221: Wholesale on Amazon: From Part-Time Hobby to $13 Million in Amazon FBA Sales

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Note: Click here to download Dan’s top wholesaling selling tips from this episode.

Dan Meadors is one-half of TheWholesaleFormula.com. He and his partner Eric Lambert began selling on Amazon as a hobby with an original investment of only $600.

They would work nights and weekends buying products on clearance at local retail stores and selling them on Amazon for profit.

It took only a few months before they saw the potential to turn this hobby into a business and they both left their day jobs to sell on Amazon full-time. Since then they have been able to generate over $13,000,000 in total sales on Amazon.

Most of Side Hustle Nation will be familiar with the Amazon FBA program, but Dan’s strategy is a bit different from the retail arbitrage and private label strategies we’ve covered in the past.

In Dan’s case, he’s buying inventory at wholesale prices from a brand or manufacturer, instead of trolling the clearance section at Walmart or having a product built specifically for him by a manufacturer. Then, like the other Amazon FBA business models, it’s on him to list and sell it through Amazon.

In this episode, Dan talks me through everything you need to know to get started with wholesaling on Amazon, including how to target potential products and brands to sell, and how to reach out to them in a helpful way.

Related: Wholesale isn’t the only way to make money on Amazon.

Download the Free PDF Highlight Reel:

Click here to download Dan’s top Amazon wholesaling tips from this episode.

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  • What wholesaling is and how to get started.
  • The metrics Dan uses to decide which products he can increase sales for.
  • How Dan uses Amazon to find products he wants to sell as a retailer.
  • How Dan has a 30-40% success rate when pitching companies to work with.
  • The tools he uses to manage his inventory and reorder levels.
  • The typical ROI and how much you can expect to net from selling as a wholesaler.
  • Dan’s #1 tip for Side Hustle Nation.


Download the Free PDF Highlight Reel:

Click here to download Dan’s top Amazon wholesaling tips from this episode.

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Stock photo by Maria Savenko via Shutterstock

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7 thoughts on “221: Wholesale on Amazon: From Part-Time Hobby to $13 Million in Amazon FBA Sales”

  1. Nick, you weren’t the only confused person here. I do not understand how this is different from FBA. Sounds like you buy from AliBaba and sell on Amazon, but just make good sales pages. No mention of how to actually get reviews, isn’t that critical? No reviews = no sales. What am I missing here?

  2. Hey Nick, I was confused about how you compete with the brand company itself. I looked on Amazon tonight and found a brand of makeup, with the “other sellers” button below. Those prices were the same or higher. Why would anyone not want to buy from the brand, but buy from the “other sellers”, instead? This was mentioned in the podcast, just wondering how it sets you apart for success? Please help!

      • Hello
        ill try to explain
        dan is looking for the following
        1 – an item from a mid to small size brand that is sellingh well on amazon
        2 – the brand it self is not selling it directly on amazon but the wholesale it to amazon sellers
        3- if there is too much sellers on the listing then its not good because that means the brand dosent care how they are presented on amazon and dont care about map pricing
        4- they see if the marketing on amazon can be improved and reach out to the brand and show them how much more they will sell if they will let them sell the products on amazon (under the same listing)
        sometimes they eventually become the exclusive amazon seller
        (in other words they use the strategies that private label sellers use in the wholesale space

  3. I like this approach. When I looked up Dan’s example of a wholesaler he has worked with, SkratchLabs, all of their listings are from them and not another seller. Is this a case where the manufacturer/wholesaler saw someone doing well with the Amazon sales channel and took it over?


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