Is Amazon Automation a Scam? The 8 Most Important Things You Need to Know

Do It For You by One Dime is a program that builds an Amazon-based business and generates cash flow within six months. This business is yours 100%. Is it Amazon Automation? Are existing Amazon Automation programs a scam?

Many of you asked me to please clarify the numbers for the Done For You by Simply One Dollar program.

Today, I will answer 8 of the most frequently asked questions:

1. Is Amazon Automation not a scam?

It’s trendy to call something a “scam”. Let’s not flirt with sensationalism. Let’s just get to the facts.

A scam, by definition, lies about its very nature. It is a deceitful scheme.

A scammer is one that promises you one thing and delivers another.

If the marketer uses a sleazy profit model to get you to sign up for something completely different, it is a scam. Yes, it’s a scam.

If people don’t like a particular business model or if they aren’t happy with the way it works, then they can call it a “bad deal”. Someone who claims it is a scam because the numbers are unjustifiable is more interested in creating sensationalism than honesty.

A course selling is not a scam. It is not a scam to offer free training to give people a taste of the paid training. This is marketing. Yes, there are scammers out there. They copy content and then repurpose the material to make money from people in dire situations or worse.

A membership for just one dollar and I offer a course as part of a membership, so you could say that I am biased.

Let me now speak for you as a customer.

We bought Sam Stove’s training course, Consulting Accelerator, and it was worth every penny. It was very practical.

I purchased Nathan Hirsch’s Outsource School and it was excellent. It wasn’t a scam.

There are still people who make great content. You are not always going to be taken advantage of by everyone.

R

Remember that YouTubers are paid ad profits and incentivised to yell “fraud!” at every move. People are calling scammers, even though they claim to be online gurus.

You will come across as less of a fraudster if you call others “scammers”.

2. Isn’t Amazon Automation drop shipping?

Yes, for every Amazon Automation program that I have seen.

No. We call it Done for You by Only One Dime.

We will build your Amazon store. This includes finding the right products, differentiation, suppliers, negotiations with suppliers, shipping the products and building the listing. Split testing the listing, copy creation, setting up PPC campaigns, optimizing the listing based upon the PPC campaign, all of this and much more.

This is not drop shipping. This is private label branding. You own the brand 100%.

Although I am aware that many people are triggered by the word “automation”, it is not uncommon for experienced business owners to have been in business for a while. They will work hard to automate their business if they are intelligent.

Automate simply means to use software or hire people to make the business run as smoothly as possible. This will allow you to work for the business instead of IT. Automation means that you can make money even when your business is not running.

Just One Dime is referring to “automation”. Done For You means that you don’t need to do anything. Our team creates the store for investors so you don’t even have to. You invest. We build. We build together.

We held an Ecom 2019 conference in Los Angeles, California for Amazon sellers. This was before automation was a trend. This was shared live via Instagram by many of you. A man who had worked for a multi-billionaire company in Los Angeles approached us to discuss their online sales. The man drove us to their factory near Los Angeles. This was captured on Instagram by many of you. We met with the company–and while I am not allowed to reveal who it is, I can tell that they were in need of our assistance and were struggling.

We realized that there was an opportunity for large brands and people with capital, but no Amazon experience, to help them sell their products on Amazon. This is what inspired us to create “Expand on Amazon”, later renamed “Done For You” with Just One Dime.

3. Why charge 15% of your revenue? Isn’t this too risky for the investor?

Yes. It would if we didn’t care about the investor and building long-term relationships with partners around the globe.

We use a sliding-scale pricing system in our contract agreements. This ensures that we cannot make any money from a single sale unless we earn money from the investor.

It’s actually designed so that the investor makes as much money as Just One Dime on every sale.

Let me show you an example.

A product is sold for $100.

The cost of the project is $50. Just One Dime receives 15% revenue sharing which is $15.

The investor will still make $50.

The investor makes $50. We make $15

Let’s suppose a product is sold for $100 at a conservative 30% profit before taking in Just One Dime’s 15.

$100 Revenue$70 in COGS
$30 Left over

$15 of the $30 remaining goes to the investor.

Our sliding scale shows that if the product has a margin below 30%, our 15% revenue cut drops down to 10%. We only get 5% revenue if the product has a margin below 20%. We get nothing if the margin is below 10%.

No matter what you do, the investor always earns as much or more than Just One Dollar from the sale.

4. 4.

If the sale is not profitable, Just One Dime will not be paid. If the Amazon store isn’t profitable, we won’t invoice the investor. It must be at least 10% profitable in order to get any commissions.

Let me demonstrate our tiered system that ensures the investor earns as much or more than Just One Dollar.

Margin of 0% to 9.99% – Only One Dime gets nothing

Margin of 10% to 19.99% – Just One Dime earns 5% in sales revenue

Margin of 20% to 29.99% – Just One Dime earns 10% in sales revenue

Margins of 30% or more – Just One Dime earns 15% in sales revenue

The revenue share cap is 15% of sales revenue

Remember that Amazon only pays investors when they pay them. We send out invoices every three months to the investor who controls Amazon’s revenue. Trust is the foundation of this relationship. We give the investor the ability to control the Amazon income.

5. How do you get such great profit margins?

Only high-ticket items are launched. Selling a product at $100-200+ will yield a much higher profit margin than selling it for $20. Two main reasons why a higher priced item can provide you with better margins are:

Fixed costs have a lower impact on high-ticket products’ profit margins.If you sell an item for $20 versus $100, and the items are identical in size and weight, then the shipping and FBA fees will be the same.Same.

If FBA fees are $5 on a $20 product that costs $25, it will eat 25% of your sales. If shipping costs $5 per unit, you lose 25%. Shipping costs of $5 or $100 are only 5% of your sales.

You can sell a higher-ticket item by leveraging fixed costs.

The second reason is that PPC fees for high-ticket items are almost always less.

Why? Because there are fewer sellers bidding on keywords that lead to higher-ticket products. Which scenario will drive up the price more if 1,000 people bid on a painting and 10 people bid on it? The 1,000-person scenario is the most likely.

PPC is basically an auction. You can bid on ad space. Because far fewer sellers sell low-cost items, PPC for high-ticket items is much less expensive. Even if the PPC bid for a low and high priced item was equal, say $5, then $5 would be 25% of a $25 item, but only 5% of $100.

Below is an example of the Proforma, Cashflow Sheet Template we use to calculate all our revenue and profits.

6. Why not put your money to work?

Investors invest to grow their wealth and companies go public on stock exchanges.

Robert Kiyosaki’s tax advisor and CPA are part of the same team. Their team wisely stated, “If your goal is to grow your wealth you shouldn’t invest your own money.” You should invest in the money of others. We want to make more. Combining the money of investors and our combined 50+ years of experience, we make money together. Everyone wins.

Or, to put it another way: Would you rather have 10% of a watermelon than 100% of a grape.

Many people have capital but don’t have time or want to learn how to build Amazon stores. They’d rather hire someone to do it and get the monthly cash flow.

I would rather have 10% of watermelon than 100% grape.

7. Why charge a $10,000 per product service fee?

That’s why we are valued. It’s responsible for finding the product, creating differentiation plans, finding and negotiating suppliers, managing the creation of molds (if necessary), product inspection, managing logistics, keyword search, creating strong copy, setting up PPC campaigns, optimizing the campaign based on keyword reports, split testing, and many other tasks.

Our combined experience of 50+ years is what you pay upfront. This level of experience took years. We have both failed and succeeded many times. Investors who see Done For You by Only One Dime as a value for their time would rather have someone else do the work and turn it into a cash flow engine.

8. Why don’t we offer a guarantee of a full refund?

This is an opportunity to invest in a company, not an Amazon product. An angel investor who invests in a company has a 90% chance of losing every penny. However, the 10% chance that he/she wins will make up for any losses. There is no guarantee that you will win if you invest. Every penny could be lost.

Done For You investors have very low risk because we’ve been selling on Amazon since years and have made many mistakes so we know what to avoid. It’s still possible to lose your investment.

Imagine investors who demand that companies return any money they have lost. This means that “I will not take a chance if there’s no risk.” This is the thinking of a consumer and not a businessperson.

You take the chance of the credibility and reliability of the company or team you are investing in when you invest in it.

This is how it works: We launch and manage your Amazon brand to generate monthly cash flow.

You can invest.

We do the work.

The business is yours 100%.

We can make money together. Click the link to apply if this is something that interests you.

If you desire us to build an Amazon.com shop for you, click on this link, fill out the application as well as our team will get back to you within 24 hours.

Best of luck!

Leave a Comment