There are quite a few Amazon Automation companies popping up recently that want you to believe you can build and run a successful e-commerce business that’s automated, profitable, and generates cash around the clock in less than 90 days…
…with just a couple hundred dollars in inventory…
Sounds a little too good to be true, right?
Look, as far as most online businesses go, you could do a lot worse than Amazon FBA.
But does that mean it’s the best solution for you?
That’s what we’ll find out in this Amazon Automation article.
The biggest elements you have to consider here are:
- Inventory Management
- Product Selection
- Time to Profit
While you can make good money with Amazon FBA, it’s not as easy or simple as most automation agencies make it sound. Let’s break these 3 down real fast:
1) Inventory Management: If you’re doing an FBA business, the promise is that you don’t need to worry at all about inventory, because Amazon takes care of packing, shipping, customer service, etc.
However, you still need to get products to Amazon. And Amazon has very strict rules all sellers have to follow when preparing products for their warehouses.
This includes packaging, labeling, and registering products in their system. If you’re preparing all products yourself, you’ll spend a TON of time on this step (potentially 4-5 hours a day). So if you’re looking for a passive, automated business that runs itself, this might not be the best fit.
Now, yes, you can hire an Amazon prep center to do all this for you, but that eats into your margins. And remember that Amazon takes around 30-40% in fees for using the FBA program, so your profits are pretty tight to begin with.
2) Product Selection: E-commerce is a cyclical business. “Hot” products are always going in and out of fashion, which means, as an Amazon seller, you constantly need to be on the lookout for the next big thing.
That means monitoring trends, searching for products that might be popular down the line, and constantly in a rat race to – essentially – predict the future.
Sure, you can play in the evergreen market (things people always need and buy), but how much profit margin are you really going to get on meal prep containers, rubber spatulas, and golf umbrellas? Especially when there are hundreds of thousands of other sellers all swimming in that same ocean.
And because you’re constantly hunting for new hot products to sell, that takes up all the valuable time you could be using to travel, explore, read, surf, hike, or whatever else.
3) Time To Profit: Now, this isn’t the slowest turnaround time, but if you think you can put a dollar into inventory today and come out with two tomorrow, you’re sadly mistaken. From the time you first buy products to sell, you could be looking at anywhere from 4-12 weeks before you see a dollar come back.
And it could take twice as long before you break even.
Now, that’s not terrible, but what if you could start building a different (non-Amazon) income stream today, and see your first profits tomorrow?
What if you could build a passive income stream that’s actually passive?
An income stream that doesn’t require:
- Low margins
- Constantly looking for the next hot product
An income stream that brings in consistent revenues every single month (from a couple thousand dollars to well over $10,000).
An income stream you could actually build in your spare time, and grow as large or as small as you want to, without having to spend hours a day packing, prepping, and researching?
If that sounds like something you’d be interested in, check out Digital Leasing.
However, if you’d still like to know more about Amazon Automation, keep reading.
What Is Amazon Automation?
Amazon Automation is a service that helps amazon sellers manage and grow their Amazon FBA business using automated processes. It simplifies tasks like inventory management, order fulfillment, and product research. While some FBA Automation services are legitimate, be cautious of scams and high upfront costs, and always research before investing.
Amazon automation is one way to operate and expand your Amazon business by assigning several repetitive duties to your own automation software program or to a third-party program.
This is often accomplished through Amazon’s internal Fulfillment by Amazon (FBA) system and with the assistance of partners like Seller Labs.
So, what is an Amazon Automation Agency?
An Amazon Automation Agency offers to help you streamline your business by taking a ton of labor off your plate. You then have the ability to focus all of your work on business development or spend more quality time doing more of everything you enjoy.
Below, you will find more reasons why automating your Amazon business procedures may work for both for you and your customer satisfaction.
What Is An Amazon FBA Business?
Fulfillment by Amazon (FBA) is an application to automate eCommerce companies and enables you to send out all of your inventory to Amazon. They will keep it for you and fulfill your orders each time you make a purchase.
It’s a lot like dropshipping.
Signing up for FBA is the initial investment towards producing an Amazon automation service since you don’t need to stress about fulfilling orders.
Packing goods and mailing them to clients is among the most time-consuming areas of operating an eCommerce company, but Amazon automation agencies claim to manage everything for you with this system.
Utilizing FBA also means you do not need to be concerned about tracking your own inventory, which is ideal for individuals with limited space.
How Does An Amazon Automation Business Work?
1. Fulfillment By Amazon (FBA) Automation
One of the methods to automate your Amazon business is by using Amazon’s fulfillment program. As an FBA seller, you won’t need to pack and mail orders for your clients. Amazon will try to take weight off your shoulders…
…in return for a huge cut of your profit margins – a lot more than just one dime.
Better still, stocking inventory will not be a problem either – you’ll simply send your items to Amazon’s Fulfillment Centers and allow them to look after the inventory management, returns, order fulfillment, and the rest.
Delivering relevant, timely communications is one of the most effective methods to establish your standing on the Amazon marketplace and influence how buyers see your brand.
Automating this process should help you, as an entrepreneur, save valuable time and spend it on more important things to hit your goals much faster.
So, where will you begin?
2. Amazon Email Automation
Delivering relevant, timely communications is one of the most effective methods to establish your standing on the Amazon marketplace and influence how buyers see your brand. Automating this process should assist you, as an entrepreneur, save valuable time and spend it on more important things to hit your goals much faster.
So, where will you begin?
Tip #1: Start With An Email Template
You began selling with your Amazon account to generate cash your own way – you’re not an expert copywriter, right?
Rather than wasting your time creating effective copy for your automated emails, you can take advantage of third-party solutions which will help you implement Amazon-approved messages your customers will like.
You can make each template unique to your company because of the customizable subject line, body text, and other customized fields.
Tip #2: Include Branding In Your Emails
Graphics are the quickest method to communicate a brand message. This is exactly why you need to incorporate visuals in the messages you send over to your shoppers.
Introducing the product image variable and your logo takes a maximum of five minutes to complete and can have a great effect.
With a good brand, individuals will have an optimistic perception of who you are and will purchase from you more confidently.
Tip #3: Deliver A Powerful Message
You can—and should—do more than create a logo to build a brand. The way you mention the merchandise you promote on Amazon is crucial to producing a solid brand perception.
And every email you send to a purchaser is a superb way to build a good product sentiment in addition to producing an excellent product.
You also may test your emails to see which one is most effective for your market.
You can test your messages against one another with the A/B split testing option. By looking at two variants of a message’s subject line, you can find out if one gets opened more than another.
You can go much deeper by A/B testing each of your messages’ content to see which version gets more clicks.
When you start testing your messages against one another, you will more than likely see just tiny percentages of improvement.
3. Amazon Review Automation
Buyers take a leap of faith whenever they purchase your product online. They cannot see, hold, or feel your products before purchase.
They depend on what previous buyers have reported about the product through reviews – which is why asking for reviews must be the top approach to enable you to make a booming Amazon business.
4. Amazon Sponsored Brands Ad Suggestion Automation
You will find a lot more items you can (and should) automate. Aside from email and reviews automation, you can automate Amazon Sponsored Brands marketing ideas.
This feature will save a fair chunk of your time and effort while enabling you to generate more revenue.
With the Amazon PPC Advertising program, “Ignite”, you can enhance your promotions in two ways:
Automatically alter your keyword bids based on real-time performance; Optimize wasted advertisement spend, taking out irrelevant keywords.
Confidence and importance ratings will make it simpler for you to create a choice regarding the suggested improvements.
The Confidence rating goes up as your campaigns gather a lot more information. The Importance rating improves because the keyword will become more economically impactful to a campaign and can benefit your Amazon store.
5. Different Ways To Automate Your Amazon Business
Take advantage of cost tracking software such as Competera or Prisync. Whether you’ve got your own business or a popular brand, starting a competitive product pricing strategy is a necessity.
Hiring a virtual assistant should also take a ton of work managing your Amazon business off your plate. Virtual assistants are going to handle several of the most repetitive and mundane tasks.
Automate your inventory, order, accounting, cash flow, and shipping management with any inventory management software like Inventory Store or Expandly. This will help you with your business processes and product listings.
Amazon Automation Online Reviews
Let’s take a look at what some folks on Reddit have to say about Amazon Automation…
Amazon Automation is a Good Investment
Making money from Amazon Dropshipping is a super easy thing. This is very profitable if you start with proper knowledge and processes. It is a wise decision to hire experts who can handle Amazon store management services. Because only they know the use of the successful business model. – gliztech
Here are a few replies…
I’ve hired 4 automation companies and the main factor for their failure is the business model itself. Dropshipping is against the rules. All my stores was suspended for Dropshipping Suspension, ODR, IP complaints, and the majority of these automation companies doesn’t even know how to reinstate the accounts. I had to go through a third party reinstatement agency to get my account back. If you want to have a done for you service at least use the wholesale or private label method. I have 2 functioning stores right now from two providers and they are not doing Dropshipping. – MaverickVenture
I was a victim of fraud by Empire Ecommerce, who promised to automate my Amazon dropshipping business, but instead listed out of stock products and uploaded fake tracking which got my store to be suspended. Despite investing a significant amount of money, I have not seen any returns and the company has made no effort to reinstate my account.
I have since found a reliable company that has successfully lifted my suspension and is now helping me rebuild my store. It is important to exercise caution when choosing partners in this industry as there are many deceitful individuals who may take advantage of you. – amzecomguy
There’s two companies that we use for specific parts of our business and they help automate our backend process of our business on Amazon. Buy Box experts and Basilio Inc. You need to analyze whether or not the company who you are working with are indeed experts in their domain, and then from there leverage what they are good at. The majority of Automation Providers doesn’t even know basic things so what do you expect to happen to your store if the company who you hired is incompetent. You also need to know the business before giving away money to people who will handle your account. – Intrepid_Chapter_157
My experience with investing in automation companies in the Ecommerce industry has been nothing short of a nightmare. It seems that either I have the worst luck or there are a ton of scammers in this industry. The majority of the companies I have invested in have failed to fulfill their duties on the stores purchased, resulting in suspensions, stolen products being sold on my store, and inability to receive products from the port. Instead of continuing to invest in failing companies, I have conducted extensive research to find the most competent sellers/management companies.
I have found only three companies that seemed legit, and I am currently working with one of them. While it took some time for them to prepare my account, and I was not making money for at least seven months of the operation, I am now making 16k per month in one store. We plan on selling our business once it reaches a profitable exit. When we do decide to sell the business we plan on selling our store for 850k, which will make up for all the losses incurred from all our previous investments.
I caution anyone who wants to invest in this industry to be very careful. There are a lot of scams going around, and it is essential to thoroughly investigate the seller/management company before investing any significant sum of money. – chelcia4Success
Is Amazon Automation A Scam?
So, is Amazon Automation legit?
You can make money with this business model, but it’s definitely not as easy as the gurus make it sound.
There’s a ton of work to be done upfront, no real guarantee of success, and – most importantly – you need to do a ton of volume to make any real money.
Now, there’s nothing wrong with front-loading the work and making the money later.
But if you’re grinding it out for 3 months and then your reward is 15% profit on a $12 product (which comes out to $1.80), it’s not really worth it.
What if, instead, you could do that same 3 months of work (in your spare time), and your reward was a $500 to $2,000 payment that came in every single month (recurring revenue)?
And what if you actually didn’t need to wait 3 months? What if you could get started today and have your first payment in a week?
And what if you could double it next week?
Well, that’s the power of Digital Leasing.
And, unlike with Amazon FBA, you can legitimately do this from anywhere. It’s a true lifestyle business.
Your laptop and an internet connection is all you need.
Some of the most successful students in this program run their entire 6-figure businesses from:
- A camper in the middle of the woods
- A beach chair on the water in Mexico
- A small villa in Greece
They’re able to travel around, living their lives first, and focusing on their income second.
Because even if they stop working for an extended period of time, the money keeps coming in.
So adventure, memories, and experience are the top priority.
And they never have to worry about how to pay for the next trip, or consider asking for time off.
If this sounds more like the type of life you want to lead, just click here to find out more about Digital Leasing.
How Much Does Amazon Automation Cost?
There are plenty of companies that want to sell you their automation services.
They will build you a company on Amazon, selling brand name products, without you being forced to do anything – beside putting up all the risk, and all the money, of course.
The pitch goes something like this:
- Spend either $25,000 or $50,000 up front as a minimum
- You’ll then agree to pay a monthly “administration” fee of around 100 to 1,000 dollars, just for overhead expenses.
- You will agree to give up anywhere from 25 to 50% of the “profits” coming from the enterprise.
“They” are going to create you a business on Amazon by searching, getting, and purchasing these brand name items in your FBA account (making use of your credit card, obviously).
You’ll have authorized ahead of time a specific amount of cash these individuals can invest in products, wholesale products to promote on Amazon that you have no say about because, effectively, it is Amazon’s Automation.
If it sounds too good to be true – it just might be.
Are There Alternatives To Amazon FBA?
Yes, there are plenty of other business models to choose from if you want to pursue making money online. Here are just a few:
What Is Our Top Recommendation For Making Money Online In 2023?
The ScamRisk team has spent months researching, reviewing, and vetting dozens of business models and thousands of programs.
While there may be no “perfect business”, the research IS conclusive:
Whether you’ve never made a dollar online, or you’ve been in this space for a while but never really “made it,” Digital Leasing is for you.
1) It’s Flexible: got an hour a day? You can do this. Ready to drop everything else and dive in full time? You can do this. Yes, the more time you put in, the faster you see results. But even with a little time each day, you can move the needle in a Digital Leasing business.
And because this system is so flexible, you don’t have to constantly be working to make more money. It’s called PASSIVE INCOME because if you stop working, the money doesn’t.
Imagine taking 3 months off to just tour around Europe, rent a cabin in the woods to write a book, hike the Appalachian Trail, or live on the beach and surf all day.
This is only possible if you have an income stream that’s not tied to your time.
2) You Own & Control EVERYTHING: With Amazon FBA, you don’t really own anything. Yes, you technically own the products before you send them into an Amazon warehouse, but that’s it.
You don’t own the sales platform, you don’t own a brand, and you don’t own the customers.
Not to mention, Amazon can literally shut you down at any time if they believe you’ve violated their constantly changing terms of service.
So you’re building a business that could be completely taken away from you in the blink of an eye.
With Digital Leasing, you own the assets, which means you have all the power and all the control.
3) Little To No Startup Costs: It’s possible to get into Digital Leasing with zero dollars upfront. Because, using the strategies outlined in this program, you can get a client to pay you BEFORE spending a penny out of your own pocket…even before you do any work.
Even without getting paid in advance, you can have your first Digital Rental Property up, running, and generating profits for less than $100.
4) No Inventory: As mentioned above, spending 4-5 hours a day prepping and packing products to send to Amazon is a huge time commitment.
Plus, you constantly need to be buying new products if you want to maintain your business. You need to spend even more money if you want to scale up.
With physical products, you’ll always have limits on your time and freedom.
With Digital Leasing, a 100% online business, you never have to worry about that.
5) Easy To Duplicate: Ok, here’s the best part: once you have your first Digital Rental Property up and running, you can literally DOUBLE your income with a few clicks, a couple keystrokes, and a single phone call (and you don’t actually need the phone call).
Remember: each Digital Rental Property is worth $500 to $2,000 a month in semi-passive income (over 95% profit). Every time you decide to create another one and increase your income, it gets easier.
Because you have more knowledge, more experience, more results, and more momentum.
If you wanted to double your income with Amazon FBA, you’d have to double your inventory OR your profit margins. And, guaranteed that’s a lot harder than a few clicks and a few minutes of your life.
6) Make Money Helping Real People: This part is what makes it all worth it. Amazon FBA is a decent way to make yourself money, but it doesn’t improve anyone else’s lives.
After all, there’s always someone else selling rubber spatulas and umbrellas. That might be fine in the short term, but in the long run you may feel like you’re missing a purpose.
With Digital Leasing though, you’re actually helping people by solving your clients’ biggest problem…
Small, local businesses need more customers, and with Digital Leasing, you are unleashing a flood of happy, paying customers for these businesses.
You make money by helping them make money.
Not a big, faceless corporation either…a small business owner who’s using that money to put food on the table for their family, start a college fund for their kids, or take care of a sick parent.
Once you see how Digital Leasing makes a real impact in the lives of real people, you’ll sleep like a baby with a big smile on your face.
Now, the choice is yours. You could continue browsing, looking at opportunities like an Amazon Automation Store which could one day make you money.
You could continue researching, never making a decision.
OR, you could take a look inside, consider what you really want, and join a program that makes your dreams a reality. At the same time, joining a community of over 2,000 successful students that are living life on their own terms thanks to Digital Leasing.
A consistent, reliable, semi-passive stream of income that doesn’t depend on you or your time to keep producing profits.
All while genuinely helping real people who are grateful and happy to pay for it.
If this sounds more like what you want out of life (or if you just want some nice side income), click here to learn more about Digital Leasing.