1. Inventory: in order to make sales, you need inventory. Think of your Amazon store as a conscience store that needs to be filled up with a bunch of stock. I would recommend to start with around $500 on inventory.
$500 seems to be the sweet spot. The best thing to do is start with around 15 products (buy about 2-4 units of each) & then once you are more comfortable choosing winning products, invest more money gradually.
2. Softwares:
First of all, you need to sign up for an Amazon seller central account which is $29.99/month for Canadians & $39.99 for the US.
Then I would recommend to get these 2 softwares:
1. Tactical Arbitrage:
This software will scan through known retail websites like Walmart to find you products that are already selling frequently in the market (with a profit margin) that you can then resell on Amazon.
w/o this software, my business would probably be nowhere
You can try Tactical Arbitrage for free for 10 days with my code: SASHAFBA
The next software you should get is Keepa. This software will be your guide in differentiating a good product from a bad product. This software will ensure that you actually have winning products.
The last things that you need are supplies to pack & ship your items to Amazon.
You will need a body weight scale & tape measure to list the weight & dimensions of all boxes sent to Amazon.
You will also need a printer to print product labels in order to label all of your products (you can also pay Amazon 20 cents per unit to do this step for you). You will also need to print box labels for all boxes sent to Amazon.
You will need to get bubble wrap, brown paper & boxes (these all should be free if you are ordering everything online)
If you send any liquids or loose items, then you will need to put them in a polybag (it needs to have a choking hazard written on the bag)
Lastly, you need to get tape so you can properly tape your boxes. I just buy tape from the dollar store.
& that is pretty much all you need to get started. There are some other more optional things that can make your life easier but everything that was mentioned should be enough
This is probably one of the easiest businesses to start in terms of low cost. You really don’t need a lot of money to get started🫶🏻
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I personally do Online Arbitrage (basically just reselling)
What this means is that I purchase products from stores ONLINE like Walmart, Staples, Toys R Us, Canadian Tire etc. And then resell these products on Amazon for profit.
1. USE CASH BACK TOOLS: please PLEASE take advantage of Rakuten, Top Cash Back, loyalty programs, Cash back credit cards etc.
My fav thing ever is when I can get loyalty points, cash back on my credit card & cash back from Rakuten all from the SAME transaction!
The Amex simply cash back card that gives 2% is the best credit card in Canada for cash back. Indigo has plum rewards, Canadian Tire has Canadian Tire cash back (Canadian Tire credit card gives 4% cash back for canadian tire purchases), Lego has VIP points etc.
The concept of online arbitrage is super super simple:
Find products that are already selling on Amazon and then figure out where you can buy them for cheaper.
It’s not hard. It’s just time consuming in the beginning. A lot of people aren’t willing to put in the time to properly grow their business. After a couple of months once you can start delegating tasks, it won’t take up as much of your time anymore.
You probably won’t make a lot of profit right away (depending on how much money you invest). It will most likely take you a couple months until you start making good profit. You have to learn how to sacrifice your time without getting any rewards right away.
1. USE SOFTWARES TO AUTOMATE TASKS: I use Sellerboard to calculate profit & keep track of inventory and I use BQOOL to reprice my products.
Once you have too many products to keep doing all of this manually, make sure to start using automation softwares
2. HIRE A PREP CENTRE: they will receive ur products for u & have them shipped to Amazon (so u won’t have to physically see ur products). This was the best thing I ever did for my business. It made me more willing to buy a lot of inventory bcuz I don’t have to deal with any of it
This is what the first couple months of your business will look like.
If you’re not willing to put in work, then your business will never grow.
And you probably won’t make a lot of profit in your first couple of months, but once you get passed that first 6 months, you’ll start to get rewarded.
I made around $30 net profit my first month, $75 the 2nd month, $150 the 3rd month…..by my 8th month, I made the same amount that I was making at my 9-5.