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Could This Update From Amazon END DROPSHIPPING?! Whats Next...

Published on: November 27 2022 by Peter Pru - Ecommerce Empire Builders

Could This Update From Amazon END DROPSHIPPING?! Whats Next...

Could This Update From Amazon END DROPSHIPPING?! Whats Next...

startTime durationTime text
00:00:00 00:00:04 so amazon recently announced that its
00:00:02 00:00:06 e-commerce sales are actually slowing
00:00:04 00:00:08 down what does that mean for us that own
00:00:06 00:00:09 e-commerce businesses and especially
00:00:08 00:00:11 those that are thinking about getting
00:00:09 00:00:13 started in e-commerce is this a terrible
00:00:11 00:00:15 time to get started since e-commerce
00:00:13 00:00:16 appears to be going down in today's
00:00:15 00:00:19 video that's exactly what we're going to
00:00:16 00:00:19 be toking about
00:00:21 00:00:24 [Applause]
00:00:25 00:00:28 now guys those of you tuning in to the
00:00:27 00:00:30 ecommerce empire builders for the very
00:00:28 00:00:31 first time let me give you a huge huge
00:00:30 00:00:33 warm welcome every single monday
00:00:31 00:00:35 wednesday friday we release new content
00:00:33 00:00:37 just like this about making money online
00:00:35 00:00:38 as well as ecommerce and drop shipping
00:00:37 00:00:40 so if you want to stay up to date on all
00:00:38 00:00:42 the latest trends head down below right
00:00:40 00:00:44 now hit that like button that subscribe
00:00:42 00:00:46 button and that notification bell also
00:00:44 00:00:47 one lucky commenter on the below video
00:00:46 00:00:49 on this below video we'll be getting a
00:00:47 00:00:52 copy of our ecommerce empire insiders
00:00:49 00:00:53 program for one entire year so if you
00:00:52 00:00:55 want to be entered into window all you
00:00:53 00:00:57 got to do is drop a comment and tune in
00:00:55 00:00:58 to the next video to see if you actually
00:00:57 00:01:00 won that giveaway but guys today we're
00:00:58 00:01:02 toking about the recent news that
00:01:00 00:01:04 amazon announced that their e-commerce
00:01:02 00:01:06 sales are actually going down and a lot
00:01:04 00:01:07 of people are worried about this i saw
00:01:06 00:01:10 this in a lot in the e-commerce empire
00:01:07 00:01:12 builders direct messages on instagram
00:01:10 00:01:14 that a lot of people are worried
00:01:12 00:01:15 especially newbies just getting into the
00:01:14 00:01:17 space being like hey should i even start
00:01:15 00:01:19 an e-commerce business right now if like
00:01:17 00:01:21 e-commerce and amazon is actually
00:01:19 00:01:23 suffering on their sales and i wanted to
00:01:21 00:01:24 flip up the camera today and tok about
00:01:23 00:01:26 it
00:01:24 00:01:28 and see exactly what all this news and
00:01:26 00:01:30 all this fuss is about and especially is
00:01:28 00:01:32 e-commerce still a good opportunity to
00:01:30 00:01:33 get involved in so first and foremost
00:01:32 00:01:35 let's look at the numbers so amazon's
00:01:33 00:01:37 online retail sales which include
00:01:35 00:01:39 store-based grocery delivery or pickup
00:01:37 00:01:41 drop from the second straight quarter so
00:01:39 00:01:42 two straight quarters in a row their
00:01:41 00:01:44 sales have dropped from
00:01:42 00:01:47 their online retail
00:01:44 00:01:50 falling 4.3 and q2 now first and
00:01:47 00:01:52 foremost what we have to understand here
00:01:50 00:01:55 is that when you know everything
00:01:52 00:01:58 happened about two years ago e-commerce
00:01:55 00:02:00 sales absolutely exploded yes a hundred
00:01:58 00:02:03 percent at the start of like that that
00:02:00 00:02:07 2020 time around march april around that
00:02:03 00:02:08 2020 that was an incredible time to get
00:02:07 00:02:10 into ecommerce so you can go back on
00:02:08 00:02:12 some of the videos here on the channel
00:02:10 00:02:13 and see i was telling everybody like
00:02:12 00:02:15 this is if there's ever a time to get
00:02:13 00:02:16 into ecommerce this is the time right
00:02:15 00:02:18 now because anybody could have just
00:02:16 00:02:20 thrown something online right that
00:02:18 00:02:22 people actually needed during that time
00:02:20 00:02:24 and made an absolute killing and a lot
00:02:22 00:02:25 of people made a tremendous amount of
00:02:24 00:02:27 money because everybody was just cooped
00:02:25 00:02:29 up in their house and not going anywhere
00:02:27 00:02:30 right now
00:02:29 00:02:32 with that right when things kind of
00:02:30 00:02:35 started opening back up people are going
00:02:32 00:02:38 back to you know the mall grocery stores
00:02:35 00:02:39 and things like that right of course
00:02:38 00:02:41 e-commerce sales are gonna start going
00:02:39 00:02:43 down of course people miss going to the
00:02:41 00:02:46 mall they miss going to brick and mortar
00:02:43 00:02:47 stores there's always in my opinion
00:02:46 00:02:50 always in my opinion going to be a place
00:02:47 00:02:52 for brick and mortar as well as online
00:02:50 00:02:53 e-commerce sales now here's the kicker
00:02:52 00:02:56 that a lot of people are freaking out
00:02:53 00:02:58 about this for no reason right they only
00:02:56 00:03:01 fell
00:02:58 00:03:05 by 4.3 i mean guys e-commerce sales
00:03:01 00:03:08 literally like quadrupled from uh from
00:03:05 00:03:10 2020 to 2022 right during that time so a
00:03:08 00:03:12 hundred percent more so than ever before
00:03:10 00:03:14 right now people are still buying more
00:03:12 00:03:17 things online than absolutely ever
00:03:14 00:03:18 before and it is going to stay that way
00:03:17 00:03:21 yes we might see a little drawback
00:03:18 00:03:23 around that 10 15 maybe even 20
00:03:21 00:03:26 pullback for certain products but for
00:03:23 00:03:29 the most part e-commerce still from that
00:03:26 00:03:31 2020 to 2022 period it has grown to the
00:03:29 00:03:33 levels that x really like these analysts
00:03:31 00:03:34 and things didn't expect ecommerce was
00:03:33 00:03:37 going to get to that point until like
00:03:34 00:03:40 2028 2030 right so we are still in a
00:03:37 00:03:42 fantastik place as far as e-commerce is
00:03:40 00:03:44 concerned now stay with me guys uh
00:03:42 00:03:45 because there is some other good stuff
00:03:44 00:03:48 in this artikle right now that was
00:03:45 00:03:49 released from amazon that is so critikal
00:03:48 00:03:50 to understand this exactly why i want to
00:03:49 00:03:52 share this with you so first and
00:03:50 00:03:54 foremost is ecommerce dying absolutely
00:03:52 00:03:55 not guys of course there's going to be a
00:03:54 00:03:57 little bit of a pullback right now
00:03:55 00:03:59 because uh you know people are you know
00:03:57 00:04:00 comfortable going to stores and stuff
00:03:59 00:04:02 again but the levels of e-commerce
00:04:00 00:04:03 people buying online are literally at
00:04:02 00:04:06 the highest they've ever been okay so
00:04:03 00:04:07 yes ecommerce is not dying and a hundred
00:04:06 00:04:09 percent if you're thinking about
00:04:07 00:04:10 starting e-commerce business or you're
00:04:09 00:04:12 running an e-commerce business right now
00:04:10 00:04:14 you literally don't have anything to
00:04:12 00:04:16 worry about okay here's the intro
00:04:14 00:04:18 another interesting part about this
00:04:16 00:04:21 artikle guys is amazon made up for its
00:04:18 00:04:23 e-commerce decline mainly through fees
00:04:21 00:04:26 from prime customers and marketplace
00:04:23 00:04:28 sellers subscription sales rose by 10 to
00:04:26 00:04:29 8.7 billion seller services revenue uh
00:04:28 00:04:32 grows by nine point one percent yada
00:04:29 00:04:33 yada how big is this
00:04:32 00:04:36 one what is one of the biggest things
00:04:33 00:04:39 that i say on this channel right we want
00:04:36 00:04:42 to make sure we offer some sort of
00:04:39 00:04:45 subscription to our customers absolutely
00:04:42 00:04:46 critikal why because when times are
00:04:45 00:04:48 tough how many times have i said this
00:04:46 00:04:50 how many i mean guys i literally i wish
00:04:48 00:04:52 the editors and ali whoever's putting
00:04:50 00:04:54 the video together could go back to the
00:04:52 00:04:56 videos where i constantly say hey
00:04:54 00:04:58 subscription can save your company
00:04:56 00:04:59 subscription has been a life changer
00:04:58 00:05:01 life changer for me it's been a life
00:04:59 00:05:03 changer for so many so many of our
00:05:01 00:05:04 students inside our 10k club today we're
00:05:03 00:05:05 toking about subscription right a lot
00:05:04 00:05:07 of people that are starting at
00:05:05 00:05:09 e-commerce starting and drop shipping
00:05:07 00:05:11 they're missing out on so much extra
00:05:09 00:05:12 money in their drop shipping business it
00:05:11 00:05:14 makes me sick right one of the core
00:05:12 00:05:16 principles i teach is having recurring
00:05:14 00:05:18 revenue in your business specifically
00:05:16 00:05:20 some sort of subscription that people
00:05:18 00:05:23 can sign up to you can also do access to
00:05:20 00:05:24 a members area only i like to mix in
00:05:23 00:05:26 both digital content with physical stuff
00:05:24 00:05:28 because people like subscription boxes
00:05:26 00:05:30 because it feels like christmas every
00:05:28 00:05:32 single month right having subscription
00:05:30 00:05:33 box having some sort of monthly
00:05:32 00:05:35 recurring revenue in your business can
00:05:33 00:05:38 make your or break your business
00:05:35 00:05:39 especially because in business we all
00:05:38 00:05:41 know this it's ups and downs ups and
00:05:39 00:05:43 downs ups and downs right but guess what
00:05:41 00:05:45 on those down months so your month's
00:05:43 00:05:47 really really shitty right guess what
00:05:45 00:05:49 that subscription revenue from let's say
00:05:47 00:05:51 100 200 300 monthly subscribers to your
00:05:49 00:05:54 digital products your physical products
00:05:51 00:05:56 whatever right can literally save you
00:05:54 00:05:58 and that's exactly what amazon did it
00:05:56 00:06:00 made up for its all e-commerce decline
00:05:58 00:06:01 mainly through those prime customers
00:06:00 00:06:03 right if you don't know what prime is i
00:06:01 00:06:05 think it's like 150 bucks a year or
00:06:03 00:06:07 whatever it is per year and you get like
00:06:05 00:06:09 for expedited shipping like come on now
00:06:07 00:06:10 and you get like prime some prime music
00:06:09 00:06:13 i think and some movies and things like
00:06:10 00:06:16 that right like how like guys like that
00:06:13 00:06:18 is why like the giants are doing this
00:06:16 00:06:20 why aren't you i still tok to so many
00:06:18 00:06:21 people that have an e-commerce business
00:06:20 00:06:23 that literally don't have subscription
00:06:21 00:06:25 in it why right you are literally just
00:06:23 00:06:27 continuing to fight for new customers
00:06:25 00:06:28 over and over and over again and like
00:06:27 00:06:30 you're just doing what everybody else is
00:06:28 00:06:31 doing and you're if one bet you're one
00:06:30 00:06:33 bad month away from being out of
00:06:31 00:06:34 business so i strongly suggest if you
00:06:33 00:06:37 don't have some sort of subscription
00:06:34 00:06:38 aspect in your business add it in my
00:06:37 00:06:40 recommendation
00:06:38 00:06:41 you ogs know this i always recommend
00:06:40 00:06:44 paying yourself from your subscription
00:06:41 00:06:45 you should have about a 50 margin at the
00:06:44 00:06:47 very least if you're doing physical
00:06:45 00:06:50 products if you're doing like a mixture
00:06:47 00:06:52 of physical digital 50 still good 50
00:06:50 00:06:54 margin on your uh
00:06:52 00:06:55 on your subscription allows you to pay
00:06:54 00:06:57 yourself from your business and that's
00:06:55 00:06:59 what i recommend pay yourself from what
00:06:57 00:07:00 your subscription revenue is all the
00:06:59 00:07:02 other sales that come into your company
00:07:00 00:07:04 literally just reinvest it back into
00:07:02 00:07:06 your team into your company right
00:07:04 00:07:08 continue to grow in advertising right
00:07:06 00:07:10 that's that's like i mean like when i
00:07:08 00:07:11 read this i knew this was such a
00:07:10 00:07:14 powerful thing and i know it's gonna go
00:07:11 00:07:16 over a lot of people now next thing
00:07:14 00:07:18 is marketplace sellers uh so if you
00:07:16 00:07:20 don't know this if you're like sell on
00:07:18 00:07:22 amazon fba um you know whatever you know
00:07:20 00:07:23 let's say you have your product i do
00:07:22 00:07:26 recommend putting your products on
00:07:23 00:07:27 amazon it's always a great place uh to
00:07:26 00:07:29 make some extra customers i don't
00:07:27 00:07:32 recommend solely getting all your sales
00:07:29 00:07:34 from amazon uh for example with our book
00:07:32 00:07:36 e-commerce empire shameless plug it's
00:07:34 00:07:37 right over there it's been a best seller
00:07:36 00:07:39 on amazon literally since we launched
00:07:37 00:07:41 which is absolutely amazing i appreciate
00:07:39 00:07:42 all the support guys uh literally it
00:07:41 00:07:46 took us three years about to write that
00:07:42 00:07:48 book um but i said i'm most of the money
00:07:46 00:07:50 that i make from selling this book is
00:07:48 00:07:52 from my own websites right but i also
00:07:50 00:07:53 have this book on amazon as well so
00:07:52 00:07:54 additional customers so you might have
00:07:53 00:07:56 been somebody that purchased it on
00:07:54 00:07:57 amazon like it doesn't really matter to
00:07:56 00:07:58 me of course i'd rather you purchase it
00:07:57 00:08:00 off our website because you get a bunch
00:07:58 00:08:02 of bonuses and things like that but it's
00:08:00 00:08:04 the same concept right it's the same
00:08:02 00:08:06 concept for any sort of products those
00:08:04 00:08:07 amazon customers are just nice to have
00:08:06 00:08:08 and that's where they make some good
00:08:07 00:08:10 fees
00:08:08 00:08:11 i mean they make it i think man last
00:08:10 00:08:14 time i checked
00:08:11 00:08:16 like total all-in pick pack all that
00:08:14 00:08:18 stuff i think it's from like 20 30
00:08:16 00:08:19 correct me if i'm wrong but the fees
00:08:18 00:08:21 were just exorbitant i remember when i
00:08:19 00:08:23 lost my business at the time that was a
00:08:21 00:08:24 big thing that we were struggling with
00:08:23 00:08:26 is because like you can't keep up right
00:08:24 00:08:29 like you can't keep up with the rising
00:08:26 00:08:32 storage pick pack fees uh seller fees
00:08:29 00:08:33 all those things that they layer on that
00:08:32 00:08:35 really hurt amazon sellers but again
00:08:33 00:08:36 it's a good place to just make some
00:08:35 00:08:39 additional customers so
00:08:36 00:08:41 guys all in all to recap this video 100
00:08:39 00:08:42 ecommerce is not going anywhere of
00:08:41 00:08:45 course we're getting a little bit of a
00:08:42 00:08:47 pullback number one also have some sort
00:08:45 00:08:49 of subscription in your business it
00:08:47 00:08:50 could save you from bad amounts also
00:08:49 00:08:51 allows you to be way more profitable in
00:08:50 00:08:54 your business and you have some
00:08:51 00:08:56 sustainability by the way one of our uh
00:08:54 00:08:58 students a while back he actually sold
00:08:56 00:08:59 his company for 50 grand and one of the
00:08:58 00:09:02 key drivers that he was absolutely
00:08:59 00:09:04 actually able to sell it was because he
00:09:02 00:09:06 had subscription in it investors want to
00:09:04 00:09:08 see reoccurring revenue in your company
00:09:06 00:09:11 they don't want to purchase some uh some
00:09:08 00:09:13 drop shipping store that has no
00:09:11 00:09:14 predictability at all and that's one of
00:09:13 00:09:16 the things that we've been doing
00:09:14 00:09:18 especially you know one of the things
00:09:16 00:09:21 that i've notiked with ontap focus our
00:09:18 00:09:24 supplement is it was so tied to my uh my
00:09:21 00:09:25 face my brand that it becomes as hard as
00:09:24 00:09:26 you know it's a little bit tougher to
00:09:25 00:09:28 sell something like that you know when i
00:09:26 00:09:30 saw my fishing business i wasn't really
00:09:28 00:09:32 the face of it at all so one of the
00:09:30 00:09:34 things that we're kind of pivoting to
00:09:32 00:09:35 our business and our team and you guys
00:09:34 00:09:36 are going to be seeing it documented
00:09:35 00:09:38 here more heavily on the channel is
00:09:36 00:09:41 either building up these drop shipping
00:09:38 00:09:43 stores from scratch right staffing them
00:09:41 00:09:45 to the point that they're automated and
00:09:43 00:09:47 then selling them and then also
00:09:45 00:09:49 purchasing existing drop shipping stores
00:09:47 00:09:51 putting them through all the systems and
00:09:49 00:09:52 stuff that that we teach and then resell
00:09:51 00:09:54 them on the other end that's really the
00:09:52 00:09:55 next level of where ecommerce empire
00:09:54 00:09:57 builders is going so make sure if you
00:09:55 00:09:58 want to stay tuned for content like that
00:09:57 00:10:00 head down below right now hit that like
00:09:58 00:10:02 button that subscribe button and
00:10:00 00:10:04 that notification bell and also check
00:10:02 00:10:05 out all the resources that we offer here
00:10:04 00:10:07 completely for free at the ecommerce
00:10:05 00:10:08 empire builders we'll leave all those
00:10:07 00:10:10 links down below in the description of
00:10:08 00:10:12 today's video but guys have a fantastik
00:10:10 00:10:16 rest of your day and remember your
00:10:12 00:10:16 empire starts now

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