My name is Jay and I’m a six-figure Amazon FBA seller. The reason behind starting this blog is to help you embark on the same journey that I’m on right now; it’s a very successful one, there’s a lot of things to know and there’s a lot of patience required. The main goal for these articles is really to help you succeed by answering questions that you have which in turn will help you grow your Amazon private-label FBA business. Today is about sharing a personal story with you about why I left my six-figure per year job to move over to Amazon FBA.
WHO THE HELL IS JAY SMITH?!?
I started playing hockey at a young age and developed into a pro hockey player. All pro athletes have to end their career one way or another, my career ended at 23 years old. Right after the hockey career, I moved over to sales in a very aggressive marketplace: photocopier sales. Not sure if you’re familiar with that industry, but it’s basically knocking at businesses, door-to-door. “Hi I’m this person from so-and-so company” and you try to figure out if there’s an opportunity to replace the photocopiers that they currently have in their offices. A friend got me doing that because he was making a lot of money; for an entry-level job, it’s one of the highest paying jobs out there for an early 20 year old. I had a lot of success and fun doing that, and then the same buddy ended up going into another industry which was medical device sales; in turn I graduated from photocopier sales to move over to medical device sales as well. For me that was the NHL of sales jobs! I was very successful at that too for over six years. That’s when shit hit the fan! Our small company got bought by a big corporation and everything changed. The relationship with the employer wasn’t the same anymore and I had to make a decision at that point about if I was going to stay in the same industry and work for another company or if I was going to accomplish my childhood dream of starting and owning my own business. If you guys are reading this, I’m sure it’s something that you’d like to do as well. It’s not easy, there’s a lot of highs and lows, but it is achievable and you can do it too I promise. Here are some of the reasons that convinced me to embark into the Amazon FBA journey.
WHY CHOOSE TO SELL WITH AMAZON FBA?
If you’ve never done the math before, in order to make a $100k per year in profit with any online business, you need to first understand that it runs 24/7, 365 – unlike a conventional store that has opening hours, holidays, etc. So to make a $100k online, divide $100 000 by 365 days ($274), divide that by 24 hours and that gives you $11.42 per hour . You need to generate just over $11 an hour in profit with your online business to make a hundred grand before taxes, that is ridiculous! When you think about that, with the online business model, you only need one, or two, maybe three sales per hour to hit that target! You also have no overhead to pay except yourself.
$100 000 / 365 days / 24 hours = $11.42
SCALABILITY OF AN ONLINE BUSINESS
A few investment opportunities were presented to me and they weren’t that interesting. If you’re not online, then you’re considered a local business. Local businesses can only pull in customers from the radius which people are willing to drive to; so if you’re a store, you’re selling to people who live in a radius of maximum 20 miles for example (limited number of customers). With an online business, anybody that lives in the country of your marketplace can shop for your products/offering, so you’re not limiting yourself. It’s really important to not limit the growth potential of your business! If you’re selling on the Amazon US marketplace, you’re selling to over 300 million Americans!
YOU CAN SELL AN ONLINE BUSINESS, FOR A LOT OF MONEY!
Amazon Private Label businesses can be sold with a nice price tag. It’s important to realize that if you’re going to invest time, energy and money into a project, that it should be able to sell at a later date. If you’re not convinced, check out Empireflippers.com. It’s a marketplace to buy and sell any online business.
You get the picture, it’s really important to be able to build something that grows in value like real estate for example. If you go into real estate, you know that you put a lot of money in, but you can also expect to get a lot of money out. That was a really important factor that made me choose Amazon FBA over other business models to start.
WHAT HAS THE EXPERIENCE BEEN SO FAR?
It’s been good for the most part after five months; I can officially say that I’m a five-figure seller per month (in sales), but also owner of a business which generates five figures per month in profit, which is amazing after just a few months of online sales. On the other hand, you quickly realize early in the journey that Amazon makes changes the game daily! You need to stay informed about those changes and if you don’t, you might make some very bad decisions. Many strategies that used to work are now outdated and if you use them to launch your product for example, you might lose and waste a lot of money. The Amazon A9 algorithm changes constantly, unfortunately I’ve had to learn the hard way for one of my product launches, I’ll be sharing that story later this year with you folks. Amazon FBA in 2018 and beyond is definitely a business worth starting.
HOW YOU CAN GET THERE TOO
You need to pull the trigger right f***ing now! Make it happen! How many videos have you watched, how many people have you told that you wanted to start this project, just F’ing do it! That’s the hardest part and that’s where 99% of people fail is at step number number one; so right now, commit to yourself that you’re going to start your Amazon business either now or in the year 2019; write it down somewhere so you become accountable to that. Because if you never pull the trigger, this dream of your is never going to happen, it will always be a dream.
This business needs to be built one brick at a time. It’s a long-term project, you need to be patient. There’s a lot of videos out there that are saying “Oh I made a million dollars on Amazon in the first year in profit” and for some that may be true, but it’s not the majority. I had high expectations in terms of the time frame required to be successful with Amazon and it was longer than what I anticipated. What I love most about the Amazon FBA business model is that in online sales, if you can generate $100 per day that’s $36 500 per year. If you can generate a hundred bucks per day online, you can copy and paste whatever you did to generate that hundred dollars and make $200, do the exact same thing again – rinse and repeat – $300, $400, keep stacking! $400 per day starts being good money, and I’m talking profit here! Remember the scalability part we discussed earlier; that’s why it’s important. Once you have that secret recipe for success and you’re able to generate a hundred dollars of net profit per day on Amazon, then you just rinse and repeat until you have the income you desire. That’s why I think this is an interesting business model and you can get there too, just one step at a time, you can’t cut corners or take shortcuts, it’s going to take some time. You launch a product, become successful with it, copy paste, do what you did with the first one for the second one… Brick by brick by brick, you’ll be able to have your multi-million dollar business, guaranteed!!
If you’d like to try all the tools I use to run my Amazon FBA business check them out here: Best Tools For Your Amazon FBA Business