Our guest on the sellerboard show was Oleg Zaidiner – CEO & co-founder of aNavigator – agency, which helps Amazon sellers to increase revenue and reduce marketing costs by implementing a Data Science approach to Amazon PPC.
Contents:
- 4 stages Amazon’s product life cycle;
- Case studies how they get Market Share;
- 2 growth forecast estimation models;
…and much more!
Speaker1: [00:00:07] Hello, everybody. Welcome. This is Fernando, your host from our sellerboard. I have a very special guest for you today. According to him, he has a process to take you from. Zero. Should become a bestseller on Amazon. That’s right. He has a process. He created a process to get you from zero all the way to become a bestseller. Before you watch the interview, though, I want you to ask you to go to sellerboard.com. If you’ve never been to sellerboard, just go there. Click on Demo try. It’s the best tool for Amazon sellers and you have to check it out right now. And after this, you can enjoy the interview with Oleg from aNavigator. And I’ll see you guys at the end. Thank you so much. Hello, everybody. Thank you so much for joining. I have a very special guest for you today. I have here from Thailand’s Oleg Zadina, the co-founder of aNavigator. All right. How are you?
Speaker2: [00:01:19] Yeah, I’m good. Good. Thank you. Thank you for having me here.
Speaker1: [00:01:22] Thank you. Thank you for being here with us. Thank you. We’re excited to have you here. All right. So I know it’s 10:00 AM for you, 10 p.m. for me. You are ready in the future. You’re ready on Wednesday? No, Thursday. I’m on on Monday. Tell me something. Let’s start with your story. Tell me your story.
Speaker2: [00:01:43] Okay. My story started. Okay, let’s start a little bit. Before Amazon, I was doing some start ups in hospitality revenue management and it was very fun project that I sold in 2013, I think. Yeah, it was 2013. Uh, and then I was looking for some new ideas, some new venture. It was here in Thailand. I was literally walking on the beach asking people, What do you do for a living if you just stay on the beach all day? So this is how I find the Amazon idea. It was 2015.
Speaker1: [00:02:28] It was like very early, really.
Speaker2: [00:02:30] Like early days of Amazon. So it was super easy to jump in on this private label. Gone. So I started my private label. Being in Thailand on the beach. Never been in China. Never did anything in the US, but it was very successful brand. We get to seven figures in about a year. Then I find all the things that related to like digital. Part of the like mathematical part of the Amazon is super excited for me. But all the logistics, organizational quality, production, freight forwarding, like it’s too much. So I sold the brand and it was before all this aggregators came, so I didn’t get this crazy six X. So it was.
Speaker1: [00:03:31] More.
Speaker2: [00:03:31] Humble, but it was an exit. And on the way of the development of my brand, I developed a missile. It was a software solution to analyze the market. Because I was doing it for myself. And eventually it became a tool that many people used and I sold it as well.
Speaker1: [00:03:54] Nice and.
Speaker2: [00:03:56] Uh, what I’m doing last two and a half years, I think even a little bit more is it’s called a navigator. We started with my partner Alexander, as a as a software solution. We wanted to compete with you guys on sellerboard. We said, okay, we know how to do it better. And we started as a as a software solution that combine all their PPC management as a tool and all the market analytics as, as, as like understanding the rules.
Speaker1: [00:04:34] And by the way, where are you from?
Speaker2: [00:04:38] Complicated question. I’m from Israel.
Speaker1: [00:04:42] Oh, you are Israeli. That’s so cool.
Speaker2: [00:04:46] Most of my life. Yeah. And now I’m in Thailand. And if you. Last year of the COVID, I lived in Lithuania because my wife’s there. So, yeah, I’m living around the world.
Speaker1: [00:05:01] Right. Well, nice to meet you and other Israeli.
Speaker2: [00:05:04] Okay. Nice.
Speaker1: [00:05:07] Cool. All right, So. And tell me, so what does exactly for the for the people that are joining us now, What does aNavigator do?
Speaker2: [00:05:17] Yeah. Okay, so just this one step back. So we started as a software solution to help brands see exactly the numbers, what’s going on in the market and what you should do with your Amazon PPC to to win the game. Right? This is in very simple words, but what we find out that still, for most brands, understanding and leverage the data is super complicated because there is too many charts, too many numbers and people getting lost. And we kind of we do exactly the same, but we pivot to service business. So now what we do, we help brands do, analyze what they have in seller bought, what they have, and all other dashboards that we create ourselves and we kind of build the strategy and manage it as well. How to win the market share. Because we truly believe that Amazon is absolutely not zero sum, right? There is like whatever product you sell, there is a. Market of defined size and someone took the part of it. So you need to take it back or like you.
Speaker1: [00:06:38] Need to steal it.
Speaker2: [00:06:39] I am fighting for market share, right? So this is what we do. We help take the maximum market share.
Speaker1: [00:06:47] Very interesting. Can you can you explain me a case?
Speaker2: [00:06:52] A case. Okay. Again, I’m not know exactly what all the ends because we work with, like private label brands and we work with, like, multinational, huge brands that don’t know what the private label is. So let’s start with with some private label case. It’s one product brand. It’s a $10 one product brand in sport accessories. Right. And as they came to us and there is like 25 similar products on the market, it’s not something any exceptional. And it took us about a year and a lot of investment from from the brand owner. To gain the market share. And now we manage about 60% of all the order of this specific product. It’s coming from this brand. And of course, because we are number one, we are best seller, we can afford ourselves higher price, higher margin. We have all this.
Speaker1: [00:08:07] Yeah.
Speaker2: [00:08:08] And eventually it was sold to aggregator. And we still work with the same brand. But for aggregator we still keep them manage the brand. This is a profitable story.
Speaker1: [00:08:21] And so how much how much percent of market share did you win?
Speaker2: [00:08:26] And we get to the maximum 62 or.
Speaker1: [00:08:31] Oh, 62. I thought you. I thought you said six. Like what? 60. That’s better. Sorry. Yeah.
Speaker2: [00:08:39] Yeah. And usually it’s very hard. Like maximum get the maximum market share with one product because Amazon tried to kind of diversify the search results and like to get more, you need more variety. And this is what they’ve been trying to do. Now they try to do more like options. And the stories that I usually bring, this is a it’s not a private label. It’s a big brand. They have different channels as well. Like Amazon is just part of the business and it’s it’s gift. So it’s usually works like Mother’s Day gift. So what looks like April May. Right. When is the Mother’s Day? Someone? Yeah. Yeah. I don’t live in the US.
Speaker1: [00:09:37] May. May 14th.
Speaker2: [00:09:39] Yeah, but it’s moving from year to year. But it’s more or less this time of the year. So. And they have, like, huge portfolio of different pieces. But you can imagine for the keyword Mother’s Day gift, there is like hundreds of different huge them.
Speaker1: [00:09:57] Oh yeah. Oh yeah. Oh yeah. Absolutely. Yeah.
Speaker2: [00:09:59] It’s definitely a huge demand but there’s also like huge options.
Speaker1: [00:10:03] Available and.
Speaker2: [00:10:05] Last Mother’s days and I am absolutely sure this Mother’s Day will definitely will will get. Last year it was I think 52% of the market share of the Mother’s Day gift.
Speaker1: [00:10:21] Mm hmm.
Speaker2: [00:10:22] It’s like, again. Its seven figure ad spend in the month, Right? So it’s like it’s huge.
Speaker1: [00:10:34] And how do you do this magic to win more market share with a product that has no differentiation?
Speaker2: [00:10:41] Yeah. Okay. So doing all the things we develop kind of like a framework and we’ll be more than happy to show it to you.
Speaker1: [00:10:51] Oh, yes, please. Please do.
Speaker2: [00:10:54] Yeah, yeah, yeah.
Speaker1: [00:10:56] Yeah. Okay, I’m dying to say so. So let me let me get something. You’re telling me that with this framework, I can get a meet you product and be number one in market share being a copycat with all products the same.
Speaker2: [00:11:17] Uh, there is a few prerequisites.
Speaker1: [00:11:20] Okay. Okay. I know I pushed that. Okay. I’m not.
Speaker2: [00:11:27] I’m not a magician, right? I’m a computer scientist, so.
Speaker1: [00:11:31] Nice. Love it, love it, love it. Love it. Yeah.
Speaker2: [00:11:37] I’ll get to. To the prerequisite. I think the most important one is a margin. And I show you later some numbers and examples have them. So basically, it’s all about stages of the product on Amazon, right? I think this is like most of our clients, they use sellerboard.
Speaker2: [00:12:02] And you know, it it’s all about focus on the right metric on the right. It’s the right time. This is how I try to explain. So when you just brought any new product to to the market, we call it pre-launch, right? So you just trying to understand if Amazon algorithm and Amazon customers like what you brought right And at this stage we suggest focus on conversion. Right. So let me bring in the first stage. You did your product, you did your listing, you did like whatever, like first batch or and then it’s all about conversion, all other metrics at this stage. People. Right. Yeah. But I get this BSR, I get some unit sales. This is my margin. This is my gross profit and. I try to be polite, but this is you kind of bullshit yourself, right? It’s all about conversion. If. If you don’t have a conversion. That there is no way to go and see that conversion. Good enough. First of all, we have a product opportunity explorer from Amazon. We can see some reference what the conversion on the market. So we can get an endpoint and then we have it. This is a triangle. It’s like. It’s an exam that you should pass from the Amazon algorithm. You start to get some organic sales.
Speaker1: [00:13:48] Hmm.
Speaker2: [00:13:51] When you starting to get some organic sales, this means okay. Amazon algorithm give you some like, okay, sounds interesting. Let’s try. Okay. Mm hmm. So this is the first stage. The second stage, we call it launch. And the main metric here is cost per order. In our in our focus, again, it’s not about gross profit.
Speaker1: [00:14:27] So we moved from conversion to cost per order. Yes.
Speaker2: [00:14:31] Right, Right. So we test our conversion is good enough to start with. And then we should focus on like.
Speaker1: [00:14:40] How Sorry.
Speaker2: [00:14:42] About that. How it will cost us to get to the next level, because, you know, you need to invest something to get something. This is basically your marketing budget starts to play in and we.
Speaker1: [00:14:58] Measured.
Speaker2: [00:14:58] Cost per order. And it’s important to understand, like it’s not a general cost per order, it’s on different segments. For example, the product that I was selling, it was like counter pillows back in 2015 and. For example, the segment that related to like neck pain can be one like average conversion and one average cost per order. But if it’s like like stop snoring, it’s a different segment with different cost per order and different conversion. So at this stage makes sense. You probably will not be superstar everywhere, but you can be good enough somewhere, right? And. What we suggest to do on this stage, try to to like push more budget on some segments that reasonable to you that you feel like the CPO is is is enough enough for my business. But I see some results and what the result we expect when we start to get to the first pages organically.
Speaker1: [00:16:20] Mm hmm.
Speaker2: [00:16:21] It makes sense. Before, we wanted any organic sales. But now we want.
Speaker1: [00:16:27] We want to go first page.
Speaker2: [00:16:29] On the first page for those specific segments that we are interested. Like I said.
Speaker1: [00:16:35] And do you have a way to count how many keywords you were getting to the first page?
Speaker2: [00:16:42] Yeah. Nowadays we use Amazon as Q PD. Its a search query.
Speaker1: [00:16:48] Search query performance reports. Makes sense.
Speaker2: [00:16:52] Yeah. I hope we can see it in sellerboard soon. This because we do all this Google sheet magic to to monitor it on daily basis.
Speaker1: [00:17:06] Oh, shit. Oh, shit. Yeah.
Speaker2: [00:17:12] Yeah. This is. This is our, like, world of data, right? It’s all about who owns the data and know what to do is is a winner. Okay. So this is like. You’re right. Second stage. And when we started to be on this first pages for some segments, we’re going to to the next level and we call it scale. And then many, many people that I had been talked to, they said, yes, let’s like it’s a good product. I sell like, I don’t know, 20,000 demands. I want to get like 200,000 a month, whatever. That makes five weeks. And like, I want to scale, right? This is I want to scale my business what, the act and travel to Thailand, whatever. And but but you need to to to pass like these stages before and then we can talk as soon I show you some examples how we calculate the potential scale and everything is kind of very comfortable.
Speaker1: [00:18:27] Right?
Speaker2: [00:18:28] And on this level, the main metric for us is the BSR. Because we try to kind of like OC, we number 20 in category and number 18 category, his PSR like 3000 and we 3500. So we basically need to take his placement as we started in the beginning. It’s all about taking market share from someone. So like you usually take the market share from someone above you, then another one, another one, another one, and you get on this leather upper and upper right. And at this stage we starting to look to the gross profits. This is.
Speaker1: [00:19:18] Finally.
Speaker2: [00:19:20] Finally, right. And not.
Speaker1: [00:19:22] Before.
Speaker2: [00:19:24] And again, you do the business for for the profit, right? You know, do the business for the fund. But this is the only stage that you start. And basically the gross profit here is about how aggressive you can be to get from like number 18 in category to number 1510. Again, we have some clients that want to be like toward number one from the beginning. And sometimes you need to like to bring a lot of like negative gross profit for a few months, right? And you want to be slower. Okay. And at this stage we starting to hopefully see ourselves in brand analytics. This is another tool. We we manage a lot to basically brand for all the main keywords you can see like top three players, right?
Speaker1: [00:20:28] So you yeah, you can see top three.
Speaker2: [00:20:32] Yeah. You, you need to become one of top three for some keywords. To start or we’ll.
Speaker1: [00:20:39] Be able to see.
Speaker2: [00:20:41] Yeah. And hopefully you can get to the best seller or leader. Sometimes you cannot be best seller because of the mix of different solutions and category. But you definitely can be there with with your type of the solution. And again, this is and this is another game. When you get to the number one, what you do, you try to protect yourself from the number two and number three, Right.
Speaker1: [00:21:09] Because they do more or less what we do.
Speaker2: [00:21:13] Right. So again, I’m not telling you some secrets that nobody knows. It’s all.
Speaker1: [00:21:20] About.
Speaker2: [00:21:21] Structured process. Focus on the main metrics and consistent execution.
Speaker1: [00:21:29] Nice and very curious to try that.
Speaker2: [00:21:39] Okay. I want to show you some some numbers. Okay. It’s a Google sheet. Sorry, I cannot do it in sellerboard yet, but I hope. Maybe you can one day. Let me explain what it means. It’s big enough. Can you see it?
Speaker1: [00:22:01] Yes, we can see it.
Speaker2: [00:22:03] Okay, good. So basically, this is the product that passed this launch stage. So we calculated. Um. Cbo actually advertisment cost per unit. Eight units and overall cost per unit. It was 794. Right. So we would test it for four weeks. We checked the conversion. It was okay. We started to see ourself on the. Those pages. So we calculated our CPU. In this case it’s CPU, but it’s more or less the same. And we want to understand. How to get basically to the next level because we sell 200 pieces a week and the top players that we want to fight, they sell 2000 pieces a week.
Speaker1: [00:23:00] Hmm.
Speaker2: [00:23:01] So we want to fight for for the top player, and we set a goal. Let’s take half of what they do. So we want to get to 1000 units a week. Okay. Market is limited, right? So when we get to the.
Speaker1: [00:23:21] Page.
Speaker2: [00:23:21] Probably the top player, he will start to fight, maybe pricing. I don’t know. Right. They never sit quiet. Right.
Speaker1: [00:23:31] And.
Speaker2: [00:23:35] And again, the whole idea of the model is to increase more and more and more. You see this green line, more organic units. Mm hmm. Like we should convince the Amazon algorithm with our basically PPC spend to get to more and more and more organics. And this we calculated. So we need to be aggressive with gross profit negative. But by the end of March, we should get to break even point.
Speaker1: [00:24:10] You know, nice.
Speaker2: [00:24:12] And actually this is a bad case because it’s very low margin product. This is a prerequisite that we started in the beginning. So actually, it’s all about margin. If your margin is very thin is probably means that the market is very overcrowded. If your margin is high enough, then probably like others as well. So it’s not overcrowded yet.
Speaker1: [00:24:42] Okay. And.
Speaker2: [00:24:46] And we have discussion with the brand. So we suggested them to make the offer simpler. But reduced cost of goods and increased in margin. And if we take exactly the same equation, but the margin, not 21%, what they have now, but margin 35%.
Speaker1: [00:25:09] Without better.
Speaker2: [00:25:11] We can get a break even from the next week and started to be profitable more and more and more. Right.
Speaker1: [00:25:22] Wow. Very interesting.
Speaker2: [00:25:26] Yeah. This is a process, more or less. Again, it’s all about to prove to Amazon that your products deserve. Visibility. So Amazon want to show our product to to the audience and the audience will buy and.
Speaker1: [00:25:47] Yeah. Let me ask you something. What if, after all this trouble, you run out of stock for four weeks? Yeah.
Speaker2: [00:25:58] This is why you’re back. A number of units. Absolutely. Usually when you like. Out of stock somewhere. Again, our conversion test probably doesn’t go anywhere, so it’s probably the same conversion. But usually we lost all the organics and we start from this stage.
Speaker1: [00:26:21] Oh, that’s good.
Speaker2: [00:26:23] Yeah.
Speaker1: [00:26:25] And that’s good. And do you do you do you change prices in this process or do you keep prices steady?
Speaker2: [00:26:33] We strongly suggest to be as aggressive with pricing as possible in the beginning and in like increase the price gradually.
Speaker1: [00:26:45] And more about increase the price show. When do you go over the top? Shoot When you become number one, do you go? You keep increasing your price or you just level to the to the second place?
Speaker2: [00:27:01] Yeah. Again, we suggest to start here with lowest price possible. Again, it doesn’t have to be like just pricing. It can be coupons, it can be prime discounts and whatever like but pricing in general. But when we get to this point, when we’re starting to see the gross profit on the scale, it’s all about like, okay, we go into out of stock anyway, so let’s bring it up, get some squeeze some profit, go out of stock. And then at this stage you have a clear understanding what is your BCR, what is your PD result And like you increase the price a little bit, see if you still getting the same visibility, same conversion. Okay. We can try more and then you basically do this price elasticity test. Mm hmm. Level. Yeah. And. Of course, as a top player, you can play with the seasonal, right? So you always want to keep the price as high as possible to keep the visibility you have and the growth speed that you want, right? Mm hmm.
Speaker1: [00:28:25] Nice. Very smart. Makes a lot of sense. Very cool. And is there is there a software that automates everything or do you like do it, Look at the results every day and make changes based on the results.
Speaker2: [00:28:45] Uh, usually we try to we look on the results every day and try to, you know, respond if something really wrong. But we try to analyze data on the on the on the weekly basis in most cases.
Speaker1: [00:29:00] Because there’s a lot of.
Speaker2: [00:29:02] Volatile volatility and like strong like you think this is because of a but it’s not because of a it just the fluctuation of the algorithm. So we try to work on the weekly cycle. Mm hmm. Make it. And we do use kind of external automation software. But let me show you another chart. This one. A again, I would love to have it in sellerboard one day, but we do it ourselves yet. This is how we approach Amazon PPC. Every box is a campaign. And they have specific goal. For example, this campaign, when you see $3 or $2 main purpose of this campaign to get. Organic sales for the specific keyword. This is why we hear it’s not about ACOs, It’s not about it’s about to get as much organic as we want. And the size of box is how many dollars we spend. So it’s like this is the biggest span, This is the second biggest. It’s a little bit less, etc., etc.. So this is kind of like we check it on a weekly basis and we see if like we spend here most of the money. So those campaigns we check every day, right? And those campaigns we check weekly or even B weekly and so on.
Speaker1: [00:30:53] So you have to be. Very interesting. Can you show me the three steps again?
Speaker2: [00:31:07] Yeah, absolutely. Good.
Speaker1: [00:31:12] Okay, So. Yeah. Yeah. Those three. Yeah. So first one is what is the goal in the first one?
Speaker2: [00:31:22] The pre launch is to measure the conversion and start to getting some organics. It’s a proof that Amazon believes in us.
Speaker1: [00:31:31] Right. And do you are you when you say when you are in this stage you can start like zero reviews. Or you get a product that’s. Our initial review. So we starting from zero.
Speaker2: [00:31:47] Initial reviews, but you can skip again, we try like spend some dollar to get about 100 clicks so you can measure statistically enough to for conversion. Sometimes you don’t need reviews. Right. And sometimes it doesn’t work at all. So again, we suggest to do one for most of our clients, but. We’re not talking about the three ways to get reviews or.
Speaker1: [00:32:17] Mm hmm. Okay. And then after you go through that stage, when you when you when you realize you can go to move to the next stage.
Speaker2: [00:32:26] When we see in sellerboard, it’s starting to be organic sales.
Speaker1: [00:32:32] Okay, so we start getting some. Some organic. Okay. Right.
Speaker2: [00:32:38] Two, three, five. Okay. It means, like, we prove ourselves to Amazon algorithm that we were showing.
Speaker1: [00:32:48] Showing up. Very good. And then we go to launch. What is the goal in the launch phase?
Speaker2: [00:32:54] The goal of the launch is to get to the first pages for some keywords.
Speaker1: [00:32:59] Or pages or some keywords. How many keywords and how do you decide the keywords?
Speaker2: [00:33:04] Ideally you should be first pages for the main keywords in the niche.
Speaker1: [00:33:11] Look like top ten. Top 20, top five.
Speaker2: [00:33:16] The top ten. Yeah.
Speaker1: [00:33:19] Yeah. Okay. And then when you get those. You can get your first page. Those top ten keywords. What’s the next step?
Speaker2: [00:33:29] So at this stage you’re probably starting to get like, you can stop all the advertisement and you get some business. It’s very small business, but you get some business, right?
Speaker1: [00:33:38] Because you produce.
Speaker2: [00:33:39] Pages, right?
Speaker1: [00:33:41] Mm hmm.
Speaker2: [00:33:42] And then we get to the stage when we want to grow or scale, really be to consider the next level. And this is where the fight starts.
Speaker1: [00:33:54] Because what? The fight starts.
Speaker2: [00:33:56] Yeah, because we always fight with someone else on those stages before just Amazon algorithms gives a little bit to.
Speaker1: [00:34:04] Everyone, right? Yeah.
Speaker2: [00:34:09] They want us to pay for the storage fees. It was the one was to pay for everything and feel like we are in the business. But the. Right?
Speaker1: [00:34:20] Yeah. We don’t. We can’t make money. So now we’re fighting. Now we start a fight. Yeah. Yeah. And what’s the goal there? The BSR.
Speaker2: [00:34:31] Yeah, it’s always to get to the next level. That comfort level for you, usually from production perspective. So like if we used to be 100 pieces a week and we’re getting 2000 pieces a week, your logistics should get to the next level. You cash flow should improve because this is why I did it. Like the the steps. So sometimes you you know get from here to best seller in one shot. You can do like a few iterations based on your logistics cash flow and also review starting to play here. For example, all the top players they have like tens thousands of reviews and you have 25, right? So probably your first stage to be get to to somewhere, then maybe half a year, collect more reviews and then get to to fight with the top players. So it’s it’s it’s all.
Speaker1: [00:35:38] Mm hmm.
Speaker2: [00:35:39] And the result? We started to be visible in the niche. And you’re starting to be visible in brand analytics.
Speaker1: [00:35:50] Mm hmm.
Speaker2: [00:35:53] Yeah, very good. You’re much more understand what is the market and who you’re fighting with and how they’re fighting with you. Because it’s always.
Speaker1: [00:36:07] And don’t see work for a product that have like 20% return rates. Sorry. Do you think that that that that these these program would work for a broad a niche that a category that has like high return rates because you’re always losing money with the returns? Yeah. Yeah.
Speaker2: [00:36:40] Yeah. I have another diagram. Let me show. Where is it? Yeah, this one. It. Can you see this? This one?
Speaker1: [00:36:52] Yes. Mm hmm.
Speaker2: [00:36:55] This is my symbol. So this is a price that the top layer is in each cell. Now, let’s make it like $20, just for example.
Speaker1: [00:37:06] Right.
Speaker2: [00:37:07] And you have your landing cost. Cost of goods. X You have some Amazon fees and then you have some potential profit. If you sell with the price of the of the leader, right. And if the ratio. Is 1.5 or above. So basically it’s a margin 50% if I’m if I’m right.
Speaker1: [00:37:39] Yeah, 50% is a good margin.
Speaker2: [00:37:43] Yeah. Yeah. Without any advertisement. I mean, like you don’t spend on the marketing without marketing.
Speaker1: [00:37:51] Uh.
Speaker2: [00:37:52] This work? 99%. The less the ratio. It’s starting to take more time, more money and more risks, because if you go slow. Your competitor. They don’t sleep in, right? They they also trying to be more aggressive with advertisement moderation with pricing. They launch new variations like so. Right. Because they are in this big loop with a big cash flow and you if you come slow, you always catching up. Right. And when you became a leader, you can afford yourself that others will catch you.
Speaker1: [00:38:44] And what is this chart on the right? The one with the circle. What is that? Uh.
Speaker2: [00:38:54] This is a it’s more or less the same, but without the stages. Like what? What is needed to be number one in the niche. So it’s all about product offer that you measure with conversion and product offer consist of price. Positioning your images and your story. Right. When I showed the example of the pillows that I was selling, So is it pillow for snoring or the pillow for neck pain? It’s a different position and you should be clear what you’re doing. And social proof mostly reviews and brand awareness. If someone knows your brands outside of Amazon is also very good. But you can measure it with conversion. Then you have all this economics or margin. And margin is is complicated nowadays on Amazon, for example, if you have variations of color, you can price the white color more affordable. With less margin for you, but kind of upsells, the pink, green and red. Right. And but the overall margin is good, right? And all you have packs you have pack of two is like with a very thin margin and pack of four pack of six pack of ten more margin. Right.
Speaker1: [00:40:30] You can.
Speaker2: [00:40:32] This is why I put product line as part of the economics and I. And of course, the cost of goods. Again, the big stories that I hear, many of the beginner sellers. Yeah, but my product is much higher quality. This is why it’s so expensive. Ok, I totally believe that your product is higher quality, but people buy what they buy and probably they’re okay with what they buy if they still buy it.
Speaker1: [00:41:07] Right.
Speaker2: [00:41:08] And how do I know? Look into the pictures and ten reviews of yours compared.
Speaker1: [00:41:16] To.
Speaker2: [00:41:17] Use of the less quality product. Looking on the picture, did you make it in your positioning? Did you make it in your story that you like? Right. So. So cost of goods, especially in the beginning. Again, we suggest to launch with simpler products and then try to upsell other case. You really solve the problem and you have like something new. And then you have basically the traffic. You have a good offer, you get the right margin and then you bring the traffic. But what is Amazon? As any other marketplace, they give us traffic. Time for free, but really not for free. But they give us the.
Speaker1: [00:42:08] Truck, right? Absolutely not. For free. Yeah.
Speaker2: [00:42:13] And there is the Amazon PPC. It’s a paid traffic. And again, when I started in 2015, it was not you know, you don’t have to use Amazon PPC at all in some cases nowadays. Like.
Speaker1: [00:42:30] You don’t move if you don’t use it.
Speaker2: [00:42:32] Yeah. Okay. And there is organic traffic, which still a big part of the business is getting a little bit and you can influence directly, but you can influence it indirectly. By generating enough sales for this keyword, you’re starting to show up and there is an Amazon DSP network. Dsp Yeah, but again, it’s more relevant for big brands because usually the performance of Amazon DSP is not good. But like if you sell big and you want to fight for the top placement and really it’s starting to, to, to play to play a big role. Yeah.
Speaker1: [00:43:19] And exactly. Very nice.
Speaker2: [00:43:25] Tell it to more like brands coming outside of Amazon. They want to be on Amazon. So it’s like, okay, this is this is what you need, right?
Speaker1: [00:43:34] And how do people hire service and how much does it cost?
Speaker2: [00:43:38] And. Okay, so. But what we do, basically, as you can see here, is the blue lines. We provide consulting, right? So we can be we have a lot of best practices for pricing, position reviews, returns, product lines, like we have a lot of knowledge. It’s consulting and the green lines. And this. This is what we take responsibility. So we manage all that and we manage all the organics. And we manage. So all the competition, right? This is what we do.
Speaker1: [00:44:21] What? What is the yellow error? Can I see it?
Speaker2: [00:44:25] Yeah. Inventory.
Speaker1: [00:44:26] Inventory. Consistency. Oh, yeah, of course. That’s a requirement.
Speaker2: [00:44:30] This is your homework, right?
Speaker1: [00:44:36] Yeah.
Speaker2: [00:44:37] Only thing we ask from.
Speaker1: [00:44:38] You, right? Nice.
Speaker2: [00:44:43] Okay And okay. And we have two models for the small brands. What we do, we usually suggest three months commitment. And in this three months, we do all the experiments, we do all the setups, we measure all the things we create. Where is it? We create all the campaigns we set up, like, usually like three months. It’s enough to do all the foundation. And then the small brands on this stage, they usually go for cash flow to start producing more like things like that. And they can.
Speaker1: [00:45:29] Back.
Speaker2: [00:45:30] Six, nine months. Depends, right. And for for this kind of process, we charge 1500 a month. But it takes three, four, three months. Depends on how complicated it. And for a bigger brand, we work monthly. We start from 12,500 a month was the brand. And if you have like a huge product line or huge, it’s more. But I will be happy to dive deep in every specific case and give a clear offer.
Speaker1: [00:46:15] And how why is your website? What’s your website? I think I have this.
Speaker2: [00:46:23] Website is a navigator dot com.
Speaker1: [00:46:28] Okay, So if you want to find him, just go to a navigator Dot CEO.
Speaker2: [00:46:33] Yeah, Yeah, you can. You can see the calendar. You can talk to me. You can book my time. But I’m in Thailand, so my, my time slots and not perfect for everyone, but I try.
Speaker1: [00:46:44] I tell you about it. It took me forever to schedule a call with this guy. And I’m doing it to 10:00 pm New York time. But it was worth it. I really like it. Good job. Yeah, good. A good job. We need to talk more about this. Sure.
Speaker2: [00:47:03] Yeah. All right.
Speaker1: [00:47:05] So, everybody, this was Oleg from aNavigator, and he came up with this incredible process to get you to the best seller. And if you want to know more, you go to aNavigator.co. Correct. Yes. Right. Yeah. Perfect.
Speaker2: [00:47:27] Yeah. I also can find on LinkedIn. Yeah.
Speaker1: [00:47:31] Okay. All excited on LinkedIn. You can find him there. You can connect to him, ask your questions like he was. A pleasure. Thank you so much for your time.
Speaker2: [00:47:43] Yeah. For me, too. Thank you. So enjoy your evening.
Speaker1: [00:47:47] And enjoy your day.
Speaker2: [00:47:49] And when you get to the Tuesday. Yeah, I’m.
Speaker1: [00:47:52] Here. Okay. Good. All right. Thank you all. Hope to see you again soon. Bye bye. Thank you so much for watching the interview with Oleg. If you haven’t already, it’s your time to go to sellerboard.com right now. Click on demo. Try out the software. I’m sure you’re going to like it. It has all the tools that you need to be successful on Amazon. I’ll see you guys in the next video. Bye bye.
