Ask me anything about eCommerce (Ongoing)

[Wisith]

I don't set any date or anything like that. I don't do much due diligence. What kind of due diligence are you talking about exactly?

I don't understand your second question. Was there a question in there?

Refunds/returns I just give the refund or send them another product. Most of that is handled through Amazon. Be prepared to get a decent amount of returns as Amazon makes it so easy.

By due diligence, I meant you studying how product X is made, find ways to improve it, and say launch in 2 months from now to help keep things moving along. Since you came from an engineering background, I thought this may play a factor since engineers typically demand the product to be perfect before launching..which is impossible.

The second question was how would you deal/answer the reply you get from the manufacturer of a product you're inquiring? You contact them and ask if they can make product X with features Y and Z. They're asking for your company name, address, phone number, and website. I assume they asked for the info up front to weed out those who have no intention on actually doing a transaction. In my case, I don't have anything set up yet so I'm thinking of giving them my personal address and phone number, and tell them the website isn't running yet since I plan on doing the Amazon route first.

Oh yes, I hear customers return items many months later and Amazon is very accommodating. First thoughts were Costco and Nordstrom since they take anything back. Do you just sell the returned items on eBay as 'open items' when you get them back?

 

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[marklov]

• Amazon is now the place to be in Ecommerce.

  
  With china manufacturers learning about amazon bit by bit.
  
  
  I would rather start my own store and build it up from there but coming from you it does hold a lot of weight.
  
  Are you better off going amazon (sacrificing control) vs starting your own store?

 

[biophase]

By due diligence, I meant you studying how product X is made, find ways to improve it, and say launch in 2 months from now to help keep things moving along. Since you came from an engineering background, I thought this may play a factor since engineers typically demand the product to be perfect before launching..which is impossible.

The second question was how would you deal/answer the reply you get from the manufacturer of a product you're inquiring? You contact them and ask if they can make product X with features Y and Z. They're asking for your company name, address, phone number, and website. I assume they asked for the info up front to weed out those who have no intention on actually doing a transaction. In my case, I don't have anything set up yet so I'm thinking of giving them my personal address and phone number, and tell them the website isn't running yet since I plan on doing the Amazon route first.

Oh yes, I hear customers return items many months later and Amazon is very accommodating. First thoughts were Costco and Nordstrom since they take anything back. Do you just sell the returned items on eBay as 'open items' when you get them back?

Most of my products are easy to make. They don't need any type of studying to make them. They may require some time to think about how to improve them but the making part is in the thinking part about how to improve them.

I don't think I've had many reps ask for my company information. I use my personal email address when contacting them. I give them my home address to ship samples to. They never ask for a company name. But quite honestly, why should they care if you don't have a website up yet?

If they ask me to pay for samples then sometimes I will give them a website so they see that I already sell stuff in the realm of what they make. I think this makes them more likely to make me samples for free. They know I'm pretty serious about their product.

If the returned items can be salvaged I'll sell them in my stores or on Ebay. Else I just toss them.

 

[biophase]

• With china manufacturers learning about amazon bit by bit.
  
  I would rather start my own store and build it up from there but coming from you it does hold a lot of weight.
  
  Are you better off going amazon (sacrificing control) vs starting your own store?

I would still go Amazon first, own store second.

It's going to be a long uphill road if you just go with your own store first. How are you going to get traffic?

 

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[marklov]

I would still go Amazon first, own store second.

It's going to be a long uphill road if you just go with your own store first. How are you going to get traffic?

My choices will be PPC and Media buys in the spots my target
customers hang out along with Social Media/content creation for awareness.

If it's not impossible, i'll definitely take the chance.

Thanks

 

[Genesis_21]

Hey biophase,

A close friend of mind works for a foam manufacturer. He's always bringing home countless pieces of foam to mess around with (the manufacturers leftovers/trash). He's made flip flops, seat cushions, back cushions, swimming toys for fun and tells me that they make microphone covers for a company that provides microphone covers to the NFL. The relationship is strong, and so is his relationship with the owners of the manufacturer. If I knew what to make, i'm confident i'd be able to get a deal.

I don't really know too much about foam, other than the first things that come to mind (yoga mat, yoga blocks, swimming toys, shoe insoles, tempur-pedic style mattresses, foam rollers.. and probably a couple more if i look around my house lol). But i feel that all of those are crowded areas already. Because foam can be manipulated into so many different things, niching down feels like the most difficult part.

if you had a resource as broad as foam, where and how would you begin to niche down?

 

[Oztrepreneur]

Bio, I'm looking at some products that would cost me $300 but would retail for $599. My instincts tell me they would sell in a reasonable amount, so I am thinking of testing to see if the market thinks the same!

I can get samples but in order to get OEM the supplier needs an order of 300. I have capital to play with but not that kind to risk up front. My thoughts are run with their brand for a while, test the market. If I can sell 50 in a reasonable timeframe, then commit. My only concern is in selling that first batch, I have created branding for the supplier and not my own...

It is a very unique product and I would say they are the only makers of it to date. You mentioned someone you knew deals with higher priced items..any tips or tricks, or is it simple negotiation?

 

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[biophase]

My choices will be PPC and Media buys in the spots my target
customers hang out along with Social Media/content creation for awareness.

If it's not impossible, i'll definitely take the chance.

Thanks

If you are doing all that, there's no reason to not add Amazon. It will basically add eyeballs to your brand for very cheap.

But you can definitely go your own store route. I think you'll find that getting traffic is much tougher and more expensive than the 15% Amazon takes.

 

[biophase]

Hey biophase,

A close friend of mind works for a foam manufacturer. He's always bringing home countless pieces of foam to mess around with (the manufacturers leftovers/trash). He's made flip flops, seat cushions, back cushions, swimming toys for fun and tells me that they make microphone covers for a company that provides microphone covers to the NFL. The relationship is strong, and so is his relationship with the owners of the manufacturer. If I knew what to make, i'm confident i'd be able to get a deal.

I don't really know too much about foam, other than the first things that come to mind (yoga mat, yoga blocks, swimming toys, shoe insoles, tempur-pedic style mattresses, foam rollers.. and probably a couple more if i look around my house lol). But i feel that all of those are crowded areas already. Because foam can be manipulated into so many different things, niching down feels like the most difficult part.

if you had a resource as broad as foam, where and how would you begin to niche down?

I would definitely be leveraging this. Foam rollers and yoga blocks and mats would be a good and easy start. You just need to create a better roller. However just because you have a relationship with the manufacturer does not mean that the numbers will work out. They still need to make money so your wholesale prices may still be high compared to China.

 

[biophase]

Bio, I'm looking at some products that would cost me $300 but would retail for $599. My instincts tell me they would sell in a reasonable amount, so I am thinking of testing to see if the market thinks the same!

I can get samples but in order to get OEM the supplier needs an order of 300. I have capital to play with but not that kind to risk up front. My thoughts are run with their brand for a while, test the market. If I can sell 50 in a reasonable timeframe, then commit. My only concern is in selling that first batch, I have created branding for the supplier and not my own...

It is a very unique product and I would say they are the only makers of it to date. You mentioned someone you knew deals with higher priced items..any tips or tricks, or is it simple negotiation?

You can sell their product for 50 units. Then move to your brand when you feel confident. You just change your listing title or product name. It's no big deal selling 50 for someone else. The new customers won't know the difference.

 

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[Jake]

A lot of my feedback on Amazon is coming in the form of seller reviews but they are pretty product focused. Do you have a way of steering these reviews to your products?

Respond to the review? Send them an email and ask them nicely? Any tips are welcome.

 

[biophase]

A lot of my feedback on Amazon is coming in the form of seller reviews but they are pretty product focused. Do you have a way of steering these reviews to your products?

Respond to the review? Send them an email and ask them nicely? Any tips are welcome.

You mean sellers are leaving product reviews on your seller feedback? Yeah, that happens alot. I don't even have a seller feedback link for my store and they are somehow leaving them there. I just let them be. Seller feedback is also good for your account.

The good thing about that is that when they leave a bad review on your seller feedback it's easy to get it removed.

 

[Jake]

You mean sellers are leaving product reviews on your seller feedback? Yeah, that happens alot. I don't even have a seller feedback link for my store and they are somehow leaving them there. I just let them be. Seller feedback is also good for your account.

The good thing about that is that when they leave a bad review on your seller feedback it's easy to get it removed.

Cheers. Yes. Reviews speaking highly of my products are left under seller feedback.

I figure its great for my accounts standing with Amazon but potential buyers of my products won't see the reviews. Would be nice to get them copied over to the products.

 

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[AllenCrawley]

Cheers. Yes. Reviews speaking highly of my products are left under seller feedback.

I figure its great for my accounts standing with Amazon but potential buyers of my products won't see the reviews. Would be nice to get them copied over to the products.

I usually send an email thanking them for the review but explain it was left in the wrong place. I don't want the customer to feel they've made a mistake so I word it carefully. I ask them to do me a huge favor and take 30 seconds to post it in the correct place. I give them a direct review link for the product. Then I copy the review they left and paste it right there into the email explaining they can just copy the text, click the direct link, paste in the review and click submit. Most people are more than willing to do so.

 

[biophase]

I usually send an email thanking them for the review but explain it was left in the wrong place. I don't want the customer to feel they've made a mistake so I word it carefully. I ask them to do me a huge favor and take 30 seconds to post it in the correct place. I give them a direct review link for the product. Then I copy the review they left and paste it right there into the email explaining they can just copy the text, click the direct link, paste in the review and click submit. Most people are more than willing to do so.

I decided not to do this. I figure getting someone to leave a review or feedback is good enough. I never ask for both, which is why I leave the seller feedback link out of my email. It feels weird saying, that some time and go here to be a review for the product and then here to leave a review for our company.

 

[Genesis_21]

I would definitely be leveraging this. Foam rollers and yoga blocks and mats would be a good and easy start. You just need to create a better roller. However just because you have a relationship with the manufacturer does not mean that the numbers will work out. They still need to make money so your wholesale prices may still be high compared to China.

After reading your example about the kitchen knives and adding value by making improvements to them, I've looked at my resource differently. Instead of trying to make something out of foam, why not use the foam to improve another product.

I read an earlier post in this thread where you said you imported a product, and then made improvements to it. In contrast, I also recall you mentioning that you had your supplier in China make the improvements for you, costing you some molding and tooling fees.

When you made improvements to the product yourself, did you choose to do so because it was cheaper? What were the pros and cons to doing it yourself?

When you had your supplier in China make the improvements for you, why did you choose to ask them versus trying to do it yourself? Were your decisions all based on costs?

 

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[biophase]

After reading your example about the kitchen knives and adding value by making improvements to them, I've looked at my resource differently. Instead of trying to make something out of foam, why not use the foam to improve another product.

I read an earlier post in this thread where you said you imported a product, and then made improvements to it. In contrast, I also recall you mentioning that you had your supplier in China make the improvements for you, costing you some molding and tooling fees.

When you made improvements to the product yourself, did you choose to do so because it was cheaper? What were the pros and cons to doing it yourself?

When you had your supplier in China make the improvements for you, why did you choose to ask them versus trying to do it yourself? Were your decisions all based on costs?

No, the main reason is that I don't have labor or tools to make the improvements here. Ideally I want to get a completed product and just ship it out. But sometimes it is good to improve the product yourself with your own company because it adds a layer of complexity and deters copycats.

So let's say you order the knife blades from China and when they get here you add foam handles on them. Then you probably have the only foam handled knives on the market. If someone wants to copy it, they need to get a knife company in China willing to work with a foam company.

Now if the knives arrive and it takes 5 seconds to slip on each handle, then fine. But if there is more work than that and it takes 2 minutes per knife, then you need to calculate your labor costs. That's 30 knives an hour and paying someone $10/hr increases the cost of each knife by $.33. What if someone in China could do that for $.10?

 

[Phones]

@biophase Sorry if this has been asked already but most questions I'm seeing are all about products and importing.

As a growing ecommerce business, going from a one man show to an actual business (either by actual hiring or freelancers/contractors), what would be your first hires?

I'm facing this right now, I've decided to finally delegate customer support, I've made sure the process is well outlined so that it keeps the top notch levels I want it to be.

But I'm wondering when and how should I outsource/delegate stuff I don't like nor I'm good at doing/can't do them (Graphic Designing, banners, ads etc), and stuff that I'm good at but I would take a lot of time if scaling it (creating new facebook ads for instance).

These two areas are harder for me to outsource and hire, mainly because they are much more complex and will require a much detailed process and I wouldn't even know what's the process for stuff I don't know how to do (Example: Come up with a good banner that looks modern, simple and elegant vs something that looks like it was made in 2006).

(Actually, I just remembered the first thing I delegated was Product Quality inspection and Shipping, but again, this are things that don't grow the business, graphic designing and facebook ads are, hence my cautiousness in doing it or not.)

I know I'm a good at establishing processes and delegating, but because I also like to implement and I'm a bit perfectionist, it's been hard to start mapping the process and beginning to try to find the right people.

I feel like this question railed of a bit, but I hope you got a sense of where I'm at and what I'm asking advice on.

Thanks in advance!

 

[marklov]

If you are doing all that, there's no reason to not add Amazon. It will basically add eyeballs to your brand for very cheap.

But you can definitely go your own store route. I think you'll find that getting traffic is much tougher and more expensive than the 15% Amazon takes.

Ok, I now see your point.

All my other questions have been answered in your old thread anyways.

Appreciate you taking time out to give your opinion
and hope others do as well.

 

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[zapcity]

Not to hijack the thread or anything, but as a sidenote to what has been working with Amazon - there is a big shift in what is going on right now in light of Amazon's recent update to their TOS (was updated last weekend I believe). Whereas they previously allowed the practice of discounting / giving away products in exchange for reviews - as long as the buyers put a disclaimer in the review - they are now taking a different stance and tightening up their rules to where this hardly (if at all) will affect your rank anymore.

Yea, I see this going away real soon. People are totally taking advantage of it and I can also see all reviews of purchases bought with a coupon being deleted really soon.

Interesting update, a competitor just launched a new product with same keyword as my product and blasted in 30+ reviews within 3 days. My product with 4 real reviews using same keywords still outranks.

 

[marklov]

Interesting update, a competitor just launched a new product with same keyword as my product and blasted in 30+ reviews within 3 days. My product with 4 real reviews using same keywords still outranks.

These methods that rely on gaming the system never end well.

I almost lost my income stream gaming the system (SEO) and it was white hat too..
It's much better to build and develop it the "hard way" long term.

 

[Genesis_21]

No, the main reason is that I don't have labor or tools to make the improvements here. Ideally I want to get a completed product and just ship it out. But sometimes it is good to improve the product yourself with your own company because it adds a layer of complexity and deters copycats.

So let's say you order the knife blades from China and when they get here you add foam handles on them. Then you probably have the only foam handled knives on the market. If someone wants to copy it, they need to get a knife company in China willing to work with a foam company.

Now if the knives arrive and it takes 5 seconds to slip on each handle, then fine. But if there is more work than that and it takes 2 minutes per knife, then you need to calculate your labor costs. That's 30 knives an hour and paying someone $10/hr increases the cost of each knife by $.33. What if someone in China could do that for $.10?

Nice..that puts labor costs, time, and product distinction into perspective. I'd love to get a completed product and just ship it out too! Thank you for replying. There's so much great information here. My life would probably be different today if I had been active a year ago when I signed up. I'm just glad I found a space where people are willing to share what they've learned for everyone to benefit Not much conflict of interest here.

 

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[RisingStars]

Hey Bio,

My product is selling really well, also because of the great tips you gave me and others in this thread.
The problem is, that I fear to get sold out, since the demand is very high currently and my supplier cant deliver as fast as neccessary.
I was wondering if it is better ranking wise to higher the price (and risk to move some ranks down, since ppl buy cheaper products)
or just let it sell out for the current price and have it in stock again when (after around 5 days after sell-out date) my new inventory gets into FBA?

I fight really hard to get my product at #1 for all relevant keywords and dont want to lose this.

Thanks a lot.

 

[Ramble On]

Thanks again Bio for your contribution here.

I have one question pertaining to Amazon listings. I have noticed from time to time that some of my products images go away or are replaced with images that I did not even upload. I contacted seller support and they said they reserve the right to remove any product images or add any product images they like to "enhance" the listing.

My product images meet their requirements and I think are good pics. Some of the ones they have taken and added are worse than mine. They even put up a picture of my product packaging that is terrible. This also causes a mix of product pics on listings where I offer multiple colors.

Have you ever experienced this? It is happening a lot more than I would like.

 

[Wisith]

Hey Bio,

What are your thoughts on buying/modifying items with minor electronic/electrical components from manufacturers in China? Minor being say a cup warmer that plugs into a USB port. The concerns would be sub-par quality and I believe if it contains batteries, it may be restricted (not too certain about the latter).

Thanks!

 

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[Allan Oliveira]

Great thread biophase! Just one question for now:

I am always looking for new products within my current lines. The number of SKUs needs to keep growing or you will get swallowed up by your competition.

Could you elaborate on that? Why it's so necessary to add new SKUs? (supposing you already have a few dozens SKUs)

What if you just keep improving your products? How competition would beat you?


Sent from my XT1053 using Tapatalk

 

[BlahBlahBlah]

Regarding selling on Amazon:

1) Is bar-coding the products required only if selling via Amazon FBA or also if shipping directly? I am not a seller yet but will be by the end of January.

2) As I already have a few products (branded with my own company logo, received a couple of weeks ago from the manufacturer in China), if I want to add a barcode to them can I just stick it on the packaging myself using this (I ordered it to label the packing slips): https://www.123ink.ie/Dymo-LabelWriter-450-S0838770-i13948.html or should the barcode be printed directly on the packaging by the manufacturer?

Thank you

 

[Jake]

Regarding selling on Amazon:

1) Is bar-coding the products required only if selling via Amazon FBA or also if shipping directly? I am not a seller yet but will be by the end of January.

FBA only

https://www.amazon.com/gp/help/customer/display.html?ie=UTF8&nodeId=200259260

 

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[biophase]

@biophase
As a growing ecommerce business, going from a one man show to an actual business (either by actual hiring or freelancers/contractors), what would be your first hires?

I'm facing this right now, I've decided to finally delegate customer support, I've made sure the process is well outlined so that it keeps the top notch levels I want it to be.

But I'm wondering when and how should I outsource/delegate stuff I don't like nor I'm good at doing/can't do them (Graphic Designing, banners, ads etc), and stuff that I'm good at but I would take a lot of time if scaling it (creating new facebook ads for instance).

These two areas are harder for me to outsource and hire, mainly because they are much more complex and will require a much detailed process and I wouldn't even know what's the process for stuff I don't know how to do (Example: Come up with a good banner that looks modern, simple and elegant vs something that looks like it was made in 2006).

(Actually, I just remembered the first thing I delegated was Product Quality inspection and Shipping, but again, this are things that don't grow the business, graphic designing and facebook ads are, hence my cautiousness in doing it or not.)

I know I'm a good at establishing processes and delegating, but because I also like to implement and I'm a bit perfectionist, it's been hard to start mapping the process and beginning to try to find the right people.

I feel like this question railed of a bit, but I hope you got a sense of where I'm at and what I'm asking advice on.

Thanks in advance!

You would hire based on what you needed and what would free your time. I cannot help you are talking about an employee or hiring out small projects. Those are two different things. Can you clarify your question?

 

[biophase]

Hey Bio,

My product is selling really well, also because of the great tips you gave me and others in this thread.
The problem is, that I fear to get sold out, since the demand is very high currently and my supplier cant deliver as fast as neccessary.
I was wondering if it is better ranking wise to higher the price (and risk to move some ranks down, since ppl buy cheaper products)
or just let it sell out for the current price and have it in stock again when (after around 5 days after sell-out date) my new inventory gets into FBA?

I fight really hard to get my product at #1 for all relevant keywords and dont want to lose this.

Thanks a lot.

I would raise price a little to slow down the selling. This also maximizes your profit. I personally would rather it never sell out, but I don't think a few days sold out will affect your ranking that much.