The various types of Amazon employees: some earn millions a year, some sell cars and houses!

Stories of huge profits and huge losses are intertwined ...all kinds of Amazon sellers!

Some people achieve financial freedom through Amazon, earn millions a year, and buy cars and houses ...

Some people rely on Amazon to achieve hairdressing freedom, lose millions a year, sell cars and houses ...

Once you cross the border, it's like entering a deep sea. From then on, you will be free from worries. As an Amazon employee, have you made money this year?

Amazon Seller: How I Made $1 Million a Year

At the end of the year, Amazon workers quietly calculated their gains in 2021. Judging from the feedback, not many people praised the results, but many complained about their poverty:

3.5 years of experience, base salary 22K before tax, pioneering company, net profit team commission can be ignored this year;

I didn’t receive any commission for the whole year of 2021 and had to live on the basic salary.

Amazon really can't save much money this year.

I made 200 million this year, one memory, one amnesia, and working for the landlord every month, so saving money is impossible.

Of the goals set in 2018, 0 have been achieved by the end of 2021. In 2022, it’s up to you.

Life is not just about getting by, but also about paying back Huabei, Jiebei, Baitiao, China Merchants Bank, Jiaotong, CITIC, Everbright, Jianshe, Jintiao, Fenqi Le next month ...

According to many Amazon workers, this year's sales and profits are no longer as good as in previous years due to the impact of logistics crackdowns, platform account bans, and platform policy updates. As a result, commissions have been greatly reduced. They can only survive on basic wages every month, and their quality of life has dropped sharply.

"After three years of employment, after deducting the provident fund and social security for overtime work on Saturdays, I earn exactly 6,000 yuan. In the current market situation, there is no profit commission to speak of." said an operator.

Another worker also said that he is currently working in a company, with a commission of 7k+10%, and the commission for store profits will be 8k+10%. "The gross profit here is the real gross profit, minus the warehouse packaging costs, the art re-photography costs and other expenses. Currently, the monopoly of red ocean products is as high as 80%+, which is very difficult to do. It is difficult to find any kind of job now. There are fewer job opportunities at the end of the year, so I can only suffer until after the New Year."

Due to the lack of money, many workers are getting restless at the end of the year. "The first thing I do when I open my eyes every day is to run away. Then I use my strong reason to tell myself that the market is not good this year and running away will make me poorer..."

It is reported that some people recently resigned and submitted resumes, but many companies simply did not respond. In the first half of this year, even if they did not submit resumes, many companies came to them actively.

Just like the situation of workers who have their ups and downs, this year, bosses or individual sellers can either make a profit or lose money.

1. I am working on Amazon now and I am losing a lot of money

In 2019, I heard that Shenzhen Bay One was snapped up by many Amazon bosses...

In 2020, I heard that at the Shenzhen Futian Shenye Shangcheng Porsche 4S store, Amazon bosses lined up to order Panamera...

In 2021, I entered Amazon, and my tears are almost dry...

"Before I started cross-border e-commerce, I was very rich! But as time went by, all the money was gone." It is reported that at the beginning of this year, many sellers made a beautiful wish: This year, I will make 1 million!

"I originally had 3 million, and then I started Amazon, but I ended up only having 1 million left." Time flies, and 2021 is coming to an end. Those Amazon sellers who were full of ambitions at the beginning of the year have not turned their dream of "I want to make 1 million" into reality. Instead, they are wondering how they can pay off the tens of millions of debts they have incurred from working for Amazon.

Today's cross-border e-commerce circle is full of real stories of "How I lost one million, then lost another million, and lost again... until..."

According to the latest data from Marketplace Pulse, 520,000 new sellers have joined Amazon this year, equivalent to 1,626 new sellers every day and 1 new seller every minute.

"520,000 people work for Amazon and 500,000 people go bankrupt," an industry insider joked.

"I entered the Amazon industry in 2018, quit my job in 2020, sold my car and house to start my own Amazon business, and in November 21, I was already in debt of over 1 million." An Amazon seller said that he felt that when he was working in the company, he had a good eye for product selection and did good advertising, but when it came to choosing products himself, he felt that he knew everything, but he couldn't seem to do anything well. As a result, he kept losing money and began to question his abilities.

"At the beginning of the year, I was full of confidence to start my own business on the European site, but the platform directly withheld taxes on my behalf. I thought my profit was okay, but the payment was very little. When I looked at the payment details, I found that my profit was negative, and I lost money on every order." Another solo seller also said that he prepared more than 100,000 yuan to start his own business on Amazon. After working hard for nearly a year, he not only did not make any money, but also lost money. Especially on the French site, he only got back half of the product cost, which was a big blow to him.

"When I just started, I always felt that I was awesome. But after I officially started working on my own, I realized that I was actually a rookie." Many solo sellers go through similar psychological changes.

At the same time, using hundreds of thousands of start-up capital to start Amazon is also the consensus of many independent sellers. "I originally thought that I could do Amazon with more than 100,000 yuan, but now I feel that 100,000 yuan is not enough . I started my business in March this year and have spent 700,000 yuan , and I have to continue to invest. " Without sufficient preparation, I hope that the majority of workers will not go it alone. If the funds are not sufficient, it is easy to owe debts, and then spend the rest of the time paying off the debts.

"Heavy assets, overstocking, tired, losing money" and other words have become the common words of Amazon sellers. Perhaps they have lost money to the point of numbness. Many people in the industry have no feelings when they hear something like "someone lost 1 million this year". After all, compared with losing money, there are people whose situations are worse. "Overnight bankruptcy" caused by Amazon's policy changes and other issues has been seen everywhere.

"Fortunately, I'm not the only one who is heavily in debt," the seller who suffered heavy losses cried and then laughed.

2. I made a small profit this year: I paid off all my loans and my account balance is still 6K

Some people lose money and some make money. On the Amazon platform, there are still many people who are quietly making a small fortune.

One seller said that after working alone for a year, he had just paid off a 40,000 yuan credit card debt and still had a balance of 6,000 yuan. Looking to the future, he is still full of hope.

Coincidentally, another seller who does self-delivery also said that his net profit in the first six months of the year was 360,000 yuan, and optimistically estimated that the profit for the whole year should reach 700,000 yuan.

There are many feedbacks like “I made money, I made money”, but compared with the “deafening” sound of losing money, it is much weaker. Even if they make money, the road to making money for these sellers is not easy.

A seller started working on his own last year and has been working on small categories and making private model products. Compared with last year, this year's sales have increased slightly, but the overall profit has dropped a lot, and a lot of funds are stuck in inventory. " How do those people who buy cars and houses on Amazon do it? I can't save money to buy a house or a car. Instead, I owe a large debt to the bank and suppliers . The monthly payment is used to pay the suppliers and banks, and the rest is used to pay various living expenses. When the situation is bad, I can't make ends meet, let alone save money..."

Many Amazon sellers said that they can clearly feel that Amazon's profits have plummeted this year, and the collection rate is also decreasing ↓↓↓

The average order value is 11 pounds, and the cash collection rate is 25% ;

The customer order is $15, the payment is 20%, and the net profit is 5%;

The gross profit margin for large products is 10-15%;

The collection rate for large products is 32%, the profit is less than 10%, and the refund rate is 5%;

We are making clothing products but have not yet made a profit and the return rate is 20% .

"Before calculating the profits, I felt that I could afford a Maserati soon. But after calculating the profits, I couldn't even bear to eat the pork knuckle meal for lunch." This is a true portrayal of Amazon sellers.

The dividend is gradually disappearing, and the era of "Niuhulu" Amazon has arrived

Amazon's annual investment conference is in full swing again. Amazon's official dazzling PPTs are refreshing: Can you really make millions a year working for Amazon?

Of course, haha! Dreams can contain anything.

" I started working on Amazon at the beginning of this year. Two partners invested nearly 500,000 yuan . The gross profit margin of the product is 40-45%, and the monthly sales are 500,000 US dollars . So far, we have made a profit of nearly 500,000 yuan."

Nowadays, whenever similar voices appear, Amazon sellers will surely attack them in unison.

"I start with one person, and I make money by making up stories. I can make as much money as I want."

"Come on, do you know how difficult it is to make a product with a 40%-50% profit? "

"I started my own Amazon business in August last year with an investment of 300,000 yuan. I have a factory at home, I studied design, and I am interested in photography. I did everything myself. I made a few million last year. This year I plan to work hard and buy two villas in Shenzhen, one for myself and one for my dog. I won't say more, or I'll wake myself up laughing..."

"This year, only the advertisements of training institutions should receive thousands of orders a day, and the profits are so high that you can easily earn 1,000 yuan a day sitting at home." No longer superstitious about the dream of getting rich overnight, just seeking to have enough food and clothing, an Amazon seller admitted that he was used to seeing major events on the line between life and death. When he saw someone getting rich, the first thing he felt was not envy, but he would immediately have ten thousand reasons to refute how ridiculous this was. "2021 is so difficult, few people have an easy life. Even if someone's product profit is as high as 50%, it is only one in ten thousand, and it cannot represent the remaining 9,999 sellers. "

Another Amazon seller also said that there are always leeks, and they grow new every year. If you want to avoid being cut, you have to be a prince.

It is very difficult to achieve monthly sales of 500,000 US dollars working alone this year . Although I know many sellers with monthly sales of hundreds of thousands of US dollars, their sales mainly depend on the sales of old links in 2018 and 2019. If the links in 2021 can achieve monthly sales of hundreds of thousands of US dollars, it will be really extraordinary.

Weibo blogger "Lin En, who is deeply involved in Amazon operations" also said that timing is very important to do well in Amazon. According to Lin En's observation, from 2014 to 2017, many people who went out to start cross-border e-commerce companies had sales of more than hundreds of millions and supported 100-200 people. However, last year, several people who had worked at Amazon for seven or eight years went out to start Amazon businesses. Their abilities were no different from those of the previous batch, and the latter had more experience in the industry. This year, they basically returned to large companies to work for high salaries.

"Timing is very important. Amazon has passed the stage of wanting to make a profit quickly. It is now more asset-intensive and relies more on your accumulation in the industry, especially the advantages on the supply chain." Lynn said that starting a business is also something that requires a lot of ideas and courage, and not everyone is suitable for it.

If we go back to around 2017, people were not so pessimistic when talking about Amazon. At that time, it seemed that "losing money by doing Amazon" was an incredible thing.

"In the past, logistics costs were low, and a gross profit of 25 to 30 points was normal. Now a gross profit of 15 to 20 points is barely acceptable." An Amazon seller said that in 2015 and 2016, express delivery was only more than 30/Kg, sea shipping was less than 10 yuan/kg, and advertising fees were 0.2 US dollars per click, and the goods could basically be sold as soon as they were put on the shelves; in 2021, express delivery is 90 yuan/kg, sea shipping is close to 30 yuan/kg, and advertising fees are 1.2 US dollars per click, and the goods cannot be sold even if you spend all your money on advertising!

The seller also said that if he randomly launches 5 new products, the shipping fee plus the cost will be 10,000 yuan each, which adds up to 50,000 yuan. If one product is promoted, it will be fine. If none of the products are promoted, not only will the 50,000 yuan be lost, but Amazon sellers will also have to prepare for disposal fees and storage fees. " To do business on Amazon, you have to ensure that you have enough capital to lose money. There is no upper limit. This is the reality of Amazon in 2021. Most people cannot make money beyond their cognition. They only make money in the field they are good at. "

There are many aspects that require money to invest in Amazon. Take advertising fees as an example. As advertising fees continue to rise, a seller reported that it is no longer realistic to achieve an ACOS below 30%. Even if one or two products with good performance in an account have an ACOS below 30%, it will definitely be higher than 30% after being dragged down by other SKUs with poor performance. In addition, the miscellaneous costs such as returns and storage fees are added up. At the same time, the site rental, labor costs, water and electricity costs, etc. are deducted. If there are fake orders, the seller will have to calculate an additional fee for fake orders.

It would be great if you could finally get 8 points on the money you earn .

"Amazon's golden age has passed. Investing one or two hundred thousand now will most likely only make you cannon fodder for big sellers. You lack independent thinking, act without thinking, only pay attention to the few who show off their wealth and ignore the majority of losers. Even if you sell a hundred houses, you will still lose money... When you want to do Amazon, you should think about what advantages you have over others in this business, whether you have strong financial resources or awesome operations, or do you have other relative secrets to outperform most people." An industry insider once left a message under the article.

Fixed costs such as advertising and logistics costs have reached new heights this year, and the intensifying internal war has added fuel to the pessimistic situation in 2021. "When Taobao's spiral low-price strategy was fully launched on seasonal products, it was a bloody storm, the bell of the post-Amazon era rang, and it also sounded the death knell for many Amazon companies! Including ourselves." Another Amazon seller was exhausted by the spiral war.

Small sellers are good at occupying the market with low prices, and big sellers are even better at it. Some sellers said that when promoting new 3C products, well-known big sellers in the industry start with low prices, organize all activities, open all advertisements, and do it both inside and outside the site. The lowest price can be as low as $6.99. In a year, they can accumulate thousands of reviews, and when the product rankings go up, they will raise the price again.

"Big sellers don't raise prices to maintain sales, small sellers raise prices but have no sales. Most people don't have that much money to lose in the early stages. We all know the tricks of big sellers, but their methods cannot be applied to small and medium-sized sellers, otherwise they will lose themselves before their opponents are killed." Amazon sellers said that if a product has a 10% profit, capital will focus on it; if it has a 20% profit, capital will become active; if it has a 50% profit, capital will take risks; for 100% profit, capital will dare to do anything. Everyone knows that the highest ranking ones eat meat and drink soup, and the capital with strong financial resources will desperately spend money to outlast their opponents until their opponents fall one after another, and then they will enjoy the "results" alone.

So, in the process of selling goods and making money, today will be cruel, tomorrow will be cruel, and the day after tomorrow will be beautiful, but most people will die on the road today, and a small number of people will die tomorrow night and will not see the sun the day after tomorrow.

“ In the era of transportation, you can make money by selling anything;

In the era of deep cultivation, only meticulousness can earn money;

In the resource era, only supply chains can make money ;

Supply chain capital in all walks of life has entered an era where making money is up to chance. "

The dividends are gradually disappearing. In the eyes of Amazon sellers, today's Amazon has already grown into a "Niuhulu" Amazon:

You can't afford to offend them. If you touch the bottom line of the platform, you will be held accountable later.

You can’t avoid it. Platform bugs appear every other day, and there is no way to complain about the unexpected disaster.

It cannot be lost, people love and hate it. Although they know that it is no longer easy to do business on the platform, they don’t know what they can do without Amazon.

The Future of Amazon Sellers

It is reported that the reason why many people cannot get out of the dilemma of Amazon is that they don’t know what to do except working for Amazon?

I hope I won’t be a philanthropist next year!

I hope I won’t be working for Amazon next year!

I hope to succeed in my career change next year !

At the end of the year, many Amazon sellers are eager to change careers, but they are also confused: what can they do after changing careers?

Sellers who really can’t hold on are about to sell their accounts and leave. However, many sellers still see the infinite possibilities of Amazon. One seller said that he would start again in 2022, starting next year:

All unprofitable products will be decisively cut off!

Decisively discard unprofitable obsolete inventory!

Never report activities that don’t make money!

Don’t pursue good rankings and sales, but pursue maximizing profits!

Products that are popular in the market must be patented. Don’t underestimate the ability of Chinese sellers to copy and plagiarize!

As for next year, some old investors are looking forward to it while others are not hopeful. New investors are hesitant and expect more. This year, Amazon has already extended its investment to small cities on the 18th tier. Under the bombardment of information that Amazon and various training institutions can earn millions of dollars a year, new investors are constantly entering the market, making this track extremely crowded.

Different people have been replaced one after another, and the stories of huge losses or huge profits continue to be staged. In real life, everyone thinks that they are the one who laughs last, but the actual situation is that you are teetering on the edge of a tightrope, and it is difficult to turn back and there is no way to move forward.

Instead of being obsessed with the dream of making millions a year from Amazon, it is better to learn from the lessons of predecessors and avoid losing millions a year on yourself.

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