Amazon store management outsourcing generated $3.7 million in annual revenue in one year, with a profit margin of 45%.

Background

The client contacted us through our Facebook page. The client has a substantial investment and has already started selling in the United States.

Team

Composed of three senior operations experts

Store Diagnosis

The first thing we always do is conduct a technical diagnostic of the account. Our diagnostics show that the product needs optimization, certain areas require specific improvements, such as a catalog that needs to be updated, and new, effective advertising strategies are needed to run campaigns.

Goal setting

Find the best products in profitable vertical categories.

• Finding the best suppliers for manufacturing

Launching new products with a profit margin of 55%

• Optimize existing products

• Re-edited the table of contents

• Develop new functional strategies for the event

• Expand business to other markets

Operation process

We started working on this project on the 13th and will continue until June 2021.

When the client contacted us, he shared that he was dissatisfied with the revenue generated by his store. Only 13 to 15 products in the catalog had very low profit margins. Furthermore, the client was already selling in the US market and wanted to expand his business to other markets. Therefore, the first step in our strategy was to develop a detailed operational plan as the foundation to help us execute our growth plan. In an already saturated market, it’s difficult to identify vertical categories with low competition, high demand, and high profit margins. Therefore, at this saturation point, the best we could start with was improving our existing products. That’s what we did; we optimized our products and content and invested in activities that increased overall consumer demand.

Following that, we identified the most profitable vertical for our new products: the “Home Office” vertical. While this vertical may have seemed unusual at first, its diverse product range helped us generate substantial revenue. We successfully launched 28 products in this category, achieving monthly revenue of $316,446 and a profit margin of 45%. Using a new operational strategy and successfully running campaigns, we generated $3.7 million in annual revenue thanks to superior technology and strategy, and expanded our business to other markets such as the UK, Germany, Mexico, and Canada. Our clients continued to experience strong monthly growth and were extremely satisfied with our results.

Effect

Bizistech manages Amazon stores (before)