Download the slides from this podcast here:
NOTE FROM RYAN: To those of you who saw me give this talk at Amazing Selling Machine, THANK YOU for your kind words, for your support, and for your appreciation. It made me so happy that so many of you were touched and affected by this talk.
Just like with Amazon, my iTunes lives and dies by reviews and subscribers. It would help me out immensely if you would subscribe to the Freedom Fast Lane show and leave a review inside of the iTunes store. Thank you!
Also, if you liked this episode, then you’ll love the podcast episodes on *what to do with your money once you earn it.* Listen to this show on how to make and keep one million here.
Want to see the original presentation from ASM3? Watch it here:
In this week’s episode of Freedom Fast Lane Ryan Daniel Moran gives you a twelve month road map to having a one million dollar business on Amazon. Ryan makes $250k a month on Amazon alone and was recently a guest speaker at the Amazing Selling Machine conference in Las Vegas where he spoke to an audience of more than three thousand people. His presentation was such a huge success that he wanted to share his three steps on having a million dollar business on Amazon with you too. Do not miss this podcast!
Main Questions Asked
- What does one million dollars a year in sales look like on Amazon?
- What is the 80/20 for where you rank on Amazon?
- What does it take to get out of the grind on Amazon?
- How do you get out of the cycle where you are spending more money that you are making?
- When should I release my second product?
Key Lessons Learned
- You’re not in business until you take your first sale (think of it as stage zero)
- You need 100-150 sales on Amazon per day to make one million dollars a year
- The longer vision you have for success, the more successful you will be
- The more that you invest upfront the faster and easier your path to success will be
Stage 1) Grind
- First 3-4 months after you make your first sale
- When you are making less than 20 sales a day and you have less than 50 reviews
- The objective of this period is to just get moving
- Ask yourself ‘what is going to produce immediate results?’
- 20% of actions will produce 80% of results
- On Amazon, the 80/20 rule is where you rank for keywords (not where listing ranks on Google or if people type in your product name)
- Amazon gives weight to quantity of sales
- The entire goal is to generate enough sales and get enough reviews to rank for your keyword on Amazon
- To get out of the Amazon grind you need to action the following:
- I) Product launch
- 2) Develop review system
- 3) Pay per click
- If you pump Amazon’s ranking system with sales and reviews you will rise in ranking
- Spend money and go in the red if you have to in order to get moving because you will gain a nucleus of customers
- Repeat the process until you are out of the grind
Stage 2) Growth
- Assumes you are getting regular sales per day and have a consistent channel
- 20-50 sales per day on Amazon with 50+ reviews
- You are making more than you are spending
- The only objective in stage two on Amazon is to release new products
- In other businesses the objective is about rolling out different revenue streams e.g. upsell, another product or new location
- Release your second product when you can easily duplicate the process without detracting from what you are currently doing or destroying your cash reserves
- When you have two products there is crossover and you have more authority in Amazon so you rank better for keywords, combined purchases, and repeat buyers
- When you are building a business you should never release a product that doesn’t serve the customer base of your first product
- Ask yourself ‘what is the net product that your customer would buy?’
- If you are outsourcing customer service or if you are doing it yourself bring it in-house to someone qualified and get yourself out
- Customer service often drives repeat sales
Stage 3) Gold
- Multiple products bringing in consistent cash flow
- At target 100-150 sales a day on Amazon
- Now you can pay yourself out of the business (until you are at this point, don’t!)
Three parts of Stage Three:
i) Product Customization –Different sizes, colors, flavors, packaging
ii) Customer Data Collection-Capturing email addresses, direct mail, follow up sequences
–Roll out multiple social media accounts (at least 3 places to psychology bond customers to you)
iii) New Traffic Channel -Once you have ruled out multiple products on the same channel
-Think about other places to get traffic outside of your channel
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Links to Resources Mentioned
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Ryan Daniel Moran
Ryan Daniel Moran is one of the most sought after speakers and thought leaders on lifestyle freedom in the world. He specializes in creating extremely profitable cash flow streams and businesses without compromising your lifestyle. Ryan is passionate about inspiring, educating, and empowering people to live extraordinary lives, and he believes that anyone can live the life of their dreams as long as they take responsibility for their results and take consistent action toward getting what they want. When Ryan isn’t inspiring his listeners and readers, you’ll find him at an improv show, a Cleveland Indians game, or traveling the world.