profit, but most niches you wanna get in the top 15. And this Launchalyzer is gonna tell you what it costs to get into the top 15. Not number one, not number 10, but just somewhere in the top 15. So what we're going to do is we're going to say, okay, all these ones here with all, you know, a lot of these sales and we're gonna look for the estimated sales, which are right here. Now you see this one, which is probably doesn't need to be there, but. Again, I would probably take out all the ones that are sponsored that shouldn't be there, but anything that should be there, I'm gonna go ahead and highlight the top 15. You're gonna see top count of 15. You can barely see it there, but it says count 15. And that's gonna say average 2811, 2811 or 2812. We'll get to that in just a second. But what I really wanna do first is find which one is the best selling product. Right now, it looks like It's this Kutek one at nine. Nope. Sorry. Just kidding. It's the Suwanto one at 11,000 unit or sales. That's units per month right now. And again, this is July. It's going to be prime, you know, prime time for hammocks. Also prime day just passed. So these are selling really well. So that's 11,000 units per month, right? So we need to divide that by 30. So I'm going to pull out a calculator real quick. So 11346 divided by 30 and we get about 378. When I did this a couple weeks ago, I had an average of 450 and that's why I put 450 here. Right now we can put 378 and And then what we want to do, again, I know there's a lot of data here, but I'm telling you guys, if you start to do these things, you're going to find out if you can actually afford to budget these things. What's the next thing we need to find in the ProfitLizer? So what's the average of the top 15 units sold? So this is basically going to be your goal for units per day, because you need to get into the top 15 to be profitable. So we're going to highlight that top 15 again. We're just going to go to 15 count here. Again, some of them might not need to appear there or whatever, but we'll just assume this is the top 15. Let's see. I got it right. So I got the rank. Unknown Speaker: Let me get the sales here. Speaker 1: Top 15. So 2812, we're going to divide that by 30. And why we're dividing by 30, because we're trying to get the daily sales. They're giving monthly sales in column R there. That's how it shows up on AMZScout is here's the monthly sales estimation. So we're gonna divide this by 30 to get the daily sales. So right now it's about 94 units per day. So it was 108, now it's 94. The best seller was that Sawanto one. So that's your top selling direct competitor. And that was right here. Now they're actually at 1094. That's probably an Amazon Prime Day deal. You can see here the average price was 1471. When I looked at it normally, it was 1499. So that's where I would put it at. Even when it was selling more, it was at 1499. So I'm not really sure why they dropped their price because they were still the top selling product. I looked at Alibaba, so now we're going to go over to Alibaba.com. We're going to type in hammock. We're trying to find a product price for these. You can see somewhere like $2 roughly, $5 here for the knitted ones, $2.45. They'll range quite a bit. I've done this for a long time and I can tell you that You know, Alibaba doesn't have the best pricing. What they do is they try to get people just to contact you, right? So they'll give you a bunch of different pricing and then you just have to go out and try to find the best pricing you can. I actually recommend working with a sourcing agent in China. You don't have to do that, but what you should be doing is getting the best negotiated goods you can at the best quality. So you have to get samples. You have to ask them, hey, can I get this for this price? I need to get down to this price. You can see here, you know, this one is kind of, you know, 340 to 535. You know, $3.75, $12.45, $2.56. So the prices kind of range, but it looks like you can probably get it between $2.50 to $3.50, somewhere in there. So even if you said, okay, let's go $3.50. You can see that the profit margin drops there. Estimated freight costs. This one you might have to guess at a little bit, but in general, you should be able to get it for less than a dollar with C shipping. So if you ship it by C, you should be able to get it for less than a dollar. Maybe if you have to just put it at a dollar just so you can kind of guess it for now, but you should be able to get it for less than a dollar for most products on Amazon because C shipping does get pretty cheap these days. Even though people say it's wildly chaotic or whatever, but only during pandemic times was it really crazy. It'll give you the Amazon commission. So at $14.99, they're getting $2.25 for that 15%. Then you have to find the pick and pack fee for that product. So what you have to do is you actually have to go to that Solanta image or that Solanta listing right here, click on it. And then you're going to just highlight their ASIN. That's the Amazon's stock indexing number. And you have to copy that. So that's that B-O-B-7-8-5-W-H-Z-P. Then you go over to the Amazon calculator, which basically a Google search, Amazon FBA fee calculator. That's what I Google search to get in here. And then I just type in their search for that product. And you go down here and it's gonna say the fulfillment cost is 552. That's the FBA pick and pack fee. And it'll say there, FBA fulfillment fees, 552. So you put that in there. 552. Then this product is going to work out all the profitability. And this is kind of like real numbers, right? So like the only thing we don't for sure know is what are the cost of goods and what are the estimated freight costs? Those are estimations, right? Everything else is real numbers because you're pulling the data from Amazon. You're pulling the data from AMZScout. That is real. You can get these solved once you start sourcing the product. But for now, you can just guess a little bit. So that way, you know whether or not this product should be sourced within your budget. And remember, my budget for this product is $10,000. Now, if I did this research in, you know, January, these numbers wouldn't look nearly as good. They wouldn't look nearly as high. Maybe the top competitor might be getting 30 sales a day or something like that. So again, it has to matter when you look at these things too. Good thing about AMZScout and most of these tools is you can actually look at these numbers here. So like estimated revenue, estimated sales, you click on those. So like, I'm gonna do that for Suwanto here, right? You click on that. And it's actually gonna pull up a graph. You can see their sales, their rank, their price, reviews, revenue, all that stuff. So these are gonna show you that, yes, in August, there was a spike there, a big low in October, a spike for probably some of the, for Christmas there, another spike in, I guess, February for Valentine's Day, which is interesting, another spike in May. Notice spike in June and you'll just see that if you go through this and look at all the competitors, you'll start to see some consistent seasonality trends. So during January to March, there's probably a big low for all the competitors. During April through July, there's probably big spikes. So that's how you can know for sure if the product is seasonal. So that's a huge help from AMZScout itself. Then obviously with this Launchalyzer spreadsheet, you marry the two together, right? So you put all that information in, you get how much money you're gonna make per unit. 272 per unit with an 18% profit margin. Most of you probably say, I'm definitely not gonna sell that. And I would probably agree. Don't sell that product already. But then people look at this, you know, oh, estimated 30 days revenue. That's really good, $40,000 and $7,000 in profit. Then they think, okay, How do I know if I'm gonna make money? But they just look at this. This is where most people stop. They don't think about ads. They don't think about anything else. They don't think about cost to launch, nothing else. They just go, I can make $7,000 in profit per month before ads. That's good enough. So I'll just spend $3,000 on ads and I'll make it work. That's not what the Launchalyzer is gonna do for you. The Launchalyzer is gonna tell you, there's more to it than that. So from there, it's gonna work out, hey, even if you got a 20% tacos, which is pretty good, you will now spend $7,900 per month on ads, wiping out your profit completely and losing you $727 a month. Not only that, but the three month cost to launch with cost of goods, with marketing, with freight, with anything else that can be kind of conceived in there, That's gonna be $70,000. Can you afford to launch that product with a $10,000 budget? No, you can't. This is just told you it's gonna cost you $70,000. That's not what you would say if I just said, oh, I want a thousand of these units. It's gonna cost me $3,500. That's all it's gonna cost me. The launch alliance is gonna tell you, in order to get to a point where you're profitable, you need to spend $70,000 in order to get there. This product is out of your budget. It's out of your capability. It's out of your ability to be able to make profit right now. It doesn't mean you can't do it later. And if you said, you know, maybe your budget is $80,000, well then it's within your budget. But at $10,000, it's definitely not. How much more cash would you need to launch this product? $60,000 more. Do you guys understand how powerful this spreadsheet is when it tells you how much more money you need, how much profit you're gonna make after ads, whether or not you can afford to launch this product. Anybody can launch anything on Amazon if you have enough money. But if you don't have the money, stop launching products you can't afford. Remember what I put in that slide? Do not launch products you can't afford. That's the number one reason people fail on Amazon. They fail on Amazon because they pick products just like this, they can't afford, they try to sell it and they get smoked by the competition and then they lose everything. This is the reason why people fail. If you know ahead of time that you can't afford to launch the product, you won't launch the product. You'll find another product that you can. And if you fill in enough of these products and fill it out through Launchalyzer and start to find products that fit your budget, now you have the opportunity to create a successful business one product at a time. Does that make sense to you guys? Gina says, wow, that's impressive. This is something I've worked on for literally 10 or 12 years now, and I've compacted it into what I call the Launchalyzer now. We have a bigger version of this thing called the Product Analyzer Bible, which tells you even more data, but this thing, succinct, right to the point, tells you, can you afford this product or not? How much more do you need? Now, if obviously this wasn't the case, if it was, hey, you know, it's a $25, you know, sales price point, Well, look at that. The margins look great, but obviously if you have to sell for $10 less, you can't, but you still can't afford to launch that product, right? Even if you could sell it at $25 because you think you make the great, you know, the best hammock in the world or whatever, that best one on Amazon, you still can't afford to launch that product because you still need $104,000 to compete. Does this make sense to everybody? You can do this with any product using AMZScout. Marry it with this spreadsheet, which you're going to get for free for attending today. You're going to get this for free and you're going to marry it together and use this to analyze products ongoing. I'm going to go ahead and switch back over to the slides and we're going to continue from there. But does everybody see how this can really change what you, you know, I'm here to talk to you about how you can accomplish and even take out a lot of the doubt. Sure, you're going to have to put in a lot of products in here, but think about it like digging for gold, right? You're not going to find gold in the first place you ever dig. You're not just going to go in your backyard, dig for gold and find gold. You have to know, first of all, where to look and you have to dig in that whole area until you find gold. This is no different. Once you solve your product selection and launch issues, you need to fix a big one ongoing. This is a problem that almost everybody has. Keeping your ads profitable. This is actually a lot easier than you think. It's pretty much just looking at a few numbers and tweaking it all the time. The first thing you need to do is determine what your ideal ad spend to revenue is for each product's profitability. This is known as TACOS. We talked about that, which kind of stands for true or total ACOS, advertising cost of sales. There's a formula for this for each product. You basically take the product's ad spend over the last 30 days and divide it by the revenue, you get the tacos. So for example, you spend $1,000 in ad spend. So on your ads, you get $10,000 in sales overall, not from your ads, but overall for your revenue. That's a 10% tacos. That's good. That's a good number. If it was $3,000 in ad spend and $10,000 in sales, 30% tacos, that's not good. You wanna keep it between eight and 20%. Like I say here, most sellers are profitable between eight to 20% tacos. You want to find the percent where you sell the most without losing profitability. So maybe you sell the most at 12% without losing profit. And the more you spend after that, you kind of just are spending without getting extra sales. You need to find that profit number between eight and 20%, usually somewhere. And then you kind of stay there and just keep spending at that rate. So it's kind of a, it's like a, you know, trial and error setting daily ad spend limits to see where your sales continue after your ad stop or if the sales die, you know, as soon as they run out of budget. But basically you'll get there to some point or you just keep kind of getting around it. You might be, you might be 10 one month, you might be 13 the next month. That's okay. It can shift, but just kind of know where those numbers are. Make sure to put the ad budgets and bids, you essentially put the money where the best performers are. Put the ad budgets and bids on the best performing keywords and campaigns. So what are some ads reference points? Just like your old other metrics for overall products, you have to have reference points for your ads. So products under $10, your ideal keyword ACoS. Now, if you're not familiar with ACoS, again, it's advertising cost of sales. It's a performance indicator of how well that keyword or that campaign is working. So usually between 20 and 30%. So meaning if you spend, you know, $100, you get, you know, If you spend $200, you get $1,000 in sales. That's a 20% ACOS, $200 spent, $100 in sales, advertising cost of sales. And that's with ads, right? So like with those ads, you get $1,000 in sales. So that's kind of how you understand that. 20% to 30% is ideal for pretty much any product, but maybe between 10 and 20, you go to 25 to 35. We're between 20 and 35, maybe a 20 to 35 range, somewhere in there. And then when you talk about tacos, your overall, you know, when you're talking about ad spend to total revenue, you're looking at 10 to 20 for products under $10, eight to 18 for products, 10 to $20. And then between 20 and $35, you probably want to tacos of around eight to 15%. So you don't want to try to go to that 20%. Don't go so high. Now for your campaigns, these are campaigns are like where all your keywords are like if you've got an auto campaign or like an exact match campaign, that would be a campaign with a bunch of keywords in it. You want those to also have performance indicator metrics points. So for products, you know, it's very similar to the products themselves, but for the campaign overall, you might have a 20 to 35% for products under 10, 20 to 40 for products between 10 and $20. And same thing for basically pretty much anything over that price, 20 to 40%. You stay in that ideal campaign ACOS, you should be making money over and over and over again. So one thing I want you to know is if you've ever tried to run your own ads, again, a lot of you guys might be starting out, but if you ever get to the point where you're trying to run ads and you're taking advice from a lot of Amazon ad experts out there, they'll tell you not to negative match bad keywords and campaigns. Or you might just think, I'm too inexperienced. I don't want to negative match anything. A negative match means, say like you're selling a garden shovel, but the phrase garden shovel long handle doesn't convert very well, or you get 50 clicks and no sales. Well, negative match that. Negative exact match that out of your campaign. You don't have to do it for every campaign, but for ones it's not working on, yes, you can take it out. Even if it's a main keyword, just take it out because it's not ever going to get you sales. It's going to just keep costing you money. And this is another big one. No, you should not remove good performing keywords from any campaign. Do not remove good performing keywords from any campaigns, even if you're moving it to another campaign. I know I'm probably gonna open a can of worms out there in the Amazon community, especially with a lot of experts, ad experts out there. Basically what they're trying to tell you is that if you have a really good garden shovel with long handle and it's performing really well in your auto campaign and getting you sales every single month, they'll say, take it out of that auto campaign, put it in your exact match campaign so that way you don't compete against yourself and shut it off and don't keep it on for any other campaign. I'm telling you absolutely that's wrong because what if it doesn't work on the exact match campaign the same way it did in the auto campaign? In fact, it's almost guaranteed not to work that way. So don't shut it off. Let it run. You're not competing against yourself because the auto campaign bid is probably different than the exact campaign bid. They're probably gonna show up at different times. They're gonna show up in different ways. So do not do this. Never remove good performing campaign, good keywords from any campaign. I wanna be very clear. Just take that as like the best piece of advice for running ads right there. With the actions I have talked about so far, you'll be able to solve a ton of issues in your business. But remember those other five issues that we talked about at the beginning of this session? These ones down here, solving your FBA issues. You don't know what to prioritize in your business. Your business has killed your motivation to work on it. Your lack of experience creates doubt and confusion. You don't have enough time in the day to do everything you need to do. And you're overwhelmed by the new skills and tasks you have to acquire and accomplish in order to make this business successful. Remember those ones? How do you fix all these issues? Do you notice anything in common with them? Well, these are all mindset issues. That's a whole different ballgame, right? We're not talking about selling issues anymore. We're talking about mindset issues. Most sellers kill their own business with their limited mindset or experience. However, there is one easy way that you can fix all of those mindset issues, all of them. Do you know what it is? Anyone? Care to guess how can you fix all the mindset issues all at once? What's the easiest way to do that? I want to see if anybody has a guess here. We'll see. I think there's a little bit of a delay, so I'm just gonna tell you, but I'll read out the guesses here in a second. The answer is simple. Get help. Gina says community. Eduardo says think outside the box. Get help. This is a concept that even I need a reminding. You need help. When you're stuck on something, ask for help. It's the simplest, fastest, easiest way to get over that challenge, right? It actually came in the form of a children's book called The Boy, the Mole, the Fox and the Horse. Maybe some of you guys have read that before. It's full of great quotes. It's full of inspirational aspects. It's just one of the best children's books you'll read for business mindset. It's absolutely mind-blowing. Basically, there's a boy in this story. He gets lost. He's looking for his home and he meets a few talking animals on his journey. At one point, he turns and asks the horse, what's the bravest thing you ever said? Pretty innocuous question, right? But he says, what's the bravest thing you ever said? The horse replies, help. Asking for help isn't giving up, says the horse. It's refusing to give up. That blew me away. I was like, asking for help isn't giving up. It's refusing to give up. If you want help, you're not quitting. You're gonna keep trying. It's something you need help with, right? Saying help is actually the bravest thing this horse has ever said. I was blown away. If you're struggling to make your Amazon business work for you, ask for help. It's you showing the rest of the world that you refuse to give up on making your business work. It's you showing yourself that you refuse to give up on making your, it's you showing yourself that you refuse to give up on making your business work. And it's you taking action to make your business work. And that's the most important thing. You're actually taking an action saying, help, I need help. Please help me move forward in this business. I wanna make it work. And if this sounds like the position you're in, I wanna help. How do I know I can help you? Well, I don't actually know if I can help you unless you reach out. But also let me remind you of why I'm here. Remember, this is me. I've been selling on Amazon since 2013, sold over $12 million in my own brands and brands I've ran for others, created three separate seven-figure Amazon training programs, worked with thousands of sellers and been self-employed since 2015. So what do you need to stop doing in your business forever? Remember, that was the third concept that we were gonna cover today. What do you need to stop doing in order to make this a lifestyle business that earns you income month after month? Well, step one, stop making excuses for why your business isn't working and start finding answers. Number two, stop looking at other sellers and feeling inadequate compared to their successes. This is not a measuring stick game. This is, can you work on what you're doing and make your business a success? If you just focus on what you're doing, you almost certainly will be a lot more successful than when you're comparing yourself to others. Also, stop finding ways to isolate yourself from others and instead work with others who have been where you are. I've been where you are. I know a lot of other people who have been where you are. Find those people and actually work with them. Stop trying to do everything yourself without any outside help or advice. Remember, you lack experience, the necessary abilities. You need help. All the other people who have ever sold on Amazon and made a success were in the exact same position. I guarantee you, I didn't know how to do all of this stuff when I first started, right? It's been years in the making, but just like you, I started at some point and I started with just as much knowledge about this as you, zero, right? I started with zero knowledge and now it's 12 years later. Stop looking for every shiny new software to save you from failing. Most of these softwares out there are just trying to get you hooked on a subscription. Look at AMZScout. I just showed you how it can actually help you right now. Find products that you can fit in your budget and stop buying products and putting them on Amazon. That will just lose you money because you can't afford to compete. It's not about how much the product costs. It's about how much it costs to compete to become profitable. That's what you need to understand. Find the software, find the tools that you need. You absolutely need. Ditch everything else. Stop wallowing in self-doubt and self-pity because you had a product or products not work out. This is the thing that I see most people do. Oh, woe is me, like my product didn't work out. I've had products not work out. I've had clients who had products not work out. We're still here. Reason why? It's because we move on. We find a way to let go of that emotional connection and say, what does it take to become successful? It takes creating, you know, the right business mindset, the right business moves and letting go of the things that aren't working for you. It's like you're in a toxic relationship with a boyfriend or girlfriend, right? If they're dragging you down, you're gonna feel so much better once you let it go, right? It's kind of the same thing. It's not a baby. It doesn't have a heartbeat. These are things you can actually move on from. We've all done all of those things in our businesses at some point. Yep, even this guy. I'm just like you, but I've just been doing this a lot longer. The real question is, who are you? Do you wanna keep looking for the next magic bullet that will make your business successful? Or will you finally admit that you may need some help and reach out? Will you finally take action to get the results you want? Results like this. So Nikki, I started working with her. She had a windfall of a summer last year. She has some, not totally summer seasonal products, but very much warm weather products that when we started working together, she was kind of doing well and she'd been doing Amazon for a long time. But when we started working together, I was telling her, here's the way that we can improve it. She did something like a $200,000 month last summer twice in a row and she'd never done more than like 120 and she just kept, you know, it kept going really well. So she said under Isaac's guidance, some magic happened. Isaac has taught me a step-by-step process. Like magic is not magic, right? It's putting work in and getting stuff done. I don't know if you like Gary Vaynerchuk or not, but he'll tell you straight up like, Work is the thing that pushes people to the top, not luck, not magic. It's the people who put in the most work. And I'm not necessarily saying that you have to work the hardest, but I'm saying if you work the smartest, you focus on the things you need to focus on, you will actually get what you need to get, right? And Oksana, she was really struggling. She had no product and then for a long time, then she picked a really bad product because she didn't use our advice and do exactly what I tell in the Launchalyzer. She picked a product, it went terribly. She literally lost maybe 10, 15, $20,000 on her first product. She said she was struggling for a long time, pretty much given up, but luckily found me again because I had actually worked with her before, but then we didn't work together and she went off and did her own thing. She says, you literally transformed my business. Help me to find the right product. I'm still looking at the numbers, find it unbelievable. Conversion rate is pretty much 50%. Five out of 10 people buy her product. Ad conversion rate is 33% and first three months profit is almost $7,000, which is crazy. Jeff said, I've been selling on Amazon since 2018 and successfully and a lot of it is due to Isaac Kuhlman and his support and mentoring advice. I've known Jeff for a while. He's doing well over seven figures a year. He does over $120,000, $150,000 per month regularly. He's doing the things that I told him to and even doing some things I've told him kind of steer away from. He's doing enough of the right things that he actually has built this business time and time again for himself. He's pretty much stopped doing every other job or work or career stuff that he did before and he's focused pretty much on this because it makes him so much money. So that's the kind of real-world results you can get if you start doing the processes. Here's what the Pro AI extension looks like. I actually demoed it for you already, right? You get an inside look at trends, sales volume and quality of competition and see which niches to dive into and which to avoid. You estimate your FBA cost for a better view of your net profit and get an overview of a product's history before you take it further. And marry that with the Launchalyzer and you can find out if you can even afford to launch this product before you ever order it from the factory, right? How great is that? You're getting the real data from Amazon through a tool like AMZScout, because it's great. Like I've used it for the last couple of weeks for sure, like nonstop. And I'm like, man, this is great. Like in preparation for this, I've been going crazy. Now, a lot of other tools as well that I haven't even gone over yet, but we're gonna talk about them in a second. So just the extension loan for me, worth every single penny. Because what if you pick a product and lost $20,000? For a couple of hundred bucks, you could have just saved all that and put it into a product that you could have launched, right? You actually get access to these AI features as well. So AI product insights, it identifies the strengths, weaknesses, opportunities and threats known as a SWOT opportunity or the SWOT analysis for each product. It tells you what's good, what's bad, what could potentially go wrong and what you could potentially do to create a point of differentiation, right? AI product improvements creates hypotheses for Enhancing a product using real-time data. Sorry, I was trying to read your comment there. Take some more water, Isaac. My throat getting scratchy. Is that what you're saying? Maybe I'm choking on my own voice. I don't know. Hold on. You're right. Probably do need water. Refreshing. All right. So yes, the AI product improvements create hypotheses for enhancing a product using real-time data. Great. Like this is what AI is built for, right? It's not to take over for you. It's to help you get a competitive advantage, right? And you also gain access to the AI to see overall product and niche scores so you can evaluate ideas for products to launch. So again, it's gonna say product scores for private label, product scores for reselling, so like wholesale and arbitrage, stuff like that. It'll tell you the different versions and give you a score. Again, marry that with the LaunchValizer and see if it fits your budget. Then you'll see for sure if this is a product that you want to launch or not. And then it has a product database. So you can go in, type some things in and find some really great products on Amazon as well. You can use this tool to find great potential product opportunities. It's got 600 million products in the database and then evaluate your competition using the ProExtension. So go then look at that product. So, you know, say it finds you a garden shovel, well then go type in garden shovel in Amazon and use the ProExtension to actually see what that niche looks like. You'll also get Amazon Keyword Search to get thousands of relevant keywords for your listing and pay-per-click advertising. This is huge. Like you might not know where to start right away. Like, well, how do I know what product or what keywords are relevant for my products? You actually have to know the right keywords to put in so you can search and do the analysis. I get it for hammock. You know, garden shovel might be your main keyword or whatever, but you have to know those keywords. Like you might pick a product. You don't know what the keyword is. You can use this keyword search tool to find out what that product is. Then you also can use the reverse ASIN lookup. This is where you take that little B0B, you know, that string of text I copied and pasted and put into the Amazon fee calculator. Well, you can do the same thing into AMZScout and you put that into there and you hit, you know, take that ASIN, put it in there and it'll tell you all the keywords that they're getting sales for essentially or that they're running ads on too. So you use that to instantly get the keywords your competitors use for their product listings. So garden shovel should show up, shorthand of garden shovel, trowel or whatever other keywords pop up, that's the ones that you're gonna think, these are the main keywords. And you can do it by search volume. So you see there that column says estimated search volume and that says 6,600 for whatever that says, eye massager, and then the rest are lower. Well, the main keyword there is the one that has the most search volume, most likely. I'm your keyword tracker. So if you wanna know how well your products are tracking for each keyword, so you actually put in your product and then you can track the main keywords so you can optimize your efforts and impact your product listing ranking for given keywords. So that way you know, like, hey, my ranking slipped. I need to get it back because that's the best way to get profit. I need to be in that top 15, right? So if you slip out of top 15, you maybe put some more on your ads and bring it right back up or drop your price or adjust your bullets or change your title or make a new image, right?