AS 13: I saved 19,500 dollars on Amazon in one day with this secret

04 Feb 2016

AS 13: I saved 19,500 dollars in one day with this secret

What’s up guys, your listening to The Amz Secrets Podcast, with your host David Aladdin. ACUNA MATTATA, What a Wonderful. IT’S TME TO BE KINGS. This is the podcast, where nothing gets left out, EVERY Amazon secret gets discovered, where we turn our businesses from from 5k a month, to 20k a month, and 20k a month to 300k months. I see 60k months ahead, and in a year or so 100k and 200k months. Amz Secrets lifts the darkest questions into light, we discover game changing secrets that will elevate your business to the highest level.

We’re not about building short term, crappy Amazon businesses. This is the real deal. My advice has led me to where I am today, but I will take you with me with sound advice, BACKED by hard statistics, so you too will make sound decisions in your business. So join me. This journey won’t be easy. No ever said it would be. This journey won’t be short. But if you stick with me, together, we will be kings of Amazon.

Today’s podcast is on: I saved 10,000 dollars in one day by expanding my Amazon knowledge

But before we start, your morning Amazon News Flash, to get you primed up on Amazon, as I believe Knowledge is power, and these related tidbits from news, can assist you in your decision making.

Today’s Podcast, EPISODE 1-3 is titled I saved 19,500 dollars in one day with this secret

. This isn’t some gimmicky trick or joke…. it’s Amazon. When your moving mass units, making even the smallest adjustments, are hard, but when you do them, they can make all the fricken difference. This is why I read Amazon News every day to you guys, its’ not to expand the length of the podcast, its to keep us informed, knowledgeable to the K, about the ever so changing landscape of Amazon, between their futuristic drone program, their in-a-sense monopolized -cloud network, their invasion of smart home devices, and their dominance in e-commerce.

The more units we sell on Amazon, the more complicated our logistics get. It becomes a jungle, and no matter where you are at in your journey, this podcast episode in itself will save you tens of thousands of dollars one day.

So. When I first started selling, I chose speed over cost savings, I chose air freight over sea freight. Your probably like, “okay David, everyone knows sea freight is a lot cheaper than air freight. “Your absolutely correct. Air freight, for those of you new, is typically handled by UPS international, DHL, or Fedex. You can ship anything from China to the U.S using any of these air freight companies. The typical cost for me, is for every 1000 units I send, it cost me $3000 dollars, in air freight, whether DHL, or Fedex. Interesting. Yes, I know. Now Sea freight, has a very interesting change. You’ll need to know your total Cubic Meter Volume and weight in kilograms. The interesting change is, you can buy containers by 20 foot and 40 foot, and the price is relatively the same, as long as you fill the container. A container can go anywhere from 3k-5k on average.

Now, here’s where it gets even MORE interesting. After spending $9000 on air freight in my last payment, I knew I needed more knowledge on Sea Freight, and just logistics in general. My scourge of the web was vast, destructive, and all consuming. I spent days mapping out how sea freight worked on white boards, from how FOB, brokerages, freight containers varied. This time around I’m sending 12,000 units and everything had to be perfect. With a 12,000-unit shipment, if I went my previous route, that would have costed $27,000 dollars. 27,000 dollars. If you ever seen the Italian Job, the guy yells “27 million” when they pull of their heist. The only thing was, I was saying… “27,000 “in a not such happy voice. The heist was on me.

Okay, so “How’d this all pan out DAVID? “Well since you asked… I reached out to 5 different freight forwarders for ocean freight quotes. I asked my manufacturer for their freight forwarder. I also reached out to 4 ocean freight companies here in the U.S I listened to hours long YouTube videos with freight forwarders describing what they do to new interns.

Finally,! With all my freight forwarders giving me quotes, I had a very good idea of what was the best sea freight quote. But it didn’t stop there. One freight forwarder, the one who I chose, recommended I still go air freight, with my 12,000 units, and provided a quote. Air freight, as you may not know can take 3-5 days. Way quicker to launch my new units and replenish my dimishing stock. This was a nice advantage. Not only that, his quote was substantially lower than my manufacturers quote from fedex and DHL. How much lower? They gave me two different air freight quotes, from China Air, that, for my 12,000 units, it would cost about $7500 dollars. WOWWWW. 27,000-dollar quote vs. 7500, that’s $19,500 dollars savings, just by expanding my knowledge. I get my stock into Amazon within 7 days, and save 19,500. At this point, I’m yelling like the movie Italian Job “19,500 DOLLARS”

Now, theres one more secret that goes with this story. My freight forwarder asked me what Amazon Warehouses I’m sending to. In episode AS:3, I said I was planning on shipping from China to my house. I was then going to ship from my house to Amazon.

The difference now, is, 3500 of my units are to go to California. By knowing this, we positioned all my air freight shipment from china to land in California, into a California warehouse, and then, be sent out using Amazon’s 90% discounted UPS land shipping within the U.S to Amazon’s warehouses.

The reasons for costs of FEDEX , DHL and UPS air international, is that these quotes are not giving you that 90% amazon ground freight charge.

As soon as my shipment arrives in California, my ground freight for 3500 units is around $500, not much at all considering the weight and size of all these big units. The distance is very short from the freight forwarder warehouse to amazon.

So what to take out of all of this?

  • If you position your international imports from China or India, , to a warehouse near the Amazon warehouse where you have to get your units, you can have massive saving both on ground ups.
  • Get quotes from 3-5 freight forwarders. Don’t jump on the first one
  • Don’t rely on your manufacturers quotes from DHL,FEDEX,UPS
  • Its best to get the box labels done in China, so less mistakes can happen. This requires trust between you and your manufacture. If that isn’t there, get a 3rd party inspection
  • Shipping by DHL, UPS, or Fedex Air, are the EXPENSIVE options of air freight. Ask your freight forwarder for CHINA Air, and other Air Freight options

I hope you guys especially loved this podcast, I know I did. It would help tremendously, if you could rate this podcast on Itunes! I appreciate you as a listener, and would love to hear your feedback or any questions. For more answers to the toughest questions, AmzSecrets is an all in one platform for answer discovery. It’s built to eliminate duplicate amazon questions, with subpar answers. See you all there until next time, which is errrr. Tomorrow!

David Aladdin Out!





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