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The Secrets to Selling on Amazon
Ryan M Craver
SVP @ Lamour Group
Founder @ Commerce
Canal
“In the old world, you
devoted 30% of your time to
building a great service and
70% of your time shouting
about it. In the new world,
that inverts.”
Jeff Bezos, Founder &
CEO
“I’m going to steal your
data, your customer
and rule the world.”
Allegedly Attributed to
Jeff Bezos, Founder & CEO
3 Fears of Amazon
July 20, 2017
New York, NY
1
Amazon will steal my customer’s data and
remarket accordingly
Has Macy’s ever shared their
customer data with you?
3 Fears of Amazon
July 20, 2017
New York, NY
1
Amazon will steal my customer’s data and
remarket accordingly
2
Amazon will develop a private label with
my product sales data
Yes. They will. Private label is a
necessary evil of retail and will
always have a place.
Private Label: A Necessary Evil
July 20, 2017
New York, NY
Customers of all ages desire
a private label offering
Retailers desire private
labels due to higher margins
Private label penetration
varies by industry with a
range of 15-20%
19.8%
16.7%
11.3%
19.2% 18.7%
Department
Stores
Drug Chains Electronics Supermarkets Warehouses
3 Fears of Amazon
July 20, 2017
New York, NY
1
Amazon will steal my customer’s data and
will remarket accordingly
2
Amazon will develop a private label with
my product sales data
3
Amazon will destroy the pricing integrity of
my brand
Yes. However, the right precautions
and model should be used.
4 Models of Amazon
1
2
3
BRAND
BRAND
BRAND
BRAND
Amazon Retail
3rd Party: Amazon
Fulfillment
3rd Party: Merchant
Fulfillment
4
3rd Party: Merchant
Filled Prime
BRAND
BRAND
Purchase
Order
Advantages of Each Model
July 20, 2017
New York, NY
Service
Fee
Structure Inclusion
Pricing Inventory Marketing
Search
Results
Retail
Co-op, damages,
freight (10-17%)
3rd Party:
Amazon
Fulfillment
15% Success
Fee
Pick, Pack and
Weight Fee
3rd Party:
Merchant
Fulfillment
12%-20% of Sale
Price
3rd Party:
Merchant Filled
Prime
12%-20% of Sale
Price
Fulfillment Cost
(guaranteed 2nd
Day)
Which Model is Right for You?
July 20, 2017
New York, NY
Startup &
Small
Medium &
Large
High End
Small
1
2
3
4
Size of Business Rationale
Amazon Retail
 Long Payment Terms
 Order Size
 Level of Control
 72 Hour SLAs
3rd Party: Amazon
Fulfillment
 Bi-weekly/Weekly Payment Terms
 Self Driven Orders
 No SLAs
3rd Party: Merchant
Fulfillment
 Distribution Requirement
 24 Hour SLAs
 Inventory Control
3rd Party: Merchant
Fulfilled Prime
 Distribution Requirement
 24 Hour SLAs
 Inventory Control
Which Model is Right for You?
July 20, 2017
New York, NY
Startup &
Small
Medium &
Large
High End
Small
1
2
3
4
Size of Business Rationale
Amazon Retail
 Long Payment Terms
 Order Size
 Level of Control
 72 Hour SLAs
3rd Party: Amazon
Fulfillment
 Bi-weekly/Weekly Payment Terms
 Self Driven Orders
 No SLAs
3rd Party: Merchant
Fulfillment
 Distribution Requirement
 24 Hour SLAs
 Inventory Control
3rd Party: Merchant
Fulfilled Prime
 Distribution Requirement
 24 Hour SLAs
 Inventory Control
How Can I Ensure Success?
July 20, 2017
New York, NY
Build Strong
Listing
Enable Prime
Customer
Generate
Favorable
Reviews
Ensure
Availability
Utilize
Marketing
Refine, Refine,
Refine
Thank you.
July 20, 2017
New York, NY
@ryanmcraver ryan@commercecanal.com ryanmcraver.com

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The Secrets to Selling on Amazon – Ryan Craver - GrowCommerce 2017

  • 1. The Secrets to Selling on Amazon Ryan M Craver SVP @ Lamour Group Founder @ Commerce Canal
  • 2. “In the old world, you devoted 30% of your time to building a great service and 70% of your time shouting about it. In the new world, that inverts.” Jeff Bezos, Founder & CEO
  • 3. “I’m going to steal your data, your customer and rule the world.” Allegedly Attributed to Jeff Bezos, Founder & CEO
  • 4. 3 Fears of Amazon July 20, 2017 New York, NY 1 Amazon will steal my customer’s data and remarket accordingly
  • 5. Has Macy’s ever shared their customer data with you?
  • 6. 3 Fears of Amazon July 20, 2017 New York, NY 1 Amazon will steal my customer’s data and remarket accordingly 2 Amazon will develop a private label with my product sales data
  • 7. Yes. They will. Private label is a necessary evil of retail and will always have a place.
  • 8. Private Label: A Necessary Evil July 20, 2017 New York, NY Customers of all ages desire a private label offering Retailers desire private labels due to higher margins Private label penetration varies by industry with a range of 15-20% 19.8% 16.7% 11.3% 19.2% 18.7% Department Stores Drug Chains Electronics Supermarkets Warehouses
  • 9. 3 Fears of Amazon July 20, 2017 New York, NY 1 Amazon will steal my customer’s data and will remarket accordingly 2 Amazon will develop a private label with my product sales data 3 Amazon will destroy the pricing integrity of my brand
  • 10. Yes. However, the right precautions and model should be used.
  • 11. 4 Models of Amazon 1 2 3 BRAND BRAND BRAND BRAND Amazon Retail 3rd Party: Amazon Fulfillment 3rd Party: Merchant Fulfillment 4 3rd Party: Merchant Filled Prime BRAND BRAND Purchase Order
  • 12. Advantages of Each Model July 20, 2017 New York, NY Service Fee Structure Inclusion Pricing Inventory Marketing Search Results Retail Co-op, damages, freight (10-17%) 3rd Party: Amazon Fulfillment 15% Success Fee Pick, Pack and Weight Fee 3rd Party: Merchant Fulfillment 12%-20% of Sale Price 3rd Party: Merchant Filled Prime 12%-20% of Sale Price Fulfillment Cost (guaranteed 2nd Day)
  • 13. Which Model is Right for You? July 20, 2017 New York, NY Startup & Small Medium & Large High End Small 1 2 3 4 Size of Business Rationale Amazon Retail  Long Payment Terms  Order Size  Level of Control  72 Hour SLAs 3rd Party: Amazon Fulfillment  Bi-weekly/Weekly Payment Terms  Self Driven Orders  No SLAs 3rd Party: Merchant Fulfillment  Distribution Requirement  24 Hour SLAs  Inventory Control 3rd Party: Merchant Fulfilled Prime  Distribution Requirement  24 Hour SLAs  Inventory Control
  • 14. Which Model is Right for You? July 20, 2017 New York, NY Startup & Small Medium & Large High End Small 1 2 3 4 Size of Business Rationale Amazon Retail  Long Payment Terms  Order Size  Level of Control  72 Hour SLAs 3rd Party: Amazon Fulfillment  Bi-weekly/Weekly Payment Terms  Self Driven Orders  No SLAs 3rd Party: Merchant Fulfillment  Distribution Requirement  24 Hour SLAs  Inventory Control 3rd Party: Merchant Fulfilled Prime  Distribution Requirement  24 Hour SLAs  Inventory Control
  • 15. How Can I Ensure Success? July 20, 2017 New York, NY Build Strong Listing Enable Prime Customer Generate Favorable Reviews Ensure Availability Utilize Marketing Refine, Refine, Refine
  • 16. Thank you. July 20, 2017 New York, NY @ryanmcraver ryan@commercecanal.com ryanmcraver.com

Editor's Notes

  1. Amazon is just a reality, why combat, figure out how they can help you…..30 seconds or 1 minute
  2. Amazon is just a reality, why combat, figure out how they can help you…..30 seconds or 1 minute
  3. Show main slide as-is then do the build up
  4. Show main slide as-is then do the build up