The second TAS Breakthrough LIVE event just wrapped up and the amazing conversations and ideas that happened are hard to describe after the fact. But on this episode, Scott and Chris are going to give it a shot! So take some time to listen in to find out if events like this are something that could move your online business forward in the future. These two guys are sold on the value of these events and even read powerful testimonials about how this event served to move the businesses of other people forward. So sit back, listen to what these two guys learned, and how you can get involved in a similar group or event in the future.
The important role that personal connections make in the advancement of your business.
Everyone knows what it feels like to be discouraged. And conversely, everyone knows how good it feels to be encouraged by someone who is like-minded and gets where you are headed. There’s nothing like it. Chris and Scott have learned that events like TAS Breakthrough LIVE are a wonderful place for people who are working in a specific niche to gather, learn from each other’s experiences (successes and failures), brainstorm ideas for making each other more successful, and much more. But none of it will happen if you aren’t in a situation where you can be encouraged in those ways. Find out how you can connect with these events yourself, on this episode.
Once you’ve got a private label product on Amazon should you go wide or go deep?
Once you start to experience a bit of success selling private label products on Amazon you have a decision to make. Are you going to sit back and be satisfied with your current level of success or are you going to press forward to grow your success? If you’re going to press forward you have another decision to make. Are you going to go wide by finding building new brands that are unrelated to your current product? Or are you going to go deep by adding adjacent products that make your current products even more effective? On this episode, Scott and Chris talk about a scenario they discussed with the group who attended the TAS Breakthrough LIVE event where a current successful Amazon seller was asking this question.
Should you use Kickstarter to launch your products? It’s possible, but not easy.
If you are looking to launch a private label product on Amazon there are many ways you can go about it. But every one of them is going to require hard work and effective marketing. At the latest TAS Breakthrough LIVE event, one of the hot seat sessions focused on a successful Amazon seller (he’s making $25K per month presently) who has used Kickstarter to launch every one of his current products. In every case, he’s had a successful campaign that fully funded his product launch, but he wants to do even more. The guys had a great time helping him think through his Kickstarter strategy, why he’s doing things in that way, and what his end goal is for his Amazon business efforts. You’ve got to hear this part of the conversation, it’s a fresh look at the product launch approach that you’ll enjoy hearing.
There’s often potential to grow your brand even if you’re already successful.
At the recent TAS Breakthrough LIVE event, one of the people on the hot seat was trying to decide how she could grow her brand even more, even though she was already selling $80K per month. What? Isn’t that successful enough? Maybe, but it depends on your end goals. This seller wanted to build her brand even more and was unaware of some very obvious things she could do to make what she’s currently doing even more successful and the hot seat session helped her get clarity on a game plan for moving forward and reaching even higher levels of success. You’ve got to hear her amazing story.
OUTLINE OF THIS EPISODE OF THE AMAZING SELLER
- [0:03] Scott’s introduction to this episode of the podcast!
- [2:23] The value of sitting down around a table with successful people.
- [5:54] A powerful testimony from the last TAS Breakthrough LIVE event.
- [10:20] The type of “what if”s that push everyone in the room forward.
- [19:51] A hot seat example from the event: Do I go broad or deep?
- [24:55] Another situation discussed at the event: Using Kickstarter to launch products.
- [33:44] $80K per month selling multiple SKUs: should she grow or start a new brand?
TRANSCRIPT TAS 284
TAS 284 : (Highlights) TAS Breakthrough LIVE – Lessons Learned – Hot Seats and How to Grow Your Business
[00:00:03] Scott: Well hey, hey what’s up everyone! Welcome back to another episode of The Amazing Seller Podcast. This is episode number 284 and today I am fired up because we're going to be talking about everything that went down at our TAS Breakthrough Live Event in Phoenix Arizona and I'm doing this intro with my good friend on here right now because he's going to help me is Chris Shaffer and we're going to dive into the takeaways…
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…everything that we took away. But then what the conversations were happening and some of the hot seats that we discussed. Chris Shaffer, are you fired up still from this event?
[00:00:39] Chris: I'm fired up and I got to tell you, I have so much fun with these. That is not even funny. It really isn't. There's so much value in this for us even. Like you and I get takeaways from these which is really, really, really cool because… And one of the things we're going to talk about we're not even the most successful people on the room some of the time. The fact that we can get together and have the conversations that we have… We had both Saturday and the stuff we drove into Sunday as well in the second day of the event are just absolutely amazing. You get different perspectives on everything which is Scott one of the things that you talk about all the time. Is surrounding yourself with like minded people but never wanting to be the smartest person in the room.
[00:01:31] Scott: I couldn't agree more. It's 100% true.
[00:01:35] Chris: That's exactly how I feel at these events.
[00:01:37] Scott: The thing is I didn't know what to expect. I always get a little bit nervous because you're doing this event, you're hoping people are going to walk away with value, you want to hear feedback, you want to hear honest feedback but you’re hoping it's going to be good and we really wanted to make sure that everyone walked away with some actionable stuff. I'm a big fan of going to an event but the walking away with a notebook full of stuff that you want to go ahead and start implementing and I have a notebook with stuff that I want to take action and I know you do too.
We have stuff within the Amazon space stuff, externally and then also with TAS now that we've gotten feedback from people as far as what they want and what they need. There's just so much stuff that we took away. Not to mention the people. I just said this, I forget who I was talking, may be I was just talking to my wife about it. I said now that I was able to sit down again with some of these people that are repeat breakthrough live attendees like the Armstrongs and being able to sit down around a campfire at night and just really just talk about life, not just business, not see the inner workings of what makes a successful person successful. Because a lot of times it's not necessarily the business, it's the mindset and that's really what I took away. Those fireside chats if you will but they were like we were like sitting around a fire.
[00:03:02] Chris: It was a literal fireside chat.
[00:03:04] Scott: It really, really was. What I did want to do though is I wanted to make this episode actionable as well because there were some hot seats that we did. We did actually ten hot seats on day one and what we did there was we listened to sellers as far as like what they’re stuck on right now, what they’re needing help with to move forward and the cool thing was is these aren't like people that are getting up there like I want to know what product I need to select. Now, there is nothing wrong with that but these people are past that and most of them, way past that. Some of their sticking points we were scratching our heads saying, “You seriously think that's a problem?” Like the one girl…
[00:03:50] Chris: It's the quality of the questions and the quality of the consumers that are different. It's not to say like you just said that being stuck on product selection is a bad thing. That is one of the most difficult things. But it's not necessarily a business problem or a growth problem. It's a mindset problem. If you found these products and you now have selection paralysis, this is what I’m going to start calling this, you have to pick one and there's not really much we can do to help you pick one other than the numbers and go, “That's the one I'd probably pick.”
Some of the questions that we got were how do I work better with my partners, how do I grow past the cap that I've hit in my business? Do I create a second brand now that I've made this first one successful or do I keep pursuing those? It's stuff that you and I don't necessarily think about on a daily basis. We get to sit there and discuss with not only the person asking questions but the other 29 people in the room which is really, really cool.
[00:04:47] Scott: Absolutely. I think once you start to see that you're like, now we're out of the gloom and doom Amazon world because a lot of times and again I don't want people taking this the wrong way when you're first starting you do have doubts, you do have fears, we all do, we still do but the thing is once you start interacting with these people that are passed that mindset, they're not thinking like Amazon or their ecommerce business is going to go away tomorrow it's more of like, “Okay what's next now that I'm at this level? What do I do to move forward?” That's really what I do want to break down here.
Before we jump into that though, I've been getting some emails from people, I've been getting some messages just saying how I guess excited they are but then the things that they are going to do like Jared who was on the podcast from our last event who says he's already getting ready to build his external list to 10,000 subs by January first. I've been getting a lot of feedback from people saying how excited they are to really implement what they learned but I did want to read this one. Chris if you don't mind pulling that up just read the one… This one here came in last night literally and I was like, “Holy crap. That's pretty powerful for us to hear because you don't know the impact until people actually tell you the value that they feel it's worth by being around these people.” If you could read this Chris, that would be great.
[00:06:18] Chris: Absolutely. “There's actually two things I wish to share. The weekend was amazing, my brain still hurts. Not only was the material covered way deep but the average IQ in the room was seriously hampered by my attendance,” and honestly guys, Scott and I feel the same way. “Astonishing knowledge base. I've already made huge changes to our processes. I can't thank you enough for the effort you put into this and the curriculum. I wish I could have some time to get to know you and your wife a bit but perhaps the next TAS Live as I will be there for sure. I was second guessing my decision to come right from the time I pressed the ‘Pay Now' button but since a bit of time has elapsed from the weekend, I realized I received over $100,000 in knowledge.
That's one hell of an investment return. Thank you many times over.” On day two we talked a little bit about starting to use your Amazon customers to build a list externally and he said, “I had my VA take the last two hundred people that purchase the product do what we talked about on day two, did a little research and found my audience. Bam. Now we know what to market to,” and he signed off from there. I think that's absolutely powerful. Not only was he able to get a ton of value out of it but he was able, he's already since then and this is Thursday after. It's been a few days since you and I flew back finally. He’s been able to take that and start to apply that already, which is really, really cool.
[00:07:42] Scott: I just said our voices finally came back too because I didn't think I was going to make it through day two because day one we were speaking but then we were also doing a lot of conversations and stuff either during or after and then day two we made it through that then on Monday I did a little sightseeing and my voice was shot. Mine is back, your's is coming back so we're good there. I agree, and the cool thing about this is he took what he’d learned and then he instantly like went out there immediately went out there and implemented it and he's already got an action plan. I guess that's the point that I really want to make here is that when you go out there and you learn something not just consumer and you take action, you will get results.
Now, are his results going to be exactly as he plans? Probably not. But he will get results. I just want to say the big takeaway that I got really is that the people that are coming to this little mastermind if you will like less than 30 people, like 30 or less people in a room it's so powerful. I had so many people say how powerful that is but these are action takers. These are people that already have launched products. These people have already been through the process and they are just thinking how to grow. There's a different mindset there and when you get that mindset it makes you to start to think a little bit bigger. We had people in the room that were doing $200,000 a month, we had people in the room that were doing $80,000 a month. We had people that were in the room that were doing $100,000 a month, $45,000 a month.
They are doing some serious numbers and we had someone went in the hot seat that was… And we'll talk about him in a second but that was doing $200,000 a month in revenue in there and he had sticking points. and a lot of it was mental blocks. We'll talk about that. There's people in the room that are not thinking that they are the smartest in the room because they have their own set of struggles. It doesn't really matter where you are in the process, understand at least for me I like to think about how I can grow.
[00:09:45] Scott: How can I listen to someone else's story and then start thinking to myself, how can I adapt this to my business. A lot of people don't do that. I'll be sitting there thinking about how can I make this work for my business? Not just, “Okay, that worked for him but it won't work for me.” Do you find that too Chris?
[00:10:05] Chris: I do and not just while we're sitting even while we're thinking like I know during the Q&A portion Ty asked a question about PPC. Ty the PPC guy asked the question about PPC. It makes you think through these things in a different way just because of the types of questions and the types of problems that come up. You're forced to think about how those things apply in your business. Not just for us but for everybody that's there as well.
[00:10:31] Scott: This wasn't planned but let's do that, do you remember the question on Ty’s question, Ty Roney by the way. Do you remember his question?
[00:10:41] Chris: I'm sure I'm going to butcher it. It was something along the lines of, one of the things that we always talk about is the way that you rank in search in Amazon is through sales and that's influenced by conversion rate. His question was something along the lines of, “If you could pay a penny per click in PPC and convert at a 1% rate, would you do it? Because your conversion rate is going to be affected by that.” Most of us are converting between 15% and 20%. In theory, that drags your conversion rate down. I gave the answer that I know you hate. But I always try to justify it. I said it depends. For me, again I was thinking through this on the fly, for me it depends because what I care about is not necessarily whether or not that affects my overall conversion rate, which I think it might at 100 sessions it may or may not.
But, whether or not it influences my conversion rate for that specific search term or keyword. If at one sale out of a 100 is helping me improve for that keyword or search term then I’m going to do it. At one sale out of 100 if I'm dropping in rank on that search term, then I'm still going to pause it because I want to convert at a higher rate for that search term because it means I'm going to get more sales which means I'm more likely to rank higher for that search term. Does that make sense?
[00:12:16] Scott: Yeah, that makes total sense. Again I don't think there's a right or a wrong answer there. It was a great question and it was funny that Tai actually raised his hand and asked. I'm like, “What the heck is Tai asking here.”
[00:12:26] Chris: It was stump the moderator.
[00:12:27] Scott: Yeah, I think it was. I think you did very well on your feet and it was a good answer and I think it does depend. It really does. It truly does because it could work for some and maybe not work for others. My initial thought was, “Man I don't want 100 people going to my listing and not converting, only converting to one because I think that that would hurt.” But in the same breath like you were saying, if you can get one or two to help you convert so this way here you can help rank then that may offset that.
[00:12:58] Chris: And it's relative. Because some keywords or search terms, I guess if we’re talking about PPC, but your rank is determined based on how likely you are and this is just the way I phrase it, obviously it’s more complicated than this, but based on how likely you are to sell for any given search that a customer runs. That's why when you look at Jungle Scout sometimes the top selling product isn't ranked number one. It's because the other product has been determined by Amazon to be more likely to sell, one of those factors is your conversion rate for that keyword or that search term. If everyone else is converting at 0.5% and I'm converting at 1% then I'm converting better than everybody else. If everybody is converting at 10% and I'm converting at 1% I'm converting worse so I'm going to drop.
[00:13:47] Scott: Yeah, I mean if you're thinking about this stuff as far as like your conversion rate and all that stuff it does need to be tested but I just want to highlight this again. Here we are again in a room of 30 people and then we start this conversation and then you're going to get people making their own suggestions. This really was a great question that started that conversation but again people that you would think that are already, they know exactly what that answer is, they are really unsure and they are asking questions and they are not afraid to ask questions and that's what I love about these small groups.
We did get a lot of feedback from people saying they loved the small intimate groups. They'd rather this than hundreds of people because this way here we're able to connect on more of a one on one basis. Everyone can chime in the room. That leads me to my next thing. Like connections are made here. Like relationships, partnerships, really strong friendships are made and I told you this just before we got on here. There's a couple of guys were at the last event in Denver in the TAS Breakthrough Live in Denver and I didn't realize that they became really good friends and that they were talking once a week and they both came over at dinner on day two and we talked for good thirty minutes and we were just talking back and forth. They were like, “Yeah I don't know if you realized Scott, our success is totally because of you.” I'm like, “What, wait a minute, you guys actually had to do it.”
“Yeah but if I never listened to the podcast because if you never got me started and got me through those initial stages I'd never be where I am today. I wouldn't be here today to grow further,” but one of them is doing six figures a month, one of them is doing $40,000 a month. They are both doing really, really well but they told me that they really feel as though they helped each other grow. That was because of that connection that they made between the two. It doesn't mean it's always going to happen but I do believe that those friendships, those partnerships and they aren't really partners but they are in a way that they are helping each other.
[00:15:49] Scott: I just love that and if you guys are ever thinking about attending event, really think to yourself what do you want to get out of it. Is it the content that is just being taught or is it the connections and the networking and the friendships that can be made and also think about… And this is what I think a lot about Chris and I've talked to you about this. If there's an event with thousands of people, I need to know that I'm going to connect with 20/25 people somewhere somehow. If I can't then it doesn't really make sense for me to attend that because I want to be able to surround myself with a smaller network of people. Now if I’m going to an event of a hundred or less than I have a better chance. That's just my feelings. What's your thoughts on that?
[00:16:29] Chris: Yes, I agree with 100% and I'm going to throw this out here. For those of you guys who don't know, this is how Scott and I met. Again a virtual type environment but we were in a group with thousands of people and we took that and Scott you reached out to me he said, “Hey, I'm going to reach out to a couple other people that I see that are active,” and that's what you have to do in an event with thousands of people. Then we started our own little mastermind. I think we had 10 people in there. We grew from there but in this smaller group, you're all very like minded and that's one of the reasons that the Armstrongs come and they live fairly close to me now, now that I’ve moved.
It's funny because there's really nobody in our area that gets together and talks about these things. There's not very many people who sell online, it's not quite a big of an entrepreneurial area. It's much more of people who have a 9-5 and you go from there. That's one of the reasons that they come. It's because you can not only get the learning but you have the relationship building and all that stuff. And you get to sit around the fire and you talk business, personal, everything in between and you get to grow beyond just the surface stuff that you would get say in a mastermind and develop real relationships with people and learn not only from their business stuff but from the minute details that come out when you tie their business stuff and their personal stuff together and you get to see why they’re successful, not just they are successful.
[00:17:59] Scott: I agree. It's funny this time I brought my wife and which was amazing and she got to have dinner with us on both nights. She wasn't at the event all day, she was with my daughter but she got to meet everybody and everyone was just so kind but she said to me afterwards, she's like, “I can now see what you mean about having these intimate meetups or these events because you really get to see the people and you get to really understand their story and you get to understand more about them and what makes them tick and it also gets you excited and fired up to want to grow right along with them.” She really seen that and she highlighted that back to me.
I'm so glad she did because sometimes you just, you don't understand unless you're there. She said there and talked with Ty Roney for probably 25 minutes straight and just talked about life, family. Just all of that stuff and it was really awesome and again I just think people need to understand that whether this is online or at an event, there's ways for you to reach out and connect yourself with like-minded people and I think that's your little immediate support group. When you have that little group it helps you to grow, it helps you get through those tough times and it's just something that is really, really powerful. Whether you attend one of our upcoming events or someone less just evaluate it, what you want to receive from it other than just the content being taught.
That to me is a bonus in a sense. Yes you're going there to learn and you're going there to grow but ultimately it's the people that are going to be there that are going to make it really, really valuable. Let's just into… I'm sure we'll have other little tid bits we can throw in there as we go through these stories but I did want to highlight three of the hot seats. One of the hot seats was… I'm not going to mention names in here either because we haven’t talked to these people about sharing but I can at least share the gist of the story.
[00:20:02] Scott: This one here was from, again it's funny how now that I have went to this event I can see the people that I've attracted and they are a lot like me. I've always heard that but I never really believed it but it's so, so true. I get people of all walks of life but they are very similar in their mindset and their goals and their missions in life but also maybe what they came from. This guy here was a plumber. You guys all know I came from the construction field. We had another guy there that was a contractor. I had another guy there who was a truck driver. I can see that people resonate and relate to where I came from. I know all about the plumbing industry so him and I had a lot of good conversations but we were talking about him building his Amazon business.
What I want to highlight here is he had a unique problem and Chris if you have more details on this, because I'm just going to go on top of my head here, the question that he had from us was he had a popular product that he was selling and the thing was is that he only had one product. He wanted to know what he could do, and I believe he ran out of stock a few times and he was going to get in stock but he wanted to know like what do you recommend I do at this point? Is that how you remember it Chris?
[00:21:19] Chris: Yeah it boiled down to do I broaden out my niche a little bit or do I go deep?
[00:21:30] Scott: Yes. I think what we were talking about there was there's only so far you can go with that one product and again let's go back to the vacuum. If we talk about a vacuum and you sell a filter for that Dyson, there's also Hoover that has filters. Do you go along that line and just adapt it to that or do you go completely different and get out of vacuums and go into something else? Is that how you seen it? What was our advice Chris? Do you remember?
[00:22:02] Chris: I remember what you said or I said. To me what it came down to was you can absolutely go deep on this product. That's probably where I would start. Is that what I said?
[00:22:20] Scott: This is not rehearsed by the way. I think the gist of it came down to this. Number one we were so like just I guess giving him like all type of high fives because here he was, I think he's got six kids too by the way. He's saying to himself, I want to try this thing and what do I know about and he knows about this industry. He actually bought something as a close out for retail arb and then found out, off the shelf and then instantly listed. I think he bought it for $10 and sold it for like $40. Something like that. It as something crazy and then that's what had him to start to see that there was a market for this.
His problem was again, I got the one product. What do I do with that? I think our overall advice to him was try to take that product and yes if it could be adapted to different products across the board then do that. That's the easiest way to do it but then start finding those other products that could be potentially the same thing that could serve another product but then have multiple ones across that, if that makes sense. It's kind of like I said like the filter for the vacuum. If you have a Hoover there's going to be a certain five filters that that goes across. If you have a Dyson, there's going to be five filters that go across.
Then you can build it out that way but still staying within your niche. So if someone needs a filter they're going to go to you because that's what you carry. I think that was the advice that we had. His was unique too because we talked a lot about like building up your email list and being able to do external stuff and this here is really like a non-sexy thing. If you were selling filters, that's not sexy but could you still build awareness around this and this is where our vacuum cleaner came in because on day two we talked about this contest model.
[00:24:18] Scott: In the contest model. There was a vacuum that was being raffled off someone was doing a giveaway and they had like 30,000 entries but then you would say to yourself, “But I don't sell vacuums.” Yeah, but you sell the filter that goes along with that vacuum so if someone won that vacuum they're interested in that filter and if people are wanting to buy that vacuum, they may be a diehard Dyson person and they are going to need filters for that in the future so you can follow up with that. Just to wrap around the idea of this is a non-sexy product maybe that he's selling but there's still ways that you can build out around that. Does that make sense Chris?
[00:24:55] Chris: It does in deed.
[00:24:57] Scott: All right cool. Let's move on to the next one. This one was funny because, not funny in a bad way it was funny because here a guy comes up sits in the hot seat, he goes, “All right so first off give you a little bit of background on me. Right now currently I'm doing about $200,000 a month,” and I'm like, “Okay. You might be in the wrong room.” I didn't say that. This guy is crushing it. We got to the root of it and just to let you guys know he's done Kickstarter programs or Kickstarter campaigns for a lot of his products. This is a guy that can actually create his own products, he's created products from scratch. He's got a pretty unique skill set. His thing was his Kickstarters have not been that successful in his eyes. Chris why don't you talk a little bit about that.
[00:25:53] Chris: Right. Basically what he said was I want to run a top Kickstarter campaign I don't think mine are being successful. Do you have any advice? Because for those of you guys that don't know, Scott you and I talked about this, my team has actually helped people rank external campaigns. It's not an easy process. You just don't put it up and make money there's actually a lot of marketing involved in raising that money. He said, “Do you have any tips or tricks to help me do better in Kickstarter.” We said, “What are you doing on Kickstarter?” He said, “Are you not getting the campaigns funded?” “No they are at least getting funded and more than pays for production I just want to be able to hit like the million dollar campaign or this insane level of success on Kickstarter. Like the 1%,” the people like the pedal watches which just go absolutely viral and everybody and their brother wants the thing.
You and I looked at each other and said, “Is the goal to do that or is the goal to build a long term sustainable business?” That was the conversation we ended up having. Do you want to make money doing Kickstarters or do you want to build a long term sustainable business? By the way, since you're already paying for production, that's not a not successful campaign. You to get this product done it's costing you nothing out of pocket so even if you never sold one, you would at least break even. You're getting your production paid for, you're getting all the customization done in advance, you have a completely unique product when you go to launch it and you have a list of people to market it to that can potentially buy it again or share with their friends or do any of those kind so things. That's the conversation we ended up having.
[00:27:35] Scott: Yeah, well and we got to the root of it because I'm like, “Okay, wait a minute here.” I said, “Typically how much is your Kickstarter doing?” He's like, “Between $20,000, $30,000,” and I'm like, “Okay.” “That pays for your first run and it does the mold, it does stuff that you are doing but you want to get to that one that does a million.” I said, “Is this about you having that trophy of saying that I did a million dollars in a Kickstarter?” He goes, “Yeah it is kind of.” I'm like and that's fine, if that's what you want that to be, that’s fine. Don't stop there, that's okay but that can't be like the final thing. I think what you need to do is work on building out your business right now that's doing $200,000 and continually add to that because that is long term.
Not to mention if it's getting to like the million dollar pay day, well if you're at $200,000 now depending on what your profit margin is and you're netting, you can sell off that and get your million. Because you're going to get 20 to 30X you net value. He shook his head and he said. “Yeah, I get that,” but it really came down and he admitted this afterwards, it's mindset thing. It's like why am I doing the Kickstarter? Are you doing to just fund your product creation and the answer was not really it's really to see if I can hit that million because that would be cool. At this point doing $200,000 a month he's feed onto the fire. He's doing now that's fun to him.
Which is cool but in the same breath you may be trying to go after something that's going to be really, really hard to hit but it's okay because it's going to drive you and if you hit that million on Kickstarter then that is awesome but then you're also going to be able to take that product and then start selling it on your platform and Amazon and any other ones that you want to and you have a really kick bob product. What I took away from this was here's a guy that's doing $200,000, you'd think that he's like, “Okay, I made it.” His hands up in the air and he's like, “Yes, I'm rocking it,” and he still had goals and he still had things that he was shooting for and I think that's how it's always going to be.
[00:29:50] Scott: My good mentor, Tony Robbins has said, “If you're not growing you're dying.” I think that that's so true because if you think that you're reaching like the end point you're not thinking with the right mindset because you're then not striving to do better. Whether that's better not just by financially but maybe it’s that you want to reach more people with your product to help them, maybe that's the mission, maybe that’s it, maybe it's a cause, maybe it's something like that because once you hit that goal for money that you need to live the freedom lifestyle then after that it's what are you doing it for. There's going to become a bigger mission there.
I know that himself talking to him personally stuff too like he wants to do good, he wants to create like innovative products that people can use and enjoy and be part of that and it would just happen that Kickstarter would be a million dollar Kickstarter but I think we got him on the right track. I think he's still maybe play around with that but he is looking more at the long term plan and maybe an exit strategy. I will say one tip that he told us all there was is if you run a Kickstarter program for your product and even if you don't even get the funding or even if you don't meet your goal there, the ranking inside of Google for your product will be very high because Kickstarter ranks really high within Google. After that ends there’s still a link that can get sent to wherever you want to send it. Isn't that correct Chris?
[00:31:20] Chris: Yeah.
[00:31:20] Scott: That's what I thought. The ranking there is really powerful because the authority of the Kickstarter.
[00:31:28] Chris: I think there’s another important takeaway and I'm saying it's important because this was one of my pieces of advice. Not because it's necessarily profound but because I think I'm important, no I’m just kidding. He said the goal is to get to that million. I said, “Okay.” There's two ways that you can approach this. You can either only pick products that can potentially get you that million or you can continue doing exactly what you're doing and you’re still going to get to that million eventually because you're going to hit a product that goes.
But it's the same thing and think it applies to everybody that's listening in terms of Amazon products selection. When you're looking at doing Kickstarter and adding in that whole layer stuff. You don't want to only look for home run products. You want to look for singles, you want to look for bunts, you want to look for doubles, triples and eventually by accident, by building your foundation correctly, by looking at a bunt, a bunt on an in-field can turn into a double. A double based on an outfield error can turn into an the park home run. For those of you guys who don't know baseball, they are doing better than I thought they are going to do.
It happens all the time with Amazon as well because you say, “Okay, I'm going to get 10 sales a day,” and then all of a sudden you end up at 30. That to me is taking a single or a double and turning it into a triple or a home run. The same thing can happen on Kickstarter. Just the run of the male product that you don't necessarily know are going to do that well can get you that $500,000, $1 million campaign because it's something that everybody needs.
[00:33:07] Scott: I agree and the other thing that I guess that I would say for the takeaway that I took away with him is that he just basically says I love creating brand new products. He enjoys the design. He enjoys the finding a flaw in something and then making it better. He just enjoys doing that. That's like his thing. So keep doing that, like why not. Like you have a huge advantage like being able to do that. That would be the takeaway for anyone for anyone else. If you enjoy doing something and it can then in turn help your business grow then don't stop doing it. Do it. Have fun with it.
Okay, the last one I want to talk about, real quick is the 80 month with one brand story. This one here is pretty interesting. I think I forget how many SKUs she has. It's a lot. I know it's a lot. A lot of SKUs. It's quite a few SKUs and each SKU might only be doing 4/5/6 units a day but she's getting to $80,000 in a month by using that model. She's got one brand built right now and she's doing about $80,000 and she feels she has everything optimized, she feels as though it's pretty much running on autopilot for the most with the normal stuff to maintain that. The question was should I start a new brand or continue to grow the one I have? Chris, what was your response? Do you remember?
[00:34:40] Chris: I believe it was continue growing the one that you have.
[00:34:43] Scott: Yes it was. It was. Here's my thoughts behind it and then I want you to talk a little bit about your thoughts but what my thoughts were is like okay so you have a brand that's doing $80k a month and you have multiple SKUs and they are all doing maybe 3 to 5 units a day some may be 6 here and there, if we can take the top performers, the ones that might be… Or even the ones that aren't performing as you good as you think but you can bump them by two or three sales per day across your SKUs, that's going to take that 80 and maybe push it to 90. Because you already have the groundwork done.
You say you’ve already optimized it, which I still say that you can probably take some of those ones that might not be converting as high and maybe bump them up a little bit. However you do that, with that many SKUs, it's going to do them all at once. That's why I would pick a few that you felt that you could bump and this is what we had told her and I would focus on that versus starting from scratch and we asked, we said, “Do you have any thing in mind for the second brand if you were to launch?” She goes, “No not really. Just thinking I would just start over again.”
[00:35:54] Chris: I think the goal was to basically take it to $100k. It was to take it up $20k a month. One of the other things that was said during this hot seat was all my stuff is optimized. That gives me the good ol response of no it's not. Every single time people say that. They may be right, they may not be but we have to have the data to know that. The first thing that we said, “Well make sure you split test your listings.” Use a service like Splitly or something. Even if you just do it in excel yourself to double check that because while we always think that our copy is good and our photos are good, if we can improve that by one sale a day by trying something that we're not trying now, it's worth the time and effort to set up those tests.
Honestly it doesn’t take much time or effort to set those up and let them run in the background and then let the numbers tell us whether we were right the first time or we're right now. You will be shocked at what can happen in your business when you start doing even just basic split testing just testing that main image and see what happens.
[00:37:04] Scott: Main image price, that's the two that I would that I would talked about there at the event as well. I kind of want to go back to this though. Let's just, I think this was the other thing that we had said like okay, I think she's only been doing this for little over a year, maybe a year and a half, which is pretty awesome and we all gave a huge applause because that's really awesome. The other thing that she said was, “Okay, do you have an email list?” She was like, “It's small, very little not many,” I forget what she said but I think it was under 1,000 but she's got a lot of customers but she has a lot of customers that we have a few strategies and we can get those customers’ information and we can start retargeting them on Facebook so that can be another strategy to try to the reach people that have left and didn't but and bringing them back.
That was another strategy that we talked about. The other thing that we said to her was like you’re at $80,000, let's say that you're netting $30,000 and if we were to do like a regular 20/25X because that's usually what you do when you sell off a business. It's usually depending on the growth, depending on how long it's been selling. We do 20 to 25X, basically 25 times. If we took that number of $30,000 for 25X that's $750,000 that that business is worth technically to someone who would want to buy it. You might want to push it to where you get to that million mark and then you're going to sell it off and you're going to exit when you get to the million but the asset that she has is to me incredible and we also made her aware of that and she was like, “Okay, that makes sense too.”
There's a lot of different reasons why I would still focus on this main brand and continue to try to get that $80,000 to $100,000 so this way here the cash out at the end if I was going to exit would be there but also just to grab that extra $20,000 that you can do just by using what you already have versus taking focus and going outside of that. Because I said too, once you go to that second brand, even though you don't think so, it's going to take away from this brand. It's just going to.
[00:39:02] Chris: Even if it just takes away from growth. Even if it doesn't take away from sales, you may be able to maintain that at $80,000 but if you're not at least continuing to do some things like split testing and spending time dedicated specifically to this brand, if you're spending your 40 hours a week, and we keep that number up but if you're spending your full time effort on this brand and you then split that there is going to be a drop somewhere, it may not be in the top line sales but it's probably going to happen in the growth. This brand may have grown from $80,000 to $100,000 by its own. You're now spending that time on another brand trying to grow that to 20k a month so that you can get to the $100k a month.
[00:39:41] Scott: Absolutely. Agree 125%. I think what we really realized and what she realized is that she still has potential there to grow that even though she thinks she's maxed out. We may all think that but there's ways, if you're not externally retargeting people that land on a certain page in Facebook, to me you have not reached your max, without a doubt. There's so much we can do. We talked about that on day two as well as other things and I think she was excited about that. That was the advice we gave there.
Those were like three examples guys of like people that are still willing to learn, are still willing to ask questions and not say, “Well, I'm doing $80k, I know everything. That's not how you grow as a business and I think that being at these events, I learned a ton just from sitting there, giving advice but then also listening to other advice that was being given from other attendees and then just afterwards people talking amongst themselves and listening to conversations is just really, really awesome to be able to be a part of that.
I'm still fired up and I'm still got a ton of things that we want to do and again sometimes it's hard because now you have to prioritize them and say what should we do next that's going to be most beneficial and is going to have the most impact and I think that's a hard thing when you leave one of these. You have to prioritize and let the dust settle a little bit and then start taking action on those things that can move the needle. Chris, any last little bits of thoughts or advice that you'd give anyone right now, depending on what stage they are in this business?
[00:41:19] Chris: First if you are not somebody who likes to go to events, find an event and go even if it's not 100% Amazon focused. Find some sort of way to get involved because you're always going to learn and grow but again it comes down to the surrounding yourself with likeminded people thing that makes the biggest difference. Whether it's people inside the classroom like I know a lot of the people in the classroom have their own little masterminds. I know there’s little masterminds that go on in the bit TAS group as well those type of experiences are going to be what takes your business to the next level. It really is and it sounds cliche and it's the truth.
[00:41:58] Scott: I agree and I think anyone out there listening now understand that you're at a certain part of the journey and you got to constantly be growing and you have to be consuming and I say this all the time but if you consume and you don't take action you're not going to see any of the results. You have to get out there and take action on what you learning. It's really, really important. Sometimes you go to tune other things out. Sometimes you have to not open your email for a week so you can go ahead and stay focused.
I mean on any one that you're following or anyone that you're getting advice from including myself. If I'm distracting you, just put your head down and start working. I think that's really, really critical. Guys, that's pretty much going to wrap it up, I will remind you guys on the show notes to this episode and the transcripts can be found at theamazingseller.com/284 and you can find all of those there. The other thing I'll remind you guys is if you guys are brand new and you guys want to attend one of our live, it's not a live in person but it's live online workshops you can head over to theamazingseller.com/workshop and we can help you over there answer any questions that you have there as well so go over there and register for an upcoming one we would love to hang out with you for the evening or the afternoon, deepening on what time we're doing it when you visit that page.
Chris, I just want to say thanks again. I am pumped for what we have planned in the future as well and guys remember, I'm here for you, I believe in you and I'm rooting for you but you have to, you have… Come on say it with me, say it loud, say it proud, Chris you’re going to say it with me today? One, two three, “Take action.” Have an awesome, amazing day guys and I’ll see you right back here on the next episode.
LINKS MENTIONED IN THIS EPISODE
- www.TheAmazingSeller.com/LIVE – get on the waiting list for the next event.
- www.TheAmazingSeller.com/Workshop – get in on the next workshop.
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