Matt: Hey, it’s Matt here. This week, we want to bring you a very special guest. His name is Adam Hudson. He’s a good friend of ours, and a few years ago, Adam came to Hollywood to make his fortune. However, it wasn’t to be an actor, it was to make money online in a massive marketplace, and he has been able to do just that. So, Adam, welcome to this week’s video.
Adam: Thank you. Nice to be here, mate.
Matt: Adam, you came here a few years ago, and you were looking for a platform to thrive in. You wanted to tap into this online retail “boom” that’s been happening for a while now. I think it’ll be a great idea for you to share some of the experiences you went through, and why you ended up choosing Amazon, as opposed to some of the other platforms out there. Just, tell me your story, really.
Adam: Sure. Well, I came here four years ago, and I actually started an animation company, of all things. Making cartoons for companies.
Matt: Wow, different.
Adam: Totally different. Yeah, I didn’t even know where that would end up. It took off, and it did really, really well. We made cartoons for companies all over the US. A little over two years ago, I heard about Amazon, because I started seeing these Amazon boxes outside every second door. I was wondering, “What are these boxes?” Here in the States, Amazon is massive. It’s kind of like eBay in Australia, except that they do about 270 million dollars every day…
Matt: Every day?
Adam: Every single day. They sell everything. I used to think Amazon was just the books. This discovery sort of fed into an idea I had when I came to the States … There are 20 million people in Australia, which is a whole lot. Well, there are 320 million people in the States. In addition, Amazon has a program called Amazon Prime. There are roughly 50 million Amazon Prime customers alone, which is a really high level of customer, so it’s a huge, huge marketplace, and I was looking for something to tap with into that huge marketplace.
Matt: As you know, I’ve been on eBay for nine years.
Matt: We’ve just started looking for a whole different way, a different platform to make money on. So, we came here, also looking at how we can do this, and trying to find the right people that can teach us. It was a bit of a struggle. So, we went through that journey together. We’ve learnt a lot from you, and we’d like to thank you so much for all your help.
What were the key distinctions that would make Amazon easier to get started on, as a first online business?
Adam: I think the biggest thing is, for starters in particular, the US market is the most appealing economy in the world to do business in. It’s an easy place to do business—there are just so many people here. But, like most big marketplaces, the key with Amazon is discovery. There are 230 million products just in Amazon America, and so, what I really started to think about was, how do you actually get noticed in that marketplace, and how do you choose products that are going to give you a reliable, stable income? All the tools were there.
As an Australian, it blows my mind, because what most people don’t realize is that Amazon will actually warehouse your entire inventory for you. So, let’s say you’re getting a product made in China; you can have it shipped directly from China, right into Amazon’s US warehouses. They have 68 warehouses across the US, and you don’t have to actually touch the product, so you can be living in Australia, making money in the US economy, and in US dollars, and you don’t have to have any infrastructure whatsoever. Amazon probably has the most advanced logistical network in the world.
We can be sitting on the beach in Australia, accessing that inventory. If you wanted to get distributions through Wal-Mart, or Coles, or any major retailer … I mentioned the process, right? Of having to go and apply—
Matt: Almost impossible.
Adam: Almost impossible. If you do get accepted, you need huge amounts of capital to actually back the acceptance, since you need to be in all the stores. Whereas with Amazon, you can be in Australia, with a limited budget, get that limited budget turned into inventory in China, ship it straight to America, and you’re in business. So, I think it’s an extraordinary opportunity, especially for hard-working Aussies; I think Aussies have a really good work ethic, and a high practical approach to things, and when you enter a market like the US, and you apply those values into that economy, you can do extremely well.
Matt: You can. So, what we find is, for the everyday mom and dad who are looking at starting something online, the true questions they probably have in their mind are:
· Is it easy?
· Does it work?
· Can I do it?
From what you’ve taught us, and what you’ve also shared with us, Amazon pretty much ticks all those boxes.
Matt: Well, it really does. You don’t need to build a website, and you don’t need to find traffic. [Laugh.] If you’re looking for an online business, it doesn’t get easier than that. Really, what you need to become an expert in is finding and developing good products—products that people actually want. A lot of programs out there don’t actually talk about the most important problem. They talk about market hacks, and they talk about how to optimize a headline. But, fundamentally, in a consumer marketplace, you have to have a good product, and so I train people to really determine what a good product is, on all levels.
Why are people going buy from you? These aren’t marketing hacks, it’s just logic, and it’s just common sense, which I think Australians are particularly strong at. Everyone’s just trying to sell hacks, rather than real value.
Matt: Yeah, which we all know, for the long term, doesn’t really work.
Adam: It doesn’t.
Matt: You’re not saying that anybody who wants to make money has to be an inventor. You’re just saying, find an existing product, maybe improve it somewhat, or have a different branding around it, and take it to the marketplace, which already wants it.
Adam: Exactly. The traffic is already there. In Amazon, everything else is done—including the inventory, the warehousing, and the distribution. Everything. All you have to do is find the product.
Matt: Fantastic, yeah. Well, what I think I’ll do, Adam, if you don’t mind, is make another video. We’ll share it with people, and we’ll also talk a little more in-depth about some of the key things to look out for, and the key things to make it simple. How does that sound?
Adam: Absolutely. Thanks for having me.
Matt: You’re welcome. We’ll see you next week, in the next video.