Ecomm Breakthrough

In this episode of the Econ Breakthrough Podcast, host Josh interviews Chad Rubin, operations and strategy leader at Profasee. Chad discusses the critical role of dynamic, AI-driven pricing for e-commerce and Amazon sellers, sharing how continuous price optimization can boost profits without sacrificing sales rank. He offers actionable advice on leveraging AI tools, strengthening business operations, and building strong supplier relationships. Chad also recommends influential books and software for entrepreneurs, and emphasizes the importance of surrounding yourself with trusted advisors. The conversation provides practical strategies for sellers aiming to thrive in a competitive, ever-changing marketplace.Chapters:Introduction to Chad Rubin and Profasee (00:00:00)Josh introduces Chad Rubin, his background, and his role at Profasee, focusing on e-commerce and AI-driven pricing.Why Pricing Matters in E-commerce (00:00:37)Chad explains his focus on pricing, its impact on profitability, and why many sellers neglect price optimization.The Fear of Raising Prices and Real-World Example (00:02:01)Josh discusses common fears around raising prices and shares a personal example of increasing prices without losing sales rank.Dynamic Pricing vs. Static Pricing (00:03:57)Chad describes Profasee’s approach to dynamic pricing, the importance of adjusting prices, and the Amazon flywheel effect.Dynamic Pricing in Other Industries (00:05:28)Josh compares dynamic pricing in e-commerce to revenue management in airlines and emphasizes the need for ongoing price adjustments.Three Actionable Takeaways for Sellers (00:06:13)Josh summarizes three key takeaways: focus on profits/pricing, incorporate AI, and strengthen organizational structure and supplier relationships.The Importance of Level 10 Meetings and Team Alignment (00:08:38)Josh highlights the value of EOS Level 10 meetings for organizational clarity and leadership alignment.Most Influential Books for Entrepreneurs (00:09:41)Chad recommends "The 4-Hour Workweek" and other books that influenced his entrepreneurial journey.Favorite and Game-Changing Software Tools (00:11:27)Chad shares his favorite software tools, including Ellie and Notion, for productivity and business management.Mentors and Influential People in E-commerce (00:12:31)Chad discusses the importance of surrounding yourself with trusted advisors and names key people he respects in the industry.How to Connect with Chad Rubin and Profasee (00:14:46)Chad provides contact information and ways to connect with him and learn more about Profasee.Links and Mentions:Tools and Websites  Profasee  ChatGPT Ellie.com Notion  Books  The 4-Hour Workweek" by Tim Ferriss on Amazon The Almanack of Naval Ravikant  The Great CEO Within People Mentioned  Brandon YoungTranscript:Josh 00:00:00  Today, I'm super excited to introduce you to Chad Rubin. Chad leads prophecies operations and oversees its strategy. He often speaks about e-commerce, Amazon, and leveraging AI strategies on webinars and conferences worldwide. He is also the author of the Amazon bestseller cheaper, easier, direct. Prior to Profasee. He founded Think Crucial and co-founded Cubana and the Prosper show. He is also a father, husband, and loves coffee and tacos. So with that, Chad, welcome to the Econ Breakthrough Podcast.Chad 00:00:35  Thank you for having me. Excited to be here.Josh 00:00:37  I want to ask you the question, Chad. You've you've gone through multiple exits. You have your own ecom brand. Why the focus on pricing and why is it so important at the end of the day?Chad 00:00:48  Yeah. So. Well, firstly, the reason why I was focused on price was that I was trying. I'm trying. I'm still working through it. I've been working on turning around my e-commerce business. It's been deteriorated over time. Didn't get a lot of love for me as I've been building other initiatives in my life.Chad 00:01:03  And so, you know, for me, I optimize spend and my ACOs, and I've been optimizing our conversion rate and my listings itself and the infographics on those listing pages. But the one thing that's driving the most to the bottom line is a very small lever, and it swings big doors, but it's not being swung with price. And I just couldn't understand why. Like if we have a $10,000 ad campaign, you would never leave it on. You would never leave it on optimized, you'd always be optimizing it. So why is nobody optimizing price? Because it's a it's hard to understand and it's very manual. And by the time you make the change to the price, the market shifted. So this is why I focus on it. And it's a juicy it's a delicious problem.Josh 00:01:50  It really is. And it can provide I mean it's a huge impact to your bottom line, right? If you want to, you know, increase your bottom line, the best way to do it is just by raising your prices.Josh 00:02:01  Says Roland Frazier, one of the previous guests that we've had on the show. One of the things that he does first, when he acquires any businesses is he simply raises prices. Because to your point, so many brands do not touch their price. They're too scared to be honest with you because they're like, well, I like sales where they're at. If I raise them, you know, 10%, 25%, I'm going to lose it. All right. And I think I actually fell in that camp prior to all of the inflationary environment that we've been in recently with Amazon continually increasing their FBA fees. You've got manufacturers increasing, you know, the cost of goods that you're purchasing from them. ACOs is going up ads. So with all of that, like our back was against the wall, although I felt like, hey, 1999 is kind of the that's the tipping point. You go over the $20 like you cross that mental bridge of $20 and something cents Since all heck is going to break loose, right? And I'm just going to be in a downward spiral, lose my market share.Josh 00:03:08  And on the contrary, we raise the price by $5, increase the price by 25%, and still maintain we were currently the number two best seller in that entire product category. Didn't move a needle. We stayed right there. Now we've got more profit coming to the bottom line. So I want to ask you the question, Chad. Like, are you seeing the same thing with a lot of the clients that you're working with and these early users of the software, that there is more room to increase prices on Amazon, and it's not affecting organic rankings or it's not a spiral downward. Or are you seeing the opposite true of hey, really like lower your price? Yeah, you get margin compression. But man, you you shoot to the roof and you stay locked in in those top positions. What what have you seen.Chad 00:03:57  Well, okay. So Profasee in general is about maximizing profit without sacrificing your BSR. So there's a lot of people in the Amazon space that say, just raise prices. And that's a lot of times could be reckless advice and insight, right? Because like, pricing isn't one size fits all.Chad 00:04:14  And yes, pricing needs to change. But the question is should it go up or should it go down because you can increase price and that may offset demand and you can lower price. It may spur demand. It'll increase ...

In this episode, the host interviews Josh Gibson, founder of Sojourn Group Consulting, about strategies for growing e-commerce sales on marketplaces like Amazon and Walmart. Josh shares expert tips on protecting profit margins, optimizing product listings, leveraging Amazon’s NARF program for international expansion, and efficiently managing inventory shipments. He discusses the benefits and challenges of expanding to Walmart and other platforms, emphasizes the importance of strong team communication, and recommends trusted industry resources. The episode concludes with actionable takeaways for maximizing sales and diversifying channels for long-term growth.Chapters:Introduction to Josh Gibson and Sojourn Group Consulting (00:00:00)Overview of Josh’s background, company focus, and personal life.Protecting Margins on Amazon: Categories, Weights, and Inbound Shipments (00:01:15)Importance of tracking product categories, weights, dimensions, and optimizing inbound shipments to protect margins.Challenges of Managing Amazon Shipments and Auditing (00:02:19)Issues with Amazon’s inventory reconciliation and the need for ongoing auditing to avoid losses.Prioritizing Marketplace Expansion and Expected Sales Lift (00:03:10)Discussion on which marketplaces to expand to first and typical sales lift percentages.Expanding with Amazon NARF (North America Remote Fulfillment) (00:03:50)How NARF enables easy expansion to Canada and Mexico, and the expected 7% sales lift.Considering Deeper International Expansion (00:04:53)When to consider establishing a physical presence in Canada or Mexico for further growth.Selling on Walmart Marketplace: Opportunities and Challenges (00:04:53)Walmart’s marketplace growth, operational challenges, and the shift to Walmart Fulfilled Services.Walmart Advertising and Early-Stage Advantages (00:05:49)Opportunities in Walmart’s less competitive ad platform and strategies for early success.Walmart Sales Lift and Rural Market Penetration (00:06:56)Typical 5–10% sales lift on Walmart, with strong performance in rural and Midwest areas.Three Actionable Takeaways for Marketplace Sellers (00:08:49)Maximize success on your primary channel.Fully optimize listings, especially for mobile.Expand to new marketplaces after optimizing the first.Optimizing Amazon Listings for Mobile and Conversion (00:09:48)Detailed tips for optimizing titles, images, videos, and A+ content for better conversion.Expanding to Additional Marketplaces Beyond Amazon and Walmart (00:10:54)Consider Target, eBay, Newegg, Etsy, and Wayfair for incremental revenue after maximizing Amazon and Walmart.Most Influential Book Recommendation (00:12:31)Gary Vee’s books and content for building a brand and leveraging social media.Favorite Productivity Tool or Resource (00:15:00)Slack for team communication and the importance of a fast, reliable computer.Most Admired E-commerce Influencers (00:16:14)Recommendations to follow Steven Pope, Bradley from Helium 10, and Kevin King for free, valuable content.Closing Remarks and Appreciation (00:17:26)Harry thanks Josh for sharing actionable insights and expertise.Links and Mentions:Tools and Websites  Sojourn Group Consulting Amazon FBA (Fulfillment by Amazon) NARF (North American Remote Fulfillment) Walmart Connect Helium 10 Influential People  Gary Vaynerchuk (Gary Vee) on LinkedInSteven Pope from My Amazon Guy on LinkedIn Bradley Sutton from Helium 10 on LinkedIn  Kevin King on LinkedIn Events  Sell and Scale Summit Productivity Tool:SlackTranscript:Josh Hadley 00:00:00  Today I'm super excited to introduce you to Josh Gibson. over the past 20 years, Josh has been leading sojourn Group consulting, a company with a strong e-commerce focus. Sojourn Group consulting specializes in marketplace sales, and has evolved from being a third party seller into an agency that helps other sellers grow their marketplace presence without having to hire a full team. Their years of experience and team make their bolt on solution very simple for many companies. Outside of work, he is happily married for 15 years and is the father of four children ages eight, six, four and two. That makes him very busy at this stage in his life. He says there's little time for anything except work and family. So welcome to the podcast, Josh.Josh Gibson 00:00:45  Thank you. Thanks for having me.Josh Hadley 00:00:46  Well, with how busy you are with a young and growing family and the business, we're excited to have you share some of your time with us. So thanks again for joining us. What else is there that you know? You're saying that Amazon eats your margin for business lunch and dinner or for breakfast? Lunch and dinner, right? So what else is there that you know, people should be paying attention to? And Amazon specifically for now that, you know, there could be a lot of, you know, marginally going out the business.Josh Gibson 00:01:15  Yeah. I mean, it's important to to track your weights and your gyms and your categories of what products you're selling in because there's some products. Say you're selling a printer. A printer should be in an 8% category, but sometimes they'll slide into a 15% category. So you're losing that that amount of money. You don't see it unless you're tracking tracking it. Or they could dim it out wrong. Say something. They as they went through their Cuba scan, it dimmed out incorrectly. So being able to go in and update and fix those dimensions and then do do file backs on those. also trying to find better, more efficient ways to do inbound shipments. and so there's, there's tools out there that we use that can take like right now we're running a full truckload, for $400, inbound FBA, where that same truckload going, another the route could be 3 to $4000. So it's the more time you do this. And the nice thing about our team is we can sit in a bullpen and go, okay, what are you guys learning? What'd you find out? and trying to take our collective knowledge, plus being able to go to, like, this, scale and sell summit and meet other people that know more things and aggregate this information to become more valuable.Josh Gibson 00:02:19  which, to your point is, if you're an owner operator trying to do this yourself, it becomes complicated because you don't have the resources and the ability to to learn all these things. Yeah. But to your point, it's it's the weight in gems. It is the categories. It is inbound shipments. I'm blanking on a few others, but it's really managing that protection of your bottom line. that's important. And it's also like specifically with inbound shipments is the annoying part is you can get that FBI ID cleared, they can say fully received. And we've seen with some clients ten, 12 months later, they say, actually we're five short. And if you're not going back and reordering those, even though you thought you did a good job auditing it. You can los...

In this episode, the host interviews Harry Joiner, a top executive recruiter in marketing and e-commerce. Harry shares his selective approach to working with clients, emphasizing the need for clear business strategies, strong financials, and a commitment to e-commerce. He compares recruiting top talent to casting star actors, noting that A-level candidates seek companies with compelling stories and solid economics. The discussion highlights the importance of business leaders knowing their numbers, defining their vision, and welcoming candidates who ask tough questions to build high-performing teams. The episode concludes with actionable advice for attracting and retaining top talent.Chapters:Introduction to Harry Joiner and His Credentials (00:00:00)Host introduces Harry Joiner, his background, and notable companies he’s worked with.How Harry Selects Clients (00:01:04)Harry explains his criteria for choosing which companies to work with, comparing it to Hollywood actors picking scripts.Evaluating Client Business Fundamentals (00:02:20)Discussion on analyzing a client’s business economics, strategy, and suitability for top-tier candidates.Attracting Top Talent: The Hollywood Analogy (00:03:41)Harry compares recruiting top talent to attracting star athletes or actors, emphasizing the need for a strong business foundation.The Importance of Smart, Challenging Candidates (00:05:28)Harry shares his preference for candidates who ask tough questions and challenge him, indicating high-caliber talent.Recognizing Top Candidates by Their Questions (00:06:25)Harry describes how the best candidates demonstrate their value by probing deeply into business metrics and strategy.Hiring Lessons from Personal Experience (00:08:41)The host reflects on his own hiring experiences, noting that the best hires are those who challenge leadership and require preparation.Three Actionable Takeaways for Business Leaders (00:10:33)The host summarizes three key action items: define your exit strategy, know your numbers, and cast a clear vision for recruits.Harry’s Process and Final Advice (00:12:50)Harry emphasizes having a simple, practical process for business planning and offers to share it with listeners.Episode Wrap-Up and Thanks (00:15:35)The host thanks Harry for his insights and closes the episode.Links and Mentions:Tools, Websites, and LinksLinkedInBooks and ArticlesSuccessWall Street JournalBusinessweekUSA TodayInternet RetailingVideosShark TankEntourageTranscript:Josh 00:00:00  Today I'm super excited to introduce you to Harry Joiner. Harry is described by Search Engine Watch as a dominant recruiter in client side multichannel, the in multi-channel e-commerce space. He is an executive recruiter for marketing and eCommerce. He has been interviewed by success magazine and he has appeared in the Wall Street Journal, marketing, Sherpas, Great Minds in Marketing series, Businessweek, USA, TODAY.com, Internet Retailer, and many more. He has closed dozens of manager, director, VP and C-level ecommerce searches for some of the following companies. A&E television. Adidas American signature brands. Ashford. Com. Backcountry. Com. Boot barn. Com Columbia Sportswear. And many, many more. So welcome to the podcast, Harry.Harry 00:00:48  Thank you so much. Great to be here, Harry.Josh 00:00:50  I think what's interesting there, you mentioned, you know, you have a small firm, right? You're well experienced. Your results speak for themselves. If people go check out your LinkedIn profile, there's raving reviews of people that have worked with Harry.Josh 00:01:04  so, Harry 150, you know, companies are going to apply to kind of hire your services. What what are you looking for is you kind of determine what are the 50 you're going to work work with. What's the difference between those that you say no to versus the ones that you say yes to and why?Harry 00:01:22  Sure. It's a great question. well, so when people pitch us on a deal, so they pitch me into Alan and it's a little bit like if you've ever seen a concept pitched on Shark Tank, it's a little bit like that. Alan and I are very particular about the deals that we take, and I think I learned this watching entourage back in the, you know, 2000, 2008 through 12 or something that in Hollywood, the richest actors aren't the richest actors because they're the best actors. They're the richest actors because they get the best scripts. It's a lot like that as an e-commerce recruiter. So we like searches that can be closed on the back of a single story, right? So the brand, the you know, the client, they know what their business is about and who their business is for and what their unique selling proposition is.Harry 00:02:20  So why should anyone do business with them versus any option available to them? including doing nothing. we look for the underlying economics of the client's business. So do we understand how they make money? Do they understand how they make money? Do they understand how they're going to make money in the future? We tend to take a good hard look, at things like size and scope of a 12 month file. We'll look at things like average order value. We'll look at things like recurring revenue and order frequency. We'll look at, what it takes to actually bring that concept toe to life. You know, the purpose and values and viewpoint of the brand, and we'll look at a variety of different factors to try and determine whether our audience, which is the top 3% of people in the e-commerce industry. I mean, 97% of the candidates that watch this podcast aren't going to they're not we wouldn't represent them on a deal anyway because we're out there looking for load bearing walls. I mean, this sounds super salesy, but the fact of the matter is, when people come to me and Alan, they expect us to be in the organizational transformation business, right? You come to us looking for a Steph Curry, a Michael Jordan, a Tom Brady.Harry 00:03:41  That's that. And it is like being an agent in Hollywood and the best candidates in the industry, the people who are capable of plugging and playing and being a load bearing wall in our client's business, they want to make sure that they can do reputation enhancing work. That's really what it boils down to. And that means that in terms of the search, the client has the budget, the authority, the need, the timeline and the hiring process to knock good candidates in versus knock them out. And, the business has favorable underlying economics that the client has clarity and ability and resolve, you know, commitment towards e-com. And those are the things, honestly, that you need for an a player to do reputation enhancing work in your business.Josh 00:04:30  Yeah, I love the, the strategy that or the analogy that you made there with, you know, hiring like the Michael Jordan's or Steph Curry's right. If you think about that. You know, as a business owner. Right. If you want to attract a Michael Jordan or a Steph Curry.Josh 00:04:46  Right. If you're an NBA owner, you've got to have a good team. Right. And you've got to have a good vision and say, hey, here's the teammates that you'd be working alongside. ...

Matt Altman, marketplace lead at Right Side Up, shares his wealth of experience in scaling brands on Amazon. He discusses the critical importance of launching non-competing products to avoid cannibalization while expanding a product line. Budgeting for launches and optimizing PPC campaigns by focusing on conversion rates are also key topics. Matt emphasizes gathering pre-launch data through search query reports and highlights strategies for maintaining keyword relevancy. Practical takeaways for sellers looking to grow include aggressive launches and effective optimization techniques.

In this episode, the host interviews Kelcey Lehrich, founder of 365 Holdings and co-founder of the HoldCo Conference. Kelcey shares her journey from traditional business to e-commerce, the growth of 365 Holdings, and the challenges of acquiring and integrating multiple brands. He discusses the purpose of the Holdco Conference for multi-business entrepreneurs, strategies for stable acquisitions, and the realities of shared services. The episode offers practical advice on self-awareness, focusing on key business levers, and learning from experience in scaling and managing holding companies.Chapters:Introduction to Kelcey Lehrich and Holdco Conference (00:00:00)Kelsey introduces himself and explains the origin and purpose of the Holdco Conference for multi-business entrepreneurs.Kelcey's Journey into E-commerce and 365 Holdings (00:02:22)Kelcey shares how he and his partner entered e-commerce, acquired their first businesses, and built 365 Holdings.365 Holdings’ Structure and Focus (00:03:30)Discussion of 365 Holdings’ current scale, vertical integration, and future focus on food, baby, and consumable brands.Growth Strategies: Product Launches and Acquisitions (00:04:28)Comparison of launching new products versus acquiring businesses, and the importance of consistent experimentation.What to Avoid When Acquiring Businesses (00:05:52)Kelcey outlines lessons learned and what to avoid when evaluating acquisition opportunities.365 Holdings’ Core Strengths and Incremental Improvements (00:07:04)Exploration of the company’s strengths, vertical integration, and focus on small, compounding operational improvements.The Reality of Shared Services in a Holdco (00:09:54)Kelcey discusses the challenges and realities of sharing services across multiple brands in a holding company.Three Actionable Takeaways for Entrepreneurs (00:11:44)Host summarizes three key lessons: self-awareness, vision and action, and learning through experience in M&A.Kelcey’s Book Recommendation (00:14:03)Kelcey recommends "The Hard Thing About Hard Things" by Ben Horowitz for entrepreneurs managing growing teams.Favorite Productivity Tool (00:14:40)Kelcey shares Superhuman as his favorite email productivity tool.Influential Figures in E-commerce (00:15:25)Kelcey discusses the many people who have influenced him, mentioning Gary Vee, Roland Frazier, and others.How to Connect with Kelcey and Learn More (00:16:59)Kelcey provides ways to connect with him and learn more about Holdco Conference and 365 Holdings.Links and Mentions:Tools and ResourcesSuperhumanWebsitesHoldco Conference365 HoldingsBooksThe Hard Thing About Hard Things by Ben Horowitz on AmazonInfluential FiguresGary Vaynerchuk (Gary Vee)Roland FrasierTranscript:Josh 00:00:00  Today I'm super excited to introduce you to Kelcey Lehrich. Welcome to the podcast, Kelcey.Kelcey 00:00:05  Thank you for having me. Great to be here.Josh 00:00:06  Kelcey I attended Holdco conference. You did a fantastic job. That was your first ever Holdco conference. Tell our guests a little bit more about this Holdco conference, because I think it's really unique. And you're kind of one of the first to kind of come up with this type of holding company conference.Kelcey 00:00:24  Yeah. So I appreciate your kind words and glad you could come. And we'll see you there next year. date's coming soon. so I have a friend in town named John Wilson. you can find him on the internet. He's pretty public. he and I met, and we both have, 50 to 100 employees, multiple tens of millions of revenue, and we have multiple businesses. And we knew a few other people that had similar circumstances. And there really was no event, no conference, no, kind of home base or hangout place for people like us.Kelcey 00:00:56  And one day I'm like, hey, like, why don't we go ahead and we'll host the party. and so John and I partnered on that project, and, from January, when it was kind of hatched with the tweet to July, it was a bit of a wild ride, but it was a lot of fun. We're really proud of the first year. And, yeah, it's meant to be the place that multi business entrepreneurs called the holding company, meet, learn, scale and grow. But the kind of niche there is that if you're in software and you're venture backed, there's a conference for you. If you are in real estate, there's a conference for you. If you are in insert any industry, sales, metal stamping, mobile home parks, whatever it is, there's a conference for you. If you're a Holdco entrepreneur, there really wasn't a place to call your own. And our vision for Holdco is to be kind of that home base for people like us.Josh 00:01:43  Yeah, I love that.Josh 00:01:44  I love what you guys have started there. And I think we'll dive into that a little bit in more detail later in this podcast. But Kelcey, you've got a vast experience in e-commerce. Obviously you have a holding company that has multiple brands. You've acquired multiple e-commerce brands, you've grown them, you've scaled them. So you have a wealth of knowledge. And for our listeners that have established businesses, they're looking to take things to the next level. I think they're going to be able to learn a lot from you. So why don't we rewind the tapes a little bit? Kelcey? And why don't you tell us a little bit about how you got into the e-commerce world to begin with, and then what led to the formation of 365 holdings?Kelcey 00:02:22  So six years ago, my partner and I, his name is Justin. I'm kind of the ideas guy, and he's kind of the executor. She's familiar with iOS. I've got the kind of visionary CEO role and he's kind of the integrator or CFO, and he and I have worked there for a long time.Kelcey 00:02:37  And prior to e-commerce, it was kind of like, the same idea. However, instead of ideas and strategy and like execution, it was like I was the sales guy and he was like the ops guy and all of our prior businesses, but we weren't online. We've never, never run ads, never shipped products. But we had sold a business for just enough money to make a down payment on an SBA loan. We had sold a business for $100,000, which was a lot of money. We did not hold any of it aside for taxes. We put all 100 grand down on the $900,000 loan to buy the million dollar first business. That was how we got started. 60 days later, we drained the checking account and maxed out the line of credit and bought another one. And thus begins the compounding. So, Yeah, six years ago. by by two that that, spring and summer, we had always had a vision of back to the old topic, wanting to run many businesses. We wanted to have diversity.Kelcey 00:03:30  I guess that's like, hey, what if you focused? What if you just did one thing? Could it be bigger? And my answer is like, I don't know, probably. But this is the business I want to have. I want to do many things. one of the things financially from a diversification perspective. two, I think it's fun. It's like what I want. So like, yes, this is what I'm doing. I'm sure it's like slightly less optimal than, I don't know. but six years have elapsed and today we've got 80 some employees. Six brands. we're in Akron, Ohio, and heavily vertically integrated. So we do in-house customer service, in-house ...