A group of Amazon operators were badly screwed by debt and backstabbing

A group of Amazon operators were badly screwed by debt and backstabbing

The new year has just begun. Do Amazon employees have any new plans?

 

Should I continue to work hard at my job and strive for a promotion and salary increase in the new year? Or should I give up the dull life of working from nine to five and try to start my own business?

 

Of course, workers’ choices are not limited to going to work or working on their own. A group of Amazon operators have found a third way: cooperating with factories.

 

Have you made money by cooperating with factories?

 

In the past two years, more and more Amazon operations have begun to cooperate with factories on a part-time or full-time basis. On the surface, such cooperation can indeed make up for the shortcomings of both parties and learn from each other's strengths. However, from the actual results, it is still unclear whether this model has a future.

 

According to Xiao Y, an Amazon operator , he worked with a factory on a part-time basis for more than a year, during which time he achieved sales of more than 3 million US dollars, but the profit was not much, and he could get even less.

 

In the new year, the factory proposed to change the existing part-time model and invited Xiao Y to work in partnership with the factory in a technology investment model. However, Xiao Y had some doubts about the conditions proposed by the factory.

 

According to Xiao Y, the condition given by the factory was that they could be responsible for providing products and funds and would not participate in other aspects, while he himself would be responsible for operations and other miscellaneous matters. The final profit would be split 2/8, with the factory taking the lion's share.

 

In addition, the factory will provide a certain basic salary to Xiao Y. As for profit, the factory said that Xiao Y can take 20% of the profit after deducting the relevant salary costs of the team.

 

But Xiao Y thinks this model is obviously a bit unreasonable. "Normally, it should be the profit of the store I run minus my own salary multiplied by 20%, but now the salary of the entire team has to be taken into account, making the overall profit uncontrollable."

 

On the other hand, Xiao Y also put forward his own ideas on the cost issue . Xiao Y believes that if he wants to cooperate full-time, the factory needs to tell him more transparent product costs, so that he can better control the advertising budget and break-even.

 

During the previous part-time cooperation, the price the factory gave Xiao Y was just a few dollars lower than the external quotation, so Xiao Y did not actually have much advantage in price compared to other competitors.

 

Xiao Y also believes that the reason why he did not get much commission when he worked part-time before was largely because the price offered by the factory was too high, and he did not know how much the actual profit was. It is very likely that the factory had already made a lot of money.

 

However, the factory did not agree to Xiao Y's proposal and said that if they cooperated full-time, they could only offer a price one or two yuan lower than the previous price.

 

Regarding this kind of cooperation model, many sellers pointed out that it is simply helping the factory to clear inventory, and even if it really succeeds, they may be kicked out directly.

 

In fact, this idea is not groundless. Some operators have experienced similar situations.

 

The operation was "discarded" by the factory

 

Amazon Operations Manager Liu Yang has been working with a factory specializing in the production of tea sets for nearly two years. During this period, he built up the link step by step from 0 to 1, and has now ranked among the top few in the industry.

 

According to the cooperation agreement signed between Liu Yang and the factory, Liu Yang's main source of income was commission, but before the link was established, there was not much profit, so Liu Yang did not get much money in the early stage.

 

However, Liu Yang did not care much about this. In Liu Yang's view, cooperation with factories is actually another model of entrepreneurship, so he did not care about the gains and losses in the early stage, but only focused on how far he could go in the future.

 

However, the factory does not think so. In the factory's view, Liu Yang is just a tool, and it doesn't matter who is in this position. The main reason why he can do this is because of the factory's supply chain capabilities.

 

With this idea in mind, the factory informed Liu Yang before the New Year that its contract would be terminated after the New Year, and that someone had been found who could take over Liu Yang's job at any time.

 

Faced with this situation, Liu Yang was a little confused. After checking the contract, Liu Yang found that he could only get a small amount of compensation at most, and the account he had worked so hard to build would have to be left to the factory.

 

In desperation, Liu Yang posted his situation on the seller forum, hoping to get some advice.

 

Among the many replies, many people suggested that Liu Yang should "fight violence with violence" and immediately open a small account to start copying and selling at a low price, snatching away the sales first. When the old account is almost dead, he can withdraw safely.

 

However, some people pointed out that this practice is risky and that the factory owner might hold you accountable later. In serious cases, the case might even result in a report to the police station.

 

But no matter what, even if Liu Yang really "leaves the house with nothing" in the end, he is still better off than those novice operators who cooperate with factories and still owe a lot of debts.

 

Cooperated with the factory and owed 1 million

 

Previously, there was a rumor that was widely circulated in the cross-border circle, saying that an operator not only did not make any money after cooperating with a factory, but also ended up in debt.

 

It is understood that when the operator was negotiating cooperation with the factory, although the other party agreed to provide funds and products, it also required the operator to bear possible losses in the future.

 

In the subsequent cooperation process, this operator adopted a low-price, high advertising budget strategy to boost rankings, resulting in sales but no profit.

 

I thought I could raise prices to maintain profits after the ranking went up, but after actual operation this inexperienced operator found that this was not feasible at all. As soon as the price went up, sales and ranking would drop.

 

When the final profit was calculated, the operation was completely dumbfounded. According to the contract signed with the factory, the operation had to bear a loss of nearly one million yuan, which was almost a devastating blow to ordinary workers.

 

Judging from these cases of cooperation between operators and factories, this business model still seems to have many loopholes, but this does not mean that this model has no future. It is hoped that as the industry continues to develop and progress, the model of cooperation between operators and factories can also be continuously improved to avoid a lose-lose situation.

Amazon

operations

factory

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