We Found a Massive Profit Leak in Our FBA Business

Jasim Eisa is the founder and CEO of Voadera, a global e-commerce partner helping brands win on Amazon and other online marketplaces. He built the company from selling used books at 15 into a 150-person operation managing over 30,000 SKUs and driving $100M+ in sales. Through Voadera’s Marketplace Accelerator, he helps brands fix broken listings, eliminate unauthorized sellers, and scale profitably with full-service marketplace execution. He is on a mission to help great products achieve the dominance they deserve online.

Highlight Bullets

> Here’s a glimpse of what you would learn….
  • Challenges of margin compression on Amazon and strategies for adaptation.
  • Importance of operational efficiencies and cost savings for scaling e-commerce businesses.
  • Tactics for reducing operating expenses, particularly in supply chain management.
  • The significance of procurement strategies and direct sourcing from manufacturers.
  • Shipping cost optimization through density and packaging strategies.
  • Fulfillment strategies, including the use of FBA versus third-party logistics.
  • Marketing efficiencies focused on organic ranking and conversion rate optimization.
  • Increasing customer lifetime value (LTV) through various promotional strategies.
  • The role of AI in enhancing operational capacity and workflow efficiency.
  • Key performance indicators (KPIs) for tracking business metrics and ensuring team alignment.

In this episode of the Ecomm Breakthrough podcast, host Josh Hadley sits down with Jasim Eisa, founder and CEO of Voadera, to discuss scaling e-commerce businesses profitably on Amazon. Jasim shares how his team achieved nearly $820,000 in operational savings through supply chain optimization, smarter procurement, and shipping density improvements. The conversation also covers marketing efficiencies, coupon strategies to boost customer lifetime value, reimbursement recovery, and practical AI applications. Jasim emphasizes that as brands scale, small per-unit savings compound significantly, making operational efficiency as important as growth.

Here are the 3 action items that Josh identified from this episode:

  1. Stack Small Wins Relentlessly
    Audit every step of your operations and implement micro-improvements (e.g., packaging, shipping, processes). Small savings per unit compound into massive annual gains.
  2. Optimize for Profit, Not Just Growth
    Regularly review SKU-level profitability, Amazon fees, and inventory levels. Shift focus to efficiency as you scale—margin control is the new growth lever.
  3. Use Data to Drive Conversions & LTV
    Double down on high-converting keywords, continuously test PDPs and coupons, and implement strategies like Subscribe & Save and bundling to increase repeat purchases.
Timestamps:

00:00:00 Introduction & Cost-Saving Initiative
Jasim discusses a major initiative to cut $1 million in operational expenses, focusing on supply chain efficiencies.00:00:24 Podcast Introduction & Guest Background
Host introduces the podcast, Jasim Eisa, and his experience scaling an e-commerce business to $100M+ in revenue.00:01:43 Managing Large-Scale Amazon Operations
Discussion on managing 30,000 SKUs and the complexities of large-scale Amazon selling.

00:02:07 Amazon’s Evolving Marketplace & Margin Compression
Exploring margin compression, Amazon’s profit-maximizing changes, and how brands must adapt to new fee structures.

00:04:26 When to Focus on Growth vs. Operational Optimization
Advice for brands on prioritizing top-line growth versus operational cost optimization, depending on business maturity.

00:07:30 Leverage in Cost Savings: High-Volume Products
How optimizing costs on high-volume SKUs yields significant savings, and the importance of leverage as brands scale.

00:08:37 Operational Savings Strategies Overview
Jasim outlines the philosophy of achieving savings through many small improvements rather than one big change.

00:09:03 Procurement & Cost of Goods Optimization
Tactics for reducing product costs by eliminating middlemen and running RFPs to manufacturers.

00:10:40 Shipping & Supply Chain Optimization
Strategies for shipping cost reduction, including RFPs for freight, optimizing packaging density, and leveraging Amazon programs.

00:13:43 Shipping & 3PL Strategy Recommendations
High-level recommendations for shipping from China and choosing between Amazon’s logistics and 3PLs.

00:15:17 Optimizing FBA Fees & Inventory Management
Best practices for managing FBA storage, inbound placement fees, and maintaining optimal stock levels.

00:17:01 Freight Forwarders vs. AGL Rates
Comparison of AGL and freight forwarder rates, and when to use each based on business size and shipment volume.

00:17:53 Marketing Efficiency: Organic Ranking & Conversion
How aligning SEO, creative, and marketing teams to target high-converting keywords saves money and boosts organic ranking.

00:21:39 AOV & LTV Strategies on Amazon
Increasing average order value and lifetime value through coupons, multi-basket analysis, and subscribe & save tactics.

00:24:47 Stackable Coupons & Tactical Promotions
Using stackable and visible coupons to increase conversions, with caveats for premium brands.

00:26:02 Ships-in-Product-Packaging & Reimbursements
Cost savings from shipping in product packaging and maximizing Amazon/Walmart reimbursements and recovery.

00:28:39 KPIs & Data Tracking for Operational Efficiency
Key metrics tracked at leadership and departmental levels to ensure efficiency and profitability.

00:30:59 Counter Metrics & Avoiding Operational Pitfalls
Importance of pairing KPIs (e.g., revenue vs. profit, in-stock rate vs. months on hand) to avoid unintended consequences.

00:32:43 Team Structure & KPI Management
How leadership and teams use KPIs, Google Sheets, and the Traction framework to manage performance.

00:34:33 AI in E-commerce Operations
Current state of AI in e-commerce, realistic expectations, and how AI is integrated into specific workflows.

00:35:54 AI Use Cases: Creative, SEO, and Product Development
Examples of AI increasing creative output, improving SEO, and aiding product development through contextual prompts.

00:39:27 AI vs. Human Labor: Cost-Benefit Analysis
Discussion on when AI automation is cost-effective versus when human or VA labor is preferable.

00:41:08 Final Takeaways & Action Items
Three actionable takeaways: focus on high-impact savings, optimize high-volume SKUs, and leverage AOV/LTV strategies on Amazon.

00:44:04 Book, AI Tool, and Influencer Recommendations
Jasim shares his most influential books, favorite AI tool use cases, and respected figures in the e-commerce space.

00:46:08 Contact Information & Episode Wrap-Up
How to connect with Jasim Eisa and closing remarks from the host.

Resources mentioned in this episode:

Tools and Websites
Voadera“: “00:01:43”
AGL (Amazon Global Logistics)“: “00:11:17”
AWD (Amazon Warehouse)“: “00:16:50”
Lemon Gemini“: “00:37:52”
Helium 10“: “00:38:33″Books
“The E-Myth” by Michael E. Gerber: “00:00:54”
“High Output Management” by Andrew Grove: “00:31:24”
“Traction by Gino Wickman”: “00:31:24”
“Being a CEO” by Matt Mochary: “00:44:10″Notable Mentions
Steve Simonson“: “00:35:11”
Brandon Young“: “00:35:11”

Videos
YouTube Channel of Jasim Eisa“: “00:46:12”

Episode Sponsor:
This episode is brought to you by eComm Breakthrough Consulting where I help seven-figure e-commerce owners grow to eight figures.
I started my business in 2015 and grew it to an eight-figure brand in seven years.
I made mistakes along the way that made the path to eight figures longer. At times I doubted whether our business could even survive and become a real brand. I wish I would have had a guide to help me grow faster and avoid the stumbling blocks.
If you’ve hit a plateau and want to know the next steps to take your business to the next level, then email me at josh@ecommbreakthrough.com and in your subject line say “strategy audit” for the chance to win a $10,000 comprehensive business strategy audit at no cost!

Transcript:Jasim Eisa 00:00:00  One of our largest initiatives was to save on expenses, and our goal was to cut $1 million in OpEx, primarily on supply chain. And that was our biggest initiative. We got to around $820,000 supply chain. So it didn’t quite hit the goal. But we did a lot of things that we thought were very helpful. And hopefully we’re going to share a lot of these tactics that we used to cut costs on Amazon. Look at things more fundamentally from a principal stance on how to make things more efficient.

MC 00:00:24  Welcome to the Ecomm Breakthrough podcast. Are you ready to unlock the full potential and growth in your business? You’ve already crossed seven figures in sales, but the challenge is knowing how to take your business to the next level.

Josh Hadley 00:00:37  Do you want to know what it takes to achieve $100 million in sales on Amazon? Well, today’s guest knows exactly how to do it. Welcome to the Ecomm Breakthrough podcast. I’m your host, Josh Hadley. I scaled my own brand from 0 to 8 figures in sales, and now my mission is to take it to over nine figures on my journey to nine figures.

Josh Hadley 00:00:54  I bring you the unfiltered conversations with the smartest minds in eCommerce. Past guests include Ezra Firestone, Kevin King, and Michael E Gerber, author of The Myth. Today, I am super excited to welcome onto the show Jasim Eisa. He is the founder and CEO of Voadera, a global e-commerce partner helping brands win on Amazon and other online marketplaces. He built his company from selling used books at 15 into a 150 person operation, managing over 30,000 SKUs and driving over $100 million in revenue. Through Dara’s Marketplace Accelerator, he helps brands fix broken listings, eliminate unauthorized sellers, and scale profitably with full service marketplace execution. He is on a mission to help great products achieve the dominance they deserve online. With that introduction, welcome to the show, Justin.

Jasim Eisa 00:01:43  Thank you very much, Josh. Honored to be here and great to finally speak to you.

Josh Hadley 00:01:47  Well, I I’ve you’ve built something incredible. It’s very few people or even agencies that are doing over $100 million in sales on Amazon, and you’re managing 30,000 SKUs.

Josh Hadley 00:01:57  So that is no small feat. So I’m excited to dive into how in the world you’re actually able to manage all of those skews on today’s show.

Jasim Eisa 00:02:05  Let’s get into it.

Josh Hadley 00:02:07  Just yeah. So let’s dive in here. A couple of things I think we want to dive into with is, number one, as you scale your business, we have heard that, you know, there’s a lot of margin compression. I’m curious to know if that’s something that you have been seeing with the brands that you’ve been working with and what they’re doing to combat the margin compression. And then the second thing that I really want to dive into is you talked about how you’re using AI and some pretty incredible ways to expedite and increase the output from your team, and would love to dive into some of those specific use cases of how you’re implementing AI with your team, especially when you have 150 people to manage. That’s also an easier said than done. So let’s take it from the top. What are you hearing from the partners and the brands that you’re working with right now on Amazon? Is it still working today as it once was in 2015, 2016.

Jasim Eisa 00:02:57  Yeah. I mean, it’s still working. Kind of breaking it. Two parts. It’s still working, but not as it once was. Right. So there’s obviously still huge potential. And we’re representing these we’re responsible for these brands, you know, because we’re actually acting as our exclusive distributor. So we’re selling it through our account. And we have to make sure that we’re netting as much as possible to be able to afford everything. And this is a fundamental change in today’s general business landscape. And Amazon, Amazon specifically is that I mean, all the Silicon Valley brands, whether it’s Uber or DoorDash, Netflix, they kind of start seeing prices, getting customers and profitable. And that’s what clearly Amazon’s shift isn’t a grand scheme of thing. Jeff Bezos, left, and the GSC, he’s maximizing profits. He even killed off a few cost centers that weren’t worth it, like they just stopped prepping items. It just wasn’t worth it for them profitably. And they’re doubling down on what’s very profitable for them.

Jasim Eisa 00:03:41  And they’re trying to squeeze as much more as they can. Even if you look at Amazon’s leadership team, I know a lot of people that were like at the top of the like three, three levels below that were let go and they’re bringing in more junior people. So they’re just trying to maximize profit. And we’re going to feel that as sellers on the marketplace and it’s something it’s not going back. It’s going going forward. So we have to adjust from a principal level. And that’s what we did actually in 2025. One of our largest initiatives was to save on expenses, and our goal was to cut $1 million in opex, primarily on supply chain. And that was our biggest initiative. We got to around $820,000 supply chain. So it didn’t quite hit the goal. But we did a lot of things that we thought were very helpful. And hopefully we’re going to share a lot of these tactics that we used to cut costs on Amazon. Look at things more fundamentally from a principal stance on how to make things more efficient.

Josh Hadley 00:04:26  I love that well, and just as we dive into this, I think it’s important you you talked about this where Amazon initially was a little bit easier. The fees were not as high. Right. And you know, there were fewer competitors. This is the evolution that all new brands, new companies go through, which is at the very beginning. You’re maybe not as efficient as you would like to be. There is areas for improvement, but you’re most important thing at the very beginning of any business is top line revenue sales growth. Obviously you want profits to be able to reinvest in that growth. However, most people need to focus on just growing top line sales more than focusing on, hey, you know, I need to optimize every single carton or optimize my three PL, you know, strategies or costs and things like that. Although those are very important. They become more important as the business scales. And that’s why we’re seeing that kind of shift with Amazon as it’s in a very mature category itself.

Josh Hadley 00:05:24  Now. It’s in a mature stage and so mature stage. That’s when it is appropriate for a business to come in and say, hey, what happens if we push out sellers to disbursement another seven days? How much more revenue does that give us? Because we can make interest and extra seven days of interest is X amount of money. Like that’s the way that Amazon is looking at that. But at the beginning they couldn’t offer or they couldn’t have those bad payment terms to sellers because then they wouldn’t be able to attract the sellers. Well, now that there’s really nowhere else to go, they’re like, yeah, well, go, go run somewhere else. We’ll fill you in with some other overseas competitor at this point now. And so you’re seeing all of Amazon like they’re increasing their fees. Low inventory fees are now introduced. There’s more egregious AF fees than if we’ve ever seen before. And removing a product from Amazon is you’re paying out the nose in order to do that now and again. Amazon can do this now because they’ve proven that product market fit.

Josh Hadley 00:06:21  They’ve gotten enough velocity. And so before we dive into all the strategies that you’re going to share, I think it’s just important to note like if you’re a budding seven figure brand right eye, your best area of focus is probably not on optimizing your operational costs. Right? Which is, you know, your three PL costs. Now, do you want to spend an arm and a leg on that? No. But like, you know, having to nickel and dime somebody for that extra $0.05 isn’t going to be as impactful as finding the next new hero skew that’s going to net you another million dollars, or finding the next new sales channel that’s really going to like double your business or social commerce or things like that. So that’s where I would just encourage our listeners, if you’ve hit a mature stage in your business and you are profitable and you are growing and as just Simms shares some of these strategies today, if you can chalk this up to like six figure amounts. That’s where it gets exciting. So with that context behind us, do you feel like that’s appropriate? Like would you agree with that statement? Like focus on revenue and growth first.

Josh Hadley 00:07:24  Then when it’s like you start to hit six figure optimization type opportunities, then start focusing on.

Jasim Eisa 00:07:30  That, 1,000,000% comes back to leverage. Like just a simple example, we had a brand that had a product that we spent a lot of money to redo the classification of the box to save $0.20 on Amazon fees. Now, if that was selling 100 units a month, that’s $20 a savings. That’s nothing. But this brand was selling 10,000 units a month. So you could think of the implication of that. That’s almost what we’re talking about $22,000 a month, basically, on that single item that’s 25 grand a year. So you could think of again, there’s not much leverage, maybe for a smaller brand where that single item save is not going to be implied, but also as you’re bigger, you can have business units. We have an entire business unit, marketing team, 30 people that’s focused on growth. And we have other business centers that are supply chain. So you also have more resources, but as you’re smaller, you have to obviously be more focused.

Jasim Eisa 00:08:15  You nailed it on the head.

Josh Hadley 00:08:16  Love it. Well, Sam, you’ve got a lot of operational improvements that you guys have made almost nearing $1 million, which again, what I love about that is it falls straight to the bottom line of your business. So how did you achieve over $800,000 in operational savings for your business? And hopefully we could share some strategies that sellers can maybe go implement in their own brands today.

Jasim Eisa 00:08:37  Of course, of course, you all get started. And I kind of like the saying as we approach business, I remember Howard Schultz. I always ask him when he goes back to Starbucks, what’s the one thing he did to improve the business? And he said, it’s always a thousand small things. He talks about how we change the, the, the straw, and that’s the way we approach it is it’s usually never like one big thing. It was a lot of strategies that I’ll kind of mention today that little by little kind of move things around. And actually an important point, you mentioned that Amazon hasn’t really increased fees that much.

Jasim Eisa 00:09:03  They’ve actually become more creative with fees. They’ve added so many things like it’s the referral fee and the pick and pack fee. They’re almost the same as when they started. But what they’ve really raised is the low inventory level fee removal orders you mentioned. So how are we navigating those as we approach them and, and looking at that, that aspect of things. So going back to all the way, let’s just even start from the word procurement happens. Even purchasing inventory, basically the first thing that we did is realizing that the price that we’re getting, even if you’re working with international manufacturers, especially for smaller, and you found that manufacturer on Alibaba, you found that manufacturer, they’re well known, they’re good at marketing, and it’s likely you’re buying it through a broker. That’s just one example is looking at the cost of your product. Are you actually getting the smallest the best cost. And that’s one of the analysis that we did is we found that we’re dealing with a lot of middlemen. And the middlemen are so good.

Jasim Eisa 00:09:46  You kind of. They represent the brand. Truly the manufacturer. Truly. You never realize it. And that’s where you have to kind of build RFPs. You have to build a spec sheet of your product and send it to ten, 20 people, send it to five, ten people. You build it once and that’s where you have leverage, is you email the same spec sheet and you get quotes back. So that’s one of the first things we just started from the root causes. Let’s look at procurement. And that alone drove 20 to 30% in savings on a lot of cost of goods. And not only that, but it had reciprocal effects because the tariffs are also now cheaper because they’re based on the cost of the goods of the item. So just starting with the basics is looking at the cost of your product. Are you truly getting the best cost? Can you visit your factory to get the best cost? Understanding all that kind of stuff is something that we’ve seen, especially us, as a lot of people don’t realize how much middlemen involved, especially with Chinese manufacturers, where the actual factory is not good at marketing, they’re not good at English, so they’re using a middleman that’s sometimes up charging 30 and 40%.

Jasim Eisa 00:10:31  And that’s alone is just a low hanging fruit that kind of we address things.

Josh Hadley 00:10:35  Yeah, a lot of operational improvements just from very simple strategies there. Love it.

Jasim Eisa 00:10:40  Exactly. So then we kind of get into shipping. And this is actually one of the the biggest cost centers for a lot of e-commerce brands in general. And this is where we had a lot of leverage within that. So Amazon thankfully, now has international programs, whether it’s AGL, but also using freight forwarders and using all that kind of stuff is making sure this is something that I’m going to come to a lot and something we implemented last year. We’re always doing RFPs. So requests for proposals, we have the requirements already. So even when we’re asking for a shipment from China right now, what we’re doing is we’re sending the same requirements to 3 or 4 vendors or 3 or 4 shipping. And then we’re also getting Eagles code. We’re comparing it to others. And then even within AGL you can also depending on your volume, again you can request a certain contract rate.

Jasim Eisa 00:11:17  If you ship at least 11A week, you can talk to your AGL rep. And by the way, on a side point, AGL reps are the best reps in Amazon. They’re very active. They’re they give you their WhatsApp numbers. That’s kind of a side hack whenever this comes out. But we love our AGL reps. So just looking at that, seeing what you can do, that then within going back to shipping is condensing your product is I mentioned it a little bit briefly, is looking at the fee classification of your item. Sometimes you’re half an inch away from the lower fee classification and looking at your product, can you mold it in a certain way? Because that has downstream implications, because if it’s cheaper all the way from the start, you get you fit more in a container. You get a lower fee classification. If you’re shipping it to WD, you get more in a box, WD charges per box. Just one example is like even talking about WD right? I’m sorry. I hope I’m not getting too technical, but this is a good example is we had a certain brand that we’re working with.

Jasim Eisa 00:12:03  They were fitting for items in a box. The box was £20, so each item was £5 and it was fine. They were fitting in a container, but they charge you $2.14 per box, not per item. So that same box, if there’s four items in a box, that’s $0.40 an item just on the WD feed. Now imagine if because you can go up to £50, you can actually put ten in a box. We put nine just to be on the safe side, £46. But now we’re paying $2.14 for nine items. So we’re paying around $0.23 an item. So that’s just on the WD fee. We have two there. So imagine if it’s a thousand units 2000 units. So that’s just the biggest thing. If I had one thing to leave your audience with Josh. Josh is to density. That’s the key word for shipping is your crime. Your trucks. As much as you can. Cram your items as much as you can. Like we even have brands that have different packaging for retail, different packaging for Amazon.

Jasim Eisa 00:12:48  And you can it’s fine. You can use a different picture in the listing. It doesn’t matter. And the customers kind of expect that Amazon’s packaging is more durable and more dense. Retail. Obviously, you have to be fancy and then just understanding your supply chain, being dynamic with that using different programs. Amazon programs are getting very good. They have IWD, but they also have GW. They’re opening on the beta program. And I think by the time this episode comes out, it’s going to be public. But it’s global warehouse resource IWD but in China. So looking at your entire supply chain from start to finish and seeing which roads is it using AWP or is it going to directly NFC cheaper and looking. Apples to apples kind of comparing everything is what we spent a lot of time on last year and what we’ve been really focused on.

Josh Hadley 00:13:26  What have you seen as it relates to shipping? It seems like this is an endless rabbit hole where you can optimize almost endlessly. Give me like your overall takeaways, what have you seen to be like the most cost efficient, especially for brand owners? If we’re telling them, hey, actually, like, don’t worry too much about these operational savings.

Josh Hadley 00:13:43  Go grow your revenue first. Where would you point people towards. And so my questions would be let’s talk about shipping. So bringing products over from China. What does that look like. What are the what have you found. You’ve been sending out lots of RFPs. Is it you are always getting like a new vendor every single time? Or are you seeing like, hey, to be honest with you, AGL wins 75% of our contracts or is it some other freight forwarder? So that’s question one. And then question two is what’s the best three PL strategy in the US. Are you recommending people use or because of AWB increasing their prices now it’s actually more more cost effective to be at three Pls. And obviously this is very nuanced because it depends on your business. And are you shipping into retail or are you only Amazon you other sales channels. So I know there’s not a one size fits all, but give me like the bigger picture. Like yes. What what did you learn through all of this.

Josh Hadley 00:14:34  That would maybe be some like high level recommendations for the listeners?

Jasim Eisa 00:14:38  Yes. So the RFP is you don’t. Yeah. If you want to kind of create a principal kind of 8020 is do it initially, see what’s the best and then do it occasionally after that, just to keep your current option honest and make sure they’re kind of they know that there’s someone else competing. Just understanding that is a huge aspect of itself. So that’s one thing. Going even back to procurement is really being kind of your factor down to see what the best price is. I was with I’m not sure if you’re familiar with Steve Simonson, but he was kind of talking about playing Misery Olympics. In fact, you’re kind of claiming that you’re not making any money and seeing what that is. But going back to the main thing that really, I think moved the needle for us a lot. It was really going to your highest moving items because a lot of sellers, especially 7 or 8 figures, they only have 1 or 2 hero aces a lot of times.

Jasim Eisa 00:15:17  So looking at that and going to the fee classification and understanding where that lives and based on the product size, based on that and seeing if you can move that and making it dense from start to finish was something that saved us a lot of money. And for the ideal supply chain strategy right now, we are still using AWP frequently because of the inbound placement fees, even though they went up. But inbound placement fees are unbelievably expensive. Shipping from internationally to ingesting into WD is good. I would recommend keeping some safety stock in your warehouses in case it goes out of stock because AWS unreliable, especially in Q4. But we found that to be a fairly reliable option as long as you can fit a lot of items in a box, that’s kind of the simplest way and the easiest way. And you also get the advantage of working with an AWS rep, AGL rep if you need anything, you can kind of bounce some ideas on them, but you also, most importantly, you save out a lot of storage fees with FBA, which have been like that’s one of the other mistakes we see is people using FBA storage, and we made sure that our team doesn’t have more than 6070 days of stock FBA.

Jasim Eisa 00:16:12  And to give AWB credit, they’re actually pretty good at that. So they don’t overstock RFB and that’s why I like it, because not only saves you inbound placement, but also saves you a lot of fees with Amazon. And even look at the low inventory level fee. You can also mitigate that with AWP because you have a lot of inventory there. So indirectly directly WD is more expensive, but it also saves you from all these random fees that Amazon produced. Inventory surcharge fee, Q4 peak FBA beefy, all that kind of stuff, which we’ve seen very helpful and kind of within its treaties. I hope that answers the question. That question.

Josh Hadley 00:16:41  Yeah. So you’re still seeing AWB kind of be worth the cost in and of itself because it has a lot of other intangible benefits and, you know, saves you from other, other costs.

Jasim Eisa 00:16:50  Also operationally, like you don’t have to have someone continuously look at it. So that’s possibly an employee so intangible as you mentioned.

Josh Hadley 00:16:56  Yeah. What are your thoughts on AGL then.

Josh Hadley 00:16:58  What have you seen with their rates compared to others.

Jasim Eisa 00:17:01  So AGL does have good rates, their tracking abilities not as good. But yes, I would say a lot of the times, no, they’re actually not winning. A lot of freight forwarders are winning on AGL, not by a lot, but $1,000 on a container that adds up over time. They were last year, but over the last few months it’s been not as competitive. So that’s why I would say still keep an eye on that and see what freight forwarders can get you. And but again, if I was a smaller seller, probably just stick with AGL and focus on higher level stuff. But for us, when we’re moving almost a few containers a week, that’s obviously a different story. We have to make sure that it’s as nailed as possible.

Josh Hadley 00:17:35  Yeah. No. Makes a ton of sense. And then you also talked about optimizing your FBA fees and the way you’re packaging the boxes, the cartons. I think that’s super smart. So just saying, where else have you been finding some operational savings for your business?

Jasim Eisa 00:17:50  Yeah, I mean, I could kind of even obviously we’re going to mention.

Jasim Eisa 00:17:53  Yeah. So I’ll leave that a little bit later, but I’ll actually mention something maybe a little bit less kind of on the other side of things on marketing and growth is we’ve been able to basically look at our a lot of our marketing campaigns. I mean, besides the basics of obviously if something isn’t driving clicks or costs, obviously removing those, but actually being very strategic with organic ranking that we target and going after keyword and going after truthfully and marketing for the sake of organic ranking rather than being satisfied with ad sales, like when we’re trying to market and trying to grow, we’re going after, we’re trying to organically rank. And that’s especially on bottom of funnel sponsored product. We’re looking at the search query performance, and we’re seeing, are we converting better for that keyword than the market at least by 1 or 2%. And if we are, then what we do is we change our PDP product detail page. We change the images. Let’s say, for example, I have a mug right here, right? I mentioned this like if I want to rank for a gym mug, we’re going to put pictures of someone in a gym and we’re going to copy for someone to gym with Rufus, because then it also drives a conversion rate further.

Jasim Eisa 00:18:48  And then we’re going to Target Gym until we organically rank. And then we kind of bring it back to normal. That’s one of the things that we’ve been saving a lot of money on is attacking certain keywords. And we also organically rank cheaper because we’re attacking it specifically because we know that our conversion rate is higher than the market. And we’re also even changing the PDP to inflate our conversion rate further. And we hopefully within a few weeks, maybe sometimes a little bit longer, 6 or 7 weeks for the algorithm to pick it up. We rank, we stabilize, then we go after another keyword group as we call it. So let’s say the next keyword group would be decimal for this one or whatever.

Josh Hadley 00:19:17  That is fantastic. That is something I have not heard that strategy yet. Where yes, the scoop performance report you’re measuring that you’re comparing that to the market average. That’s good. You want to keep pushing on the obviously where you have the higher conversion rate, but I love what you just shared is like you take it up a notch.

Josh Hadley 00:19:35  You then adjust. You don’t just say, hey, we’re we’re already winning. You’re now going to pour more gasoline on this fire and say, like, we’re going to win even more and increase our conversion rate. So I’m targeting this workout or gym related keyword. So my second image is going to be a lifestyle image of a guy sweating at the gym with this money or whatever it is. And so you’re like and again the buyer psychology is like, yep, that’s me. And so the conversion rate goes higher. I love that strategy. And what you’re saying though is like you focus on this keyword, then you move to a new keyword and then you’re going to like replace that image of the guy at the gym with the office worker or something like that, and focus on those keywords. Is that kind of the process you’re running?

Jasim Eisa 00:20:15  You nailed it. You got it really quick. So yes. So basically that’s where the cost savings is, is alignment between the SEO, SEO, creative and marketing team, rather than each one trying to do something.

Jasim Eisa 00:20:25  And that’s where wasted money comes because the creative has to redo the images and then. So that’s kind of just having that internal alignment and making sure they report to the same person. And that’s where actually smaller brands have an advantage, because a lot of times it’s just you. So you have you have better communication alignment so you can move quicker than a lot of slower, larger people.

Josh Hadley 00:20:43  Yeah, I think that that’s very true for the those that are listening, where if it is just you and you have a seven figure brand, like see that as an advantage because even brands like myself, as soon as you’re into the eight figure range, you’ve got teams. And honestly, I told my team this earlier, which is like we and our communication are the constraints of the business right now. We are the constraint because what is going on in TikTok is not being properly communicated on Amazon and what’s being marketed on meta, like we need to do a better job communicating, whereas if it’s just you, you can easily go use AI, go get yourself a new main image, post that main image, look at the double down your budgets on certain keywords and go from there.

Josh Hadley 00:21:25  So I think that use it as an advantage to just like. It’s like a little speed boat. Go faster around all the cruise ships that are slowly moving along. What else have you bet? Any other, I guess, insights or findings in the marketing aspect to save costs and efficiency there?

Jasim Eisa 00:21:39  Yeah, let me think through. I mean, obviously I think one of the other stuff, it depends on the category, but one of the other things that we focused on, this is actually a negative mindset that a lot of sellers we see have is they think LTV is solely for Shopify and LTV doesn’t exist on Amazon. Yes, Amazon is more strict to the customer, but we’ve done a lot of things over the last year to increase our LTV, whether it’s one reorder rates or AOV average order value. So even getting into average order value, what we’ve done is, for example, sometimes coupons if buy two get 5% off. We already paid for the CPC, sometimes to get a collect. Let’s try to sell as much as we can.

Jasim Eisa 00:22:11  The step two of that is going to multi basket analysis in the brand registry. What are customers buying. Can we also release that product too. So we can increase the AOV upsell down sell cross-sell for that certain customer. So and then even within that if it’s business pricing You can offer 3% on discount for business pricing, and you show up on ads for free. So looking at how can I increase the AOV? How can I get either more of that single unit ordered or more units across my catalog ordered? And then the second part of that is how can I increase reorder rates? And we’ve done we’ve focused so much on subscribers last year as we want to. We’re going to pay a lot for the first guy for consumables. It is what it is we’re going to offer. Subscribe and save coupon. It’s going to be aggressive 20%, 10%, whatever it is. And we’re going to offer a reorder coupon. But then we have that subscriber. We make sure our product is actually good of course, but we have that person hopefully, hopefully over the long run and testing the SNS coupon to see like just one example is we had a $40 product initially we had 20% coupon on it and we’re getting around 100 subscribers a month.

Jasim Eisa 00:23:09  We change it to an $8 coupon, so it’s still the same amount. It’s just now $8 instead of 20, and now we’re getting 150 subscribers a month. So just testing that and seeing what the lever is and and keeping an eye on things is again, if you don’t have a consumable, it’s not as relevant. But that’s just one example of of focusing on LTV and getting the most out of out of what you’re running.

Josh Hadley 00:23:27  That’s super smart. Especially the strategy if you don’t have a consumable product like the focus. Again, the mindset for like supplement sellers and beauty is like, oh yeah, it’s all about the subscribe and save. It is about the LTV and things like that. So that that comes kind of naturally to them. I think it is unnatural for somebody that’s selling maybe commodity type products, maybe it is like a tumbler or a mug or something like that, and it’s like you don’t need to subscribe and save on this Tumblr, but your your strategy to say, hey, maybe we’re not focused on the LTV, but we are focused on the AOV.

Josh Hadley 00:24:00  Yeah, on Amazon. And so being able to have that like the coupon is the best strategy there to say hey by two, get 5% by three and get 10%. I know, I know myself as a consumer on Amazon. I always click those to be like, what else? Like what else do I have to buy to save this percentage? And again, it’s a really good way. Like liken it unto a. On Shopify, you have your upsell feature, right where it’s like somebody adds something to cart and it’s like, hey, by the way, would you like this? Amazon controls that on Amazon. We know that. However, the best thing that we can do truly is that like little coupon to say it’s like you’re raising your hand saying, hey, buy two. Save x percent by three. Save another percent. So love that strategy. Any other unique ways that you’ve found to like increase AOV on Amazon?

Jasim Eisa 00:24:47  I’ll get actually a little bit tactical I’ll if you allow me. So within that same strategy a buy one get two.

Jasim Eisa 00:24:52  What we’ve done is actually do unstoppable coupons. And this worked really well. Again you have to be careful because also if you have a premium brand positioning like if Nike or L’Oreal did this, it’s not a super suitable if you’re just trying to get sales. Because a lot of coupons make do, make the page look a little bit kind of scruffy. But it did work for one of the brands that we have where it’s more commoditized, kind of not pre position. But what we did is we put the buy one by two, get 5% off, etc. but then what we also did is we did a 15% off coupon. So we had both running and customers would see on the search Serp. Search engine result page. Wow. Two coupons. That kind of blows in your face. And then they walk in. Oh, this is this. This is that. They press on both. But actually the checkout page only allows one. And by that point, they’re already too far in. They just choose the one that’s better for them.

Jasim Eisa 00:25:34  And we’ve seen a lot of we’ve seen that work for quite a few products. So on stackable coupons, making it look kind of more exorbitant than standing out and eventually testing it out. But again, I want to be careful not all products are a good fit for it. If you’re very premium brand, maybe it’s not the best positioning for coupons in general, but that’s something that’s yeah.

Josh Hadley 00:25:51  Fantastic insights. Very good. Just what else. Any other like operational efficiency. Marketing efficiency. Any other ways that you guys have been able to generate some savings.

Jasim Eisa 00:26:02  Yeah I mean one thing that we did additionally last year was also so search ships in product packaging. And this is again, if you don’t have a gift of item or you’re not afraid of it getting damaged and shipping, we’ve done this. It saves you a lot. Actually almost a dollar or two in and shipping fees. One thing you have to be careful with is that your returns are no longer usable because they put a non adhesive on the product itself.

Jasim Eisa 00:26:22  If you have if you actually customer returns are valuable and you sell them somewhere, then be careful. You know a lot of them just kind of shoot them. The garage is not applicable, but if they are, that’s something you want to be careful about. But generally we’ve seen that to be helpful. So ships in product packaging. I’m just trying to see a list of a few things that the team was kind of, oh yeah, this is actually a big one as reimbursements and recovery. And this is something that we see a lot of people miss out on. And just to give you an idea, we sold, I think it was around $90 million last year, and we got around 2 to 3% of that back in reimbursements on recovery, not only on the seller central marketplace, but also even on Walmart. It exists too. So you have to benchmark is what are you currently getting for reimbursements to recover? We have a very thorough process, 30 full time employees. We have a SaaS that comes in after them.

Jasim Eisa 00:27:03  We have to make sure that whatever is lost inbound, damaged customers are returning after 30 days. There’s so much within that is go take a look. Now, how are you sure that all your products are arriving to app? Because they lose so much, especially in the US marketplace. They’re more accurate in Canada than UK. We sell their tours, but maybe do the velocity here. Are you recovering all the money Amazon owes you? At the very least, if you kind of want to keep a high level, go to a SaaS provider, negotiate them down. You can get them on commission, even down to 78%. They’ll say that they’re going to have a lot of them, but you can negotiate them very heavily and you can have it run them at the very least in the background. Then hopefully once you start understanding, you could build it at a house. You have to do it for our brands. But reimbursements and recovery, even if you’re doing $1 million a year, let’s say $2 million a year, 2 to 3%, let’s just say 2 million.

Jasim Eisa 00:27:45  That’s what, 50 grand, almost. That’s huge. That’s a full time employee. So that’s something to make. Now some of it is automated, but you still have to make sure you manage your sourcing costs. Actor you have to fight Amazon on that. That’s one thing. Another thing is they don’t give everything automatically. You still have to fight for some stuff. So just keep an eye on all that.

Josh Hadley 00:28:00  Yeah, I love that. That’s a great, great insight on that. Now just all of these things are good operational, like savings and good ideas. But when you’re scaling a big team, especially when you have 150 people like yourself, it’s hard to like track all of that. And so it really comes into like your KPIs and your data reports to be able to track these things. See, are we getting better or are we getting worse over time because like, these are like this is death by a thousand cuts. It’s like, if you’re sleeping on this stuff, we listed off, what, easily, probably like 10 to 20 different fees at this point that if you sleep on them, you could be losing close to over $1 million in costs easily.

Josh Hadley 00:28:39  So what are the KPIs that you’re tracking for your team? So that they are looking at the leading measures of the business and making sure that everything is as efficient as possible? And where do you find these metrics in Amazon?

Jasim Eisa 00:28:52  No, that’s a great question. So the metrics that right now there’s a leadership level metrics. And then there’s departmental metrics. So each supply chain has its own compliance has its own catalog. On a company level it’s kind of aggregate gross revenue contribution margin dollars and stock rate. The big ones the biggest ones. Let me think about a few of the other ones we have on there. I mean, one of them is click up. Task completion percentage is another example that we have on there. So that’s another marketplace. Germany is a big one too, because we’re trying to diversify by Amazon. What does Walmart look like? What a TikTok shop look like Amazon Canada, Amazon UK. And then based on those KPIs, then we go, let’s say the supply chain. They’re looking at things more specifically how much are what does it cost per pound to ship stuff.

Jasim Eisa 00:29:28  What is it. What’s our in-stock rate. So again you kind of come to the biggest looking at the top for your company. The biggest thing for all of us is net net margin dollars. So looking at what your revenue is, what is the biggest thing to scale there? It’s probably not going to be, like I said, optimizing for a specific SEO bullet point. It’s going to be maybe launching a new product in a very up trending market. So understanding looking at your current situation and looking at your certain KPIs and looking at your PNL, like, for example, that’s where our supply chain costs. We noticed that our PNL supply chain was 15% of expenses. Like, does it need to be this week? And now it’s around 12% of our total expenses. So looking at the biggest cost items or the other on the negative, what’s drawn the most or in the positive, what could bring me the most? And attacking that one and prioritizing it would be the way I would approach it.

Josh Hadley 00:30:12  Yeah.

Josh Hadley 00:30:12  Very smart. Who’s looking at those metrics every day? Is it your team members, department heads? Is it yourself? And how do you manage that through your team?

Jasim Eisa 00:30:21  Yes. So I’m looking obviously on the leadership we have. And it doesn’t have to be complicated. We’re using Google Sheets. We have someone putting in the numbers in there even that. But I am looking at them frequently daily. We just use. We use a book called traction. It helped a lot of the concepts that we have, but they call them KPIs. Basically, we list them off, we put them in KPIs there. But the important thing to actually know that I’m talking about metrics is I can save this guy, right? All right. Yeah. But one thing that Andrew Grove talks about often is actually about counter metrics. And this is a very important concept, especially for people building out KPIs is you want to pair the metrics. You don’t want to just measure revenue and forget about profits, because all your team is going to do is spend all your marketing money and all you have a big revenue number and vice versa.

Jasim Eisa 00:30:59  You don’t want to just look at profit because they’re just not going to spend in marketing. They’re not going to test out things. So same thing for like in stock rate or in stock raise 100%. But you have ten months of stock hopefully that’s horrible. You want to measure in stock right. And months on hand. So you want to make sure that you want to look at the opposite of that metric, and make sure you’re measuring both and optimizing for both simultaneously, because otherwise you could run into serious trouble. And that’s one of the mistakes we made. So I hope people kind of set it up right from the start.

Josh Hadley 00:31:22  Yes. Excellent insight on that. What’s the name of that book?

Jasim Eisa 00:31:24  Again, it’s a high output management and output management.

Josh Hadley 00:31:28  Yeah, I love it. Okay. That is excellent insight because we’ve seen the same thing where it’s like you try to optimize towards this metric 100% in stock. And I think like I almost feel like every entrepreneur has to go through this until they learn the hard way, because then it’s like we got we got like a year’s worth of inventory now.

Josh Hadley 00:31:45  Yeah, last us two years now. Thank you. And but and again fortunately that’s not all products but it was like on certain ones. And so then you correct the process. But this I think it’s really important that we focus on this real quick. This is exactly why thoracica went bankrupt.

Jasim Eisa 00:32:01  Yep.

Josh Hadley 00:32:02  Because they did not have the operational efficiencies and the operational insights that they needed to be able to run all of these brands. That is ultimately what killed them is that, you know, they gave their supply chain managers direction, like, hey, number one rule on Amazon never go out of stock okay, great. Covid bumps up. So they just go crazy ordering. We’re never going out of stock. Well great. Now you got ten years worth of inventory right. And so that that ultimately is what became their downfall is just like operational laziness is what killed them in the end. And so yes, it is important to focus on growth, but you’ve got to do so while focusing like you can’t be stupid at the same time with your general operations.

Josh Hadley 00:32:43  So it’s like, be good enough to stay in the game and be profitable. But for entrepreneurs, your biggest like asset that you bring is sales and revenue, period. So bring the sales, bring the revenue. And then guess what? Most of like entrepreneurs are visionaries. They’re good at going out into the future and grabbing that and seeing what that looks like and bringing that new product to life. Great. You’re building sales. The good news is there are a lot more people in the world that are not entrepreneurs but are very like, meticulous and detail oriented and want to focus on like the their risk adverse. And so they’re going to be like, hold on, before we ship this container, I want to make sure all these eyes are dotted and these T’s are crossed. And you need those team members because the entrepreneur is like, yeah, that’s good enough. Thanks. Let’s go. Let’s ship it. I just need this product here tomorrow. And so I think that is like the mindset that people need to experience that shift is entrepreneurs go and grow and scale and bring the revenue.

Josh Hadley 00:33:39  But then you hire experts that come in here, maybe tell you to like, hold on. Okay. Yes, we will ship this. However, I’ve got to go through my 20 point checklist first to make sure this is the best possible option before we move forward on this. So just I think, like the most important thing we could do is to wrap this all up is like one of the biggest costs for most businesses is overhead, right. You have 150 team members. That’s no small, you know, payroll check that you’re having to cut with the advancements of AI. There’s a lot of noise in the market right now. There’s a lot of people that feel like, oh, they’re they’re sorely behind. Everybody is now just running these e-commerce brands with just a bunch of bots that are executing everything on their behalf, or so it seems. I call BS to a lot of that right now. I don’t think anybody has that $100 million brand with one guy and a bunch of bots happening. Maybe it happens a few years from now, but I don’t see that happening today.

Josh Hadley 00:34:33  So just in what is your take on the current market of AI, how are you using it? Because I do think there’s wise uses of AI, but they need to be in specific like workflows and use cases. So tell me how you’re using it.

Jasim Eisa 00:34:47  No, I think you had a great overview of that, Josh. And kind of even taking a step back, I don’t know if I ever told you this, but I attended one of your talks, Brandon Young Show, I think it was 3 or 4 years ago when he talked about hiring high level people and about labor efficiency and how to hire them overseas, and kind of broke a limiting belief on the level of thoroughness, the high level people you can get. So that was a very beneficial toxins were kind of mentioning later. So I just wanted to thank you for it and kind of jump into the section.

Josh Hadley 00:35:11  So I’m glad you found value in that. Yes, that is aged well. It’s still the playbook that we use ourselves. So what Jessica is referring to, it’s my seven step playbook for how we hire like management level staff.

Josh Hadley 00:35:24  And I don’t care where the staff comes from. It could be in the US, could be Canada, could be in Europe, it could be in Asia. I don’t care where the staff comes from. What I care about is can they do the job? And obviously if they are overseas, all the much more of an advantage there is. There’s smart people everywhere in the world. So if you’re a remote first organization, which most e-commerce brands are, your biggest advantage is like finding really, really smart people throughout the entire world. And you don’t have to just hire from your a 20 mile radius around your your office building.

Jasim Eisa 00:35:54  Know that was a great talk. So yeah, kind of going into leading into AI and introduction is as you mentioned, that’s what we’ve seen as we’ve seen it being introduced throughout employee workflows to increase capacity and throughput. The most obvious example for us is the creative department. We had our creative team. They were able to, let’s say, produce one listing improvement per day, where the main image and the image stack and that kind of stuff.

Jasim Eisa 00:36:15  Now they’re doing 4 to 5 a day. Within that that we’re able to a B test through manage experiments on seller Central to see what’s most aligned. So that directly impacts top line because we’re getting more variants out there. We’re getting more tests to have and we’re testing it accordingly obviously. And that’s been one of the biggest lifts is introducing AI into various workflows. Another one is for example SEO. Again, AI is only as good as you feed it when you’re. We love to use notebook alarm. It takes in sources. So for example I’ll just type in SEO. We put in the existing reviews, the existing competitors on the back end of the source, and then we’re going to say reference ace and XYZ. They have it as a source. They have the reviews, the customer reviews, the product reviews. They also have the competitors all within that file. And then we also have so in addition to the sources we have a desired output. So we said we know that our best performing SEO is from this listing because it’s dropping.

Jasim Eisa 00:37:03  Probably produce me something like x, y, z. Based on these sources for this product. So again you have to. That’s what makes AI very powerful for us is including that source material and also including kind of inspiration that you’d like to see. And that’s where we’ve seen that continuously. That’s why we love Lemon Gemini, because you can kind of reference the sources very quickly. And it also comes with workspaces to a very good extent. So that’s we’ve seen a lot of that where the SEO team is producing consistently the top tier quality, because we’re consistently modeling the best. We’re also consistently referencing top tier data with that on the back end for even for product development. Now that we put the market in here, okay, this is what we see. It’s going to challenge us what we what we see in the market based on the sources that you gave us is XYZ. So that’s the biggest tip if I have for AI is making sure you feed it the appropriate source material and the context, which is the keyword, and also show it what you’d like to see.

Jasim Eisa 00:37:52  So yes. So introducing it to various workflows, nano bananas like compared to that was I think, one of the revolutionary breakthroughs with AI compared to other solutions. I’m not sure if you remember Midjourney or some of the other ones. Big difference where you can kind of edit the source material, you can look into it and it is producing stuff very good. You have to be careful. Make sure it’s consistent with quality. Again, kind of go back to the source material. You have the quality in there. You have all that stuff in there and you have the desired output within that. So that’s one of the biggest things is we look at each employee and we look at the work that they take before the SEO person. They have to go to helium ten, do keyword research. Yes, we still do that every quarter now to add the new keywords, but we still have the existing keywords in the source material. So they they remove that step so that now their capacity, their KPI should have been improved because that’s one less thing that they have to do.

Jasim Eisa 00:38:33  What else are the steps? They’re doing the tests. That’s what you did is kind of what’s the task that you’re doing. Which ones can AI or automation take over. So your throughput can increase and we can test out what material can make our customers happier to produce more outcomes. Where can AI jump in even for for example, our accounting, it can now feed into automatically the accounting data produce the output. And there’s still stuff it can’t do, like quality control. But I hope that the message kind of comes across is looking at the specific task and employee does and analyzing which one’s AI or automation can take over.

Josh Hadley 00:39:02  Yeah, I love that sentiment. And I think the most important thing is you’re not getting distracted with AI. You’re utilizing AI for specific use cases. And I think that’s where the confusion comes from. A lot of people are seeing like really sexy dashboards that people are putting out. And it’s like, I’ve merged this data set into this data set and into this, and now I’ve got my, I don’t know, my scorecard that I look.

Jasim Eisa 00:39:25  At the scorecard. Yeah.

Josh Hadley 00:39:27  Yeah. It’s like, what are you going to do with that thing? And how long did it take you to build that. And it’s like, oh I just spent the weekend doing it. So are you telling me like, that took you 20 hours to build over the weekend? And guess what? Like, naturally that thing’s going to break. One of the connections is going to fail. Then you’re going to have to debug it. Now you’re maintaining it and you’re like, but I saved $100. I no longer need seller board anymore. And you’re like, wow, well, you spent $20 and that for $99 a month, you’re effective like like you’re.

Jasim Eisa 00:39:57  You probably use those credits with the revisions.

Josh Hadley 00:40:00  Well, 100%. Yeah. Interesting fact on that, right, is like there was a conversation where we may get to a tipping point where it’s actually cheaper to have the humans or a VA execute a process because you’re burning so many freaking tokens just to get that a very simple routine process done.

Josh Hadley 00:40:17  So it’s an interesting inflection point. And I think that’s where like there’s a lot of noise. It is the future. But like use it to grow revenue. And you gave us some very good use cases for that. Just. Is there anything else that we didn’t talk about that you feel like you need to share with the audience?

Jasim Eisa 00:40:31  No, I think we’re very thorough, and I hope I mean, you ask a lot of great questions again. Very glad to be here. And I do agree with you guys. Again, don’t look at your constraints. Look what’s needed for you. There’s kind of a for lovers for growth on Amazon. Just impressions click through rate conversion rate and LTV. Which one can you lift the most. Focus on that one if it’s click through rates, main image and title and just attack it and focus on that. As you mentioned, that’s one thing that I love about your kind of talks is really looking at the the capacity constraint and addressing that one to make sure you actually see the changes that you’re going to see.

Jasim Eisa 00:41:05  And if AI can help you do that capacity change then yeah use it.

Josh Hadley 00:41:08  Sure. Fantastic. Well, just as we wrap things up, I’d love to leave the audience with three actionable takeaways from every episode. Here are the three actionable takeaways that I noted. You let me know if I’m missing something. Action item number one. If you cannot find an, I guess, an efficiency or cost savings greater than six figures for any initiative in your business, I would say the better option is to focus on growing revenue. So the example is this. If you don’t think you could save $100,000 by optimizing your supply chain from FBA fees to AGL to inbounding fees and things like that, then it is going to be better, a better use of your time to go focus on developing that next new product or getting on to that next new sales channel. So action item number one is determine where you need to put your focus because you have unlimited opportunities and ways to grow your business, but you only have finite resources.

Josh Hadley 00:42:03  And so the focus in your time is the most expensive resource. So dedicate it and allocate it really smartly, like you are an allocator of resources, just like Warren Buffett chooses where he wants to place his money, you should be determining where you place your time and efforts. Action item number two is let’s assume that we do have six figures worth of savings. I would start first and foremost with your unit economics coming from your your manufacturer and then diving into the world, the rabbit rabbit hole world of supply chain and optimization of FBA fees.

Jasim Eisa 00:42:35  Also starting with your high velocity items too, because those are going to get leverage. If you’re having items on one a month, do not try to negotiate your factory that one the higher leverage. You can also negotiate because there’s more scale. And so it’s kind of on both ends. So this is a great point.

Josh Hadley 00:42:49  Well, especially when you’re managing 30,000 products and you’re listening if you’re listening to this and you’re saying, now I need to go optimize unit cost for 30,000 units.

Josh Hadley 00:42:57  No, just use the Pareto principle. In fact, get even a little tighter. It’s probably the 1% of products that are doing the volume that you want to go focus on, and that will bring the biggest incremental savings to you. So really good call out on that point. Third and final action item is to see Amazon as a place where there is a customer lifetime value and AOV. A lot of people are sleeping on that, and they’re just looking at Amazon on front end acquisition only. And there are strategies you shared those with us of. I think there’s even images that you could incorporate that demonstrate other products that go along with your products. In some of the secondary images, there’s coupons that you could stack on there to let people know there’s more to this than what meets the eye, and obviously there’s some good subscribe and save strategies, coupons, savings that you can implement there. And when you do that, that’s where the business becomes a lot more efficient. You save more money, you become more profitable because you’re you’re generating more sales.

Josh Hadley 00:43:55  Just say anything else you feel like I missed there.

Jasim Eisa 00:43:57  No. Those are great action items and a great, great start to this. And hopefully we’ll see reflected on the on their growth.

Josh Hadley 00:44:04  Fantastic. Well my final three questions for you. Number one, what’s been the most influential book that you’ve read and why?

Jasim Eisa 00:44:10  The most influential book. I mean, I would say I mean, the book that I quote, I mean, obviously it’s very technical. I have a lot of other great books. I think there’s one of them. Matt forgot his name is Matt McQuarrie on being a CEO, and he actually talks about a focus. And that’s another book that I recommend, obviously, from a personal aspect to have to be obviously religious scripture that I’m reading. But then, of course, from a business aspect, those two books have been very, very practical and and beneficial.

Josh Hadley 00:44:35  Wonderful recommendations. What’s your favorite AI tool that you’ve been using it using and how have you been using it?

Jasim Eisa 00:44:40  I would say actually, we have been building very simple apps to track shipments, stuff that wasn’t on the market.

Jasim Eisa 00:44:47  Again, if there was a 30 or $40 SaaS available out there, we take it in, but they lack some key features. So we built a very simple stuff. For example, tracking shipments from China to over here. We have again a lot of containers from even Vietnam. So just having that dashboard for ourselves and for partners has been really cool for for our team.

Josh Hadley 00:45:04  Wonderful. That’s that is a great use case of AI. Final question who is somebody that you admire or respect the most in the e-com space that other people should be following and why?

Jasim Eisa 00:45:13  Yeah, I mean, honestly, I’m not saying this because I’m with you. I think you’re a great follower yourself. I do like to let me try to think about this. Let’s see. There’s there’s a lot of great speakers. Honestly, I think that I just some of them maybe aren’t as vocal. But I would say honestly, now that I think about it, I mean, he’s very old school, but Steve Simonsen is also someone that I’ve learned a lot from.

Jasim Eisa 00:45:32  So that’s kind of some names that pop up. I’m sure there’s a lot more. I apologize to anyone that’s been helping me that I kind of forgot about, but just off the top, I would say those are those are some good names that obviously with even one of the other stuff that you talked about, even plastic, Emilio, and using that for payment terms, that stuff that we’re looking in ourselves and we’re still benefiting from a lot of those tactical stuff that you’ve been mentioning.

Josh Hadley 00:45:51  I’d love to hear it. Well, and Steve is another great recommendation. Another person who, if you want to dive deep into the rabbit hole of supply chain and sourcing, is a great resource for that. So. Excellent. Well, just if people want to reach out to you, learn more about you, maybe even work with you. What’s the best place? Yeah, sure. For people to do so.

Jasim Eisa 00:46:08  Yeah, sure, sure. So yeah, if you’re branding obviously over $1 million here, come check us out of.com.

Jasim Eisa 00:46:12  We can talk, maybe do an audit, see if there’s a good fit there. Otherwise I’m also posting on LinkedIn. So Jasim Eisa just as my name. You can see it there or on YouTube. I’m trying to post once a week with this more of this kind of stuff. So make sure to subscribe and follow me there and I’ll continue hopefully providing valuable insights within this e-commerce industry.

Josh Hadley 00:46:28  Well, this has been a great episode. Thanks again for your time today and join us on the show.

Jasim Eisa 00:46:32  Thank you very much. It’s an honor to be here.

MC 00:46:34  Thank you for listening. Visit Ecomm Breakthrough Comm for more information. If you’ve enjoyed today’s episode, the best way you can show your appreciation is by clicking the subscribe button and quickly leaving a review. See you again next time!