How To Rank ANY Product #1 On Amazon FBA WITHOUT GIVEAWAYS


– What’s going on, guys? Today I’m gonna be showing
you the exact strategy I used to launch my product on
Amazon a couple weeks ago, it’s my new one, and
get it on the first page in the first two or three days. Now, a lot of people are
using the giveaway method. Which yes, that’s fine, it works. But, there’s other methods
now that just make it a lot easier and a lot more profitable so you don’t have to give
away and spend a lot of money that you lose on your
product, on the fees, and other things like that. So, I’m just gonna jump right into it and kinda breakdown what
my new product looks like and then how I launched it and just make it make sense for you guys. So, my new product, I spent a total of $852 on and I bought 300 units. So, it was a relatively cheaper product. Now, I did research this. I used Jungle Scout and other tools which if you’re interested in that, I have other videos on that. I did order 300 units. The item itself cost me $632. Shipping was 175, logo
30, UPC, okay boring. So, my total cost per unit is $2.84. Now, FBA fees, so you
have the fulfillment fee which is for Amazon to hold
and ship out your units. My item is pretty small and light. Normal is anywhere from $3 to $4. My cost is 2.91 and my referral fee, which is either $1 or
15% of the sale price in most categories. So, 15% of 12.99 is 1.95. So, I have 4.86 in FBA
fees, which doesn’t come straight out of your pocket. That comes out of what Amazon pays you. So, this is the only money that’s coming out of
your pocket right here. So, I did start this
product with under $1000. A lot of people say you can’t. You can, did it right there. Now, total costs, let’s
say my selling price is $13 like we were saying. My unit cost, my fulfillment
fee and my referral fee, I’ll be left with 5.29
profit after all fees. Now, okay that’s great,
but how are we gonna launch the product to
get sales and get there? Well, there’s two different
methods I wanna break down. The giveaway method which is very popular and the other method
is just using PPC only, which is Amazon’s advertising. And, even if you’re bad
with PPC most of the time, you can launch with just
PPC and not giveaways, you can do a combo of both. I, personally, use PPC
probably 90% of the time when I’m launching products. If it’s a more competitive,
like super competitive product, I’ll do a giveaway and PPC, but if you’re running on a smaller budget, I think PPC is the way to go, because you don’t have to have a ton. Or you can do a smaller giveaway and PPC. So, let me break down the
numbers and show you why. So, if we’re doing a giveaway, and let’s just say we’re gonna give away 50 of the units in order
to help us get ranked. So, if we give away 50 units at $0 because giveaway, obviously, our unit cost is still 2.84. It still costs us 2.84
a unit to purchase that. Our fulfillment fee doesn’t change. It’s the same weight and size, that doesn’t change with Amazon. However, our referral fee changes. Now, you have a $1 referral
fee minimum no matter what. If you sell at $0 or if you sell at $8. It’s $1 minimum or 15% of your sale price whichever is higher. Now, our PPC costs we’re gonna say is zero ’cause we’re only doing a giveaway. So, each unit we give
away, we’re losing $6.75. Now, this money is out
of our pocket already so technically that’s not
money coming out of our pocket but just a loss. So, our total loss comes
out to about $335 we’ll say from doing a giveaway to get ranked. Now, if we were to do
PPC with the same thing, we wanna get 50 units
sold relatively quickly. Same thing, we’re selling it at $13 though because we’re doing PPC. Our unit cost is still 2.84,
fulfillment fee same thing, our referral fee is, I’m sorry, that should be 1.95 not 2.95. 1.95 and I’m gonna say it costs us $7 of PPC spent to get one sale which is pretty easy to do in most niches. Again, it will depend
how competitive it is, but spending $7 to get one
sale on a $13 item is not hard. Now, our profit is about
5.84 on this so we know we’re losing money here,
but we do this for 50 units, we’re only losing $1.71 a
unit compared to 6.75 a unit that we’re giving away. Now, we could just spend this. So, our total loss it $85. So, we could just spend this money that we would’ve done on the giveaway all on PPC and we’ll keep more. Now, $7, you guys can
do way better than that. Maybe when you’re starting
off first couple days it might cost you more until
you optimize your campaigns, but spending a lot out of
the gate is a lot easier than giveaways, in my opinion. However, giveaways
sometimes help with reviews. So, I wanted to do a little breakdown of what a launch would
look like with giveaways. This is pretty much mirroring
one of the launches I did. And, then I wanna show
you one with PPC only. So, I did the first week by days and then weeks by themselves so we’re gonna give away
50 units like I used in the example up here. So, 20 day one, 20 day two, 10 day three. We’re not spending any on PPC here. And, we lose 135 the first two days and then 65 the next. And, then this is just a running total as we go down. And, then we start to get organic sales. We get three the next day and
then we get some organic again but we start spending on PPC. So, we’re just gonna spend $10 a day. And, let’s actually keep it at $10 a day. Since we’re ranked and we’re getting most of our sales organically. So, now we’re profiting
about $10, $20 a day. And, we get up to the 10 sales a day mark and we carry that out
throughout most of the weeks and start to increase a little bit more. We’re starting to make more
money each day, each week. So, you can see our total here. We spent 240 on PPC in
total over the 300 units which is our entire inventory so we would have had made
an order before this. And, we profited $745 off our total 300 units that we ordered. Now, we ended up spending,
if you look at the cost on the other one, we spent $852 and we profited about 750 so we’re left with about
$1500, $1600 leftover, 745 of that is profit. Now, what if we were to do a PPC launch? So, no giveaways here. So, the red were giveaway
units and the rest are actual sales. So, PPC, we’re gonna say we’re
gonna spend $10 for two days, then 15, then 20, and
then we’re gonna keep it at around the $20 mark. Now, what you do with this
will depend on how competitive your market is. Some products I’ve sold, I’ve
spent over $100 a day on PPC. Others, if I go past $10 to $20, I’ll start becoming less profitable. So, you have to find that range. So, day one, we get two
units off of $10 spent which is pretty realistic and we come out with a profit. So, you can see if we go down, I’m not gonna read ’em all for you guys, but we still sell our 300 units. We spent more than double on PPC and we only spent 240 up here. We spent 560 down here. But, our profit is a lot higher. It’s about 30% higher
than the giveaway total because we aren’t losing
the money up here. Look, up here. This is over $300 lost
in the first three days due to giveaways, while we
just profit very little here even though we’re spending more. Our total profit in
the end is $300 higher. So, this is actually pretty
much the exact numbers of my launch on my new product. So, like I was saying, I
wanted to do this launch to show you guys you can
start with under $1000, you can launch without
giveaways and show you guys you can come out and have
enough profit and money and be paid out before you have to make a second order. I would’ve ordered right around this mark, week two to week three. And, you get payments
every two weeks on Amazon. So, this is the current
strategy I’m using. I just launched that product. That is averaging about seven sales a day. I’m not number one on the first page yet, but I am ranked for multiple keywords high up on the first page. So, once I get to number
one, I should be getting 15 to 20 sales a day at
about the $6 profit mark. So, that is my first one. I decided to do a cheaper
item just to show you guys you can actually start with
$1000 ’cause a lot of people don’t think you can. And, then one thing to
keep in mind with PPC is it comes out, you
can change your settings so it comes out of what
you’re being paid from Amazon not coming straight
out of your credit card or your wallet every time. So, technically if you spent $900 and you have $1000, you
can spend 100 in PPC and you won’t get billed for that and you’ll still have your
$100 and it will just come out of your profits. So, let’s say my, you get billed
every two weeks on Amazon. So, let’s say I spent
$400 on PPC on Amazon. Well, 400 is gonna come
out of this total here. So, I will still be left with profit and that’s not even adding
back what you’re gonna be paid back from your units as well. So, I hope that made sense for you guys. I just wanted to show you. By no means saying don’t use giveaways. They’re still a tool to utilize. I usually still use them. It’s good for reviews
even though technically you can’t be giving away
products in exchange for reviews. Reviews just kinda stem
from them a lot of the time. Just make sure you’re not asking for them because that is against Amazon’s TOS. So, if you have any questions,
feel free to leave them in the comments. And, if you’re interested,
I have a whole Amazon course in-depth, and that will be
the link in the description. And, it does come with two free months of one-on-one mentoring from me. If you ever have any questions, if you wanna run products by me. I’m open and I answer
within 24 hours every time. So, I’ll see you guys in the next video. ♪ Yeah, I just wanna be the greatest ♪ ♪ Everybody knows my name shit ♪ ♪ I’ma have this whole fucking game lit ♪ ♪ Spitting with insane wit ♪ ♪ And, I’m gonna be famous ♪ ♪ Ain’t nobody able to delay this ♪ ♪ Coming about a vision to make it ♪ ♪ Never wanted to be nothin’ ♪ ♪ Always wanted to place shit ♪ ♪ Sit in class always wondering
why I learn this lame shit ♪ ♪ How the hell am I different ♪ ♪ If we all know the same shit ♪ ♪ I ain’t never let ’em doubt me ♪

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