This is probably the most exciting part of the journey. Placing that 1st order of products, ready to send into Amazon’s warehouse. You’re so much closer towards launching your real and profitable business.
The 3rd step
If you haven’t read the previous guides, then you need to do so. This is because, this guide is actually for those ready to send products into Amazon. It’s the 3rd step. I’ve done this many times, as I have done the previous steps as well.
You can’t fast-forward to this step, just like you can’t fast-forward in life. There’s no shortcuts to success. But there is training, directly from real Amazon sellers, that can get you there so much faster. That’s what I did, and what thousands of people also have done.
Basic assumptions
In writing this guide, my assumptions are:
- You’ve decided on your product niche
- The perfect customer has been detailed
- You’ve ordered and inspected more than 1 sample
- You’re happy with the factory, and they seem great
- The research you’ve done has shown great profitability
- You realize that paying for products is investing for the future
There are more assumptions too, which would pertain to individual products. For example, with my men’s corporate socks example, I’ve checked their quality thoroughly. I’ve even washed them a few times for a longevity check.
When it’s showtime
This part is full of emotion. You’re nervous, but excited too. You’re sending money to a foreign factory you’ve never seen, in the hope you’ll get it right the first time.
Here’s some key pointers for you…
- Have solid contracts in place (you’ll find such paperwork in all Amazon courses)
- Define every single possible specification possible, such as length, weight, size, colour(s), ratings and materials
- Get the Chinese factory to physically stamp the contract, using their in-house company Chop signature
- Everything should relate back to the original sample, in every way possible. The sample is their reference.
And then just breathe. Remember that in almost every case, it isn’t the Chinese trying to do a bad job. They make 80% of what you own right now. Almost all of it works without any issues.
You, as the individual, have the responsibility to define everything, so that your product gets manufactured without any issues.
When you make payment, you’re only paying 30% down. It’s a deposit. The factory will then buy the raw materials (such as organic bamboo for my corporate socks) and start manufacturing. They will manufacture everything the same, all according to your paperwork.
Production completion
Upon completion, this is where you’ll want to hold off on the remaining payments. You’ll organize factory inspections by trusted inspection services. This includes V-Trust and KRT inspection, both of which have an excellent reputation in the marketplace. I’ve used both.
Their staff will visit the factory and check your product for defects, saving you the time and hassle to fly over. They’ll send you photos – lots and lots of photos. It’ll leave you with lots of peace of mind.
It’s from here you’ll make payment of the remaining 70% balance, which is generally once your product has reached the closest port. This is because most factories follow ‘FOB pricing’, which effectively means, the price they quote you, also includes free shipping to the closest Chinese port.
From here, your shipment is off to the US, ready for sale on Amazon. You’re almost there! You’ve achieved what very few people on the street will never do, or have the courage to do.
Shipment options
You’ve got a choice of 2 shipment options for your product. These are:
- Air freight, which is faster but more expensive
- Sea freight, which is slower but significantly cheaper
In the case of my corporate socks, my initial calculations showed that I’d still make a profit, even on air freight. Despite the cost savings on sea freight, I do want my initial investment back quickly. Effectively, the sooner I can start selling on Amazon, the faster I’ll be able to build this business to a full time income.
It’s really up to your calculations, and your product, as to which route you’ll choose. I’ve done both, but my products differ in type. Some products can’t go on the plane, such as flammable products. And some products are so uneconomical to fly due to size, such as furniture.
My thank you
I just want to thank you for taking the time to read each guide that I presented here. Even more, you may have read some of the other content I’ve shared about building a successful Amazon business. You might be interested in a course, and you just wanted to check if I’m the real deal. It’s great that you’re doing your research, even on me! 🙂
Investing in my knowledge has created the best return on investment. Ever. When I found my 1st Amazon course, which is the famous Reliable Education, I knew I had found the best training available, created by a fellow Australian. Please note that I was student #5 and the course wasn’t even finished, but I had a solid feeling that this would work for me.
It could work for you too, if you’re prepared to work. That’s the 1st word in my blog title, and I’ve been here since 2011. I’m not afraid to work, to be committed, to invest some capital and really strive to get myself started on Amazon today.
I hope to shake your hand personally in the near future.
Onwards and upwards!