What is going on Amazon sellers were hopefully soon to be Amazon sellers, my name is Beau Crabill and right now I'm in Surfers Paradise
Australia and I got a DM request today in my Instagram
Asked me about, Beau, what is the best way to order your first product to sell on Amazon?
And this is a very important topic because yes
It's very important before your first order getting that and making sure that you're making money on it
But what's really mostly important?
Is that your building confidence with your first order and start a better relationship with your supplier?
Because remember selling on Amazon selling online is a long-term game if you're looking for a get-rich-quick scheme
This is not it. So now why am I making this video?
the biggest reason why I'm making this video is because the number one way to not
have success and to simply fail on Amazon are pretty much anything is to not take action and
Give you for example I've over 20 thousand YouTube subscribers
And I'll make a very large bet that I guaranteed that a very large portion of them are not selling on Amazon
Why is that?
It's because they're afraid to fail and they've been taught and what most people have been taught really
Is that any way of making money that isn't a job is simply risky?
so enough talking what I want to discuss in this video is about
What your first order should look like in?
Regards to the potential profit margins how many suppliers you're gonna have to get in contact with to make your first order?
Do you need to be ordering in specific categories?
You have to get ungated in things looking at the turnover rates and what to do after your first order
So let me jump right into this know now
remember
the purpose of your first order is really to build confidence and trust with your supplier and the first thing what you want to be
Doing is to not set your expectations
Extremely high on your first order what I mean by that is don't expect the beginning a hundred percent
even a fifty percent or higher ROI on your first product because keep in mind you are a
newbie your new client to this supplier and
the supplier is pretty much in the same business as you how they make money is selling products to you and
They're into the long term the more products. They sell the best. It's a win-win situation
However, they want to build trust with you. So as time goes on as
They understand that you're legit. They're gonna offer you better products
So when you're first looking at Products for a supplier, and if you're expecting it at 50 60 100 percent ROI
You're probably not gonna order from anyone because that's gonna be kind of unrealistic unless you get kind of lucky. So what I suggest instead
Because get whole purpose yet
you want to make one other person order but start to build confidence and the relationship is
Maybe lower your expectations down to a 10 percent ROI 15 percent. So then you make that first order with them you're making money
I mean, what else are you getting on your money right now?
And then what you're gonna notice that supplier starts to send you better deals better pricing may be on the same exact products
So now how much money?
Would it be ideal to get started out with for your first order now?
Obviously if you are limited on capital or you have an extreme amount of capital where you don't really care about losing money
Then it's gonna be different off this. However, I would suggest the ideal starting point would be $500 to around 3,000 dollars to get started
Up for your first order
Then what you want to do?
Okay, that's the mount of money you want to spend for your first products. Then you need to get set suppliers
so if you realize, okay, I want to spend 500 hours my first order then get set up with suppliers that have
MOQ that are under $500 or around $500
And then start to get accounts up with them
If you're only getting accounts set up with one or two or even just about only five suppliers
it might not be the best for your
best-case scenario for your business because
when you're looking at products one bad thing that I have seen from beginners is
Actually the very first profit they see that makes profits they jump the gun and buy it which isnt a bad
It's good you're taking action
But I would really suggest giving yourself a full week of getting
suppliers looking at products
To really make a better decision on what products to buy and sell because there's always gonna be new deal is there's an abundance
amount of products out there
And the worst thing you would want to do is lose money the first product so give yourself a week get set up with
dozens of suppliers maybe in 50 or so
Before you make a first order then ask yourself the question
Do I want to pay to get on gaited?
If you don't know
Ungated it is there are specific categories and brands on Amazon that you cannot sell when you're a beginner seller on Amazon now
If it's Brand ungating I wouldn't care about that, right the brand is restricted
All you have to do is apply invoices from your supplier
but if you're looking at products that are in the categories of like topicals or beauty or any type of interesting like
Dietary supplements where it's gonna cost or be a hard process to get ungated
You may have to want to put in your budget maybe spending a few hundred dollars to use it on gating search to come gated
Right. However, say you don't have in your budget to use an ungating service or what I get I get it
then you want to focus on categories are kind of typically easy to
Start to sell in toys and games video games home and kitchen and even sometimes beauty products
So I understand that now
So then when you're looking at the products really about to make an order I would suggest
To aim to sell out of your inventory in less than 60 days one really bad thing
You can do is simply buy your first inventory and have to wait six months a year to sell out
That's not gonna really help you long term for your business
But then the next question want to ask yourself is your supplier working with a lot of Amazon sellers. And if and are you
Going for the bare minimum
Moq now going for the bare minimum moq isn't always the bad thing to do
but if you're working with a supplier that works with a bunch other Amazon sellers and
The supplier has five thousand units and you're going for the moq which is a thousand units
There's pretty good chance the other four thousand could be on the market if you're working with this bar
That doesn't work with any Amazon sellers at all. Which all the time?
I'm working as far as that I have to teach them on how to send me shipments cuz they've never worked with an Amazon seller
Then you can go for the moq but ask yourself that question
so now
You know pretty much everything on what you need to do for your first order the dollar amount potential profit margins
Remember to lower your expectations the types of categories and the turnover rates
but then one very important thing to do when you order your first product is
Actually going to be about being very quick and being a convenience to your supplier
The worst thing you can do is act like a newbie or be a hassle to your supplier
And I've seen this happen before I literally tell my suppliers like hey, you know
I have students stuff like that
What I want to do if you ever see any idiotic message that comes from anybody right a client of yours
I don't know if they're a student or not
Can you send it over to me? I've had to eat as far as for me email is saying dude
Is this your student and some not being it one of them asking like them to log into their Amazon account to create their shipments?
For them, we're like, hey, can you do this for me? Right? Hey, can you help me out with this process?
can you get on the phone with me and walk me through and
Again, you want a better relationship the supplier and if you're assuming like a hassle where you're having them to log into your Amazon account?
To have to do all this stuff for you
they're not gonna want to help you out and source you better products because they're gonna realize it's going to take an hour of their
Time to sell you these products. They just want to do them quick and easy
So just be quick and logistics know what you're doing know how to communicate with them
Which I go over all that stuff in my course and that is about it
So what I'm gonna do right now is actually go over a product example
Of looking at like what is an actual good product for this? So the product example, I'm gonna pull up right now
I'm gonna go into my computer
It's actually a similar product now the same exact one because I don't like to reveal product my students sell
But it was one the products for my very first students. So I'm going to my computer right now and show you that
Alright so this product show you right here is a Disney
Mickey Mouse water bottle one thing I've also noticed that is sometimes a good product to get start off with for your first order and
sometimes seasonal products because again
Your first order the purpose of is to build confidence and build relationship with the supplier
And sometimes there's some short-term opportunities to order some seasonal products
so what am I very first students they ordered this when it was like in the summer of 2017 and
There's a water bottle right people go buy water bottles, and their cost was like three dollars and fifty cents off of this
But I'm gonna show you why this is like a really good product to really get start off with
because let me go into the fee calculator so plug this in I
get obviously like what I said aim for lower return on investments, but obviously if you get a higher return investment,
That's a great and this one was actually relatively pretty high ROI
when they were selling it was eleven dollars and
their cost was
375 I believe on the first order. I know they ended up ordering more and got the price down we can see right there
That's pretty decent return on investment if we go into my calculator
Two point three two divided by three point seven five
That's six one percent. So that that's really really high now
If I go back to when they were selling you can actually see this sales rank was really good right here
I know they bought in this mid summer of 2017. So right then in their sales rank of being twenty four hundred
Let's see what category it's at
Kitchen and dining
So if we go to its let's just round up to three thousand go to the marketplace the United States. She was a category
kitchen and dining
because that's the one we're looking at
Dining kit calculate now, obviously this gonna be different because more people shop on Amazon now
But I know they bought about five hundred units of this and there was a few sellers on the market
So it they ended up selling out around
45 to 60 days of this inventory
So a product just like this is a pretty good example of a good first product to simply sell
So that is it for this video. Thank you so much for watching
And again, um, and then the day selling on Amazon is a long-term game
It's really important to get your first order going, but I would not stress that it's gonna make or break your business
The most important thing is to build confidence and make profits off it right if it's just a few fifty bucks
20 bucks hundred dollars for whatever it is. Make some profit off it start small. Don't break the bank and go from there
So thanks so much for watching this video
Make sure to subscribe to my youtube channel and leave any comments you have or questions down below in the comments
Feel free to subscribe to my podcast or if you want to listen to more extra information
Follow me on Instagram as well through to DM e and have a great day
You