Amazon Basics
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Introduction to the Different FBA Business Models

Lesson 13 Chapter 2 Module 2

(Start of Day 5)

The fact that you knew (more or less) nothing about Amazon before you started this course is a blessing in disguise for you.

When people first hear about the possibility of selling on Amazon and becoming successful through the platform, they get super excited. The first thing they do (naturally) is to hop on the internet and do research.

At that point one of two things happen to them:

  • Information overload
  • Shiny object syndrome

Information overload happens when you are bombarded with too much information about a given topic - in our case, selling on Amazon. In most cases, the information seems conflicting. Joe says, "this is the way to go", while Jane says, "that's the only way to do it". And the person doing the research can't understand why both Joe and Jane swear by Amazon, but they're (in the mind of the newbie) talking about completely different subjects.

Are Joe and Jane both wrong? Or which one of the two is right and who's wrong?

The truth is, both Joe and Jane are right. They're just using different FBA business models. The problem is neither Joe nor Jane care enough about newbies to give them context. They're not interested in going through the trouble of telling (potential) new Amazon sellers about the different options available to them.

They just want to sell their training programmes and make money. 

Now, there's nothing wrong with sharing your knowledge in exchange for money. It takes a lot of time and effort to create training material and if the training material truly capable of changing someone's life for the better, it's valuable and it deserves a price tag.

To me though, real value goes far beyond giving someone the information they need to become successful. When I first started with eCommerce and Amazon, I had a lot of great coaches (I still do). The information they gave could make anyone a millionaire. 

But knowing something can only take you so far, right? You need to use it to be successful.

You know what I would have appreciated? If just one of those coaches had told me, "Hey, Izak, I know you're new to this and how overwhelming everything must feel. But don't worry about it, I'm going to be here every step of the way and make sure you implement the training."

Instead, whenever I was stuck and tried to reach out to one of my coaches, I got a generic, automated response... "Thank you for reaching out. We'll get back to you soon."  Then I'd wait. And wait. And wait a little longer.

So, with all the valuable information I had, I was still left to figure stuff out on my own.

I created ecomMEMBER so you won't be in the same situation when it comes to implementing what you learn. I'm here for you. Every step of the way. And when you reach out for help, I'll be there. My only goal is to see you become a thriving online entrepreneur.

Information overload leads to uncertainty and finally discouragement. 

Once discouraged, many people walk away from what could have been one of the best decisions of their lives. All because there is too much information out there. 

Don't get me wrong, verifying information is important.

 In fact, I'm the first one to research anything anyone tells me. I don't believe everything I hear. You shouldn't either.  

The problem with information overload is that there's too much to choose from. As a newcomer to Amazon starts to do research, which information should they choose to investigate and verify? It's a tough choice when you don't know anything about Amazon...

You, however, have no such problem. Your first encounter with eCommerce and Amazon was through a single reliable source - ecomMEMBER. As I said before, verifying information is important. Please feel free to do your own homework and verify any statements or claims you come across on this platform.

Shiny object syndrome is a term we use on the internet to describe people (especially new entrepreneurs) who fall for any and every promising statements.

Don't ever, ever, ever let yourself be distracted by all kinds of promises online. Information overload costs time. Shiny-object syndrome costs time and money - a lot of money.

And in a few month or even years you will have nothing to show for your "investments".

Many newcomers to Amazon fall into this trap. Instead of feeling overwhelmed (as with information overload) they get excited about every single Amazon-related website they open. And they want every training programme and software tool they come across.

The outcome is the same as with information overload: eventually, when all the excitement has worn off (which could take years), they become discouraged and walk away.

Here are a few tips to avoid shiny object syndrome:

  • Set long-term and short-term goals for you and your business.
  • Commit to reaching your goals without getting sidetracked.
  • Sleep on an idea before acting on it.
  • Do more research on the feasibility and sustainability of an idea before launching it.
  • Communicate with your team or people close to you regarding new ideas that you plan to try.
  • If you’re running a business, always consider this question: What value will your new idea/project add to the customer experience?

THE DIFFERENT FBA BUSINESS MODELS

What does information overload and shiny object syndrome have to do with the different FBA business models?

Directly, absolutely nothing. Indirectly, a lot...

Amazon is a whole new world to you. Before you joined ecomMEMBER you probably didn't know Amazon existed. And if you knew, you probably thought of it as "that place where you can buy almost anything".

The further you go with Amazon, the more you will learn. It never stops. There's always something new happening with eCommerce and Amazon. That's why the best coaches have coaches. That's why I still have coaches and will continue to have coaches.

At ecomMEMBER we follow a specific formula to ensure each of our members achieve the highest levels of success. But the fact that we follow a specific formula won't stop you from doing your own research away from this platform, nor should it.

So, as you do your research, keep this lesson in mind and beware of information overload and shiny object syndrome.

In the following three lessons, we'll talk about these FBA business models:

  • Retail and Online Arbitrage
  • Private Label
  • Wholesale

CONCLUSION

Both information overload and shiny object syndrome are real threats to new online entrepreneurs. It becomes worse with Amazon because it's one of the oldest eCommerce platforms and there's a lot of money to be made.

As you start this exciting new journey, be vigilant and don't get distracted.

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