How to compete with Amazon, and win.

by york
26 replies
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1. Keep your overhead very low.

2. Offer thousands of products, so you can sell something to anyone.

3. Use 1-100 dropshippers. //Offer all kinds of products.

4. Run 1-100 multiple stores. //They can be a subdirectories of you current domain, like ipodcases.yourdomain.com, shoes.yourdomain.com..... or just have completely separate .com domains altogether. NOTE:THIS DOES NOT CAUSE GOOGLE TO VIEW YOUR SITES AS DUPLICATE CONTENT OR SPAM, AS THEY ARE FULLY SEPARATE SITES.

Use only one dropshipper per store, since this will solve a lot of headaches, like shipping, and order management.

5. Make about 5-10 dollars or more profit every order.

Hypothetical scenario:

20 store fronts, 10 orders each store front per day = 200 orders / day = 1000.00/day profit.

What you need:

1. Any cart with multiple stores stores feature, or just use several separate shopping carts.

Multiple stores is an amazing feature, since traditionally hosting providers don't let you have multiple ecommerce sites on one account, but you CAN do this with a shopping cart that has a multiple store feature, because all the store fronts use a single administration panel, and ssl certificate.

When you buy an ssl certificate, you will need a multiple site ssl certificate, these are available at godaddy for a low cost.

There are several carts that have a multiple store feature:

open source: Prestashop, Opencart

paid: Americommerce

2. DropShip Commerce: You can use DropShip Commerce to keep all your store fronts updated to your drop ship supplier inventory levels, dropshippers supply their inventory level data as feed files, usually in .csv format, and also provide a daily update data feed for recent inventory level changes. Each storefront will have a separate drop shipper.

With DropShip Commerce, You can update an unlimited number of product data feeds ie. several product data feeds or one central product data feed that combines all drop shippers, then import them to your shopping cart(s):

DropShip Commerce can easily do all these updates automatically, as well as allow you to edit product descriptions, delete categories, etc.

You can use this list of drop ship suppliers, if you are looking for suppliers.

In essence, run multiple beautiful sites, with hot products, and multiply your income streams. We believe this is the easiest way to make major money on the internet.

Outsource help for cart customizations, etc.

3. You might want to switch from a shared host to a vps or dedicated server once you are doing over 10 storefronts with very high traffic, I recommend rackspace, but there are many providers.

We thought we would go ahead and share this idea, the software tool for this completed at DropShip Commerce.


Hope this helps!
#amazon #compete #win
  • Do this and you'll violate every anti-spam policy in the book for Google.

    You won't be relevant for any keyword, you'll have more duplicate content penalties than you can shake a stick at, and Google will be more than quick to sniff this out.

    Google wants natural, good, original content.

    They want a GREAT website selling a GREAT website a GREAT way.

    They want relevancy, so that NATURAL popularity will happen. If you're 'selling just for the sake of selling' then you'll be buried, and never know why.

    I can't see this strategy ever working, nor can Matt Cutts based on anything he's ever published.

    Find a niche, find a keyword, find a supplier, negotiate pricing, build a skeleton based on those keywords, create the website with your OWN content and make it all NATURAL.

    And again, sell a GREAT product, a GREAT way, and your users will buy.

    Visitors can sniff our automation (spam) from a mile away.
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    Famous for my '$1000 dollar challenge,' I've been teaching people how to DOMINATE on eBay for YEARS. Sell 100% of your items FOR A PROFIT. Rank higher, sell faster, sell more, and DESTROY your competition with a data-based approach. Quit listening to Guru's-in-training! Click now below!
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  • I am not going to claim that this is the greatest link I will ever give you or anyone that ever reads this thread.

    But I will claim that this link will explain why word of mouth and Google promotion in the search engines are corollary.

    Additionally, it will also be a great resource for ANYONE creating a website and really how 'Google' fundamentally works:

    Inside Search ? Google

    If anything, it could help you tweak your product you keep self-promoting.
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    Famous for my '$1000 dollar challenge,' I've been teaching people how to DOMINATE on eBay for YEARS. Sell 100% of your items FOR A PROFIT. Rank higher, sell faster, sell more, and DESTROY your competition with a data-based approach. Quit listening to Guru's-in-training! Click now below!
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  • Profile picture of the author TheSecretsOfSEO
    I hate when fights start in Warrior Forum. Totally makes the forum look bad...
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  • Me too.

    I also don't like when help is interpreted as attack. I think I was successful in clarifying that, though, in my previous responses.
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    • Profile picture of the author york
      I also don't like when help is interpreted as attack. I think I was successful in clarifying that, though, in my previous responses.
      There is no connection between the setup I mentioned above and spam.

      Where you came to that conclusion is a big question.

      Perhaps you misread, and believed that each store was "a copy" of the others, no, these are separate storefronts each offering separate lines of products.

      Thanks.
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    • Profile picture of the author Pusateri
      If I had to deal with 200 orders to make a lousy grand I'd slit my wrists.
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      • Profile picture of the author york
        If I had to deal with 200 orders to make a lousy grand I'd slit my wrists.
        A grand a day, running 20 drop shippers, from multi-stores from one shopping cart(ie carts with multi-store feature), or you could have 20 separate shopping cart types if you wanted, you could run a magento cart, a shopify cart, a bigcomerce cart, Drop Ship Manager would automatically provide an updated product feed, updated to your supplier inventory levels any time for each separate cart and dropshipper.

        You would simply use the pdf print function on the shopping cart software, to batch print the invoices for that dropshipper, and email it. This would take maybe an hour.

        But it is something that can also be automated, with a simple shopping cart addon, and another reason free open source carts are better, because you get to change the code, and you can use low cost outsourcing for this.

        Hope this helps!
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      • Profile picture of the author lindasdd
        Originally Posted by Pusateri View Post

        If I had to deal with 200 orders to make a lousy grand I'd slit my wrists.
        While I won't comment on the merits of the original posters ideas (If his system was so easy, he'd use the tool himself to build 1,000 stores and retire rather than selling it as a software), your comment intrigues me.

        Netting $1000 a day, even with some minor drop shipping admin (which you could outsource) doesn't sound like such a terrible scenario.

        What are you doing (in vague terms) that makes you so much that you can so easily scoff at making $1,000 per day.

        I am honestly interested - I'm not bashing.
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        • Profile picture of the author york
          While I won't comment on the merits of the original posters ideas (If his system was so easy, he'd use the tool himself to build 1,000 stores and retire rather than selling it as a software), your comment intrigues me.
          Of course, we plan on running this system ourselves, right now we have other things going on, and this model isn't actually so easy, it is still a business operation, you have to get accounts at dropshippers, get your store fronts set up, if you are using multiple store fronts, get small customizations done on your store fronts, it is a regular business, this software make it possible, but you still have work to do.

          If it were too easy, then everyone would do it, you dont want that, you want it to be pretty easy but still a little too hard for a lot of people.

          Also, the internet is a very big place, there are many domain names, niches, ways to market your offerings, everyone can find a place in it and make money.

          People may decide to become dropshippers themselves, importing goods from china, or procuring them from anywhere else.

          Further, we plan on eventually offering this same thing on a webserver, with an interface for dropshippers, but that will only be after several months, and it isn't even necessary, but might interest those at the enterprise level.

          Hope this helps!
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          • Profile picture of the author Tomas Gabriel
            Originally Posted by york View Post

            Of course, we plan on running this system ourselves, right now we have other things going on, and this model isn't actually so easy, it is still a business operation, you have to get accounts at dropshippers, get your store fronts set up, if you are using multiple store fronts, get small customizations done on your store fronts, it is a regular business, this software make it possible, but you still have work to do.

            If it were too easy, then everyone would do it, you dont want that, you want it to be pretty easy but still a little too hard for a lot of people.

            Also, the internet is a very big place, there are many domain names, niches, ways to market your offerings, everyone can find a place in it and make money.

            People may decide to become dropshippers themselves, importing goods from china, or procuring them from anywhere else.

            Further, we plan on eventually offering this same thing on a webserver, with an interface for dropshippers, but that will only be after several months, and it isn't even necessary, but might interest those at the enterprise level.

            Hope this helps!

            Ok I' just curious...do you have your own website you can show us, that makes that amount of money? Since I see no direct link to your website I cannot make that assumption. I believe what I see. As Cuba gooding Jr said in Jerry Maguire... show me the money!

            All the best
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            • Profile picture of the author york
              Ok I' just curious...do you have your own website you can show us, that makes that amount of money? Since I see no direct link to your website I cannot make that assumption. I believe what I see. As Cuba gooding Jr said in Jerry Maguire... show me the money!
              We used a drop shipper previously for a webstore that was hosted at bluehost.com, with a modified oscommerce shopping cart. We used google checkout exclusively, and sent a product feed to google shopping (back when it was free). With no other marketing, but having very competitive prices, we did about 3-7 orders a day, and made about 5-10 dollars profit per order.

              But we found that it was not cool to have to manually update the product inventory levels in the store every time the drop ship supplier went out of stock, or changed the price for an item. We had thousands of products, and had to use microsoft access to run update queries whenever we needed to do an inventory level update.

              To solve that problem, we started working on software that could handle synchronizing inventory levels to drop shippers, which, in itself, would then actually allow the easy operation of multiple stores, this was actually before shopping carts began to offer a multiple store feature, which now makes it even easier.

              We decided to let the software loose, unbridled on the internet.

              For these reasons:

              The tools for starting a large successful ecommerce business should be available to everyone, not just the rich, Drop Ship Manager keeps you completely independent of monthly paid services, because it is Windows desktop software.

              To shut down the gap between drop shippers/manufacturers and merchants, and create a simplified supply chain, that allows successful competition against Amazon, and Walmart.com, and creates a level playing field.

              There is also other dropship management software available on the internet, but ours is superior:

              Which is the best dropship management software?


              Hope this helps!
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            • Profile picture of the author lastreporter
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              • Profile picture of the author york
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        • Profile picture of the author Pusateri
          Originally Posted by lindasdd View Post

          While I won't comment on the merits of the original posters ideas (If his system was so easy, he'd use the tool himself to build 1,000 stores and retire rather than selling it as a software), your comment intrigues me.

          Netting $1000 a day, even with some minor drop shipping admin (which you could outsource) doesn't sound like such a terrible scenario.

          What are you doing (in vague terms) that makes you so much that you can so easily scoff at making $1,000 per day.

          I am honestly interested - I'm not bashing.
          I'm not objecting to the amount so much (though I would consider it a disappointing sales day.) It's the volume of sales required to make it.

          It takes the same effort to process a sale that nets $50 as one that nets $5.

          Also, when you sell low priced crap and compete based on price, you are vulnerable to the state of the economy, what search engines do and especially to the guy willing to sell the same thing for a few pennies less.

          When you sell quality, compete on service and have ample margins, you can afford to actually market, don't have to rely on the whims of Google, and will acquire customers you will have profitable long term relationships with, who won't run to someone else to save a few bucks.

          Just a difference of philosophy.
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          • Profile picture of the author york
            Also, when you sell low priced crap and compete based on price, you are vulnerable to the state of the economy, what search engines do and especially to the guy willing to sell the same thing for a few pennies less.
            The above was a hypothetical model, typically you can dropship $7,000 items out of dbl distributing, they are on this list, along with other wholesalers of high end items.

            Of course, this software offers pricing formulas, as well as price tier formulas giving you full control over your margins, and allows you to filter out certain products based on the price range of them at the drop shipper.

            Hope this helps!
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          • Profile picture of the author Silas Hart
            Originally Posted by Pusateri View Post

            I'm not objecting to the amount so much (though I would consider it a disappointing sales day.) It's the volume of sales required to make it.

            It takes the same effort to process a sale that nets $50 as one that nets $5.

            Also, when you sell low priced crap and compete based on price, you are vulnerable to the state of the economy, what search engines do and especially to the guy willing to sell the same thing for a few pennies less.

            When you sell quality, compete on service and have ample margins, you can afford to actually market, don't have to rely on the whims of Google, and will acquire customers you will have profitable long term relationships with, who won't run to someone else to save a few bucks.

            Just a difference of philosophy.
            My experiences are the exact opposite than that of your philosophy.
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            • Profile picture of the author Pusateri
              Originally Posted by Silas Hart View Post

              My experiences are the exact opposite than that of your philosophy.
              And my philosophy is born of 20+ years experience in retail. I've made my living in e-commerce since 1998. Competing on price is a fragile business model.
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          • Profile picture of the author lindasdd
            Hate to keep hijacking the thread, but...

            Originally Posted by Pusateri View Post

            I'm not objecting to the amount so much (though I would consider it a disappointing sales day.) It's the volume of sales required to make it.

            It takes the same effort to process a sale that nets $50 as one that nets $5.

            Also, when you sell low priced crap and compete based on price, you are vulnerable to the state of the economy, what search engines do and especially to the guy willing to sell the same thing for a few pennies less.

            When you sell quality, compete on service and have ample margins, you can afford to actually market, don't have to rely on the whims of Google, and will acquire customers you will have profitable long term relationships with, who won't run to someone else to save a few bucks.

            Just a difference of philosophy.
            Agreed. Although if either your own warehouse or your fulfillment service or your non physical product can accommodate the volume, I'll accept both a $5 profit and a $50 profit.
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  • Profile picture of the author york
    To explain this more, I find sellers on TaoBao.com such as: http://lovehiphop.taobao.com/ (which is not an actual supplier for me, I'm using this as an example)
    Pretty nice!

    But how did you get around the language barrier? Do you speak Mandarin, or do the Chinese actually know english pretty well?

    Thanks!
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    • Profile picture of the author Silas Hart
      Originally Posted by york View Post

      Pretty nice!

      But how did you get around the language barrier? Do you speak Mandarin, or do the Chinese actually know english pretty well?

      Thanks!
      I've been studying Mandarin for several years and I have employees here in China that can speak and read English very well.
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  • Profile picture of the author GetExperienced
    Oh man, this forum starting thread stinks of self promotion.

    First off, the "sub.domain.com" is garbage. Google seems them as separate sites, and you'll have to try to rank them all (Good Luck!).

    As with Rackspace...it's overpriced Garbage.

    I say it's better to focus on smaller niches.

    And drop shipping with DOBA...then you can say goodbye to profit (especially with Rackspace)

    If you want to drop ship without fees, then I suggest you checkout our program for both Brick and Mortar as well as Online dropship accounts.
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    • Profile picture of the author york
      Oh man, this forum starting thread stinks of self promotion.

      First off, the "sub.domain.com" is garbage. Google seems them as separate sites, and you'll have to try to rank them all (Good Luck!).

      As with Rackspace...it's overpriced Garbage.

      I say it's better to focus on smaller niches.

      And drop shipping with DOBA...then you can say goodbye to profit (especially with Rackspace)

      If you want to drop ship without fees, then I suggest you checkout our program for both Brick and Mortar as well as Online dropship accounts.
      They are SUPPOSED to be separate sites using a multiple store feature, or can even be totally different websites each on a separate shopping cart platform.

      Rackspace is not bad for vps servers, but that is ONLY if you need a vps, of course there are many places that offer vps, not just rackspace, a vps is only needed if you have many sites, that have very high traffic.

      It was clearly mentioned above that doba is frowned upon, and has absolutely nothing to do with this system, this system uses drop shipper product data feeds to update webstores, with Drop Ship Manager.

      Maybe you might try to read the thread again, more closely, in order to actually know what is going on in it, rather then just skimming it and adding your link?

      Thanks
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