TAS 016 Income Report – February 2015 – $25,000 Amazon FBA Sales

This is my first Income Report posted on The Amazing Seller blog and podcast. I wanted to share the numbers to show that these numbers are possible by selling as and FBA Private Label Seller.

There's many sellers out there that are blowing these numbers away, but I wanted to share my journey and hopefully share how I plan to grow my business over the next 12 months.

Below you will find my notes I created for the podcast. I thought you might want to see them broken down.

Total Amazon Sales Generated in February 2015 –  25,079.33

  • Here's the break down:
  • 1289 Units Sold
  • 1179 Orders – Customers
  • Product Costs – $14,333.68
  • Amazon PPC = $1,255
  • Profit = $9,490 Feb = $339 Day ($10,168 30 Day Numbers)

*Average Sales – 46 Per Day

Cost Breakdown

-Sale Price – $19.97
-Amazon Fees – $5.67
Amazon Fee Breakdown

  • Handling Fee $1
  • Pick and Pack $1.04
  • Weight Handling Fee .63
  • Referral Fee $3

Product Cost = $5.45 + Amazon Fees = $5.67

Cost = $11.12 Total = $8.85 Profit = 44% margin

[divider] How I Can Improve Margins – Save Money Improve Margins

  • Trim PPC Focus On Converting Keywords
  • Ship FBA Direct $193
  • Amazon Label – $258

Total Possible Savings – $451 = .35 cents per unit


Why Amazon PPC Works To Increase Organic Sales
Amazon PPC Spent  $1,255 – Sold 110 Units – Helped Rank Keywords
Result of using PPC – 1179 Sales From Organic Search

[divider] Additional Monthly Fees
AMZ Shark – $25 Month
Feedback Genius – $80 Month
Sample Fees – $100
[divider] Key Takeaways and Lessons Learned

  • Use PPC to get sales to help rank organically
  • Do small promotions – 10 per day for 3 to 5 days spike sales
  • Use Super Keyword URL
  • Get Reviews – Increases Conversions – 2% can help – 100 people that's 2 extra sales

What I'm Working On For March 2015
-Working on Product #2 – Goal is 10 to 20 sales per day
-Had 9 Sales Yesterday – I'm Averaging 5 per Day
-Experimenting with Price Change – Coupon Code $5 Off
-Product #3 in production – April 1st launch
-Building landing page for product registration – email list
-Insert to drive people to page – extra stuff to help use product + Warranty


Links Discussed:

FBA Calculator – Estimating FEES
Tomoson.com – Blog Review Promotions
AMZ Shark – Tracking – Sales Estimates – Keyword Spy
Feedback Genius – Email Follow -Up Delivery

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Join the discussion

  • Hi Scott,
    Thanks for the podcast, enjoy it very much.

    I checked out AMZ shark now it’s charging $300 per month, 🙁 I like some of the features but I cannot afford it at the moment, do you have other options that does similar thing?

    Thank you

  • Hey Scott!! I’m playing catch up.,,,if that’s possible. I was wondering; does your Product Cost of 14,333 include the cost to not only reimburse your past purchases from the supplier but also the cost to order a new shipment? Or would you take your next order out of your profit?

    Thank for your time!!

    • Hey Carolyn, your product cost is your product cost, so if you cover your product cost and decide to reorder you would put that same money back into the product. Profit would be the money you make AFTER you cover your costs.

  • Scott

    When you bundle the products, do you need one UPC code for whatever pieces you plan to put together? Do we need to re-packaging the bundle products and put them in one box?

    Thanks for the wonderful podcast

  • Hi, the warranty offer is interesting! Quick questions: Is the warranty the same pdf download for everybody? Where can I find a template? What about time stamping? Anything to be aware of when offering the warranty?

    • Hey Gerald, if you offer it as a pdf it would be the same for everyone. No need for time stamping since Amazon will have their purchase date and your email provider will time stamp when they submit the form!

  • Scott,

    As always great podcast.

    I am not sure if you would be the best to ask this since you said you do not have the manufacturer put on the amazon labels for you.

    From what I have been reading you need the UPC code for the product but it does not actually need to be on the product if you have the amazon label put on? is that correct?

    If so wouldnt we be able to purchase a bar code for the product to list it on amazon and then have the manufacturer put on the amazon label instead of a bar code?

    I may be completely wrong on that one but I am looking in to it.

  • Hi Scott,
    Thank you for the amazing podcast! You rock!
    I’ve been listening to your podcast and I’m about to place order for my products. I want to dig deeper to your numbers here so I can better understand how this thing works!

    Does your product cost $5.45 include duty and shipping cost from China to your house?
    How many units did you give away to get review?

    If you spent $1225 to sell 110 units by PPC, that’s 57% ACOS! Is this normal or it’s on the high side?

    Thank you and keep up the good work!

    • Hey Terry,

      Your ACOS will depend on your bid, product price, and competition. 57% is a little high, but not completely out of range to get started, once you start to pare down the keywords that don’t perform for you, you’ll see your ACOS get better! When I calcualate my profit I like to roll all of my costs in, product cost, shipping costs, and FBA fees.

      I generally suggest giving between 50 and 100 away in exchange for review to start with, but it will depend on how competitive your market is!

  • Hi Scott,
    First of all I want to say thank you for all of the information you are providing. I’ve been learning about branded products on Amazon for about a month now and found your website and podcasts last week. You’ve done more to help me in a week than in the entire previous month.
    You’ve mentioned limiting giveaways to 10 – 15 a day. This was something I had already thought of doing to try to show steady sales to Amazon, but I could not figure out a way to put a limit on it. Does Amazon offer a way to limit the number of coupons per day? How are you doing that?

    Thanks again for all you are doing. I plan to be interviewed on your podcast as a success story in the near future.

    • Hey Rodney,

      Amazon doesn’t limit the number of giveaways per day (as far as i know), but you can limit them yourself by only giving away 10 to 15 codes per day!

      Does that make sense?

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