Every merchant wants to go off on Amazon. But when they do, Amazon probably makes more profit from the success than they do.
I’m imagining a platform where you can buy the verified hits of Amazon – products that have sold 10K+
- Amazon hits are rarely rip-offs, the review system (mostly) looks after that.
- People trust a successful Amazon product
- Amazon cannot stop you stating a fact about your success on their platform
While Amazon has put superhuman effort into getting products to people quicker, price tends to trump speed. So the 5figz fulfilment system doesn’t need absolute speed. However, the nature of the products – high-volume – lends itself to efficiency.
I figure that the game plan is to out-Amazon Amazon. Run at a loss with their most successful products, until the public learn that 5figz is where to get the best products without Amazon taking a crazy cut of proceeds.
And it scales scarily well. Start with the most expensive products with 10K sales. And as the business grows, fold in lower price items. Obviously selling 10K execycles is better all round than selling 10K hairbands.