The Amazon Seller Podcast: Building a Brand Vs Hot Opportunities
The Amazon Seller Podcast: Sharing the information and tips that we practice every day to build our private label brands.
We have an amazing opportunity like never before. Just a few years ago it would have seemed impossible that I could create my own branded products, import them from China and place them directly in front of millions of potential customers. And yet, that’s exactly what I now do every single day (and at night while I sleep). The barrier to entry come largely come down. And now someone with no prior business experience (myself), is able to build a million dollar Amazon business. Wow!
In The Amazon Seller Podcast, we want to share the information that we have learned through our Amazon-selling journey. We want to share what we have done to find success in our ecommerce businesses. And, we want to share our failures, because those are just as important (if not more!). If you are looking to build your own private label Amazon business from home, you have come to the right place. We hope that you enjoy our shows and feel free to ask us questions here: Ask us a question that we may answer on The Amazon Seller Podcast!
In our new podcast, we will be sharing the information, strategies and techniques that we practice every day in our own private label Amazon FBA businesses. These tips and strategies have helped us sell millions of dollars worth of our own brands on the Amazon.com marketplace!
– Andy Slamans
Building Private Label Brands or Jumping on Hot Private Label Opportunities:
So which one should you focus on? Andy Slamans feels that you can categories selling on Amazon in two ways: 1) those who sell widgets (or any random items that will make them money) 2) or those who sell their own branded products and are focusing on building their own brand.
Let’s look at some of the benefits of jumping on hot opportunities and compare it to focusing on building a brand:
Jumping on Hot Private Label Opportunities
- Short Term Opportunity – Sometimes you will come across a trending product that you feel has massive potential. This product may not be viable in a year from now, but right now it is being talked about by everyone. In these situations, you typically have a very short window to act. If you wait to long, the market may get saturated by other sellers or the trend may die out (or both). Even though there may not be any long-term goals with this product, you might be able to private label something and make some short-term money. We have done this on several products and even though it hasn’t led to a long-term brand that we can build, the short-term gain has been great.
- Building capital – Because a hot opportunity may result in a quick turn of goods, it can be a great way to build capital. Because the customer demand is strong, this hot opportunity can potentially take less marketing costs or Amazon Pay-per-click (PPC) investment to get it rolling.
Building a Brand
- Can Potentially Sell Your Private Label Brands- As we mention in the show, one of the benefits of building a brand is that you can potentially sell your private label brands to an interested buyer. That doesn’t mean that you have to build a brand with the goal to sell it, but it is nice to know that could be a potential option in the future. Note – If you are aiming to sell your brand eventually, you will want to track your expenses, procedures and business methods carefully. It is also important to have accurate bookkeeping.
- Variations and Similar Products – When building private label brands, you should be thinking about how you can introduce variations to a product and other similar products that will fit well with that brand. Adding variations to an existing listing that is already ranking well is one of the easier ways to introduce a product to the market. In addition, the time and resources that you use to build a brand and gain recognition starts to make launching variations and similar products in a niche easier.
- Build an Email List – When building private label brands there are certain ways that you can build an email list. This can be helpful if you every take your brand off of Amazon and want to reach out to proven past customers.
- Long Term Success – Building a brand can set you up for long-term ecommerce success. Instead of always worrying what the next product is that you are going to sell, often times you can focus on maintaining sales and looking for ways to improve your brand/current products.
What Are Some Signs A Product Is Worth Building A Brand Around?
In the podcast, Liran mentions some of the factors he looks for when determining if a product is worth building a brand around:
- Are there accessories that can be used for the products?
- Can the product be made in different sizes or colors?
- Are there products that can be made that are closely related?
- Is this a product that will likely be in demand for a long time?
These are some of the questions that you will want to ask yourself when you are looking at a potential product to private label and it will help you get a better idea whether or not it is worth building a product line out.
Overall, we feel that focusing on building private label brands is the best long-term solution. There are many sellers who do have huge success jumping on hot opportunities that end up being great short-term investments, but for Andy, building his own brand is the ultimate goal and what he will aim to focus on moving forward. When it comes down to it, the most important thing is that you are looking for product opportunities and getting your business moving forward!
Don’t miss the next episode of The Amazon Seller Podcast.