Extended: How to set up an Amazon FBA business with Danny Newman.
Here are the incredible tips that Danny Newman shares on how to start an online Amazon FBA business.
In this episode:
What is Amazon FBA?
- It is for people who want to start a retail business online through Amazon.
- You find the products that you want to sell and Amazon will be storing and fulfilling the orders without you having to deal with customer service.
- It is a great business model if you want to be traveling and be hands off.
What is the first step to start an Amazon FBA business?
- Invest in learning how to do the business.
- There will be a lot of opportunities for mistakes, so make sure that you are learnings much as you can.
How do you find the right products that will sell well?
- You have to do your research and look for a gap where you find a product that you can buy cheaply but sell for a profit on Amazon.
- Look at sales rank on Amazon to see how well the products are selling.
- If you can get those well selling products on Amazon, it is almost a guarantee that it is going to sell sooner or later.
- But you also have to look at your competition.
- You can also do private labeling products.
- This process is more involved so you have to make sure that the product is going sell.
- You have to test as much as you can.
What is the pros and cons of starting an Amazon business?
- The massive pro is earning money, while being away from the business itself.
- The con is that there is always risks, thats why it is important to test your products before selling.
- Amazon FBA charges for there services so you have to make sure you have enough margin for profit.
- Expect to loose 30% or more on your sales with Amazon FBA.