The document outlines strategies for growing an Amazon store, emphasizing three key ways: increasing prices by selling unique products, lowering costs through better financial management and economies of scale, and increasing quantity by expanding to more channels and products. It includes insights from Webgility experts and highlights common challenges faced by Amazon sellers. The presentation concludes with a Q&A and contact information for Amazon automation support.

1. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
3 Profitable Ways to Grow Your Amazon Store

2. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
Agenda
1. Introduction
2. The Right Way to Think about Growth
3. The 3 Ways to Grow
4. Q&A

3. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
Introduction

4. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
About Webgility
▹ Worked with 1000s of Amazon
sellers
▹ Member of Amazon’s Developer
Council
▹ Founded by an Amazon veteran
▹ #1 automation software for
Amazon sellers on QuickBooks &
NetSuite

5. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
Meet Your Growth Expert
▹ Senior Manager at Webgility
▹ MBA from the Kellogg School of
Management
▹ Worked for Sony & Google-backed Rocket
Lawyer
▹ Consultant for ecommerce companies
Dekker Fraser

6. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
Meet Your Product Expert
▹ Product Manager at Webgility
▹ ~10 years’ retail industry experience
▹ Specialized experience in inventory
management
Colin Cates

7. POLL QUESTION
Which is your growth priority this year?
1. Expanding to more channels beyond Amazon
2. Expanding to international markets
3. Finding new products to sell
4. Making my process more efficient

8. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
The Right Way to
Think about Growth

9. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
2 wrong ways to grow
1. Unprofitable growth
2. Profitable growth where
ROC<COC

10. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
Grow where you have a competitive
advantage
“moat”

11. Growth Challenges
14
No real-time
accounting:
You only get paid
every 14 days
Major
competition:
2 million+ sellers in
100+ countries 3
Thin margins:
Amazon fees are
about 1/3 of the sale
price of the item 4
It’s hard to
stand out:
Only 1 in 30 buyers
leaves a review 5

12. Profit = (Price - Cost) * Quantity
THE 3 SOURCES OF GROWTH

13. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#1
Increase Prices

14. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#1 Increase Prices
Sell Products with Little Competition
▹ Sell unique products that aren’t on Amazon
▹ Bundle products (try YASIV)
▹ Sell premium versions of products
(best packaging, best durability)
▹ Focus on a niche
▹ Sell products that have high barriers to entry
▫ Highly regulated / risky
▫ Large & expensive
▫ “Sticky” products
Finding unique bundle ideas with YASIV

15. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#1 Increase Prices
Improve on Existing Listings
▹ Jungle Scout Niche Hunter
▪ Identify poor-quality listings
▹ More photos, better quality photos
▹ Videos
▪ Amazon Vendor Central
▪ Customer reviews
▹ SEO
▹ Reviews

16. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2
Lower Costs

17. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2 Lower Costs
Critical Financial Data Is Scattered

18. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2 Lower Costs
Costly Accounting Mistakes
Missed
Transactions
MiscalculationsLosing track of
expenses
Cost
allocation

19. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2 Lower Costs
Know What Your True Costs Are!
“ Cut loose what isn’t working ”
- Brad Moss (former Amazon employee)
ORDER LEVEL PROFITABILITY
▹ Returns
▹ Overhead
▹ Shipping
▹ Bank fees
▹ Taxes
▹ Storage costs
▹ Amazon fees

20. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2 Lower Costs
Let’s Break Down Amazon’s Fees
FBA fees:
▹Fulfillment fees per unit
▹Pick, pack, shipping, and handling
▹Monthly inventory storage fees
▹Based on daily average volume (cubic feet)
▹Long-term storage fees (6+ mos)
▹Labeling fee
▹Package and prep fee
▹Unplanned prep fee
▹Repackaging fee (in case of returns)
▹Stock removal fee
Most common fees:
▹Monthly subscription fees
▹Per-item fee
▹Referral fees
▹Closing fees
▹High-volume listing fee
▹Refund administration fee
Multichannel FBA fees:
▹Uses different multichannel fee
schedule

21. POLL QUESTION
Which is your biggest growth challenge?
1. My profitability is not clear
2. Competition
3. Fees
4. My process is not streamlined
5. Customer satisfaction

22. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2 Lower Costs
Economies of Scale
▹ Strongest competitive advantage
▹ Trade your variable costs for fixed costs
▪ Invest in software & automation to lower marginal
costs
▪ Manual tasks are the enemy of scale

23. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#2 Lower Costs
Many Ways to Lower Costs...
▹ Lower shipping costs (compare rates)
▹ Cut inventory carrying costs with forecasting
▹ Minimize mistakes & returns with automation
▹ Negotiate lower prices
▹ Improve analytics
▹ Lower your customer acquisition costs (key influencers)
▹ Drive ads to your own store instead of Amazon

24. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#3
Increase Quantity

25. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#3 Increase Quantity
Expand to More Channels
▹ Why multichannel is essential
▪ Leverage all the work you’ve already
done
▪ Build economies of scale
▪ Amazon becoming more competitive
▪ Reduce risk
▪ SEO & visibility benefits
▹ Walmart, Jet.com, eBay
▹ Own the customer relationship with
your own store
▹ Brick & mortar
▪ Big box retailers (EDI)
▪ Other retail outlets (pop-ups,
own store)

26. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#3 Increase Quantity
Expand to More Products
▹ Estimated sales per month:
Junglescout.com/estimator
▹ Junglescout product database to get product
ideas
▪ # sellers, monthly sales & revenue, #
reviews (<50 less competitive)
▹ Image search Alibaba
▹ Test demand with samples
(Alibaba, Aliexpress, Amazon)
▹ Market research
▹ Improve on poor listings
▹ Buy businesses (Flippa.com)

27. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#3 Increase Quantity
Efficient Marketing
▹ With granular profitability, you know which products to promote
▹ Give products to influencers
▹ Get more positive reviews
▪ Prevent overselling & speed up your process with automation
▹ Integrated marketing (eg Google ads + retargeting with Facebook)

28. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
#3 Increase Quantity
Repeat Customers
▹ Amazon owns the customer relationship
▪ Capture email (warranties, product inserts)
▪ Amazon Pay
▹ Drive traffic to your own store
▹ Access Prime customers (Seller Fulfilled Prime)
▹ Sell products that are purchased repeatedly
▪ Supplements: $900k in one month

29. Automation for QuickBooks & NetSuite Sellers
Trusted by over 5,000 High Growth Sellers
SpeedScale Accuracy
2000%
order volume increase
50
hours saved per month
0
human errors
“You cannot truly scale
without Webgility”
-Dan Wells, Bases Loaded
“Now it all happens
instantly & automatically”
-Taggart Spenst, Club Ride Apparel
“It just works”
-Shen Li, Epic Mens

30. Q & A

31. W E B G I L I T Y 2 0 1 9 . A L L R I G H T S W W W . W E B G I L I T Y . C O M
Let’s Talk Amazon Automation
Call: (877) 753-5373
Email: hello@webgility.com