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Scaling eCommerce Chronicle - updating - own product, online shop, amazon - latest weekly profit: 700+

A detailed account of a Fastlane process...

BlackMagician

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Extremely helpful and valuable thread. I plan to invent a product and market it through similar avenues to yours here. This stuff gets my blood pumping, I love it and want to learn as much as possible before I have the ability to move forward with one of my product ideas.
Why not learn after you launch your product ideas?
 
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Strm

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Hey!

I agree with others, I love this thread as well. Currently working on my products as well and I always love to dive right in. Your thread is very inspiring and it is great to see your progress! Keep us posted! :fistbump:
 

liero1

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Thanks for the feedback will keep this going

Quite a few going to launch as well which is fantastic, maybe just drop your experiences here wherever relevant.

Had a few thoughts while commuting - if you are launching, podcasts are a MUST listen! Brilliant shows out there, very educational, I learned so much and I consider myself a digital marketing expert with ten years experience in corporate, agency and own ventures! Listen to all the good eCommerce podcasts.

Then try to learn as much as you need to do the activity professionally. It needs to be spot on, at the same level an agency would do it for you for big bucks but obviously you can't or don't want to pay that and do it yourself. Don't do any activity half hearted or you are just like any other guy out there in your niche who thinks some cool insta posts will nail it. Example , I been diving into email strategies the last days, listened and read a LOT and been building my strategy, next step building all the automated email templates, etc. Same for paid social, you need a full a-z strategy, don't just put ads out there. Same for Google, do PPC but do it smart or you going to burn money quickly. Have customer service nailed, I answer EVERY message and read every comment to be able to react straight away.
 

bbar97

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Why not learn after you launch your product ideas?

Well I'm just fresh out of college and I figured I should get a job for a while so I can gain some experience in the working world as well as pay off my loans. I have about $7,500 in loans which isn't too much, but I definitely think I should pay them off before I start with any capital intensive venture. In the meantime though, I figured learning was the best thing I could do. I also have a very small toy capsule vending machine business (only 1 machine currently, I still need to force myself to go locate more places to put my other 3 machines). I also have a blog that I kind of just work on for fun right now, but I only have a couple posts on there.

Thanks for the feedback will keep this going

Quite a few going to launch as well which is fantastic, maybe just drop your experiences here wherever relevant.

Had a few thoughts while commuting - if you are launching, podcasts are a MUST listen! Brilliant shows out there, very educational, I learned so much and I consider myself a digital marketing expert with ten years experience in corporate, agency and own ventures! Listen to all the good eCommerce podcasts.

Then try to learn as much as you need to do the activity professionally. It needs to be spot on, at the same level an agency would do it for you for big bucks but obviously you can't or don't want to pay that and do it yourself. Don't do any activity half hearted or you are just like any other guy out there in your niche who thinks some cool insta posts will nail it. Example , I been diving into email strategies the last days, listened and read a LOT and been building my strategy, next step building all the automated email templates, etc. Same for paid social, you need a full a-z strategy, don't just put ads out there. Same for Google, do PPC but do it smart or you going to burn money quickly. Have customer service nailed, I answer EVERY message and read every comment to be able to react straight away.


I'm actually in the marketing world as well, but I'm not quite at 10 years of experience yet haha.
I chose to go into marketing because I figured it would allow me to learn the most valuable skills and information necessary to be successful at owning a business. I'm at a very small company which I think is good because it allows me to wear a bunch of different hats and learn as much as possible in different areas. I'm actually enjoying it so far, especially managing Google Ads campaigns.
 
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liero1

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Week 9

Probably forget some stuff as it was so busy but here we go

first full week with marketing again, sales picked up, but the thing with digital is, that it takes a bit of time and data to be as efficient as before, so CPA is higher to start with and comes down, e.g. same budget will slowly bring in more sales per day.

Digital campaign budget daily at the moment around 120 per day.

Added xmas themed copy to paid social campaigns.
Added some more custom audiences.
Video campaign doing really well, trying to get some more videos done (not cheap).
Loads of customer chats/emails/messages, this can't be forgotten when you think about time you need running an ecommerce business.
Set up automated email crm marketing, an onboarding process for every new customer. Using MailCheat(Chimp) which is pretty great and connects to everything. So a customer will get a welcome email a few days after purchase (not saley!) and a check in email with review question again a few days later. Additionally I have weekly offer emails going out.
Testing some facebook messenger strategies and signed up to manychat - not getting anywhere as of yet but will keep growing that list as well.

Month to date profit margin at 43% which is fantastic. And somehow over the last days I had a pretty constant stream of sales. Not like before where there might have been a crazy evening with loads of sales, now the app goes CASHING pretty much a few times every hour. It feels like slowly all marketing channels work together and benefit each other (attribution).

A crazy busy weekend as well, over a thousand pound revenue from saturday and sunday alone..

This is brings me to a problem I wish I would have - fulfillment! It is crazy busy, every weeknight I sit until 11pm and longer, after a 9 to 5 and family duties. I NEED to find an outsourcing option soon. Maybe even moving away from home business to an office at some point, but that won't work on the side.. So not sure yet what to do. I need assembling and fulfilling outsourcing basically.

Another thing to keep in mind is (mental) health and sleep - but more to that another time zzz..

Biggest order yet from China incoming next week.. Which also means overall still not making the big bucks, as those orders are prepaid and the profit shown here slowly eats away the costs and soon I should be seeing the bank balance creeping up - with at the moment around 200 a day net profit that should happen soon.

28668

Week 9 , +1445 P&L
 

JWM

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Oh and if anyone reads this who is Australian - would love to chat. Will be trying to launch in Australia with one friend being there for one or two years for travelling/working (but not being Australian we are not sure how to proceed and would love a partner on the ground who could also take this forward beyond that time potentially )
Nice post, good to see the progress you've made. I am from Australia and would be happy to chat to you about your business and your plans to expand into the Australian market. Feel free to send me a direct message.
 

sweetlif3

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Had a few thoughts while commuting - if you are launching, podcasts are a MUST listen! Brilliant shows out there, very educational, I learned so much and I consider myself a digital marketing expert with ten years experience in corporate, agency and own ventures! Listen to all the good eCommerce podcasts
What are some of the good podcasts you recommend?

Thanks for doing this thread by the way . Love reading execution threads! As MJ says, ideas are f-ing worthless -- it's all about the execution.

Looking forward to seeing how you do over the holiday gifting season with things pumping at full speed.
 
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Icecreamchild

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I would always recommend personal visits to suppliers. They respect customers who make that effort, and this is a good start to developing Guanxi. That terms basically means relationship, and that can result in far better service, and more cooperativeness in general.

Before going to China, as I explain in Ch. 10.2 of my book, you should do serious preparation. If you have my book, read that chapter again. It will help you avoid blunders and even getting lost in a Chinese city.

Walter

Is this an advertisement?
 

liero1

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What are some of the good podcasts you recommend?

Thanks for doing this thread by the way . Love reading execution threads! As MJ says, ideas are f-ing worthless -- it's all about the execution.

Looking forward to seeing how you do over the holiday gifting season with things pumping at full speed.

Thanks!
just a starter -
The Unofficial Shopify Podcast (gold)
ecommerce uncensored
ecommer influence
shopify masters
messenger mastermind
 

liero1

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Amazon is slowly picking up as well.

But I have launched a 20 / day campaign which is only breaking even at the moment. That still helps as amazon ranks your product better with higher sales volumes (cheeky bast***).
 
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liero1

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Week 9 , +1445 P&L

Week 10
- really just trying to keep BAU running after and before work, plus family duties - so kind of busy, mainly due to the fulfillment as mentioned enough times now.
- Weekly email and the overall onboarding email strategy seems to work well - it also reduced certain customer questions - it's a good way to avoid those emails asking about some basic how stuff works.
- Creatives all now with xmas theme.
- Thinking about black friday - do or not do, maybe only for my email list a secret deal. Main reason to keep it low is low stock levels once again - new delivery takes longer than anticipated.
- despite real nice daily profits (well for me and my little shop anyways) the cash flow doesn't look TOO good but thats mainly because: pre payment of supplies (have a 5 month supply coming in), Amazon's payments take at least 10 days to come through (while other customer payments normally come straight away, at least on paypal).
- except the BF deal and maybe some xmas posts I will just try to keep everything running until I am off for xmas and then go strong into 2020!
- Amazon a bit tricky to track at the moment, but it looks profitable as well and sales picked up since doing paid campaigns (product slowly moves up the bestseller pages and is now on page three which obv. doesn't help anyone but page 2 and 1 are getting closer..

about +348 P&L Amazon Week 10
Week 10, +1407 P&L online
 

jon11

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good stuff. I'm in australia as well would be interested in hearing more.

Cheers
Jon
 
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liero1

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Don't know how to change the title of this thread, but it could do with a new weekly click bait figure haha ->

Week 11
- re-designed the abandoned cart email series which lifted return conversion to 9.2% from 6.5%.
- After some consideration I finally went with a black friday and CM offer. Advertised through email and on homepage, nothing on other advertising. I figured if I get the same traffic but then convert them better through the offer it will still be worth it, and it really was!
- Panicked a little the days before BF as traffic cost really went up, just due to higher advertiser activity everywhere, everyone was paying much more to get those impressions.
- maintained usual ad spend through the week.
- Amazon: steady flow of sales, averaging £100 a day revenue. Profit margin is about 40% on it, so about £280 AMZ P&L for the week, maybe more, can't be asked to go through the complicated payout reports at the moment.
- Friday then actually was the record to day to date, almost broke 1k revenue! Then another revenue record on Sunday funny enough, again ALMOST broke 1k. But that is a milestone to be had I guess.
- Healthy profits on those days as I didn't increase spend. Obvs if you want a compelling offer you get less margin as you discount heavily.
- Fulfillment madness, sitting until midnight most nights and local post office actually couldn't process the whole bag of packages and had to resume the next day.
- products arrived, air mail, should last me 4 months. Next order sea freight!! Air is just so expensive but I would have lost more if I waited on a sea shipment.
- cash flow slowly better but really the effect of this profit should be seen soon - balances in different payment providers slowly building up (1k in shopify, 2k in paypal, about 1k in AMZ which takes FOREVER to actually pay out, 30 days!..).
- I expect a slow down now until Christmas but let's see what happens - this journey has just begun!

Week 9 , +1,445 P&L
Week 10, +1,407 P&L online
(+350 AMZ)
Week 11, +2,321 P&L online (+280 AMZ)

Online:
28971

AMZ:
28972
 

uroz

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MoveValue any tips on how you did it? Just started out in the sport(cycling) souvenir niche.
liero (good game also btw) - keep the posts coming, very informative. rooting for you also.
 

liero1

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This is false, I haven’t paid for traffic and get organic views and sales.
Well yea its possible but quite unlikely (at least in scale) for a new shop owner. Depending how competitive the products are, it will be very hard to get on SEO straight away. Also hard to get your social content any reach without paying. So, well done you! :)
 

liero1

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Another week in paradise (lol) -

- kept campaigns all running very much the same after one big set up optimization start of the week. That really had a massive impact, ROAS is up across the board, even some awareness audiences now generate a positive ROAS (which, if you think about it, is THE scaling opportunity, IF post-xmas the same kind of shopping behavior will be present). If I can spend 200 a day on campaigns currently, maybe I can double to 400 and maybe double again to 1k a day?!
- the consistent campaign and traffic activity on the shop was amazing to see, very similar daily traffic curves.
- conversion rate healthy, so high traffic led to a good amount of sales
- first day with over 1,000 revenue!
- very healthy profit margin, MTD 49% versus 44% in November
- ended with a freaking record week!
- cash flow getting better, why is AMZ so freaking slow paying out, anyone? my first proper payout now scheduled for 22 December with 1.3k. Also hard to work out the detailed P&L for AMZ. Also need to find a fulfillment software that pulls AMZ orders so I can bulk print shipping labels. Loads to do here.
- now 14k profit in total since launch looking at product unit cost, marketing cost, revenue only. Not bad for three months and looking at that weekly increase it's just crazy:

Week 9 , +1,445 P&L
Week 10, +1,407 P&L online
(+350 AMZ)
Week 11, +2,321 P&L online (+280 AMZ)
Week 12, + 3,125 P&L online (+400 AMZ)

29112
 
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liero1

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Week 13
Another week another dollar,

- Have been really pushing hard to get the most out of pre-xmas sales. And I mean hard.. Many people expect the fast lane can be achieved fast and effortless, most likely that won't be the case - growing something to the stage of being automated, with processes and outsourced takes a lot of time and effort initially. I been working my a$$ off because I have a feeling that I CAN get there.
- campaign wise not much new, just getting as much traffic as I can as long as conversion rate is not dropping.
- ordered my first sea freight! Very new and certainly will do some mistakes but I found a freight forwarder in the country who also has a Chinese agent that will now hopefully talk to the supplier and sort everything out. Generally the product costs are down 40-50% compared to air way! But obv takes longer, about 40 days.
- Now paused all paid activity as its time for xmas and to charge the batteries! Family time.. Will be back with campaigns around end of the year.

Week 9 , +1,445 P&L
Week 10, +1,407 P&L online
(+350 AMZ)
Week 11, +2,321 P&L online (+280 AMZ)
Week 12, + 3,125 P&L online (+400 AMZ)
Week 13, +3,267 P&L online (+290 AMZ)


Monthly profits incl AMZ -
October 4280
November 6246
December 7336 (and its the 17th today..)
:):happy::happy::happy::happy::happy::happy:
 

Genius01

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Week 13
Another week another dollar,

- Have been really pushing hard to get the most out of pre-xmas sales. And I mean hard.. Many people expect the fast lane can be achieved fast and effortless, most likely that won't be the case - growing something to the stage of being automated, with processes and outsourced takes a lot of time and effort initially. I been working my a$$ off because I have a feeling that I CAN get there.
- campaign wise not much new, just getting as much traffic as I can as long as conversion rate is not dropping.
- ordered my first sea freight! Very new and certainly will do some mistakes but I found a freight forwarder in the country who also has a Chinese agent that will now hopefully talk to the supplier and sort everything out. Generally the product costs are down 40-50% compared to air way! But obv takes longer, about 40 days.
- Now paused all paid activity as its time for xmas and to charge the batteries! Family time.. Will be back with campaigns around end of the year.

Week 9 , +1,445 P&L
Week 10, +1,407 P&L online
(+350 AMZ)
Week 11, +2,321 P&L online (+280 AMZ)
Week 12, + 3,125 P&L online (+400 AMZ)
Week 13, +3,267 P&L online (+290 AMZ)


Monthly profits incl AMZ -
October 4280
November 6246
December 7336 (and its the 17th today..)
:):happy::happy::happy::happy::happy::happy:
Wow!
Great run so far!
Congrats on your progress.... you've really put in a ton of work, and you're reaping the benefits.
Double thumbs up to you!

images (4).jpeg
 

liero1

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Not sure where I left off last time but I think it was before Christmas holidays.

I had another week holidays mid January where obviously all marketing was paused and AMZ on holiday mode, so last month was only really half a month to work with, however started to get some good pull energy behind my campaigns and scaling was starting to work again, increasing budgets slightly every few days to around 250 a day end of January and hitting 800-1k revenue per day.

Now, big problem at the moment - Corona... I was expecting re-stock last week but the vessel has not even left China yet due to the situation and I am not sure when it will be doing that!? This is a big bummer and bump in the road, but surely I am not the only one being affect and surely some people actually suffer losses / don't know how to make a living at the moment. As it is a side hustle for me it is sad to have this slow down of the whole business but its manageable.

Monthly profits incl AMZ -
October 3400
November 5500
December 8000
January 4500
February MTD 2300

Pulled a bank statement today and you can see some nice scaling happening right here. It's all pre-tax, but this keeps me going and working hard on scaling (ONCE THE STUPID VIRUS HAS DIED DIE DIE DIE DIE)

30387
 

Chibbs

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Not sure where I left off last time but I think it was before Christmas holidays.

I had another week holidays mid January where obviously all marketing was paused and AMZ on holiday mode, so last month was only really half a month to work with, however started to get some good pull energy behind my campaigns and scaling was starting to work again, increasing budgets slightly every few days to around 250 a day end of January and hitting 800-1k revenue per day.

Now, big problem at the moment - Corona... I was expecting re-stock last week but the vessel has not even left China yet due to the situation and I am not sure when it will be doing that!? This is a big bummer and bump in the road, but surely I am not the only one being affect and surely some people actually suffer losses / don't know how to make a living at the moment. As it is a side hustle for me it is sad to have this slow down of the whole business but its manageable.

Monthly profits incl AMZ -
October 3400
November 5500
December 8000
January 4500
February MTD 2300

Pulled a bank statement today and you can see some nice scaling happening right here. It's all pre-tax, but this keeps me going and working hard on scaling (ONCE THE STUPID VIRUS HAS DIED DIE DIE DIE DIE)

View attachment 30387

Sorry to revive this old thread but I am sure some folks would b interested in an update. How did the business do with the virus?
 

liero1

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Sorry to revive this old thread but I am sure some folks would b interested in an update. How did the business do with the virus?
Thanks for asking ha!

Well, it has been busy, and I managed to get to the highest revenue levels in since May, breaking my records from there - so, Covid did let me pause as well for a few weeks but I came back even stronger..

May almost broke 10k profit which is amazing. June run rating higher again.

Did add some more products and categories and now also launching two new shops, which don't have anything to do with this one, so using the profits to invest (small risk, maybe 2k each risk) and if that first performance there looks promising, it is again about scaling.

This one though is still not at the end of the scaling - I am just waiting on a shipment from China to increase my daily spends even more, at the moment it is around 280/day combining facebook and google. But I don't want to be out of stock as that really is annoying, the big data machines do reward consistency and a slow increase of spend over a long time rather than stop and go all the time.. At least that is what I have found!?


33562
 
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glai7159

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Hi all,

after a lot of reading I decided to participate in this fantastic forum - it might give inspiration and I might get some good help! Can't be asked with a blog, so this might give me nice little motivation and clear historic view of what actually happened when.

Goal - be able to quit the office. That will need at least about 5k profit gross / month (double the current net income, due to pensions, security etc).

How to get there - scale an online shop to the absolute MAX.

July/August - product idea, researched market which showed there are only a hand full of shops that sell a similar product and all of those don't look like they are run by exactly scale-driven, perfectionist individuals.

August - product purchase, directly from China through Alibaba. Nervous first big investment of circa 2k to get a first big(ish) batch of products delivered door to door. Delivery costs were just as much as the product costs but that's what it is when you order the MOQ (minimum order quantity). Then some more smaller investments from national suppliers for printer, paper, labels, envelopes, some other smaller things to assemble the actual product. Overall prob 3k investment.

Delivery - nothing straight forward, first the chinese supplier takes much longer than anticipated to get the packages out, then one of packages is either LOST or probably never been sent, so another 4 weeks on top, also they /forget/ to pay for customs clearance so I end up paying 50 quid to get that last (crucial) package through...

Mid September - launched a little online shop, using shopify which is very easy to set up and easy to make look good/converting.

Mid September Launch Marketing - No one (no one) will get to your shop if you don't buy the traffic. So first channels to launch are:
- PPC google, search and shopping
- Paid Social (as competitors are very active with influencers/paid social)
- Influencer emails/reaching out if they fancy a free product
- Amazon (but nothing approved yet)

Week 1
Desperate for the first sale, watching real time google analytics non stop - who knows that :happy:
THEN BOOM first sale after about 4 hours and obviously much more money spent than that sale would bring in.
In the end spent about 300 pounds that first week on mainly top line, awareness social campaigns. Top line cost per sale way too high - nervous time but early days. From my experience I know about digital marketing and how algorithms can't work if you don't feed them with data, visitors.
- tried snapchat ads without any results (just left me with a stupid visitor explosion in analytics as /preload website/ was activated for EVERY ad impression on snapchat...
-86 P&L

Week 2

- added more apps to the shop, some crucial some probably not.
- optimizing paid social, cutting down on awareness, putting more into modeled custom audiences
- end of week changed an essential thing in the shop and giving customers more CHOICE - conversion rate significantly increased.
- first profitable week (just looking at marketing costs, product unit cost vs revenue) - over the moon
+140 P&L

Week 3

- done a mobile website speed check - SHOCKING results, way too slow, very very bad. Cut down all of the non-crucial shopify APPS, massive difference, speed up again, conversion rate up instantly almost. using Speedboostr.com instead of google page speed tool - massive difference, don't panic about google;s score..
- optimizing paid social further, more ads, more audiences
- scaling down on PPC as it is losing money
- sending loads of products to influencers without proper success (thanks.. I thought boobs sell everything)
- about same performance week on week (for a LOT of work)
+200 P&L

Week 4

- One Influencer post really made a difference! Profitable for itself even with paying about 200 quid for it, also great brand effect (I assume). Very different target group than originally targeted - so this shows, nothing will be as you think.
- adding and testing more creatives on social.
- retargeting on social activated.
- record for direct sales which have a big impact on overall efficiency (0 CPA).
- CPAs amazing! Profit amazing! ROAS amazing.
- Amazon FINALLY approved products and account, sales slowly come in.
+689 P&L

Next: scaling without losing that efficiency... wish me luck :playful:.

Questions in my head at the moment -
- when to start email marketing to existing customers (don't want to burn email adresses too early!). Shall I wait until I got 1k+? (currently about 400).
- when to add a new product line (I have something in mind that would fit well to the category but is a very different product)
- can i get my xmas wrapping idea executed in time

TBC...

View attachment 28103
Thanks for documenting and sharing how you did it
 

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