Top Mistakes You’re Making with Amazon FBA: Reasons Why Most People Fail to Build a Profitable Business
It’s the Zab Twins again, and today we want to ask you something: “Do you know why 99% of startups fail on Amazon?” But before we dive into the mistakes first-time sellers make, let’s introduce ourselves first.
We’re the perfect duo of creativity and logic! While Brian comes up with out-of-the-box ideas to supercharge your sales strategy, Arek helps you make data-driven business decisions. Besides, we are successful Millennial business owners.
As an entrepreneur, I know what it means to fail even after several attempts. I have made pretty stupid mistakes over the course, so here I am sharing personal experiences to help you understand the lesser-known reasons for failure.
Now, let’s get started on the mistakes you must avoid to ensure your business doesn’t fall flat the minute you launch a new product:
Five Mistakes You Need to Stop Making Today to Build a Successful Amazon FBA Business
It probably isn’t what you want to hear, but over 79% of Amazon sellers do not hit the five-year mark. Yes, not everyone who joins Amazon indeed enjoys profitability.
But that doesn’t have to be you!
If you’re worried about being the 83% of startups that end up quitting, you need to avoid some common mistakes every Amazon seller makes. Ready? Here are five of the worst Amazon FBA beginner mistakes you should avoid:
Psst… not a fan of reading? No worries. Simply visit our channel and watch the video format of the article here.
Pitfall # 1: Building the Wrong Mindset
Here’s the thing: 80% of success is your mindset.
Unlocking profitability on Amazon starts with the way you think. Most beginners buy the lie that Amazon is easy.
Now, becoming an Amazon FBA seller isn’t the most challenging job in the world; it doesn’t take a genius to figure it out. But many people sign up thinking it will be an easy way to make money, primarily since Amazon handles a lot of work for you.
Unfortunately, the wrong mindset and false expectations are the number one reason most Amazon sellers fail to build a profitable business. The truth is selling on Amazon requires mental and physical effort.
It will require sacrifice, you will face struggles, and you’ll experience a learning curve. You need to set your goals realistically and tailor the right mindset. Instead of thinking that you can sign up for an account, scan any item, and start making money, you need to treat Amazon like any other business.
So, start learning about the different Amazon categories and restrictions, fees, finding the right niche, dominating your competition, and attaining and retaining your customers. Don’t simply rely on Amazon to build a business; instead, put in the effort and make sacrifices to secure success.
Pitfall # 2: Learning the Wrong Tactics
It’s natural for first-time Amazon sellers to scour through YouTube and learn as many strategies as possible. Unfortunately, this isn’t always a good thing.
Most of us prefer watching the top three videos with the most views and positive responses. Right? But the thing is, videos more than a year old are no longer viable.
Amazon is a constantly evolving landscape, and learning tactics, strategies, and skills from an e-commerce coach who’s no longer on Amazon can be detrimental. You must work with someone who’s still in the game. Only then will you find the right strategies and techniques required to build a profitable business.
Pitfall # 3: Not Understanding the Difference between a “Good” and a “Bad” Product
We know the excitement of signing up for Amazon FBA and wanting to launch your first product instantly. But in this excitement, you launch your product in a hurry, which is the biggest reason most people fail.
Building a profitable business on Amazon starts with picking the right niche and choosing the perfect product. Your goal should be investing in a product that isn’t a guaranteed flop. That means you must do extensive research while keeping a long-term perspective in mind.
That means spending hours doing product research, identifying keywords that help you rank better, and creating listings in a way that makes you stand out. A high-quality tool like Helium 10 can help you achieve your task in less time and more effectively.
P.S. you can now enjoy a spectacular 10% off your first 6 months or 10% off every month by using codes “THEZABTWINS20” or “THEZABTWINS10” to save valuable time hunting the right niche and product on Amazon FBA.
Pitfall # 4: Failing to Understand Your Target Audience
Business is essentially finding a customer pain point, providing a unique solution, and executing that repeatedly to retain customers. But how can you do that if you don’t even understand your ideal buyer? And that is one of the worst mistakes you can make while building a brand on Amazon.
Many first-time sellers fail to make a profit because they don’t understand their target audience. They don’t learn how to communicate with the ideal buyer, tailor their listing to meet consumer demands, or effectively retain a happy customer.
So, in today’s oversaturated market, you must ensure every aspect of your business resonates with the customer. From your brand message to brand colors, you must conduct in-depth research before launching your first product and be open to learning from them.
Pitfall # 5: Not Being Agile Enough
Many sellers fail to hit the one-year mark because they’re not agile enough. You can’t just launch a product on Amazon and expect profit to start rolling in.
But that’s not the case. You need to remember that learning should never stop. So, keep launching new products, learn more about your customers, and stay updated with Amazon’s systems and processes to make the right reiterations.
Be open to learning strategies that work for your business and match your target audience to keep polishing your skill set. That’s the ultimate tip to ensure you don’t fail at building a profitable business.
The Bottom Line
The secret to success on Amazon is not buying the lie from people telling you Amazon is easy and requires no effort. Instead, learn from coaches who are deeply involved in the game, follow the rules, learn the right strategies, and do in-depth product research.
Remember, always learning and having the right mindset is key to building a successful business on Amazon. So, are you ready to make the sacrifices, have the patience, and be agile to secure long-term success?
If you’re worried about your new Amazon FBA business failing, you can schedule a free call with the Zab Twins here. Besides, you can check out our YouTube channel to unlock real-time, actionable tips that promise results in less time and effort!