What Amazon's Purchase Of Whole Foods Means For FBA Sellers

Hey fastlaners, good to see you. Thanks for hanging out with me. This is Ryan Daniel Moran. Welcome to the show. And I wanted to make a podcast for you today specifically to address the big news that everybody's talking about and it is Amazon's purchase of Whole Foods Markets. This caught me by surprise. I have become acquaintances with the CEO of Whole Foods due to his appearance at freedom Fastlane Live 2016. By the way, we made some announcements about our conference for this December. We sent them out via email. You might want to check for that. There's some cool news in there. So anyway, even with obviously everybody at Whole Foods was tight lipped, John Mackey wasn't going to tell me anything and they didn't tell anybody anything. So this caught the world by surprise and I think it's an absolutely brilliant move by both parties. And this means big changes and big opportunities I think for Amazon sellers over the next couple of years. To really understand this, we have to go back a few years and look at the e commerce landscape and how it was affected by Fulfilled by Amazon. For you youngins out there that can't remember before 2012, Amazon didn't have this thing called Fulfilled by Amazon. Since their inception, this two day prime shipping and allowing all of these brand sellers like myself and our students inside the tribe and our students inside the brand builder bootcamp, they didn't have these opportunities to just take a product, put it on the biggest marketplace in the world and have them fulfill everything. It was a big, big shock to the system when all of a sudden you could throw all of your product over at Amazon and have them fulfill it, do all the packing and a lot of the customer service so that brand owners could just focus on selling and marketing. That was a big shift. All of a sudden you could take a product that never existed before and instead of selling it through retail or trying to sell it through search engine optimization, which is what most people did back then, you could take it straight to the retailer, which was Amazon. You could put it right online and be in front of millions of customers. That was a game changer. I think Amazon is making the exact same play in retail. What this means is that the possibility exists for you to be able to take a product, put it on Amazon and within months it going into hundreds of retail stores across the country. And if Amazon continues to roll out their Amazon Express stores, if they continue to acquire other retailers, what if Amazon makes a play for Target? Hmm, let's speculate over that for a second. Is Amazon buying Target News at 8 today. Let's send out a press release that just says is Amazon buying Target? And see if Target stock goes up. Because I own a lot of Target stock. They make a really good dividend. It's actually one of my favorite stocks. Anyway, if Amazon continues to acquire retail stores. Imagine if you have the best selling organic coffee on Amazon.com what do you think is going to happen next? Hello Whole Foods, hello Amazon Express. Hello, a coffee shop that they buy. All of a sudden you see Marusha Murphy's Perky Perky Coffee all over the country. Do you have the best sell selling meal replacement shake on Amazon all of a sudden you could see it in retail stores across the country. This is a huge game changer for food companies, for any type of consumable, for anything that you might find in grocery stores. It's a big, big move. It also points to other areas of expansion that Amazon could be going if they were to go out and get other retail chains, if they went out and got a Target, if they bought Kohl's, if they bought other types of retail that weren't grocery. It means that I think the model will be you do well on Amazon and you're in retail stores across the country, people can walk to the corner and buy your product. There has never been a more exciting time to be in the physical product world. It's why I believe that the most predictable way to a seven figure business is building a physical products brand. Really, really exciting time to be alive and to be a business owner. Here is the other side of this equation. This will massively threaten big food companies. If you are upset at Monsanto, this is really, really good news because no longer will food makers, that is farmers have to go through brokers anymore. They may have the possibility to participate in the online farmers market that Whole Foods and Amazon now makes possible. You grow tomatoes, you don't have to sell them on santo anymore. You take your tomatoes and you ship them straight to Amazon or Whole Foods. And now they can be purchased online and delivered through Instacart. So Amazon actually will control the entire supply chain because they will have producers coming straight to them rather than a broker. You'll have the people delivering it and people going in store to buy them all within their ecosystem. You'll have the the farmer is now the FBA seller. They send to.

Whole Foods. Instacart delivers Amazon brokers the whole thing. No more Monsanto, no more big food companies. It will all happen naturally because of Amazon's distribution. This is what I think the big Play is for Amazon. By the way. This is the move that Walmart should have made three years ago. I was actually working on brokering some of these deals. I was working with a broker trying to make this possible. We were trying to get some of our tribe members into Walmart stores because they were considering doing this. To the life of me, I don't know what convinced them that it wasn't a good idea, but they missed out. Can you imagine what would happen if there were? If Walmart decided to take the best selling products on Walmart and put them into their stores, you would have a tremendous amount of demand trying to make that happen from Walmart. Walmart would be crawling over themselves trying to get more sellers onto Walmart.com but they've made that process really clunky. I have since communicated, since the acquisition of Whole Foods, I have communicated with some people over at Walmart who have now showed renewed interest in this. So we will see if Walmart actually does get their act together and make that play. Because if they were able to do that, they would have leverage that could change things up a bit. If you've got people on Walmart.com doing extremely well and Walmart now puts it in their stores across the country, that attracts new brands. It forces Walmart to get their act together to be more seller friendly because they haven't been up to this point. And that is the only thing that could kind of threaten the model that Amazon is trying to make. So I think that that is the next wave of grocery and the next wave of E commerce and the next wave of online shopping. I think you will be able to create a product and a brand and if it does well, distribute it across the country. The secret to all of this is still going to be your marketing processes and your ability to control an audience and get them rallied behind your product. If you can do that and you create a raving community, you create raving fans, you create demand for your products. The distribution models will be massive. They will be incredible because you'll be able to take those products onto FBA on Amazon.com you'll be able to take them into retail stores and as if Walmart gets their act together, you have it. In Walmart you will have eight and nine figure brands being created in 24 months. It's going to happen. Watch for it. This is why all of you should be paying attention to what's happening at Amazon and in the physical products world. It's probably the best time ever to be an entrepreneur. If you want to Learn this stuff. I'd encourage you to join the Brand Builder bootcamp over@freedomfastlane.com bootcamp. It's where we help you get your product up and selling consistently within 90 days. By the way, get this.

Amazon not only has the customers, the distribution and now the retail exposure to be able to make brands huge, they also have the lending capacity. This is nuts. Like now you can actually take a product idea, you could put it on Amazon, have them lend you the money to go to nationwide distribution throughout the entire United States and have your product with like five grand in funding. You could have a product up, selling consistently, then get an Amazon loan at favorable rates to be all over Amazon.com all over retail stores, nationwide. This is crazy. This doesn't happen. Like this kind of stuff just does not happen in the old world of entrepreneurship. This is, this is game changing and groundbreaking. So the important thing here is that you are building brands and you are not just selling products. If you're trying to sell coffee on Amazon, you're going to have a hard time. What's the brand behind all of it? Why are people choosing you? Why are people asking for your brand? You can't just sell.

Spirulina tablets. Why are people choosing your brand versus someone else's? So the branding aspect of this is so important. It's so missed by so many Amazon sellers because they just want to sell product and most of them are new entrepreneurs and unsophisticated marketers. And if you just get a little bit of the branding right, you'll do so much better. If you do just a little bit of marketing and audience building, you'll be so far ahead of everybody else, which is why we call it the brand Builder boot camp and not the make money on Amazon course. So those are the things you need to have dialed in. Who's your audience? How do you speak to them? What is your brand? Why are they choosing you over just a generic version of the product? Why would someone pay twice as much for your product than someone else's? It doesn't need to be a completely different product, it just needs to be different. Not even better, just different. Different enough to where people choose your differentiating factor over another private labelers. And if you do that and you get an audience to buy into what it is that your product does for them, you could be up and killing it on Amazon. You could, you could have people on social media talking about you. You can be on whole food shelves and whatever other retailers they buy. That's the opportunity that is sitting in front of us of people do half of this right.

So that's what's coming down the pipeline. That's why I'm pumped about this deal between Whole Foods and Amazon and that's what's coming in the future. Watch for it. Big changes are happening. Join the Brand builder Bootcamp at freedomfastlane.com Bootcamp if you're already physical products entrepreneur, join the tribe. It's where we help people grow to a million and beyond. Get them partnered with investors and influencers and incubate businesses. Sometimes I even invest in our students. I'm working on investing in one of our students deals right now and helping them get in. Well I'll be helping them spread and helping them get into retail as well. So I do that kind of stuff inside of the tribe. So if you've got a physical products business you're looking to scale, the tribe is where you belong. Big stuff is happening. I'm really pumped about my conversations with people over at Walmart. I hope I can encourage them and inspire them to do things better and open up some opportunities for e commerce sellers, especially our students because I think they still have time. They could still make a run to make distribution possible for online sellers, but they better hurry the heck up. Alright guys, thanks for listening. Big opportunities on the way. If you found value in this, please subscribe on itunes and share this with your other Amazon seller friends. Because there's big stuff coming down the pipeline and it's never been a better time to be an online entrepreneur, a physical product seller and the most predictable path to a seven figure business is a physical products brand. Ryan out. See ya.