Learn From An Amazon FBA Pro – 5 Big Mistakes You Must Avoid
In this video, you’ll hear a candid explanation of 5 big mistakes that occurred in this Amazon FBA sellers first year. Learn from his mistakes so you can avoid them in your business.
One of the important points he makes is the importance of having enough inventory for Q4. Learn from his mistake and make sure you have what you need in your Amazon store.
Cash Flow Is Important In Amazon FBA
It is critical that you have enough cash flow when you’re starting out in Amazon FBA. He has some specific examples of what you need to have ready to become a successful Amazon FBA seller and why he says “cash flow is King”.
everybody today i want to talk about amazon FBA I’ve had so many questions on my facebook and here on YouTube and people just want to know what is amazon FBA some point in this video today I’m just going to discuss what it is how it can work for you and basically why I think it’s absolutely amazing so just to get started amazon FBA it stands for amazon fulfilled by amazon so when people say amazon FBA they’re just referring to fulfillment by amazon which means basically that Amazon is fulfilling the order here’s what you get when you sign up for the Amazon Fulfillment option as you may know amazon has these gigantic warehouses basically they store all the stuff there and when someone buys it they have a whole system set up so that they can get the item quickly sent out of the warehouse and to the buyer really quickly now what they did when they started to offer fulfillment by amazon was they would allow the marketplace sellers on amazon to send in stuff that they were going to sell on amazon this would allow sellers to send their stuff in and let Amazon take care of all the hassle and all the busy work obviously there’s a lot of upsides and very little downsides to this I’ll make a video that has a little bit more in depth on some other things to do with the process but this video is just about how it works and why so you can send in a whole bunch of different items there are a few exceptions of course you can’t send it anything that’s flammable that’s really one of the only big deals when it comes to sending things in but what you need to know is you can send in things extremely cheap right now for me when I send in a shipment of stuff most of the stuff that I send in is about 25 cents a pound which is really cheap of course the more you send to a point the cheaper it is now the way it works is amazon has a deal with ups and basically you can send in your stuff extremely cheap you get to use the amazon shipping account so it’s awesome i mean the last shipment that i sent in was over 600 pounds if i were to send that out with like the usps it would easily cost me over a thousand dollars but with the shipping rate that I had it was like 150 dollars which is just incredible like I said the next thing that happens is it gets unloaded at the warehouse they check it in and they basically put all of your stuff in a certain location I don’t know exactly how that works they have videos on the Amazon youtube channel which you should check out and it shows some interesting details on to how exactly everything works it’s really pretty cool next what happens is all these items that are at the warehouse are available they’re available to you to do as you choose you don’t have to limit yourself just amazon i could send in anything there as long as it complies with the rules that amazon has so this is really powerful if I want to use multi-channel fulfillment I can sell an item on Etsy or ebay i can have amazon fulfill that order so let’s say that i’m selling dog biscuits i can have amazon just send them out I don’t have to store them I don’t have to pack I don’t have to ship I don’t have to deal with customer service I don’t have to deal with anything it’s dealt with it’s all dealt with it’s like having a ton of different employees for every single task except instead of paying employees and having to deal with all the paperwork without having to deal with all the liability and all the taxes and all the hassle and all the BS that you get when you have to hire someone so like i said before amazon stores all the atoms for you just to give you an idea of the cost over seven thousand books i had in storage last month cost me one hundred and fourteen dollars so absolutely incredible on the storage like I said it’s amazing to keep one book there for an entire year it’s less than fifteen cents so just think about that for a second let that sink in amazon at the warehouse is holding over seven thousand books for me and it costs me a hundred and fifteen dollars a month just think about that and then think about the profits that are possible from seven thousand books a month if you compare the storage space locally even if you live in the middle of nowhere it’s probably going to be a lot cheaper next what they’re also responsible for is they know exactly where that item is and they’ll immediately go to it if I had seven thousand items here there’s no way in hell I’d be able to find the exact book I was looking for immediately but they do so again that is incredible that is technology that they have access to that I don’t the next thing to do they’ll pack it up into a box and they’ll use protective packing material if necessary again in this month just in January I’ve already sold over a thousand 150 items do I really want to find pack up box and ship a thousand 150 items probably not especially if there’s something that is like around a pound or more it’s different of course if you’re sending out like a like a photograph or a small piece of paper that you can mail first class with a stamp I mean that’s different if you could mail it like in a letter or really small maybe like a DVD I could see that that would be a little bit easier but the same time you’ve got to find every single one of those items and then like I said you got to bring them all somewhere you gotta drop off Amazon does it all for you so these and things are getting you can ship it to Amazon for super super cheap amazon will store it super super cheap amazon will take the item out of the massive pile of stuff that you got and they get exactly the right item most of the time amazon will ship the item exactly what do you want and that’s the other thing amazon will ship it wherever it’s going it doesn’t matter I’ve sold items to the most crazy places in the whole world there’s like a little island in the middle of nowhere I forget what it was called but it had population of like 50 and I couldn’t find out a map some guy in there bought some book for me I don’t know I don’t know what was I forget but I mean I do international orders all the time people on people from anywhere people from anywhere buy my books and my my items it doesn’t matter it’s just incredible and the shipping to overseas like I remember the the shipping credit that some guy paid it was it was going to like Afghanistan or something and he paid 799 to ship it that’s absolutely incredible that’s a really good price for shipping price for all the way to over there of course under huge benefit to using amazon FBA is the customer service all customer orders through FBAR dealt with by amazon amazon does it all for you returns amazon does it for you everything amazon does for you the only thing that you have to do is keep sending more stuff and you do have to deal with the taxes but then again that is all automated as well you can automate everything amazon FBA is just incredible and like I said for I can’t say enough good things about it so Amazon FBA is absolutely made if you ever see anyone talk about FBA it’s fulfilled by amazon so just think about that and you know when you’re looking on amazon you see a thing that says prime eligible that’s what it is those people are amazon prime sellers they are part of the amazon fulfillment process if you have any more questions about amazon FBA you want to know anything else about it just leave a comment or a question down below i’m going to be making some more videos talking about why you should be using FBA or if you should not be using FBA and I’d like to get into a little bit more depth into books and why I enjoy selling them so much thanks guys for watching I hope this video is useful for you if so please be sure to give it a thumbs up if you have not already please be sure to subscribe and of course check me out on Facebook at picking profits I’ve got some cool stuff going on there too thanks for watching guys appreciate it and I’ll talk to you later