On this episode, I interview Greg Mercer, the founder of Jungle Scout, which is a data analytics tool used to reverse engineer Amazon businesses.

100 Fortune 500 companies use JungleScout and it has created 100s if not thousands of thriving Amazon businesses
I have a copy of JungleScout my self on my Chrome browser

It is a super interesting interview because you can now use the tool to reverse engineer supply chains – you don’t want to miss this one!
Here are six things I personally learnt from Greg on this interview:

1. Thriving businesses understand their numbers and make data-backed decisions.
2. You can use JungleScout’s data to find the factories of top brands
3. The unit economics of Amazon has changed – work on a cost to sales price ratio of 1:4
4. 3rd party selling is now 60% of Amazon.
5. The new way to source for winning products on Amazon is to find top selling products (500 units per month or more) with bad reviews (3.5 stars or less)
6. What drives sales on Amazon are reviews and the price of products.

Check out JungleScout here: http://bit.ly/2G315SL

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Timestamps

4:50 Greg Mercer intro
9:56 Amazon 2015 and now
14:50 Jungle Scout’s 2 new key products
16:35 Supplier database
23:43 Rules should people be aware of when selling products on Amazon
28:11 Ranking criteria in 2019 on Amazon
33:53 How can retailers use data to improve their business

Lightning Round

How do you hire people?

Work on the recruitment pipelines

What are your three indispensable tools for managing your business?

Zoom, Slack and Airtable

What has been your ‘best’ mistake to date? i.e. a setback that has given you the biggest feedback?

Amazon changed some of their rules – hard hit at the time

What one piece of advice can you give e-tailers keen on getting into Amazon?

Be data-driven on decisions, products and go by the numbers and not by gut-feeling.

If you could choose a single book or resource that has made the highest impact on how you view building a business and growth which would it be?

Radical Candor

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