Helping You with Your Amazon FBA Business

Learn About Wholesale with The Wholesale Workshop

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Hello!  I hope that all of you are staying warm this winter!  In my little corner of the world, it’s been very cold and snowy.  It’s not all that bad because the bad weather has made it less tempting to go out.  So I’ve been spending my extra time at home focusing on opening new wholesale accounts!

Parts of Vancouver recently received 12 inches of snow!

I’m excited to announce that in five days of focused effort, I landed a great wholesale account.

In this post, I’ll share how I got started with wholesale and tell you about a free training series that will help you get started with wholesale.

ASD: My Wholesale Starting Point

My wholesale “start” began last year when I went to ASD.  I went there and did what I was taught to do – gather wholesale catalogs and then go through them looking for good products to sell on Amazon.

I found this process very tedious and time-consuming and it does get discouraging when you spend an hour going through a catalog without finding anything.  But eventually you will find a good product but you just can’t buy it.  You need to apply for a wholesale account first and hope that you get approved.

I went back to retail and online arbitrage because even though both methods are also tedious and time-consuming, I could at least purchase the products immediately.

Starting Over with a More Efficient Wholesale Sourcing Method

In May 2016, I watched a webinar with Dan Meadors and Eric Lambert from Source.Sell.Profit.   They have an impressive success story of starting their Amazon FBA business with $600 and doing more than $850,000 in sales their first year with Retail Arbitrage.

Then they turned to wholesale and now have a multi-million dollar business.  I wanted to learn about their wholesale strategies so I signed up for The Wholesale Workshop which includes these three FREE videos:

  • Video #1: Reverse Sourcing Wholesale – The Business Model We Used To Create a Million Dollar Business
  • Video #2: Our Wholesale “Formula” Revealed – How To Identify Awesome Wholesale Products
  • Video #3: Transformation – Transform Your Business, Transform Your Life

7/20/17 Update: There’s a new set of videos and you can find them HERE.

Their approach to wholesale is a complete 180 from what I learned while preparing for my ASD trip.  Instead of finding wholesale companies first, Dan and Eric find wholesale products first.

More specifically, they start their wholesale product sourcing on Amazon.  They go through the products on Amazon, looking for ones that meet their criteria.  Once they have a list of good wholesale products, then they contact the product manufacturers and inquire about opening an account.

Their method is more efficient as you won’t be matching up countless wholesale catalog items to Amazon product listings.

Staying Focused and Taking Action

Most of my long-time blog readers know that I do switch my focus quite a lot.  Maybe too much.  But I do take action every day in my business and when I do laser-focus in just one or two areas, I do pretty well.

For example, during the first week of January, I focused only on selling shoes and getting a wholesale account.  So I ordered shoes every morning and had them shipped to a prep center.  Then I spent my afternoons working on wholesale.  In just a few short days, I was approved for a great account!

My January 5th, 2017 approval email!

Then on January 12, I was approved for another account!

My Jan 12, 2017 approval email!

Are You Ready for Wholesale?

7/20/17 Update: A new Wholesale Workshop series became available on July 17th:

** Affiliate Disclosure: This video series is FREE and contains information that I believe will be incredibly beneficial to you. However, I do want to disclose this is an affiliate link. I am an affiliate of The Wholesale Formula and do receive a commission should you purchase a product from them. Please understand I have reviewed their products and take great care in any recommendations that I make.

I’ll be back soon with another wholesale blog post.  Until then, feel free to ask questions, leave a comment or just say “hello.”

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{ 14 comments… add one }
  • Kim January 12, 2017, 4:32 pm

    Hi Diana, have you gone through the wholesale formula program yourself?

    Reply
    • Diana January 12, 2017, 4:34 pm

      Hi Kim,
      Yes I have. I purchased it last summer. I plan on going over the Wholesale Formula in my next blog post. In the meantime, I can answer any questions!

      Diana

      Reply
      • Kim January 12, 2017, 7:42 pm

        I’m guessing it’s worth the cost since you’re planning to write a post about it. I would love to do this program but I’m a brand new seller and can’t afford it yet. Hopefully next year!

        Reply
        • Diana January 12, 2017, 8:34 pm

          I did learn a lot from the course. Besides sourcing, they tell you how to increase your account approval rate, help you with your websites and a lot more.

          I would at least sign up for the free videos and test out the reverse sourcing method that they teach. Once you find your products, see if you can buy them or similar items You may even be able to buy them at the retail or online stores without opening an wholesale account.

          Continue with your current sourcing methods and then test out the reverse sourcing method when you have extra time. You are under no obligation to purchase anything by viewing the videos.

          Reply
  • Kim January 15, 2017, 3:04 pm

    Thank you for the advice. I feel that I’m like you and lose focus easily. There’s just so much to do/learn! Do you think I should try to get ungated asap to try to open up some options in sourcing?

    Reply
    • Diana January 16, 2017, 12:34 am

      Hi Kim,

      Becoming ungated does open you up to new categories, but it’s not the end of the world if you’re restricted. For instance, my 2 new wholesale accounts are in the office supply category which doesn’t require ungating.

      If you do want to get ungated, I would work on the easy ones. Last time I checked, shoes/clothing were easy. However, you will be restricted in more specific shoe brands than me as I was grandfathered in for a few.

      I would not spend a lot of money on getting ungated in grocery, health or beauty. Those categories can wait. The only way I would attempt those 3 is if you already spent time sourcing those products and found good products to sell. I would hate for you to spend hundreds to get ungated and then not have any profitable products to sell.

      My advice is to pick one or two categories or methods and just focus on that. I have been focusing only on shoes and wholesale this month and have made good progress in each. But in doing so, I quit RA (except for shoes) and I also quit doing books. I’m just finishing up on shipping the last batch of books that I ordered in December.

      Let me know what you decide to focus on!

      Reply
      • Kim January 21, 2017, 3:27 pm

        You’re right about focusing on 1-2 categories. I think I have a game plan for the near future now. I already started with books so I figure I should dig in and really understand that category before adding another category in. I think (hope?) the knowledge I gain from that category can somewhat be applied to other categories in the future. There are some general Amazon selling things I’d like to learn as well before moving forward. I don’t do much RA because I have a new baby and only 1 vehicle right now. My husband and I do visit some stores on his days off to try our hand at RA. We will continue that but in reality, it’s only about 10% of my focus. I’m definitely still interested in wholesale so I will be looking to add that in in a few months.

        Reply
        • Diana January 21, 2017, 3:47 pm

          I truly believe if I just kept my focus better in 1-2 areas last year that I would have done better. But it also helped me figure out which categories & sourcing strategies that I’m better at. I do really well with shoes and finding shoes on Amazon to resell. I’m not that great with books or RA. I’m do enjoy wholesale so I think the shoes & wholesale combo will work out for me.

          I’m glad that you have a plan for your own business and you will gain knowledge from what you learn in the book category. Your pricing strategies, tracking your numbers, prepping/shipping, building systems, etc. all apply to whatever you sell.

          With OA and wholesale, you shouldn’t have to leave the house very much. Our weather has been terrible since December (finally warming up) so I have only done one RA trip in over a month.

          Reply
          • Kim January 21, 2017, 4:58 pm

            It’s so great to find what you excel at. I’m glad you found it. My husband thinks we should try a category for 3 months and then assess whether or not it has been a good fit, how we can improve and grow, if we need to give it more time, or if we need to just drop it completely. It sounds like a good idea to me. I haven’t tried OA for sourcing books yet but I plan to start soon. I’ve just been to the thrift stores and local buy/sell groups so far. I live in South Florida so no weather issues here right now!

  • Joe January 17, 2017, 8:33 pm

    Hi Diana,

    I been following your blog since the first days in 2013-2014. I actually started doing amazon around the same time you did and posted on this site. I stopped the business because I had to take care of some personal family issues like raising my kids. Anyways, I’m starting all over again. I want to know how your business is doing ? I remember you were losing money on the first few months. How is the income now? Did you quit your other job yet? Is it more than what you expected. It would be great if you post an update on your experience from when you started to where you are now. Thanks.

    Reply
    • Diana January 18, 2017, 7:30 am

      Hi Joe,
      Welcome back and it’s great to know that you remembered me from the early days. I truly understand why you stopped FBA due to raising a family and other family issues. I take care of my aging mother and it’s a juggling act trying to balance my time with her and the time that I need to grow my Amazon business.

      Anyway, here’s a quick update: I went from working 6 days a week at my old job to 1 day a week. I now split my time between working on Mondays at my old job, taking care of my mother (which was a full-day at the hospital today), writing blog posts, doing Amazon FBA and Merch by Amazon.

      In regards to Amazon FBA only, my 2014 sales were low and I did not make a profit that year. In 2015, my sales were 4x higher than in 2014. In 2016, I more than doubled my 2015 sales and I’m profitable every month. I pay myself a flat salary of $500 a month and keep the rest in the business or transfer it to my business savings account. Though I can pay myself more than $500, I’m not at the point of taking out $4000 – $5000 a month salary which is my goal.

      I do think that Amazon is real and people can make “real” money from it. But it does take a lot of work and it doesn’t happen overnight.

      I hope that I answered your questions and I agree that it’s a good idea to do more of a detailed update. I’m going to wait on that for a bit as I’m changing my focus and I want to see how that plays out first.

      Diana

      Reply
  • Joe January 19, 2017, 7:45 pm

    Hi Diana,

    I Am hoping to sign up for the wholesale program . I was kind of doing to same thing before I stopped. So hopefully I can move a little faster by taking this course.

    Do you recommend them? I know you said you will do a post. Can you do it before they close it on the 26th. One question. How many hours a week are you spending on the business? I want to get an idea of hour and amount taking home. Thanks.

    Reply
    • Diana January 19, 2017, 9:07 pm

      Hi Joe,
      Check out today’s post which gives you a little more info about the Wholesale Formula: Find Fast Selling & Low Competition Products.

      I do recommend them. They are very knowledgeable and the course is easy to follow. However, there is a lot of work on your end with researching products, building your business identity, contacting suppliers, etc.

      I haven’t really counted my hours, but I probably spend at least 3–4 hours a day on Amazon x 6x a week. The rest of the time I’m doing other things (caring for mother, blog, Merch).

      I do pay myself a flat $500 a month salary from the businesses. I can pay myself more but choose to leave my earnings either in business savings or to reinvest. However, I’m not doing enough sales to pay myself my goal amount of $4,000 to $5,000 a month. If you are able to spend more hours on the business, create good systems and/or outsource your sourcing/prepping/shipping, you should move ahead quicker than me. Also if you stay focused on just one area at a time you should do better than me. I’m always switching focus and this year I’m narrowing down the FBA part to basically just shoes and wholesale.

      Reply

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I am working towards creating a full-time income by selling on Amazon. It's a lot of work but very fun! If you're interested in selling on Amazon, be sure to follow my blog as I'll be providing you with lots of tips!

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