Showing posts with label Amazon FBA. Show all posts
Showing posts with label Amazon FBA. Show all posts

Tuesday, July 2, 2013


Exciting change in Amazon's Feedback Policy! Amazon will now remove feedback if it is a complaint about the price of an item. My colleage (and FBAMom's partner) Kim Tarrant recently received this response when she sent in a ticket regarding a feedback referring to price:

We have received your complaint on Order ID:110-XXXX-XXXX, and determined that it is removable as per Amazon's feedback policy since it exclusively talks about the experience of the buyer with the product most particularly its price and shipping cost. Please be advised that in light of recent changes in our Standard Operating Procedures we are now authorized to remove feedback if the entire feedback pertains only to the experience of the buyer regarding the price and the shipping cost of the product. If you have additional questions or comments on this update, or with our Feedback Policy, please do not hesitate to contact us. 
 I sent in a ticket for 2 feedbacks of this nature the same day, and they were also removed. This is big news! Buyers remorse won't work any more, and buyers who don't read the listing or find the item cheaper later can't penalize us anymore. Get busy going through your feedbacks and submitting tickets!
 Related Articles:
Getting to Know Your Online Customers
Amazon Ranked Highest Overall by Online Sellers
Make Money Writing and Selling Your Own Kindle Book   

Saturday, June 22, 2013

This video is for all you frustrated Amazon scouters who "can't find things to sell!" You are skipping over good finds and you just don't realize it. Take your time, and dig a little deeper than just one screen on your scouting app.




Related Articles:

Understanding the Prime Customer - Become One!

Basics of Amazon Selling

Make Money on Amazon Selling Toys

Wednesday, April 10, 2013

If you sell with Amazon's FBA program, do you ever feel like something is missing? Maybe you should be seeing bigger payouts based on the amount of inventory you are sending in? Me, too. I decided to do some snooping around last weekend and discovered quite a bit of inventory was either lost, damaged, or had been destroyed without my knowledge.

On April 5, I opened about 20 support tickets with Amazon for further investigation. Many of these items had been sent in as long as 3 months ago but fell through the cracks for various reasons. Here is a screen shot of some of my support requests:



In just a few hours, the reimbursements started coming in! As of today, April 10 , I have received $545.61 in reimbursements on items that Amazon would not have reimbursed me for if I hadn't brought it to their attention. Take a look at what I have received so far:



This process only took about 2 hours and I have received over $500 in reimbursements so far (some tickets are still outstanding). Not a bad hourly rate to put some extra cash in my account - cash that I was due but probably wouldn't have ever seen if I hadn't researched it myself.

Sometimes, we get so focused on scouting for inventory, sending in shipments, and keeping up with replenishments, we lose track of what has already been sent into Amazon warehouses. If you are not keeping a close eye on your Amazon business, it can get away from you in a hurry.

I have taken the time to share this process with you. If you aren't familiar with how to keep tabs on your FBA inventory, I have created a Lesson on Demand to show you the exact process for researching lost, damaged, or destroyed inventory that you could be getting reimbursed for. Remember, when Amazon is at fault and loses or damages inventory, you are reimbursed the same as if your item sold, not just the price you paid for the item.

This lesson includes a 20 minute video showing:

How to determine if inventory is missing.

How to use different reports to discover lost, damaged, or destroyed inventory.

How to navigate the Amazon Seller Dashboard to find information needed for support requests.

How to file Amazon FBA support requests for lost, damaged, or destroyed inventory.

8 step process I use to get money back from Amazon.

Also includes PDF file with reimbursement request process outlined.

The cost of this lesson is $19.95 and is an instant download. You will be redirected to e-Junkie to make the purchase. Learn how to research your own Amazon FBA inventory and start filing for reimbursements today!



Related articles:

Amazon Recipe for Success - Learn How to Sell on Amazon

Make Money on Amazon Selling Toys

Make Money on Amazon Selling Books





Saturday, March 9, 2013



There have been several discussions on my Facebook Group about the trials and tribulations sellers are encountering because of the Amazon Add-On Program. I felt compelled to write about this issue on my Amazon Examiner Column, in the hopes that frustrated Prime Account members and FBA sellers would join in a campaign to make Amazon aware of our dissatisfaction, and hopefully modify or discontinue the Add-On Program.

If you are an Amazon FBA Seller, or Amazon Prime Account subscriber who is unhappy with the Add-On Program, please visit this article:


and join others in a letter-writing and social media campaign to express your frustrations and concerns. Perhaps if Jeff Bezos (CEO of Amazon) hears from enough dissatisfied buyers and sellers, something will be done to change this program.

Related articles:


Learn to Sell on Amazon

Amazon Opens Wine Marketplace

Peek Inside an Amazon Marketplace

Thursday, February 7, 2013

It was just a few years ago (2011) when Amazon closed its Dallas-based fulfillment center due to a disagreement over state taxes. Now it appears that Texas and Amazon have reconciled. Amazon has just announced that it will be opening three new fulfillment centers in Texas in the upcoming months.
Amazon has recently changed its opinion on state tax collection in other states (including New Jersey, California , and Pennsylvania). With the opportunity to move into these states, Amazon opened more than 20 new fulfillment centers in 2012. The three in Texas will add an additional 3.3 million square feet of warehouse space. The new locations will be:
• Schertz (near San Antonio)
1.2 Million square feet
Will handle large items
• Coppell (near Dallas)
1 Million square feet
Will handle large items
• Haslet (also near Dallas)
1.1 Million square feet
Will handle smaller items like books, small electronics and DVDs
Having more fulfillment centers helped Amazon dropping the amount of shipping costs within its yearly budget. In 2011, the shipping costs for the holiday season covered 5.4% of Amazon’s budget for that quarter. In 2012, the amount for that same time period was only 4.5%.

Not only will the state benefit from the taxes collected, the three locations are projecting to hire more than 1000 workers (and this number will most likely increase dramatically during the holiday seasons).

Around the world, Amazon currently operates 79 fulfillment centers.

Related links:

List of eBay Friendly Wholesalers
 
Amazon Fulfillment Course – Automate and Grow Your Business with FBA
 
Amazon FBA Recipe for Success






Friday, November 30, 2012

Image courtesy of the ABC Broadcasting Network

With the holiday season upon us, we are in a unique situation. We are able to be a part of the retail market that seems to be booming this year. We are able to connect buyers with the items they want and some of us are fortunate enough to make a living do it!

If you sell on Amazon, I am sure you have wondered what happened after your carrier dropped off your boxes and they were checked into the designated warehouse. If you are like me, at some point you have probably wondered what an Amazon fulfillment center looks like. If you have, then you have to see this.

As Cyber Monday rolled around this year, the press seemed to be looking to Amazon to show just how busy Cyber Monday was. From news stories to photo galleries online, nearly every network was talking about Amazon.

Here are a few fun facts about Amazon that were revealed during news stories by Bloomberg TV, ABC News, CBS News, and NBC News:

• Currently, Amazon has about 80 fulfillment centers worldwide. About half of them are in the US.
• Items are not stored in categories. They go into a free space and are scanned to document its location in the warehouse.
• Amazon’s largest warehouse in Phoenix is the size of 28 football fields (1.2 million square feet).
• On Cyber Monday 2011, Amazon processed 200 orders per second.
• For the 2012 Holiday season, Amazon plans to hire 50,000 seasonal workers.
• Amazon employs 20,000 full-time fulfillment center employees.
• Amazon was the most visited retail site Thanksgiving weekend.
• Amazon uses people instead of robots to pick orders.
• Amazon order pickers walk miles each shift.
• The order picks may also use tricycles to pick orders that contain items that are not warehoused close together.
Online, many sites shared videos and photos from inside the fulfillment centers. To see what happens when an item is ordered by an Amazon customer, click here for the NBC News story or here for the ABC News story. To view pictures from inside an Amazon warehouse, click here. (Photos courtesy of Coed Magazine)

FBA Sellers, did you spot any items you sell or were you looking for new items to source in the pictures? Were you surprised by the setup shown?

Related posts:

Understanding the Amazon Prime Customer – Become One!

Amazon Fulfillment Course – Automate and Grow Your Business with FBA

Invent Your Own Product to Sell Online

Tuesday, October 16, 2012


The next Amazon FBA Sourcing Workshop in Atlanta is scheduled for October 30, 2012. We will visit a huge grocery store and either a Walmart or Target where I will show you how to source items for Amazon FBA. Seller Engine has been gracious enough to provide a free download of Profit Bandit for iPhone or Android to attendees. Group size is limited to 5 people, so hurry and make your reservation. This class will fill up fast!

This is a great time of year to learn with so many seasonal products and unique buying opportunities available. One day workshop will focus on showing attendees how to source retail items for Amazon FBA using various techniques including smart phone apps, understanding retail marketing and positioning, identifying consumer trends, and more. The purpose of this workshop is to teach participants how to select profitable items to sell using Amazon’s FBA system and concentrates on items that are repeatable. Instructor will explain:

1. Basic scouting tips and shortcuts.

2. Types of items that sell well on Amazon FBA and why.

3. Items that appeal to international buyers and why.

4. Items to avoid that may be problematic in the FBA system.

5. Overlooked niche items.

6. How to examine shelf positioning, advertising, and hidden clues that indicate a product may be a good seller on Amazon.

7. How to move away from the herd of Amazon FBA competitors using creative strategies.

8. How to use both free and paid smart phone apps in combination with each other for more thorough and faster sourcing.

9. How to handle questions from other shoppers and employees if purchasing a large amount of inventory.

10. How to secure larger amounts of profitable items using your smart phone.

11. How to identify discontinued items vs items temporarily taken off the market and understand your selling window.

12. How to get deeper discounts on repeatable items.

13. How to scout with poor cell phone service.

Find all the details here, and submit the form to see if you qualify for the workshop.


Related Articles:
Thrift store haul for eBay inventory

Understanding the Amazon Prime Customer

Selling toys on Amazon

Tuesday, September 25, 2012


Whether you sell from a brick and mortar location or online, one way to increase sales is to get to know your customers. As online sellers, we are at a disadvantage because we can't talk to our customers face to face to find out how to better serve them. We have to rely on clues left in feedback comments, questions, or learning to recognize buying patterns.

One easy way to find out more about your customers is by using Google Maps. Just enter the customer's address in Google Maps and you can see where it is located. Sometimes you can see an exact photo of the building. I have recently started to closely examine the addresses of where both my eBay and Amazon items are being shipped to. This is a very enlightening exercise. I'd like to share a few interesting sales I've had lately.

Amazon shipped 6 of a baby product to an address in New York. My first thought was, "Why does somebody want 6 of these?" The address is for an office building. After searching Google for the name of the building, I also learned that there is a day care center in the building for the employees. Aha, makes sense.


4 units of a coffee product went to a New York address. This buyer bought my last 4 units. Their address is 524 West 57th Street,New York, NY 10019. Look who it is:




Based on these two examples, we can conclude that businesses like to order products online just as much as individuals do. And they will order more than an individual would order. Understanding this can be a game changer. Businesses have deeper pockets than consumers and need more supplies. I have started to stock more of these kinds of products now that I understand that businesses utilize the Amazon Prime Account. What if CBS News wanted 8 of the product, and I only had 4? You are leaving money on the table by not having plenty in stock.

Here is another interesting situation. I sold my last few units of a product to a weird sounding address in California. After finding the address on Google Maps, I can see it is in the San Bernardino National Forest. 


The product isn't a camping or sporting goods product so I was surprised to see it going to this type of address. Note to self - buy more! Maybe someone is camping there for an extended period of time and ordering supplies from their iPhone or satellite computer hookup in an RV. Maybe the lodge is buying it to resell to guests. Maybe it is a park ranger living there. Who knows! This example enlightened me because I had no idea people out in a National Forest would be using this product - or ordering so much at a time.

Another example is APO or FPO military addresses. You can find out where the item is going by searching Google for the APO or FPO zip code. These might not show up on Google Maps but you can find out on the web where the location is. I saw this one today: 

USS GEORGE WASHINGTON
FPO, AP 96650




Right now this aircraft carrier is located in the South China Sea. What's also interesting is the number of crew. Over 6,000 people. All these service people have access to the internet and can receive mail on the ship. Pay attention to what they are ordering. And it will come in an Amazon box so other people might see this person receive his order and understand that he / she can order products this way, too.

My teenage daughter comments that I am stalking my customers online. I argue that it is research. The better you know who your customers are and where they are, the better you can serve them. So pay attention to your orders on eBay and Amazon, especially when multiple units are ordered. This is valuable information. And it is totally free! You don't need a special tool or subscription to look up an address on Google Maps. Just pay attention.

What are some interesting locations you have shipped items to?

Related Resources:














Friday, August 31, 2012


One of the more common questions I get is about penny books and penny book sellers. They are plentiful on both eBay and Amazon. Here are a few things to keep in mind as you continuously run across them on both marketplaces:


1)If you look at the penny book sellers, they usually have thousands of books for sale and a large feedback number. These people are buying by the tractor trailer load, pallet, gaylord, or getting all the leftovers from library sales or storage unit auctions. Some books in those lots will be good to sell, some won't. They can make a few cents on a penny book sale rather than throwing them away. They have huge operations with warehouses and many employees processing books. It works for them to make a few cents on hundreds or thousands of sales a day.

2)Many also use repricers and the prices spiral down to a penny. If you have 3-4 large sellers all using repricers, and no one has set a cut off for the price, the automation of a repricer will allow the price to go to a penny. And these large sellers don't care.

3)There are lots of large sellers using Amazon and eBay for customer harvesting. They can get a sale, and include promotional material in the shipment to entice the buyer to go to their website (20% off your first order!!). Rather than trash a worthless book, they use it to reach a new customer who may become a valuable repeat customer on their own personal website.


Bottom line - don't assume everyone on eBay or Amazon is there to make money, and don't assume they are there for the same reasons you are.


Related posts:

How to Market Your eBay Store/Listings

Marketing During the Summer

How to Sell on Etsy – Part One




Monday, August 13, 2012



Image courtesy of TheOnlineSeller.com


A few lucky eBay buyers have received an invitation for a new program from eBay. eBay Now was just launched to beta testers in the San Francisco, California area. eBay Now will allow eBay buyers to receive your purchases the same day the order is placed.

eBay buyers received an e-mail that sent them an invitation to download a mobile app that will connect them to the eBay now program. Those users will be able to buy new products sold by local stores. The stores include Toys R Us, Target, Walgreens, and many others. Once the buyer finds the item they wish to purchase, they click as the “Bring It” button. In an hour or more, a personal shopping valet will deliver the purchase to the buyer. Currently, there is a $25.00 minimum for purchases. eBay is offering the beta testers who currently have access to the program $15.00 off their first eBay order and no delivery fee for the first three orders. After the first three orders, the delivery fee is a $5.00 charge. Here’s a copy of the email that was sent to the invited buyers:

Hi [Name],

We know you love shopping on eBay. But sometimes you just can’t wait for shipping. Sound familiar?

If so, we’ve created an exciting new way to shop. Starting today, for purchases of $25 or more, San Francisco shoppers can order products from local stores and have them delivered to their door — at home, at work, or anywhere else in San Francisco. The new service is called eBay Now, and you can download it here for your iPhone®, iPad®, or iPod® touch.

Since eBay Now is in beta, we’re taking $15 off your first order and offering FREE delivery for your first three! After that, each delivery during the beta period is only $5. Your orders arrive fast — usually within an hour! Pretty convenient, huh?

Download the app now [link removed] and try it out. If you like it, share it!

You have three invites for friends and family.

Happy shopping!
The eBay Now Team


The eBay Now service is available Monday through Saturday from 9:00 AM to 9:00 PM and Sunday from 9:00 AM to 6:00 PM. The items can be delivered in as little as an hour but the store from which the item was purchased must be open for at least 30 minutes after the order is received. Here are a couple of screen shots that show what the app looks like on the iPhone.


Image courtesy of TechCrunch


In order to make this possible, eBay is using its Milo platform. Milo is a website that allows its users to search for a particular item and find out which nearby stores carry it. It also lets the website user know if the item is in stock and how much the item costs. eBay purchased Milo in late 2010 for $75 million.

This new service is in line to go the head to head with Amazon’s Same Day Shipping program that is currently in development for major cities across the country. While eBay Now is only offered to San Francisco area residents right now, anyone can sign up. Please click this link to be notified of when eBay Now will be available in your area. eBay will be using these registrations to determine if there is any interest in expanding this program throughout the country in future.

What impact will this service have on eBay Sellers? Will eBay’s marketplace become dominated by big-time retailers? Will the availability of new products and quick shipping impact Amazon's FBA business model? At this point, it’s a guessing game. What do you think? What impact do you think this will have on your business? Feel free to comment below to share your views.

Related posts:

Amazon Considers Same-day Delivery

Is Branding on eBay Important?

Tips for Selling on eBay - Huge List of Resources


Thursday, June 7, 2012


Image courtesy of Macworld
 

If you have been looking for a way to get the iPhone without the confines of a lengthy contract, June 22, 2012 may be your lucky day!

Cricket Wireless has announced it will begin offering the iPhone with unlimited talk, text, and data for $55 a month. This is a very cost-effective opportunity for those who wish to use the iPhone as a scouting tool. Cricket Wireless will be the first pre-paid carrier to offer the iPhone.

While monthly this may be a cheaper alternative to having a contract plan with one of the major carriers who already offer the iPhone, there is one point to consider. The major carriers usually offer a deal on getting the iPhone with a monthly contract. Cricket will be offering the iPhone 4 and the iPhone 4S and the customer will have to purchase the phone upfront. The 8GB iPhone 4 will cost $399.99 and the 16GB iPhone 4S will cost $499.99.

This may be a viable option for those who are weighing the total annual costs along with the time-savings the iPhone may bring to their business. To find out more about the iPhone and Cricket Wireless, you may register to receive information about the release by clicking here.


Related posts:

iPhone Terapeak App for eBay Research on the Go

eBay Apps for the iPhone

eBay and Home Business Tax Deductions


 

Thursday, May 31, 2012



Just when the issues with shipping to numerous warehouses seem to settle down, Amazon announces plans for more new fulfillment centers.  

Governor Chris Christie of New Jersey and Amazon have reached a deal that hinged on Amazon paying sales tax on purchases to New Jersey residents.  The collection of sales tax will begin in July 2013 at the end of a 15-month exemption period.  The agreement also resulted in Amazon making plans to open two new fulfillment centers in New Jersey (exact locations have not been determined).   As with other new centers, the projects are expected to created nearly 1,500 new full-time jobs in addition to thousands of full-time temporary, seasonal, and construction jobs.  Gov. Christie believes this new arrangement will bring in between $30 to 40 million dollars in additional sales tax revenue.
Expect to see these new centers online in 2013. 


Related posts:







Friday, May 11, 2012

Amazon FBA has been life-changing opportunity for so many of us in such a positive way. Many of use use the local libraries to build our inventory through library sales. Unfortunately, there are some “sellers” who are building their inventory with libraries in ways that are not so positively life-altering.

There have been many cases over the years since Amazon FBA came into existence that have shown people the wrong way to become an Amazon FBA seller. In 2010, an Ohio State law student was accused of stealing books from the Moritz Law Library. At the time of the charges, the student had allegedly sold more than 230 books on Amazon for a total of almost $10,300 and had more than 1,350 books for sale. A Glen Ellyn, IL man was charged in 2011 for stealing thousands of books and DVDs from the Lisle Library and selling the items on Amazon.

Most recently, a southern California woman stole thousands of books from libraries in Carlsbad, Oceanside, and San Diego, California. The woman checked out the books about cooking, crafts, and animals. Yes, she actually checked the books out. The librarians from Carlsbad called the police once they noticed the large number of books that were missing. The books, valued at about $5,400, were found at the woman’s home with the barcodes ripped off and many were already wrapped for shipping.

The offender plead guilty to felony burglary. She has been ordered to pay $7,600 in restitution and was sentenced to three years of probation. She also will not be allowed to have accounts on eBay, Amazon, or Craigslist and will not be allowed anywhere near a library.
Building inventory is necessary for growing a successful Amazon FBA or eBay business. Breaking the law to do it is no necessary. Visit the links below and other posts throughout this blog for ways to find inventory for little or no cost.

Related posts:

Amazon FBA Scouting Tips – Things I’ve Learned Along the Way
 
What Should I Sell on Amazon, and Where Do I Find It?

5 Ways to Get Free Inventory to Sell on eBay



Wednesday, April 11, 2012


Image Courtesy of FBAPower


Amazon is expanding its services to help support the FBA seller. The recently announced FBA Label Service can help simplify sending in your products for Amazon fulfillment. Any item that does not qualify for Stickerless, Commingled Inventory and/or has a barcode qualifies for this service. For the fee of 20 cents per item, Amazon will label your products once they are received in the warehouse.

This could be a good option if you do not have a laser-printer readily available, are all out of labels, or have a large shipment but not the time to label each item. This may really work for you if labeling your items for shipment is a part of the process you really do not love.

With a large shipment, it will save a lot of time. With this service, you will not need to label each print out the labels and sticker each item before shipment. While this may cut into your profit margin, the time savings may be worth it.

Related posts:

Amazon Pricing – How to Swim with Sharks Without Being Eaten Alive – Part I

Organizing eBay and Amazon Inventory

Amazon Pricing – How to Swim with Sharks Without Being Eaten Alive – Part II


Tuesday, April 3, 2012



Amazon FBA grows again! Amazon has announced its FIFTH fulfillment center for Jeffersonville, Indiana. The new center is slated to open later this year and will employ more than 1.050 new jobs by 2015. The warehouse is expected to open Fall 2012.

This center will be approximately 900,000 square feet. It will join the centers in Indianapolis, Whitestown, and Plainstown to create more than 4-million square feet of warehouse space for Amazon in the state of Indiana.

Amazon is investing more than $150 million dollars to build this facility in an area of southern Indiana that has a rapidly growing transportation and distribution industry. According to the announcement from the company, Indiana has more than 1.1 billion tons of freight travel through its state, making it the fifth busiest state for commercial freight traffic in the nation. How is that possible? Indiana its more than 4,700 miles of mainline rail track, three international airports and more than 11,000 highway miles.

The new fulfillment center is also good news for the Jeffersonville and southern Indiana areas which were heavily damaged a tornado in early 2012.


Related Posts:

Amazon Plans New Fulfillment Centers for 2012

The Basics of Selling Books on Amazon

Amazon Fulfillment Course - Automate and Grow Your Business with FBA


Wednesday, March 28, 2012

Welcome to part 2 of this series. This post will give you some ideas on pricing an item, both Merchant Filled and FBA for which there are no other offers. This is my strategy, ask other sellers you will get other answers. These are just some guidelines I give my clients.

If the item is being sold merchant filled, and there are no FBA sellers and Amazon does not have it, add the price of the item, the shipping cost, and $2. This is a starting point. If the item sells quickly, you can raise your price. If this is a repeatable item that you can source more of, you can continue to raise your price to find the threshold of what a customer will pay. If the amount is near $25, I always try the $25 price to make the item available to Super Saver Shipper customers. Even if the merchant filled + shipping + $2 price is around $20, I will try $25 to see what happens. You can always reduce the price later if the item isn't moving.

If the item is listed on Amazon, but shows the red message, "Currently unavailable, sign up to be notified when this item becomes available," this is a good sign!

This means that the item has sold on Amazon but is now out of stock. These items are usually hard to find, perhaps discontinued, and buyers really have signed up to be notified when the item is available (when you list it MF or it hits the FBA center), and you can set the price. In this case, you want to go to Google and search for the product to see what it sells for on other sites. (You may find some more to buy this way, too!) Or, view eBay completed listings to check for recent sales. Look closely at the Google results. You may find posts on message boards where people are discussing the product, how it is hard to find, and what they will pay. For example, on the product above, Tone's Steak Dust, I found this article posted recently:


The article does not mention how much the item cost on Amazon, but you certainly get the idea that consumers in search of this item are being directed to Amazon to find it. Rule of thumb is to price your item 3 times your cost, but in this situation with an unavailable item, you will want to go much higher. If the item doesn't sell within a reasonable amount of time (I allow 2 months), you can lower the price. If the item sells quickly, you can raise the price to find the threshold of what the customer will pay.

It is very important here to take your own preferences, opinions, buying habits, and budget out of the equation when pricing for Amazon. You must never think, "Nobody would pay that." How do you know what everybody would do? Just because YOU wouldn't pay that price, does not mean NOBODY will. Give it a chance, you will be surprised or even shocked at what consumers will pay for their favorite product. Cost is relative. Do people like Donald Trump, Bil Gates, Oprah, or Ted Turner really care what they pay for consumer products? You may not be one of them, but the world is full of rich people who don't know or care what they spend to buy their favorite products. Do you really see Martha Stewart, Julia Roberts, or Paula Deen walking around Walmart finding the best buy on everything they need?

We are often referred to as "price gougers" because are able to sell our products far above the MSRP. However, an item is worth what someone will pay for it. Unless the item is a life-saving medicine, medical device, or needed for human survival, I don't have regrets for selling items at what the market will bear. That is what this business is all about.

Stay tuned for the next installment about why I think sales rank really isn't all that important anymore.

Resources:Link
Part 1 of this series

Join my Online Seller's Facebook Group

Monday, February 13, 2012





Scouting locally for FBA inventory can seem overwhelming at first, and rightly so. Large stores like Wal-Mart, Target, Toys R US, Walgreens, and TJ Maxx have thousands of items. How do you know where to start? Your comfort level will grow as you become more experienced. Here are a few tips for learning what types of products to scan and consider for FBA.

Here are a few things I learned about how to scout for toys this past holiday season:

Go to Kmart, not just Walmart, Target, and Toys R Us. Kmart stores are dwindling – there aren’t as many as there used to be. You can often find products that are Kmart exclusives or other products not found in Walmart and Target. And many of your competitors won’t even have access to a Kmart.

Try some items priced $50 or higher. The more expensive an item is, the fewer competitors you will have. According to an informal survey on my Facebook group, 75% of the FBA sellers asked won’t pay more than $10 per item when buying inventory. So if you have the cash flow, and you are not terribly risk averse, try some high dollar products and see what happens. You may see a nice profit and a fast turnaround due to lack of competitors.

Scan items that have fewer quantities on the shelf. For example, maybe there is only 1 purple mermaid Barbie, but 7 yellow ones. This tells you that the purple one is more popular than the yellow, since shoppers may have purchased almost all of them. Or, maybe the store didn’t get as many of the purple because they are in shorter supply. If there is only 1 or two of a variation of a particular item left, this is a clue that the item may be a good seller. Over the 2011 holiday selling season, the pink Fijit sold for about $20 more than any other color. Also, the Pink Leapfrog Leap Pad sold for more than other colors, because not as many pink ones were produced. Look for things in short supply.

Listen to the shoppers around you. Listen to what the kids are asking their parents to buy. If you feel comfortable and it is appropriate, ask a question or two. For example, I was scanning a toy that has about 25 variations. A mom and her 5 year old came to that section and the child wanted a particular one. I asked the mom, “Do you know about this toy? Why is that particular one so popular?” The child actually answered, and said, “Because he is the hero and always saves everyone else.” And guess what. It was an $8 toy. The one the child wanted, that was out of stock, had a 5% ranking and sold for over $30. Listen to what is going on around you!

Related articles:

Money Magazine Survey - Amazon Ranked Highest by Online Sellers


  
Learn to Sell Toys on Amazon


Amazon Pricing Strategies

Friday, February 10, 2012

Image Courtesy of Google.com


With the growth of the sales of the Kindle Fire and with the increasing number of sellers using FBA, Amazon will add new fulfillment centers to reach more customers in a more efficient manner. The centers are planned for locations within Virginia, Tennessee and other states. With two new centers planned for Chesterfield and Dunwiddie counties, Virgina, the new centers are projected to bring approximately 1,350 jobs to that one state alone.

The growth is not focused on only US locations. Later this year, Amazon plans to open its first fulfillment center in Mumbai, India. In addition to the India location, Amazon will also add fulfillment centers in Nanning, China and in the cities of Koblenz and Pforzheim, Germany.

If you have ever wondered what the workings of an Amazon fulfillment center looks like, here is a YouTube video that will give you a peek:




The following are just a few of the new Amazon.com US fulfillment centers set to open in 2012:

• West Middletown, Delaware
• Spartanburg County, South Carolina
• Chattanooga, Tennessee (Opened 2/2/12)
• Lebanon, Tennessee
• Murfreesboro, Tennessee
• Dinwiddie, Virginia
• Meadowville, Virginia


What does this mean for the FBA seller? You may encounter additional shipping locations to forward your inventory. You may experience stock movement as inventory is transferred to other locations. While it may be a slight inconvenience to split your inventory, it is still a very efficient process. When you consider the time saved in shipping each item individually and warehousing your inventory, Amazon FBA is still a great alternative. Also, the additional centers shows the growth of Amazon.com. As the company reaches more consumers, so will your products.

Related posts:

What Should I Sell on Amazon, and Where Do I Find It?

Amazon Pending Orders - Red Flags to Watch For

Understanding the Amazon Prime Customer – Become One!


Sunday, November 6, 2011




My colleague and co-author of The Amazon FBA Recipe for Success book, Kim Tarrant and I will discuss how to prepare for holiday selling. Some topics we will cover include:

* How to determine what and how much to buy - even without a scouting tool

* Getting the most for your money - how to determine whether to sell items on eBay, Amazon, or both!

* Holiday selling isn't just about toys - other popular categories to consider

* Getting the most out of your mobile device when shopping (some cool tricks!)

* For Amazon sellers, why you should be prepared to merchant fill as well as use FBA

* What you can do now to prepare for a successful holiday selling season - make your battle plan

* How to make money buying items at full retail, and resell them for a nice markup

*Q&A session for questions from listeners

During the podcast, we will also give away 2 copies of our book, Amazon Recipe for Success, and 2 1 year memberships to my membership site, Online Selling Coach.

The live podcast will air on Tuesday, November 8 at 10 AM Eastern time. The recorded version will be available for download shortly after the broadcast ends.

Thursday, October 27, 2011



Fulfillment by Amazon is the hot thing in ecommerce right now. Many people don't understand why sellers go to the extra "trouble" to pack up their items, ship them to Amazon, and pay Amazon to store and ship their items to the final customer. FBA is much more than just shipping and storage. In a conversation on my Facebook group yesterday, a member asked this very question, "I just don't understand FBA. Is it really an advantage to pack up your stuff & send it to them to sell? Not easier to list yourself? Seems like a lot of additional fees."

What most sellers not doing FBA don't understand is the Amazon Prime customer - these customers are the lucrative part of FBA and an FBA seller's best friend. A special group of Amazon customers, called Prime Customers, pay an $80 a year membership fee and anything they purchase with the “Prime” logo is shipped free, within 2 business days. The only way to sell to these customers, and to the ones who choose free super saver shipping with an order of $25 or more with the SSS logo, is to do FBA and have your items in an Amazon warehouse. In other words,


YOU CANNOT REACH THE CORE GROUP OF BUYERS ON AMAZON UNLESS YOUR ITEMS ARE IN AN AMAZON WAREHOUSE AND AMAZON TAKES RESPONSIBILITY FOR SHIPPING THESE ITEMS.


If you are only doing merchant filled, you can not reach these people and you are missing a huge % of the Amazon customer base. Also, Prime and SSS customers are not as price sensitive, they will pay more than for MF items, and buy more at a time. Point #2:


IF YOU SELL ON AMAZON, AND ARE NOT PARTICIPATING IN THE AMAZON FBA PROGRAM, YOU MISS OUT ON SELLING TO CUSTOMERS WHO ARE NOT PRICE SENSITIVE. YOU ARE LEAVING MONEY ON THE TABLE. LOTS OF MONEY.


When you switch to FBA, some magical things happen:

1) Your competitors drastically decrease. You are no longer competing against every other seller with the same product, only other FBA sellers and Amazon.

2) Your customer base increases because you now get to sell to Prime and SSS customers, whom you could not reach before.

3) Prime and SSS customers use a filter, "Show prime offers only." So many do not even see the MF offers. They don't care if they pay $5, $10 or even more for an item because they aren't looking at the MF items. This is a case of "what they don't know won't hurt them."

4) Your orders ship 24/7 (media goes intl), and you can spend your time sourcing and shipping box loads of items to FBA rather than shipping items. Once you get your inventory built up, you can spend your time at the gym, going on vacation, or goofing off, and you will still make money because Amazon is shipping your items for you!

5) AZ handles all post transactional activities like returns, customer inquiries, etc. Again, a time saver.

6) This is an economy of scale. Maybe now you are selling 100 items a month at an average of $8 profit per item. With FBA, you can sell 400 items a month at maybe $6 profit, with less effort and less time invested. Yes, there are fees, but the increase in sales offsets that. So you can go from making $800 a month to $2400 a month with very little extra effort.

So, yes, there are tremendous advantages to packing up your items and sending to FBA.

Thought for the day:

THE ONLY WAY TO FULLY UNDERSTAND YOUR CUSTOMERS IS TO BECOME ONE.

If you are new to FBA, or interested in seeing how it works from a customer's perspective, why not become an Amazon Prime customer? Amazon offers a 30-day free Prime trial. I highly recommend that you sign up for the free trial just to see what our customers experience. (Holiday time is a great time to try it out for your own benefit!) You start to think differently abut how you shop and how you can utilize your Prime membership - the other day I needed an item that Target carries. (For personal use, not to sell.) It was a rather large item. I was thinking that I may have to go to multiple Targets to find one in stock. Then I remembered my Amazon Prime account - found the item, it was offered on Prime, for only a few dollars more than the Target price. So I ordered it online, it was at my door in less than 48 hours, and I did not lose any time going on a wild goose chase trying to find it. I did not have to hassle with a large item, wheeling it out to the car, putting it in the car, unloading it from the car. I was able to use my time for other tasks while Amazon handled the problem for me - for only $4 more than I would have paid at the store (if it was even in stock).

The Prime trial requires a credit card, but it will not be billed until the free trial is over, so as long as you cancel by the 30th day, you are not charged anything. (I did the free trial last year, was not charged, and then converted to the paid Prime membership earlier this year.) This is not an affiliate program, I do not make any money or receive any perks if you sign up. This is an easy and free way to get inside your customers' heads and start to understand why Prime customers will pay more for items on Amazon. And once you understand this convenience and enjoy it yourself, you can better serve your customers as a seller and make more money in the future. Knowledge is power.

Click here to sign up for the Amazon Prime Free Trial.

Amazon FBA Resources:

My eBook - Amazon FBA Recipe for Success

Make Money Selling Toys on Amazon
eBay Selling Coach BlogThe owner of this website is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon properties including, but not limited to, amazon.com, endless.com, myhabit.com, smallparts.com, or amazonwireless.com.