In this video, I will share with you three different things that I’ve learned during my first year of selling on Amazon.

My Actual Numbers
I sold 13,739 units of my product last year. With that, I made $365,082.65 in revenue in Amazon alone. Minus the different expenses, it made $120,920.22 in profit which is absolutely amazing. In Shopify, I made $16,918.39 in revenue.

One quick tip: when you are launching any product on Amazon, create a Product Launch Group. This is a Facebook group where you get a bunch of friends and other people who are interested in buying your product before you launch it. When you launch it, you tell everyone in the group and you’ll have tons of sales and reviews right away.

How I Did It?
When I quit my corporate job six years ago, I went into selling dance clothes with my mom. However, it was really draining as it was something I know nothing about. At that moment, I realized that I want to sell something that I’m passionate about. That’s where I came up with the idea of this Passion Product.

For me, I have always been interested in eating healthy and athletic performance. I noticed that there was a trend in eating more healthy fat and with myself, I am eating more nut butter. I tried different types of nut butter but I realized that there was no high-end, premium nut butter that was targeted to the athletic community. That led me to the idea of creating my own product. It’s a macadamia, cashew, coconut blend of nut butter. I then started getting people into a Facebook group and all of them helped me create a better product.

The Big Mistake
There are three mistakes that I made for the past year and all of them stemmed down from one thing: fear. It was these mistakes that made me feel like a failure despite hitting the goal that I set out.
Poor Sales Projections
The first mistake I made was not properly projecting my inventory. I had no idea how many I was going to sell of my product. This caused a lot of issues because when I launched on Amazon, I only had 3000 units and they started selling really fast. It might seem like a good problem to have, but Amazon doesn’t like it when you run out of inventory. They might blacklist you.

Poor Cash Flow Management
Cash flow management is the most important thing that nobody is talking about. In my case, it costs $30,000 every time I do a production run of my product and my bank account will be down to zero. When I start selling the products, my account would slowly start to go up. The issue comes in when I have to buy my next production run before my bank account had the amount as I always wait until the last second. This would cause me to be constantly on the verge of running out of inventory.

Did Not Push Business
Because I was constantly on the verge of running out of inventory, I did not push my business. If I did, I would have run out of inventory much quicker. This was a huge mistake. When I launched on Amazon, I was the only product like mine in there. If I worked hard and tried to grow my business rapidly, I would have had a huge advantage. I would have dominated the market. Because of that, I had competitors come in and start stealing my business. If I struck while the iron was hot and blown up my company in the early days, I would not have to deal with these competitors. However, the cool thing is that my sales have actually increased since these competitors have come into my market. The reason for this is because I created a new category. Most people do private label on Amazon. It’s like taking a small piece of an existing pie. In my case, it’s like creating a new pie and when competitors come in, the whole pie grows.