My first product failed and I lost a lot of money on it. Now I’m looking back at what went wrong to make sure I don’t make the same mistakes for the new business I’m starting.
Well, all I really had to do was a CENTS analysis and it became clear very fast!
First Business (Amazon FBA Product)
Control
My New Business
Control
So my new product gets a 5/5! I'm very excited to get back in the game and go hard on this business!
Will post more as I go along. I want to be more active with this amazing community! There is so much inspiration here; I definitely recommend becoming an INSIDERS to anyone wondering if its worth it or not. 100% it is, there is so much to learn!
Well, all I really had to do was a CENTS analysis and it became clear very fast!
First Business (Amazon FBA Product)
Control
- Entirely Amazon dependent
- Complete reliance on Chinese supplier
- Very simple product, easy to duplicate and tons of competitors in the niche
- Cheap to manufacture
- Little to no expertise needed for this type of product
- Not solving a problem
- Seasonal product (after the peak season, sales collapsed and I was stuck with lots of inventory)
- Impulse buys highly unlikely (despite the relatively low cost)
- Online product which can be sold 24/7 via Amazon FBA
- (Waking up some days and seeing I had already made hundreds of dollars felt really f&#kin good!!)
- Cheap cost to manufacture - could produce thousands of units for not too much money
- Easy to scale, could simply ask my supplier to produce more and ship to Amazon's warehouse
- If I advertised properly, should be able to increase ad spend to proportionately increase sales
My New Business
Control
- Not depending on Amazon this time. May use them eventually but as ONE channel of my entire distribution strategy - NOT my entire business model.
- Will be manufacturing locally and with total control over the entire process
- Will sell online through my website and through independent wholesalers
- High upfront cost to start
- Product requires a level of expertise most people don't have
- I have industry knowledge and insight
- Market expected to grow exponentially
- Lack of much online presence
- Consumers are willing to pay more $$$ for this product
- Can sell 24/7 online
- multiple distribution options
- Once I have the design finalized, I can easily replicate and produce as many as I want
- Won't have to suffer through long, painful lead times since I am not producing overseas
- Product can be manufactured quickly, so don't need to keep thousands on stock and worry about excess inventory/ storage fees
So my new product gets a 5/5! I'm very excited to get back in the game and go hard on this business!
Will post more as I go along. I want to be more active with this amazing community! There is so much inspiration here; I definitely recommend becoming an INSIDERS to anyone wondering if its worth it or not. 100% it is, there is so much to learn!
Dislike ads? Become a Fastlane member:
Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)
Membership Required: Upgrade to Expose Nearly 1,000,000 Posts
Ready to Unleash the Millionaire Entrepreneur in You?
Become a member of the Fastlane Forum, the private community founded by best-selling author and multi-millionaire entrepreneur MJ DeMarco. Since 2007, MJ DeMarco has poured his heart and soul into the Fastlane Forum, helping entrepreneurs reclaim their time, win their financial freedom, and live their best life.
With more than 39,000 posts packed with insights, strategies, and advice, you’re not just a member—you’re stepping into MJ’s inner-circle, a place where you’ll never be left alone.
Become a member and gain immediate access to...
- Active Community: Ever join a community only to find it DEAD? Not at Fastlane! As you can see from our home page, life-changing content is posted dozens of times daily.
- Exclusive Insights: Direct access to MJ DeMarco’s daily contributions and wisdom.
- Powerful Networking Opportunities: Connect with a diverse group of successful entrepreneurs who can offer mentorship, collaboration, and opportunities.
- Proven Strategies: Learn from the best in the business, with actionable advice and strategies that can accelerate your success.
"You are the average of the five people you surround yourself with the most..."
Who are you surrounding yourself with? Surround yourself with millionaire success. Join Fastlane today!
Join Today