Nugget Friday (3/16/18)
Here's the deal, if you signup for our newsletter you'll get a weekly dose of "Nugget Friday" - it's our way of sharing VALUE right before the weekend. If you have missed prior ones we have released in the past be sure to checkout our blog and catchup on all the gold nuggets you have missed!
We’ve been on the road at Prosper Show coupled with a VIP 2-day Mastermind. We’ll be sharing those gold nuggets here throughout the coming weeks. Here are the TOP nuggets you need to know!
App we're enjoying —
Unroll.me If you're like us and receive insane amounts of email, here's a freebie that will change your life. This app will clean out your inbox with one-click unsubscribe without having to do it individually in each email. We’re suffering from email fatigue and this app will help you cut through the e-commerce clutter and breakthrough the noise so that you are only reading valuable gold-nuggets.
What we're thinking —
Ever go-to a cocktail party and measure a persons success based on # of employees? Don't be one of them and measure the wrong metric. Revenue per employee (RPE) is a fantastic way to truly judge the health of an e-commerce company. Here’s Amazon’s revenue per employee(2005-2014). We believe that the e-commerce RPE sweet-spot is $500K and if you are extremely efficient you can achieve $1M per employee. Skubana customers have a great RPE because they don’t require humans at as many steps of the operations / logistics process as companies built on last generation’s tech stack. BTW, if you look at your Profit per employee, and understand your average salary, you can find your ROI per employee.
What we're seeing —
Amazon launched new PPC reporting a couple weeks ago. The new reports are important and available to MANY clients, but not all merchants. Better insight into campaigns since we're seeing many unprofitable Amazon sellers with a VERY high Sponsored ads ACOS.
What we're watching —
Are you paying for an Amazon insurance policy? Way too many holes & caveats for our taste. Try Vendor Central hybrid strategy to diversify the Amazon 3P risk (on a just a FEW ASINs). But the best insurance policy is to understand that Amazon is just one tool in your tool-box. For every $2 spent online, $1 goes to Amazon. Look for opportunities to capture that other $1. We assure you there are TONS of opportunities out there, and your competition is just not putting in the work.
Watch the diversification interview.
Quote we're pondering —
Following ^^ above, we’ve been thinking about this quote by Peter Drucker, “The best way to predict your future is to create it.”.
Chad Rubin is the co-founder and chief executive officer of Skubana, a multichannel e-commerce software the enables brands to unlock growth by unifying their back-office operations.