Episode #5 - Aaron Cordovez 12M units sold, $120MM+ on Amazon. How regular people are taking marketshare from established brands on Amazon 1P
Sep 3, 2023
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Aaron Cordovez, Amazon expert, discusses how regular people are taking marketshare from established brands on Amazon. The podcast covers topics such as the differences between Seller Central and Vendor Central, finding a unique selling point in a saturated market, and the importance of creativity and innovation in e-commerce.
Amazon provides a level playing field where anyone can succeed regardless of race, religion, or age, highlighting the importance of finding a gap in the market and creating products that bring value.
Seller Central is gaining more power and providing sellers with an increasing number of tools, emphasizing the importance of thinking like an entrepreneur and staying informed about the ever-evolving Amazon landscape.
Deep dives
Aaron's Journey to Building a Successful Amazon Brand
Aaron Cordova, an experienced Amazon seller, shares his story of starting as a newbie and building a successful brand in the kitchen space. He emphasizes that Amazon provides a level playing field where anyone can succeed regardless of race, religion, or age. Aaron credits Amazon's non-discriminatory nature as a key factor in his success. He highlights the importance of finding a gap in the market and creating products that bring value. Aaron's brand initially gained traction by offering a unique and improved lemon squeezer, showcasing the power of innovation. He also discusses the evolution of his brand, including introducing new products like measuring spoons and milk frothers. Aaron encourages other entrepreneurs to think creatively and bring imaginative ideas to the e-commerce industry.
Understanding the Differences Between Seller Central and Vendor Central
Aaron and Isaiah discuss the pros and cons of Seller Central and Vendor Central. They highlight that Seller Central is gaining more power and providing sellers with an increasing number of tools. They emphasize the importance of thinking like an entrepreneur and staying informed about the ever-evolving Amazon landscape. They mention that some brands have been forced to transition to Vendor Central, but it's crucial to have a backup plan by maintaining a presence on Seller Central. They discuss the benefits and challenges of the hybrid model, where brands work with both Seller Central and Vendor Central. Aaron also touches on the topic of controlling prices on Amazon and the limitations faced by vendors in this regard.
The Power of Creating Brands that Matter
Aaron emphasizes the importance of creating brands that make a difference in people's lives. He believes that the e-commerce industry offers ample opportunities for entrepreneurs to bring valuable products to the market. He discusses the significance of finding gaps in the market, seeking creative solutions, and elevating the overall consumer experience. Aaron provides examples of successful brands, such as Instant Pot, that have revolutionized the way we cook. He also highlights the impact of his brand's milk frothers, which have become a household item, enhancing the coffee experience. Aaron encourages entrepreneurs to have a vision, identify opportunities to bring value, and make a positive impact in society.
The Challenges and Strategies of Navigating Vendor Central
Aaron and Isaiah delve into the challenges and strategies of working with Vendor Central. They discuss certain tactics used by Amazon, such as strong-arming brands into transferring their products to Vendor Central, which offers some advantages but also limits control over pricing. They share insights on the dynamics and expectations within Vendor Central and the advantages of teams or distributors that can help navigate the sometimes complex relationship with Amazon. They debate the benefits of offering products through vendors, hybrids, and other distribution channels to maximize market reach and maintain control over pricing and branding.