Amazon Training

Amazon Background

In recent years, Amazon has exploded into a 100 billion dollar company! More sales are transacted on Amazon than any other website on the entire internet, making Amazon the premier shopping source for people all around the world.

Amazon’s stock price has moved from $8/share in 2001 to over $1600/share in 2018! What has caused the big move? Amazon has managed to make shopping easier than ever, providing detailed product reviews, simple checkout, affordable prices, and flexible shipping options.

How Amazon Works For Sellers

Amazon is different that any other selling network online, especially ebay. In fact, that is probably one of the reasons few sellers attempt Amazon as a marketplace to sell their products! Here’s the main difference: on Amazon, only one version of a product can be shown in the search results. If you were to do a search for a black iPhone X 64 GB phone, you would find one item with multiple sellers on Amazon, whereas on ebay and many other shopping networks, you would find multiple sellers and multiple black iPhone X 64 GB phones listed. And that’s the main difference! So if you want to sell that item on Amazon, you simply get your user ID listed as a potential seller, and if your price is good enough, you may attract buyers.

But it’s hard! Most people who buy on Amazon simply click the “Add to Cart” button when looking at the main product detail page. You must become the “Featured Seller” in order to get those orders to come to you! The trick to making money on Amazon is to figure out how to become the “Featured Seller,” because those are the sellers that make most of the money!

How to Become a “Featured Seller” on Amazon

There are several key factors that will influence who gets the “Buy Box” or which seller is the “Featured Seller” on any given item. Amazon will look at your feedback score, selling history, age of account, price, and other small factors. Here’s the key: if you can have a reasonable price (often needs to be the lowest), and ratings that are just as competitive as your competitors on any given listing, you will get an opportunity to be the “Featured Seller,” which is ultimately where all the sales go!

But how can you do that when you’re a new seller? It’s hard to get ratings and sales if you have never had any! In fact, if you tell Amazon that you want to sell a particular item that they have listed, you will often be one of the very last sellers featured on an item because Amazon is not interested in having you sell the item (sometimes even when you have the lowest price!) when you have very little selling history.

So what’s the secret? How can a new seller break into what seems to be an exclusive club?! The real trick is buying a bunch of UPC codes from an inexpensive dealer like codeupc.net. Once you get those codes, use them to list some inexpensive items from a supplier like DHGate.com or Aliexpress.com. Amazon only accepts new products if they have their own unique UPC code, so buy 10 or so from a supplier, and buy some inexpensive products that are not currently on Amazon from some overseas suppliers, and sell those items for an affordable price. At that point, even if you’re just breaking even, you can begin to establish a sales history and a positive feedback profile. As a result, the next time you want to sell another more popular product where you have other sellers competing, you have a much better change of stealing the “Buy Box.”

A $1,000 Profit Success Story in 1 Month

A seller that works directly with our coaching program began selling on Amazon in January 2013. He had the same challenges described above – no feedback, no sales history, and therefore, no chance to make sales on Amazon.

This seller used the strategy discussed above. He found some inexpensive jewelry from international suppliers, took pictures of the items, and once they arrived at his home, he began listing them for fair prices on Amazon and closing sales. If you are selling a totally unique item with a brand new UPC code, you are automatically the “Featured Seller,” which ensures that you will be the one closing sales! See figure 2.0 listed above to see his first month’s sales. In one month, he made over $1,000 with 152 sales and nearly $1,500 in gross sales.

After one month of selling, he had now established a 4.9/5.0 feedback rating and had 15 positive reviews on his account. As a result, he is now capable of competing with other Amazon sellers on other products that would have otherwise been too competitive for him to ever receive the “Buy Box” advantage.

Instead of Amazon being an exclusive club for only long-time sellers, using the strategy above, now anybody can quickly receive quality ratings and even make $1,000 or more in a month’s time.