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Hi everyone!  I’m very excited that I received my wholesale order yesterday of these fun journals.  I expect them to sell right away because they are in the top 1% of its category and have less than 10 Sellers on the listings.  As a bonus, they’re small, easy to prep and don’t expire!

1/30/17 Update:  Sold 2 journals immediately!

My next wholesale order from a different company should arrive soon.  These products aren’t journals, but they’re similar to them as they’re also fast selling, low-competition items that are small and easy to prep.

In this post, I’ll tell you how The Wholesale Formula helped me with my wholesale accounts!

Getting Started with Wholesale

In my last post, I discussed how I got started with wholesale and introduced you to Dan Meadors and Eric Lambert’s free video series, The Wholesale Workshop.   All three videos are available for a very limited time and you can watch them by following the links below:

1/30/17 Update: The videos are not available at this time.  They should become available later this year.

  • 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 & details on how to buy The Wholesale Formula

In today’s post, I want to introduce you to Dan & Eric’s other products, The Wholesale Formula and The Wholesale Formula List and share how they helped me with obtaining my wholesale accounts.

Purchasing the Wholesale Formula (June 2016)

I purchased The Wholesale Formula in June 2016 because I wanted to move into wholesale and I liked Dan & Eric’s method of reverse sourcing.

Proof of Purchase.

A Brief Course Overview

The main course sections are:

  • Pre-Course Content
  • Wholesale Product Sourcing
  • Getting Approved to Buy Manufacturer Direct
  • Streamlining Your Wholesale Business
  • In-Depth Training Webinars
  • Bonus Archived Webinars

I started the course by binge-watching the “Product Sourcing” videos and then I moved on to the “Getting Approved” section.  This is where I learned about the importance of having a business email address and website.

The Website and Email Lessons

At this point I stopped watching the videos and began working on my websites.

The Websites (June 2016)

I created two websites.  One is a value proposition website that tells the product manufacturers why they would benefit from selling their products to me.  The other one is an online store that I created on WIX.  I actually have products listed on it and can take customer orders.

I signed up for the eCommerce plan.

Believe me, there’s nothing fancy or complex about my websites.  My value proposition website is a simple, one-page site.  For my online store, I’m just listing the extra textbooks that I haven’t sent in to Amazon.

** Don’t worry, you don’t need to create two websites right away.  Just one is fine and The Wholesale Formula discusses different website strategies.

Product Sourcing & Contacting the Manufacturers (June 2016)

Once I finished my websites, I spent time each day using Dan & Eric’s method of finding products.  Once I had a list of products, I did the next steps of finding and contacting the product manufacturers.

First Account with a Bra Manufacturer (June 2016)

It didn’t take me long to get approved for my first wholesale account with a bra company.

It didn’t turn out well though because right after I ordered and shipped my bras to the Amazon warehouse, Amazon came on the listings and lowered the prices.  Then all of the other FBA Sellers lowered their prices too and this turned into an unprofitable product.

I sold most bras at an 86 cent loss. I still need to send these in.

*** This company did not have a MAP (minimum advertised price) policy in place.  Therefore, everyone was allowed to race-to-the-bottom.

Wholesale Pause (July – December, 2016)

After I found that first wholesale account, I lost my wholesale focus (what’s new) and concentrated on books, back-to-school, shoes and Q4 toy shopping.

Wholesale Restart (January 2017)

After I sent in my final Q4 shipment, I did some 2017 planning and decided to focus on shoes and wholesale in January, February and March.  I made specific goals for each and got started!

*** I have a hard time with staying focused.  Writing down my goals and tasks in my new planner has really helped me stay on track.

The Wholesale Formula List

At the end of December, I learned about the Wholesale Formula List where you order a list of potential wholesale products.  In other words, the wholesale product sourcing is done for you which is a time-saver.

I ordered a Home and Kitchen and an Office Products list and they were emailed to me on January 1, 2017.  Between the two lists, I received over 1200 wholesale product leads!  This totally floored me as I was expecting a much smaller number.

Peek at one of the lists.

Going Through the Lists and Contacting Manufacturers (Jan 1 – 4, 2017)

I started with the Office Products list and made notes about the first set of 50 products:

  1. Interested in selling, contact manufacturer.
  2. Not interested in selling.
  3. Unable to sell due to brand restrictions.
  4. Somewhat interested, but concentrate on better products first.
  5. Interested in the product, but getting approved with the manufacturer looks extra challenging.  Use the reverse sourcing method to find similar products by a different manufacturer.

Once I had a list of products that I wanted to sell, I was ready to contact the manufacturers.

*** When you buy a Wholesale Formula List, you are receiving a list of good products.  However, you still need to determine which products meet your criteria and it’s up to you to find the manufacturers and get approved for a wholesale account with them.  The Wholesale Formula teaches you how to do this.

Contacting Manufacturers (Jan 5, 2017)

On January 5th, I contacted 3 manufacturers either by using their web contact form or by email.

I try to present a good first impression to them by using my business email address, writing a friendly note telling them that I want to sell their products and by not scaring them off by asking them to sell exclusively to me.

Getting Approved (Jan 5, 2017 and Jan 12, 2017)

To my surprise, one of them approved me for a new account within the first hour!  This company does not have products on the Wholesale Formula Lists.  I used the Office Products list as a starting point and found this company on my own.  This company required that I sign a MAP agreement.

Another one approved me on January 12th!  This company does have a product on the Office Products list.  However, I didn’t purchase that specific product but bought other products from that company.

Check out the end of my Wholesale Workshop blog post to read my approval emails.

The last one didn’t reach out to me and I’m not going to pursue them since I still have over 1100 products on my Wholesale Formula Lists to go through.

I think that getting approved by two of the three manufacturers that I contacted is pretty good!

Staying Focused and Taking Action

As I’m sitting here writing this blog post, I’m very committed to staying focused on both shoes and wholesale.  In doing so, I slowed down on retail arbitrage and online book arbitrage.  Also I have been sending all of my online shoe orders to Pacific Prep Services in Oregon.

These actions have given me additional time to focus on my first quarter goals.

What are your 2017 goals?  Let me know in the contact form below or by visiting my Facebook Page!

Jan 30, 2017 Update: Neither The Wholesale Workshop or The Wholesale Formula are available at this time. They both should become available later this year.

** Affiliate Disclosure: The 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.

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{ 26 comments… add one }
  • Michele January 19, 2017, 5:03 pm

    Diana, thanks so much for sharing insight into your process. I enjoy reading your blog and always learn something new. Have a great day!

    Reply
    • Diana January 19, 2017, 5:47 pm

      Hi Michele,

      I’m glad you enjoy the blog! It’s just easiest for me to write about my own personal experiences rather than tell others what to do or how to do it.

      I hope that you have a great day too!

      Diana

      Reply
  • Ree Klein January 19, 2017, 9:43 pm

    Hi Diana,

    Wow, I’m impressed with your ability to research and take action…AND write about all that you’re doing here! I’ve been crazy busy over the last few months, including a few strategy changes of my own, but I’m finding it incredibly hard to write posts for my blog.

    You inspire me! I am interested to hear how this new wholesale strategy works for you going forward. 🙂

    Ree

    Reply
    • Diana January 19, 2017, 10:30 pm

      Hi Ree,

      I’m very slow at blogging and I find it easiest to just write about whatever it is that I’m doing! I hope that you start writing again because I want to know more about your new strategies!

      Diaan

      Reply
  • GS January 23, 2017, 5:12 pm

    Hi Diana,

    Love your posts!!! So simple but always great source of information. And I don’t think you get distracted easily, compare to many of us, you are one focused person who takes actions. Keep it up. Always enjoy your posts. Thanks

    Reply
    • Diana January 24, 2017, 4:29 am

      Hey GS,

      Glad to see you back! Are you doing FBA? Hope all is well with you and thanks for the nice note.

      Diana

      Reply
  • GS January 24, 2017, 5:45 pm

    No dear, I haven’t done much of FBA. Still just reading and enjoying your blog. But some day…..hopefully. Wholesale sounds like a great option. Will look at the videos you suggested. You are doing great with different categories and now whole sale. Keep it up!

    Reply
  • Joe January 24, 2017, 7:14 pm

    Hi Diana,

    I’m going to sign up for the wholesale formula through your affiliate. You mention that you received your wholesale order. Did you receive at your home or did you have it deliver to Amazon through fba? Also, how many products did you order and how much do you expect to make? I see these testimonials from the wholesale formula and people claiming they make a ton of money. Obviously that is not the norm but I’m wondering if you are the norm and what you expect your profit to be from those first shipments you got from the wholesalers. Thanks.

    Reply
    • Diana January 24, 2017, 9:13 pm

      Hi Joe, I appreciate you using my link. Once you sign up, let me know and I’ll send you products from my list.

      I opened 4 accounts this month:
      My first order of journals are $2.50 profit each.
      My second order of erasers and some craft supplies are average of $4.12 per item profit.
      My third order of decorative signs are $9.76 average per item profit.
      I was approved for a 4th account this morning and the first product that I found is just over $5.00 per item profit.

      Right now, I’m just ordering minimum quantities. Each of the 4 companies require minimum open orders of $75 to $300.00. So, since it’s my first time ordering from each one, I’m just doing the very minimums to see how they turn out. Most companies seem to require a minimum order of 3, 6 or 12 products. Then you just have to find enough products from them to get to their min order amount.

      I’m having the orders shipped to my home as I want to view the products first hand. For products with higher profits of at least $8.00, I may have them sent to my prep center at a later time.

      Typically, you’re not going to make a huge profit on individual wholesale products (from what I hear.) It’s something that you’ll need to find enough accounts/products to have enough volume so you’re selling many products a day. I do like this method as it does save time from driving around doing retail arbitrage and once you find decent products, you can just reorder them.

      With Amazon’s recent round of restrictions and suspensions, I do believe that Wholesale is a safer method due to receiving invoices from the supplier as Amazon doesn’t seem to accept retail receipts these days in case you have to prove your product is authentic.

      Diana

      Reply
  • Karen Blanchard January 24, 2017, 10:48 pm

    Hi,
    Love your blog posts…thanks for sharing your experiences.
    I have been selling on Amazon for about three years – RA, OA & a few WS accounts.
    I wanted to get your opinion on just buying the WF List rather than the whole deal.
    Thanks,
    Karen

    Reply
    • Diana January 25, 2017, 12:36 am

      Hi Karen,

      The Wholesale Formula lists does the “product finding” for you. It saves you time from having to Reverse Source on Amazon on your own.

      But with the lists, you are getting a list of products that meets the TWF criteria. You still need to find the product manufacturers on your own and contact them. The Wholesale Formula helps with that. They tell you how to find the manufacturers and they provide email templates for writing them. They also help if the manufacturer has objections to selling to you because you’re an Amazon Seller.

      So, in a nutshell, the lists save you time from sourcing on your own but you still have to get approved. The Wholesale Formula helps with that.

      I opened my 4th account with the lists today. Once I finish going through my current lists, I’m planning on buying another one in a month or two. I received over 1200 products between my 2 lists and that would take me forever to do on my own.

      Diana

      Reply
  • Joe January 25, 2017, 12:49 am

    Hi Diana,

    Re the wholesale formula list. Is that something they promote during the course for you to buy? When is it available? Also, by giving out this list to anyone that purchases, isn’t this going to create a “race to the bottom”? How do they avoid that?

    Reply
    • Diana January 25, 2017, 3:10 am

      When I took the course last summer, it the list wasn’t promoted. But, it could be because it’s new and not available back then.

      The lists are $150 each and when you purchase it, you choose which category you want – toys, home, office products, baby, groceries, health. Then you choose which ranking you want (top 1%, top 3%, and so on). Then on the 1st of the following month, you receive the list. You can buy the list any time from the website, but you still have to wait until the 1st to receive it.

      I know there’s always a chance of a race-to-the-bottom, but I believe these lists have a smaller chance compared to the standard OA lists. With the OA lists, anyone can purchase the products from the retailer. With the Wholesale Formula list, each person still has to seek out the manufacturer and then apply for approval. Plus, there’s more products than the standard OA lists. Most OA lists that I’ve been on have between 5-20 items per day. My Office Products list had over 400 products and my Home & Kitchen list had over 800 products. That’s a lot of products to go through and then apply and get approved for accounts.

      To me the lists were worth it as it saved me time from sourcing 1200+ products on my own. Not every product is a good “fit” for me, but so far I’m happy with it and will buy another one in a couple of months.

      Reply
  • Joe January 26, 2017, 3:47 pm

    Hi Diana,

    I signed up for the wholesaleformula through your affiliate link. Let’s see how it goes. I’m going to do a blog also to document my progress. Hope I made the right move. Send me the 20 product list. Thanks.

    Reply
    • Diana January 26, 2017, 4:13 pm

      Hi Joe, that’s great. The best thing to do is to just take action on the course. Don’t do like I did and start it, then stop it for 6 months.

      I have your email address through the comment form. So, I’ll send to that email. If that’s not a good one let me know. I’m just about to leave the house for a few hours, so I’ll get that sent to you this afternoon when I return home.

      Reply
  • patti January 26, 2017, 4:55 pm

    Hi Diana, I love your blog! I learn so much. I am interested in getting the list of products but i did not see any cancel or month to month. I just wanted 1 month…..did you see that you could stop it once you enter all info for purchase??
    thanks,
    Patti

    Reply
    • Diana January 26, 2017, 5:25 pm

      Hi Patti,
      It looks like it’s just a one-time, one month subscription. I checked my PayPal account and it’s not setup as a recurring payment in there. Also, The Wholesale Formula has not contacted me about purchasing another list and they haven’t taken any additional payments from my account.

      Diana

      Reply
  • Anand January 31, 2017, 8:11 pm

    Hi Diana, Thank you so much for sharing on the wholesale process, your blog is always a great source of information, i see that you created a value proposition website, is there any sample text or any website that you can to refer to get an idea? Thank you!

    Reply
    • Diana January 31, 2017, 8:56 pm

      HI Anand,
      Netrush and Etailz are two larger companies that sell on Amazon. You can go to their websites and see the value-propositions that they offer their suppliers.

      My website is a one page site – very plain and simple. I just list value-props that I can offer to suppliers, some are similar/same as Netrush and etailz.

      Examples are – paying on time, signing a MAP agreement, creating new product listings, improving product listings (add a better picture, keywords, description), create a sponsored ad to drive traffic to their product, properly packing the items so they don’t become damaged on the way to the Amazon warehouse, able to give the supplier individual attention since you have a small number of accounts, etc.

      Then after each point, explain how that will benefit the supplier.

      Hope that helps!

      Diana

      Reply
      • Anand January 31, 2017, 9:00 pm

        Thank you so much Diana, that definitely helps!!

        Reply
  • Nina February 8, 2017, 7:12 pm

    Hi Diana. I thoroughly enjoy reading all your blog posts. I have a question for you.

    1. Would you still sell a product if the brand itself is on the listing? For instance, on this listing (link below) Book Factory has the buy box. If I were to ignore the MF seller, there are no other FBA sellers apart from the brand owner themselves. I’m just wondering if I should stay away from products when the brand owner is also on the listing. They probably would have a lot of inventory in stock. I know that you have to avoid selling products if Amazon is on the listing. What do you think?

    https://www.amazon.com/gp/offer-listing/B00J7SDKSA/ref=dp_olp_new_mbc?ie=UTF8&condition=new

    2. Would you still sell something if there are 1-5 FBA sellers? If you don’t get the buy box, then wouldn’t it be harder for you to make a sale?

    Thanks!

    Reply
    • Diana February 8, 2017, 7:29 pm

      Hi Nina,

      I’m staying away from products where the brand owner is on the listing. Especially if it’s just the brand owner and no one else or just one other seller like it is with Book Factory.

      When looking at the number of FBA Sellers, you need to see how many are priced at Buy Box or approx within 2 percent of Buy Box. Those are the Sellers that you’re competing with for the Buy Box. Sellers over that range probably won’t ever get the Buy Box so you can ignore them.

      Another factor is how many sales per month are there for each Buy Box Seller. If 100 units sell a month with 5 Buy Box Sellers, then you can guess that you’ll sell 16-17 per month if you’re coming on as the 6th Buy Box Seller. Make sure that’s enough sales for you. The Jungle Scout Chrome Extension estimates how many sales per month the product has.

      Reply
  • Maya sharma February 11, 2017, 10:05 pm

    What an interesting and informative post … Thankyou for sharing …

    Reply
    • Diana February 12, 2017, 1:56 am

      Thank you Maya!

      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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