Up Fuel December closed out the 2014 year and with it my first five full months selling on Amazon. The crazy thing is that this Amazon business is the fastest thing I’ve ever made money with online (besides software – but that relies on the tens of thousands of email subscribers I’ve built up over the years). I have several friends and family members that are in varying stages of building their Amazon businesses as well because it’s a business you can build without needing an existing platform because you’re able to leverage Amazon’s platform.
We also run a mastermind group where my friend and I teach others how to build Amazon businesses (Brian from Podcast 17). Waiting list here (Opens April 22nd).
Missed the other updates? Month #1, Month #2, Month #3, Month #4
December 2014 Report:
[yellowbox]BONUS: Click here to access your free video training on how to create a 6 figure plus Amazon FBA business in your spare time.
This step by step guide is the exact formula I’ve used to create my Amazon business[/yellowbox]
I ended the month with total sales of $20,326.61:
To be completely transparent and for verification purposes I also like to film a quick video walk through of my numbers as well:
For this month I played with my pricing a bit and was slightly lower so it’s closer to 40 percent profit margins on that number (after inventory costs, FBA fees, Amazon ad spend etc). So $8k+ in profit roughly.
Why no exact number? Inventory purchases month to month can skew numbers e.g. 30% down payment one month and 70% the next month.
As I like to point out, the 2012 median household income in the US is $51,107 and in my third month I was already on track to surpass that which I’ve continued in this month.
This is all still with only one product. What do you think will happen when I start to launch more products?
Ongoing Monthly Amazon Charts:
My first sale came on July 28th. To keep it simple I removed July from the chart.
Common Question: How do I actually make money selling physical products on Amazon?
The short answer is that I created my own brand of products to sell on Amazon. I recorded a podcast which provides a great overview of the business model and how it works which you can listen to here. But I got started because podcast 17 guest Brian told me about this business model and how he learned how to do it. I went through the same course he learned from and then took action with the information.
Our coaching group / mastermind are currently closed but we’ll open the group again on April 22nd 2015. This will be your last chance to join the group and learn from the same course I learned from. Waiting list to work with us is here.
December 2014: Schooled By A Mastermind Member
Martin, one of our mastermind group member posted his Amazon income results and while I knew he was selling on Amazon I had no idea how well he was doing. He absolutely crushed me in December with roughly 20x my sales. Yah not 2x. Twenty times my sales.
To my knowledge this was the first sales stat screenshot Martin posted in our private Facebook group. He started the exact same time as me (ASM3), learned from the exact same course as I did and (presumably) went after a higher competition market than I did. So happy he has found success at this magnitude so quickly.
Obviously his results are not typical, but it goes to show you what is possible.
Analysis Of December Results
I’m very pleased with the 70% increase in sales I saw over November numbers. Breaking the $20k mark is what I was looking to accomplish before year end and so far January is off to a great start as well. I dropped my price a bit so my profit margins were a bit lower but at roughly 40% still who cares. I’ll gladly push more volume, get more reviews and make more money overall than at a higher price point.
My objectives for December from last month were:
Objective 1: Decide on supplier for future product
I’m happy to say that I did place my 30% down payment with my new second supplier for a new product. Moving forward I won’t be revealing precisely how many products I’m selling other than a close range so when it happens I’ll just say that I’m selling more than one. My strategy long term has always been to launch more products and I’m happy to be moving in that direction. I’d like to get to the point where I’m launching at least one new product every single month for 2015. I may need to hire someone to help me accomplish this goal though.
Objective 2: Try something to market my product(s) besides relying on Amazon
Another month and I’ve still done nothing to market my product outside of the Amazon platform. I was very busy with other projects and didn’t have a chance to experiment.
My plan for January 2015:
Objective 1: Create listing for new product
It’s been a while since I’ve created a new listing, but I want to finish that up well before the product even ships out of China. My release date is most likely in February.
Objective 2: Try something to market my product(s) besides relying on Amazon (round 2)
I have some free time in January so I want to focus on this.
My Long Term 2015 Goal:
This business will exceed $100,000 per month before the end of 2015. So I’m confident that before the end of 2015 I’ll have at least one $100,000 month in sales. December I was already 20% of the way there and granted it was a holiday sales month that was still only one product. My plan to launch multiple products will help get me to this mark.
Need help finding a product or market to target on Amazon?
If only there were software tools that could help you with the most crucial part of this business:
Finding the right product to sell
We already have them. These tools will be available publicly again in late January or early February at a discount rate.
Check out a preview and join the wait list here.
If you have any questions, comments or feedback I’d love to hear them.
[yellowbox]BONUS: Click here to access your free video training on how to create a 6 figure plus Amazon FBA business in your spare time.
This step by step guide is the exact formula I’ve used to create my Amazon business[/yellowbox]
Wow, those are incredible results! Have you gotten many reviews for your product? If so, have those made much of a difference in sales?
Yah I have a lot of reviews and yes reviews are key. That’s what one of the software apps we created helps with: http://amasuiteapps.com (waiting list here)
Hi Chris,
You mentioned the group in April 2915 will be the last group you’ll be adding people, “Our coaching group / mastermind are currently closed but well open the group again on April 22nd 2015. This will be your last chance to join the group and learn from the same course I learned from.”
What are your plans after that?
Hey Josh,
Unsure. We will likely continue the group we just may need a different format. The commitment for coaching has been the same to last through the entire course and to the live event. We’ve just continued helping in the group past that. I don’t forsee any reason not to change, but naturally it’s more work during the course and when people first join.
Chris
Dude – you are making me jealous. I might have to start an Amazon business soon to pile on top of all my other projects π I’ve been trying to talk my brother into it for a while now!
And we should chat soon.
Keep up the good work!
Hey Brandon, yes we do need to speak again soon. See you on Skype hah π
Nice progression Chris! Question is, how do you promote your products apart from amazon and facebook ads? π It would be great if you name a few.
Hey Anisul,
I don’t use any promotion besides Amazon ads at this point. π
Chris
Waitlist joined! But I can’t wait! π Thanks for the update and congrats on ending the year (well, first 5 months) so strongly.
Thanks Ryan – yah I expect 2015 to be much much larger. As in I’m actually going to put in some “real” effort hah.
Ha! I know, I’ve been following you just only December but have read/viewed/listened to all your back posts/vlogs/casts on Amazon FBA since you started (and earlier with interviewing Brian, etc.) From this, I can tell you are just barely starting to shift focus to this and have much room to grow and potential to tap still! Kudos.
I’m on your waiting list for April’s mastermind group and the Amasuite product finder. I want to start things the right way and learn from those who are already successful.
But to be honest, I’m on fire about this and want to start right now. The good news, from what I’ve gathered, is that entry costs/risks are fairly low. We’ll see what I can do between now and April!
Should I wait to take the course through you guys, or is there any benefit to getting started with ASM before the mastermind opens)? I’m sure I can learn a lot through trial and error, but I think my biggest hurdle now is product selection and brand strategy, so I’m excited to see the software you’re working on. Best wishes and thanks for all the great and encouraging resources you’ve already shared.
You can’t join ASM until April as it isn’t open until then. But if you wanted to get started with AmaSuite just send me an email I mentioned that in another comment. The plan was that the software isn’t open to the public, just people that were on our email lists but I can send a link ahead of the public launch slated for mid February.
Chris
What percentage of your gross revenue do you normally allocate towards your Amazon PPC campaigns? Will that percentage vary from month to month or are you pretty consistent with that percentage?
I spend less than $500 per month. It has been as low as a few dollars per day in the past, but if I can profitably drive more sales from ads I will (in fact I should probably try to spend more). Ultimately will I spend money if I’m losing money? No. So the total number is sort of irrelevant if I’m publicly stating my margins are about 40% (for the December month that is) in the past they have been higher.
This is awesome! Congrats! Signed up for the waiting list already!
Cheers Alex
Awesome thanks Alex looking forward to the next group. π
Hi Chris
I just wanted to let you know that I really enjoy reading your posts here. You’re a real inspiration to me.
I’ve recently started as an Amazon Affiliate and I still have a long way to go, but it helps to have someone to get tips and suggestions from that I can use.
I have already implemented a number of your strategies and have seen a good increase in my CTR on all my sites.
But to also see that that you’re real and you post live info about your results is great, as it makes me think ‘I can do that too’
Keep up the awesome work!
Thanks again!
Sean
Hey Sean,
Thanks – just to clarify these aren’t earnings from the Amazon Affiliate program though but rather Amazon Seller central (from selling physical products on Amazon.com). I started with Amazon’s affiliate program, did some Kindle books and now I’m selling physical products (Amazon trifecta).
Chris
Great site, i live in japan and have 4 niche sites but they arent making that much money right now, any tips?
Hey Thomas, check out my other blog posts on Amazon they should help you out.
Wow Chris, those are some impressive results. Congratulations!
I too have a blog that will showcase my Amazon income, but it just went live, so there’s nothing to report yet. And although, I’m no stranger to the concepts of making money online, internet marketing, blogging, etc., this is my first attempt to earn a living by selling products/services online.
Your income reports always give me the extra boost I need to continue with my projects. Thanks for what you do.
Keep inspiring,
Warren
Thanks Warren – are you selling physical products on Amazon now?
Hi Chris,
Not yet – I want to work my way up to that. π Right now, I want to be proficient with Kindle Books – even though I’ve some money – it’s nowhere near where I want. So I’ll focus on that project first.
Then, I’m moving over to selling on spreadshirt or teespring. THEN my third project, after all that’s done, will be on selling physical products through FBA.
What do you think about my direction?
Thanks,
Warren
Hey Warren,
My take is to pick the one with what you feel is the most potential.
I have a friend doing $50k a month with TeeSpring, I have a friend doing $25k – $40k a month with Kindle and then I have friends doing $100k+ per month with Amazon FBA. They all have a lot of potential.
My recommendation is to try and find one to stick to though.
Chris
Hi Chris,
Thanks for the helpful advice. I’ll definitely keep that in mind, since I might actually end up with just one project anyway, if I’m getting the results. That’s what keeps me motivated. ?
Keep inspiring,
Warren
Thanks Warren π
Chris,
I’m in for this, but I don’t want to wait to April. What options do we have to get started before the opening?
It seems there is a decent amount of info to get started alone. Do you believe someone could do this while we are waiting to sign up for the course?
Hey Brandon,
You could pick up AmaSuite soon to get started with product research and I have a pretty basic course (that primarily serves to show how the software helps in the process)
http://amasuiteapps.com
It’s not publicly for sale, if you wanted it now send an email and I’ll send you a link. Right now we’re just working with affiliates privately before we do a public launch so that we can iron out any and all bugs (which there *knock on wood* shouldn’t be many left as we first made the software available to previous customers in December)
Chris
Thanks Chris,
I signed up on the email list with the email I used here to comment.
Hey Brandon
Awesome thanks!
Hi Chris
I’ve been a follower of yours for well over twelve months, so firstly thanks for all the work you do in guiding, inspiring and sharing your journey – and congrats on your recent success with Amazon. I listened to an interview you did with Spencer Haws in Dec 14 and went straight home and started researching ways I could also start selling on Amazon and private labelling products. I have some general private labelling questions and would value your expertise…..but I’m not sure if that’s what you meant in terms of asking questions or comments (do they need to be specific to your results?). Thanks
Hey Jay, feel free to post here and if it’s something I can answer I will. There are some things I only share with our mastermind group though.
e.g. We have a platform now for launching people’s new products that’s incredibly effective that we’ve been using in our group, but we’ll never open that up outside of the group for instance. Or we built a massive (and ever growing) database of products on Amazon that we have inside our mastermind website etc etc
But anyway feel free to post.
Chris
Thanks Chris.
1. Will you have to purchase ASM to be part of your mastermind group – to be honest its too expensive for me (I appreciate its a great course with supportive community), but I would rather/need to spend that money on stock. If I get to a point where I’m selling a certain amount per month is that a qualifier to join?
2. I’m already using your Amasuite 4 as I was already a customer so I just upgraded. I’ve selected a product and my question is – should I just worry about competition on Amazon or should I also be looking at the wider market competition from big companies like Wayfair, Target and Walmart? There appears to be strong competition in the wider market for my product but most of the Amazon competition is from lower quality products.
3. My product has a pattern on it and I have seen the pattern in mainstream upmarket stores online in the US, but also on Alibaba. How do I ensure when I purchase a product that the alibaba manufacturer has not ‘knocked-off’ the material design/pattern from someone else?
4. I’ve done another online (cheaper) course for Amazon selling from outside of the USA and they recommended that external to USA folks target products that will sell for upwards of $25. I wasn’t sure if this was necessary (you are getting great success/profits with an under $20 product) and I didn’t really think that where I lived would add any additional costs to the whole PLR and FBA process…what are your thoughts on this?
5. Reviews – have you used ‘professional reviewers’ to review your products and what is a standard rate. If not would you use them initially to start getting review numbers up.
Thanks in advance.
Hey Jay,
1. You would have to purchase ASM to join the group. Even people that are doing exceptionally well I’d make them pay to join (anytime someone gets something for free they don’t value it the same as if they had paid for it). Quite frankly, it’s a tremendous time investment from myself and Brian and a higher price point makes it feasible for me to be up at 10 PM talking to one of our members via PM on Facebook that had some questions about a promo we helped run for his product for example.
2. Only worry about what is relevant to you today. Likewise don’t worry about step 72 if you’re not yet at step 1 (selling).
3. You’d probably need to research this further. Difficult to answer without knowing what you are selling
4. You can succeed with various price points. I don’t know what the course you learned from is so I can’t speak to the quality of the information. I do know that there are a ton of people doing 5 and 6 figures per month via ASM. They were the first (to my knowledge) very popular Amazon course. If they weren’t the first, I do know from a social proof standpoint they have a ton of it.
5. I don’t pay for reviews
Chris
Thanks Chris. I didn’t meant to suggest the ASM wasn’t worth it, only that I have to work inside a certain budget. Thank you for your response.
Hey Jay, no worries I didn’t think that. I was just trying to explain why the higher price to join our group etc (even if ASM weren’t in the picture based on our current group structure we’d probably do the same).
Good numbers, good job, but you’ll see a drop for January, unless you switch up the campaign and/or drive more traffic. Conversion rates will be far lower, obviously.
We shall see come end of January won’t we? I have a week of data to see already…
π
April can’t come soon enough!
Those are some amazing results Chris! I bet those numbers were not easy to get to.
If you could help, I’m currently in college and read another article where you had a sentence stating how you’ll slowly die working a 9-5. I’ve never been fond of that idea all through high school and since then I’ve been looking for cheap ways to start making money on the internet. I’m currently in my sophomore year of college and want to be able to get something set up way before my graduation date here in a couple years. Can you write back with any of your suggestions (or links to anything) to how I can get started making a full time income online? I’m a newbie & I’d prefer something with low start-up costs, that I can grow to more $ long term, and is good at teaching me what I need to do. Anything you can do will help. Thanks!
Hey Devin,
It was hard but also not hard at the same time. I really think it depends on your definition of cheap is. If your definition of cheap is start up costs under $100 then you should look for something else (e.g. blogging or creating some software product that you code your own, or some other business).
Ultimately this is a business where mistakes can be incredibly costly, which is precisely one of the many reasons why we have a mastermind (to help inform people of the costly mistakes and how to avoid).
Can you get started by yourself on your own without learning from anyone? Sure. But in my opinion there is a reason why even the best people in the world at something e.g. Football or Soccer or whatever – still have coaches.
Probably not the answer you were looking for but hope that clears it up.
Chris
Great stuff Chris! Always very inspiring to read these income reports and how quickly this business has grown.
Although I haven’t followed the course, I have decided I can’t wait and have decided to take the leap myself. Important to get in before it gets too saturated as I’m seeing more and more discussions around FBA and private labeling pop up around the net.
Worked with a number of suppliers over the past couple of weeks and have already received the first sample of my potential product, with a 2 more arriving from other suppliers early next week. Based on that I will make a decision, and will make a down payment on my first order with the hope of launching in mid-Feb! The material you have provided here, in addition to some other free material I have found has been of great help so far!
Hey Tim,
Awesome. I’ve had several people email me that took action and are already selling thousands, I’ve encouraged those folks to join our mastermind even if they are already selling just as I would recommend you to join. Will be even more cool if you’re able to do it using profits from your existing sales. I am 100% positive that there is something we’ll cover (and in all likelihood a lot of things) that you will not be aware of.
Hope to see you in April π
Chris
Who handles sales tax filing? Does Amazon give you a report for that?
I pay an accountant to worry about stuff for me. Perhaps I’ll do a tax blog post in more detail and pay him to contribute to it or something. Then again, I mentioned in another comment that I prefer to not discuss tax / legal advice when I’m not qualified to.
Alright, a question Chris, I’m saving in order to purchase ASM and have some capital, when you say “last chance”, do you mean to buy ASM ever, or this is the last Master Mind that you will be coaching. (Which I would like to learn this under you and the group you’re in, so just need to know if I need to ramp up the finances over the next couple months)
Awesome figures, good job!
Blessings,
Matthew Earl
Hey Matthew,
This is the last time they’ll be doing ASM ever (as of the last I heard). So it’s the last time to join in this format. Will we do something else later on down the line? Probably, but I’m not sure how / if we’ll do it and at what price etc.
The main reason why I recommend ASM is not really for just the course – which is good – but what I value is the community. Not just our smaller private community, but the larger (thousands strong) community of Amazon sellers. Plenty of people will likely have encountered the same problem you have and have a solution as well.
Chris
I can’t second what Chris said strongly enough. Both his mastermind and the larger group are full of people experience both success and challenges. All of them are willing to share how they dealt with almost any situation you can think of.
Alright, thanks for letting that be known. My plan was try to get into this upcoming one, and if not, then the next. Good to know that this is it in this format. Time to stretch! Odd jobs here I come.
Hi Chris,
Awesome blog you inspire me! just to quick questions:
1 How did you ship your sample just by ems?
2 What is the process shipping from alibaba to amazon fba and what did you use your first time shipping?
Thank you ver much and wish you all the best!
Yassin
P.S. could you recommend the first shipping comany you used?
Thanks,
Yassin
Hey Yassin, I don’t share any of the companies I use except via our mastermind. It’s something that I’ve invested a lot of time to find so it’s not really something I share publicly.
Sorry π
Hi Chris,
No problem I understand you. Could you please tell what kind of company I should look for so that I can search for a company that does the same? I think it’s a diffrent company then DHl/ UPS right?
If you have already answered this questions just link me up, because I understand you get al ot of questions π
Thanks,
Yassin
They just send samples via UPS typically. Shipping can be done variety of ways e.g. ups, dhl, freight forwarder etc
Hey Chris,
Inspirational earnings!
Is it possible to join the mastermind group but not the ASM course?
Nope not at this time. This gives all members the same base knowledge and then allows us to focus on expansion beyond the core basics etc.
Hey Chris,
Congrats and Thank you! Congrats on crushing it so fast and thank you for AMA Suite. That software has really helped out with cutting down on the time I spent researching products. I’ve added a new product just waiting for a shipment and then I have a list of reviewers to contact. The reviewer tool is pure gold!
Question…is Martin going the route of using a supplier in China or the US. Don’t want to get to specific, but you should know what I mean from your AMA suite training video.
I’ve gone both routes but stayed away from the super competitive niches. Thinking it may be time to get my feet wet.
Hey Devin, I can say he’s not selling a supplement if that’s what you’re asking
π
[…] Chris Guthrie was so excited about Brian’s success he started selling his own private label product on Amazon as well and has been killing it! You can check out his progress and income reports here. […]
I saw there was an “ASM” event in February in Vegas. Is there a way I can go ahead and get in on that event and still be apart of your mastermind or do I have to wait until April? Also, if I wait until April when is the next live event?
Hey Tyler, that ASM event in February is for people that bought ASM4 in October 2014 so there wouldn’t be a way for you to go to that. The course isn’t available for sale right now and the next time it’s available is in April.
The next live event would likely be in July that’s when it was last time (ASM3 – when I started).
Thank you, sir
I have been using easyazon plugin on few of my sites for test purpose, it’s very good plugin. Thanks
And also I follows probloggers and sometimes checkout such earning post published by pro bloggers, as It always give me inspiration.
Hi Chris,
Does your AmaSuite software (Top 100 Analyzer) provide info beyond the first 100 bestselling products in a category? Also, how can I buy it earlier (I’m on your email list, but must’ve misplaced the early-buy email)? Thanks.
Ray
Hey Ray,
Yes. The way it does is when you go into sub categories, that’s how you find items beyond the first 100 bestselling products. Additionally, product inspector can allow you to find items outside top 100 as well.
Email me if you want the link.
Chris
That’s the whole purpose of the software is to help find items
[…] We actually started selling our first product on Amazon recently. We are part of the Chris Guthrie mastermind group. […]
Hi Chris,
Thanks for sharing the results. I have decided to give this a try, and I have already selected my product which seems to have a nice margin. The product will be shipped from China via air post.
However, I have a question about the Amazon FBA terms for international sellers:
https://sellercentral.amazon.com/gp/seller/registration/participationAgreement.html?itemID=200404870&language=en_US
At the end of this page, it is indicated that I must use an import broker and I need to obtain an import surety bond. How do you deal with this?
Sorry I don’t know the answers on those, I know the course that I learned from has a lot of information about international selling but that won’t open until April so may need to reach out to Amazon.
Hey Chris,
Nice update! I have registered for both the suite and program and can’t wait to get into it!
What is this link you are sending people for a beta testing? I want in too please
Regards
Hi Chris, thanks for all the info you share! been following your post for a while.
I’m starting in the FBA business and have a few doubts about product selection:
Demand: you said that BSR between 500 and 2000 is good, how many items in the first page have to be in that range? just one? the first 3?
Competition: how do you measure the competition? how many “low review” products should be in 1st page to consider it achievable?
Hey I would like to pay to join your group of that is possible ?
Thanks
We’ll open again in April only about 2.5 months away.
Just wondering before customizing your products with manufacturers, do you file your brand name (logo) with the patent and trademark office? Or is this not necessary on Amazon?
You could do whatever you want, but no you don’t have to have a patent approved on a product before you start selling it (if you were going that direction) that’s why some products you buy say things like “patent pending”
Great share! I’m excited to have just started my business and getting everything set up now. 2016 will be EPIC!