Episode #117 – Setting Up Your Brand to Scale – Robert Gomez – Amazon Legends
Map out your path to success being a seller on Amazon by building out your infrastructure from day one. Robert Gomez, a veteran Amazon seller, is passing along his knowledge from his experiences running two successful brands on Amazon. You’ll learn about when to start setting your company up for scaling, when the right time to use paid ad campaigns is, and which metrics are the most important to focus on during peak selling times.
- It’s more important for you as a seller to invest a lot of effort into building infrastructure for your brand to scale than focus just on sales.
- One of the new challenges to beginning to sell on Amazon that is becoming more common is that large private equity firms, venture capitalists, etc. are acquiring brands that have found success on Amazon and are pumping more funding into them.
- The earlier you start with building infrastructure and automation into your Amazon account, the easier it will be. You need to be aware of your brand’s financials in order to make informed, strategic decisions and that requires infrastructure.
- If your brand is not selling on Amazon, no matter what size it is, you are leaving money on the table.
- If you aren’t selling on Amazon, other companies will also move in to take your potential space or even resell your products which drives down the price of your product and hurts your brand.
- During peak order times, knowing what your liquidity is and managing your inventory is paramount. In order to scale up to demand, you need to gain capital to buy more stock and the cheapest way to do that is with the credit you get from your suppliers.
- The ideal price point to use FBM in conjunction with paid ads depends on the item, but a good benchmark to have is to reach 25-30% margins after the cost of ads. This can vary based on circumstances such as competition and what the product is.
Quote of the Show:
- “The quicker that you get traffic to the listing, the quicker you can work on conversion” – Robert Gomez
- LinkedIn: https://www.linkedin.com/in/robertgom/
- Company Instagram: https://www.instagram.com/kaffeproducts/
- Company website: https://kaffeproducts.com/
- Company website: https://bulletkeeper.com/
Ways to Tune In:
- Amazon Music: https://music.amazon.com/podcasts/092e0e83-44d8-42a3-9efd-f57daad2bbff/amazon-legends-podcast
- Audible: https://www.audible.com/pd/Podcast/B08JJQKM6V
- Apple Podcast: https://podcasts.apple.com/us/podcast/amazon-legends-podcast/id1589750284
- Spotify: https://open.spotify.com/show/01NnJ5SHgUFTBDr77HtExu?si=7850ec72879e401e
- Google Podcast: https://podcasts.google.com/feed/aHR0cHM6Ly9mZWVkcy5idXp6c3Byb3V0LmNvbS8xODM1ODcwLnJzcw?sa=X&ved=2ahUKEwiG09G16uH1AhWSrnIEHbUABo0Q9sEGegQIARAD
- Stitcher: https://www.stitcher.com/show/amazon-legends-podcast
- YouTube: https://youtu.be/0E3W2Vd1ldg
About the Author:
Nick Uresin is the Founder and CEO of ArgoMetrix, a New York based software and consulting company established in 2013. Nick is an Entrepreneur, Electronics, Communications and Computer Science Engineer, who has a passion for problem solving with technology. Nick built an online retail company with annual revenues of over $10 million. He developed his vision to organize the knowledge and technology he developed to become a large Amazon Seller and provide it as a service to manufacturers and sellers of consumer products. Let's get social! Follow us and get ArgoMetrix's latest updates on Twitter, Facebook or LinkedIn.