What you're doing with all of that at the end of the day is building an asset. Mm-hmm. You're building a brand asset that is worth more in the end than at any time during the business building phase. As you build up that asset like a home and you put the bricks on and you build the walls in 2, 3, 5 years down the road, you have a saleable asset. All the value you pumped into it is gonna continue to grow year over year until you have an opportunity to potentially sell it. Right.
And that's what we call the platinum principle. And that was really understanding that the foundation of a physical product, business and a brand creates a saleable asset. If you're just a pure coach, pure trainer, pure, whatever, what happens if you get hurt? What happens if you can't work? What happens if you can't coach anymore? What about these things? Right? It's hard for you to coach at 3:00 AM in the morning and still get to sleep. Right? Right. But physical product, business.
It's turning over 24 7, 365, so it creates revenue streams and cash flow and opportunity to expand yourself and your brand out. You might even find you can sell things that are not related to the coaching and healthcare space. You might say, well, what if I could sell a toaster? Neil, what if I could sell a kitchen countertop device? What if I could sell something in the yard? You could literally discover that as long as it's profitable, you could sell and put anything in a box.
And once you understand how to do that, obviously the sky opens up and there's an infinite amount of possibilities and upside potential. Welcome to another episode of the Health Coach Academy podcast. I'm it's Omar, cover badge of Omar covered badge.com. As always, appreciate you joining in and listening to all the new and good stuff in the health coaching space. And today we have an amazing guest. His name is.
Neil and I think after over 200 guests on the Health Coach Academy podcast, this one's gonna be really, really a standout episode. Not only because Neil presents his information so well, but also we've not spoken about this particular subject yet. It's about e-commerce and yeah, it really was inspiring. I don't want to get too much into it because it's a concept that I have always thought about, but. The way Neil just breaks it down.
I'm, I, I, I'll let him do all the justice to it because it was really an exciting show and very inspiring. Have a lot of ideas and I would love for you guys to reach out to me and share what you thought, because I think that it's gonna open up a lot of eyes for the health coaching business and just another avenue that we can get an additional revenue stream in our businesses as a key.
This, this baby afloat and I did promise it at the end of the show is that Neil is gracious enough to give us a free copy of his book with the discount code health coach. That information will be in the show notes as well, but yeah, definitely take advantage of that. I know I am in the process of it getting being mailed to me as. We speak and I can't wait to dive into that. Take a look at that read, get more inspiration and kind of figure out the, the game plan around it.
So I don't wanna hold this up anymore. So we're gonna jump into the show. But before that, as always, please leave a rating and review on iTunes. It helps me continuously get excellent guests like Neil Trois on the show along with all the other 200 and more guests who've. I've been honored by myself and, and totally excited to have on the show. So do that for us and let's jump into it. Hey Neil, welcome to the show. How are you today? I'm doing great, Omar. Thanks, brother.
Uh, listen, I'm so excited about this topic. I've had over 200 guests and we have never spoke about this particular topic. Well, there you go. Yeah, so I'm excited. I, I, I wanna just jump into it. I, I want to hear your origin story, how you got into this space, and a little bit about what you help people do. Cool. Well, yeah. Origin story, that's funny 'cause my kids love Marvel. So now I'm thinking, well, I'm not the villain in this story. So my origin story, I turned into somebody's hero.
I think, I don't know. We'll find out later in life. Um, it's gonna be mine. Yeah. Somebody's hero, somebody's villain. That's the way life works. Right. Um, you know, in, in simple terms, I've been around the internet since it first in, you know, came in and, and maybe if you're close to my age, you kind of know where that all transitioned. Back in the mid nineties or so, uh, 95, 9 4 when the internet was coming online, windows nine, five was coming out.
It's like, oh my gosh, what is all this stuff? And I was failing outta college anyway. So I'm like, now let's, let's do something different. I didn't wanna be in college. And so I bumped out and started learning. Programming, HTML. And then I learned a SP servers and database driven pages and stuff and got good enough that I was able to get a contracting job in Kansas City at a, uh, a little company called Sprint.
Um, they were a long distance company at that point, had nothing to do with mobile and they had rounded up about two years into that work, they had rounded up a bunch of people and said, Hey, we're gonna start launching mobile phones. And I'm like, Ooh, a startup. 'cause that happened somewhere around 97, 90, 99. And um, in that timeframe, I had the opportunity to apply.
And became an employee, a badged employee into the first mobile division of Sprint and got to be, uh, on board with one helping to launch the first mobile phones into Sprint. And then we watched that company absolutely explode during that startup phase between 99 and 2004. Um, it just exploded. I got my first cell phone number that I still have today, uh, during that timeframe. And just watch that market go like insane and.
Because as I was in the leadership role of overseeing the knowledge and management and my team was overseeing all the webpages that became these knowledge management systems, as these grew out, I got pretty good and pretty skilled at it. Just being on the job I. Um, figured out really quickly. It's who, you know that gets you in what you know, that keeps you there. Mm-hmm. And so I'd stay up sometimes late just trying to figure out how to make this thing work.
And, but I had an aptitude for it, so it made it a little easier, uh, to kind of figure it out, which eventually led me into a job with IBM. It actually took me longer to fly to Armon through White Plains. Uh, to actually go to the job. Then it took to actually get the job. When I was there, they had kind of pre-scheduled and sit, you know, the, the interview and whatnot. And so it took me all that time to get out there in 20 minutes in the interview and shaking hands, welcome to IBM.
And I'm like, wow, this is fun. 'cause I had no degree. Mm. Uh, I had experience, I had, you know, tenacity. I had the desire to, to just go out and do the things people weren't willing to do. And so I brought some of that into IBM and I think that's maybe why they hired me, but I spent almost five years there. In 2007, I kind of had a life changing situation. Um, as I kind of discovered some, uh, issues, let's say in my marriage.
Um, but prior to that I had also, uh, had a, met my mentor, who was my uncle. I. Uh, had passed away in 2005 and he'd always been encouraged me to get out. You know, you could stay in the corporate for a while, but do something. Go buy a franchise, build to business like, you know, you have the aptitude. Get out there. And he always really encouraged me.
It was awesome, but I lost him in a plane crash in 2005 and after that it took me a couple years to kind of figure out what I was gonna do without his him around to kind of help guide me and, and figure out what to do and eventually. I just said, okay, I'm outta here. So I burned the boats. Uh, IBM's like, well, here's your early retirement. Go have a fun life. I'm like, cool. Didn't burn the bridges, just the boats. Meaning I was never gonna go back to that life, ever.
I didn't really want to be there in the first place, but I used it as just a stepping stone along the way to get to ultimately what I wanted to do, which was run my own business and.
For the better part of, um, those, the last what, last 18 years pivoting, failing up, failing down into different areas until I finally landed Where I failed my sweet spot is and, uh, in about 2012, which was physical product based businesses, um, actually launching brands, creating physical products and providing them into the market. Uh, and have done that, uh, now, uh, a better part of, uh, 12 years.
We, we got to our first seven figure brand in around 2015, and then it just seemed a lot, it was a lot easier to do it after that. Um, and I have had the opportunity and, and blessing to, to coach and mentor, um, more than a thousand people since then. Um, had some amazing experience, created some great brands. They're still building some great grant brands. Have some that are getting close to going to exit and.
You know, I got a room full of failures behind me as I've pivoted through all of that experience, but really found my sweet spot is in building those brands and marketing 'em and you know, building up that collateral. And that's led me even now into business investing where we're both acquiring companies that are growing up in the physical product space and exiting those as well. Uh, and doing it with a, a, a specific purpose.
Um, for that we have a group called Patriot Growth Capital, which is a private equity group that we are with, uh, that is doing it to support the veteran community military and to help them have an opportunity for veterans to get into our business and to be into an operational and employment status, even into a position after five years to acquire the company away from us.
So we have a real purpose and mission there, you know, to go and, and bring purpose and value to that community and maybe take it. You know, knock off some of the 22 veterans a day that kill themselves and provide purpose and value in the lives of veterans and their families. And we're doing that through the acquisition and management of, uh, physical, private, uh, private label companies. So we train and we build and we incubate. We grow, launch, and exit and buy.
That's kind of what we're all about now. Wow. That's awesome. That's a great origin story. That's also a great why story and yeah. Now, so yeah, no, I'm, I'm really happy for you and you know, you know, obviously a blessing to all it is that your, your coaching Yeah, it's been a lifestyle by design. It's something that we worked on, you know, it's a goal orientation. We kind of have an idea, I think, in our minds of what our perfect lives would look like or what we would like to do.
And it isn't always about the money. Money's part of it. It's part of my five F's. I have five F's I follow now you still have one, which was just profits. And I ended up failing in a business and going bankrupt, so that's not the right way to do it.
Um, but I had, you know, a, a value change in all of that, which I think ties to some of the conversation that we were having before the call, which was really just towards those who want to build private label brands and what's the value of it and why would I do it versus, say, consulting or just pure, you know, mentoring or consulting or training or coaching, and where would be the value in something like that versus what I'm doing now.
Because I've had a lot of those questions in my past too, and when I got into the physical product world after doing digital marketing, I'm like, well, why? You know, what is the end value of having a physical product to my brand? Um, and the end value really became that I own the whole business model. I, I own it from the marketing through the physical product. I own everything in between as well. And when I didn't have that control before, uh, other people had that control.
And one of the things you clearly need in a business is as much control over the business as you can have. Yeah. And when I didn't own the actual product, I didn't own the outcome. And with that, I needed to control and own the product and realize that physical products needed to be part of my brand. It extolled the value of what I was teaching and talking about and doing. And supported, uh, an end customer with something tangible, right?
So I got both the digital and the tangible aspect of that outcome and provided the value and solution to them, making them maybe run faster, jump higher, you know, lose weight, gain weight, whatever the end, you know, output was. Um, it brought a cohesive nature to the full control of my business, if that makes sense. I. It does, it does. So like what I wa really get at for this episode is just because of the health coaches, primarily one-on-one coaching, group coaching, we're coaches Right.
At the end of the day, and I know that you work with a lot of different coaches. Mm-hmm. Space as well as life coach, et cetera. Like where these products that are relatable to us that we can use and yeah. A little bit of background on what you've seen and experienced. Well, yeah, I mean in, in, you know, in simple terms, there was a business we helped once to bring some of their, um, offline products to the online world because they were in the, um, health space in a, in a shop.
They were specifically in the, in the spa space. And they were using and recommending other people's products, but had no control over the product. Some of it was affiliate, some of it was wholesale, some of it was just recommendation. Mm-hmm. And with that, again, they didn't control the output of the product or the control of the. Product and they didn't have a brand aspect around the product. They had their brand recommending somebody else's product. That make sense?
Yeah. More than affiliate marketing. It really got down to just kind of affiliate and recommendation. But again, you don't own the product, you just own the middle section of it. Right, right. Which is kind of what you say and what you do and what you recommend. With this, we help them develop a brand. We helped 'em develop a product line that they could then put on their selves and then sell local retail, but also sell it online. And it was a brand that was created for them. Right.
And having owned a supplement company in the past, having done, you know, work in the health and beauty space, having done, uh, skincare and other types of brand, uh, support. Uh, what you get down to in the coaching and health world is there's a lot of different kinds of products that if you kind of stop and think about it, you recommend them or employ somebody to go get them, or you affiliate them, or you say, go down to GNC and grab this product.
It'll help with this routine or this workout we're doing. And what you could do instead would say, go to my website or go, go to my Amazon storefront and grab this product, grab this stack, add this all to your cart. Check this out. This is gonna be part of the product set we're gonna use. For your workout routine, for your next six months, for your goal orientation, this is the stuff you're gonna be using. Well, what if instead of it being somebody else's product, it was all yours?
Hmm. No, that makes a lot of sense. So, like Health Coach who's just starting out, what, what do you think is like the proper way to go about that? Right. Do, do they, yeah. They don't have many say followers. They're not, they don't have like That's fine. That's fine. That's fine. Yeah. Because what happens is we, we use a system on, on Amazon called Fulfilled, fulfilled by Amazon.
You know it, other people listening know it because you probably order on the Amazon app and it shows up in like two hours or it's a lockbox or of one hour or pretty soon by drone, apparently. Right. And, and if you do that, then you sort of have the concept in mind of where I'm going with this. This fulfilled by Amazon system or FBA is just a juggernaut, a machine.
Uh, of movement of products down to the customer o right, and it moves and flows and you have the opportunity to buy stuff or return stuff, or, you know, you have, you understand, and most people do. The ecosystem, since it's the now sixth largest logistics company in the world, we use their last mile, their framework, their delivery, to get the products to the customers.
And we start a brand and we incubate it on Amazon to determine its market share, its potential, its profitability, how many people want to get access to it. And there's like 200 million prime members, which we, you know, I am, I'm sure you are. My wife orders stuff two to three times a week. Uh, shows up at our house from Amazon. Um, and a lot of people do too, right?
And so with that, there's what everybody goes to Amazon to do is to order or buy something that they need or want or have seen somewhere else and are going to Amazon because they know it's gonna show up. Right. They don't, there's a lot of Facebook ads and stuff like this. You click on it and you're like, well, I don't know if I put that credit card in there. Is that company actually gonna deliver my product? And most of the time you might try it and be like, well, yeah, it did show up.
Okay, that's legit. Or you might look at it and say, I'm gonna go to Amazon and grab one of those, or see if it's on Amazon and test it out anyways. But a lot of you might have been nodding your head thinking, yeah, this is something I've done too. Right. Um, because it, it, it's like this in so many words. Once upon a time, the yellow pages. Were where people trusted the business. Right? Then when we got into the internet, it became brochure websites to find out if you're a legitimate company.
And if you're now in the physical product world, you need an Amazon presence because it validates that you're a legitimate company selling product. And with 49% of the market share in the United States, it's a, it's an absolute juggernaut now of $638 billion a year in sales. What most people don't understand is that 62% by Amazon's own admission of those products are sold by third party sellers like us.
Hmm. So while you're selling through Amazon, you have the opportunity, uh, to buy products through that mechanism, not realizing that they're being delivered by other sellers. They're just using Amazon's infrastructure. What that does is it creates what I call almost automated income. It creates money while you sleep, right? Money while you're working out of the gym, money while I'm out walking, or you're running. It creates money when you are not having to push on it anymore.
So as you build these brands and grow, this whole ecosystem of the marketplace is churning organically through these products at about 8,600 units a minute. So with 8,600 units a minute, you don't have to be an influencer with a large following or a tribe. You can actually leverage Amazon's customer base to get your products to those people and do it into. 5, 6, 7, 8 figures.
So once you have that marketplace and understanding, then you can move to different sales channels, like maybe a TikTok or an Instagram or somewhere else where you might wanna build up an influencer and you might wanna build up your profile and recommend the products that you're selling on Amazon or one of those other stores and create, uh, an omnichannel or a multichannel marketing opportunity for your brand. What you're doing with all of that at the end of the day is building an asset.
You're building a brand asset that is worth more in the end than at any time during the business building phase. As you build up that asset like a home, and you put the bricks on and you build the walls in 2, 3, 5 years down the road. You have a saleable asset, all the value you pumped into it is gonna continue to grow year over year until you have an opportunity to potentially sell it, right?
And that's what we call the platinum principle, and that is really understanding that the foundation of a physical product, business in a brand creates a saleable asset. If you're just a pure coach, pure trainer, pure whatever, what happens if you get hurt? What happens if you can't work? What happens if you can't coach anymore? What about these things, right? It's hard for you to coach at 3:00 AM in the morning and still get to sleep. Right, right.
Physical product business, it's turning over 24 7, 365, so it creates revenue streams and cash flow and opportunity to expand yourself and your brand out. You might even find you can sell things that are not related to the coaching and healthcare space. You might say, well, what if I could sell a toaster, Neil? What if I could sell a kitchen countertop device? What if I could sell something in the yard?
You could literally discover that as long as it's profitable, you could sell and put anything in a box. And once you understand how to do that, obviously the sky opens up and there's an infinite amount of possibilities and upside potential. I guess, you know, I'm listening to it. It sounds great. And I guess my stumbling block in my head, and I think maybe this will help, uh, with the audience as well mm-hmm. Is getting past the fact that, alright, so I want to have a supplement.
Uh, what the heck do I sell? Yeah. Well, yeah. What do I sell? What? It's the first question that comes to everybody's mind, dude, what the heck do I sell? What the bleep do I sell? Um, what if it didn't matter? That's even better. 'cause I'm like notorious this, this show. I hate the the niching down thing. Yeah, yeah, yeah. I love talking about aliens. I wanna talk about health. I wanna talk a hundred percent.
Dude. What if I could, like, what if there was just a list of products that are the highest in demand customer need products for Amazon making up all of their revenue, and what if there was just a list of them you could pop in and look and see whether or not they're profitable and then just determine which one you thought. You want it to launch because it is profitable, and then you go test the market and find out how, how much of it you can sell, right? What if that was available to you?
Then you would understand a little bit better about the fact that what the heck do you sell is a conditional statement of training, of knowledge, of seeing data and not actually making an emotional decision on what you should sell. But a tactical, fundamental, and business based decision that is built off data and numbers and going by the numbers ensures that if you sell a unit of that product, you're going to do it profitably.
And when you sell a profitable unit of that product and you understand that playbook and the process by which you did that, that you can repeat that process until you're selling a hundred a day or more. Right. Yeah. And that is just a process of knowledge and learning and earning as you launch products to test that, you know, go by the numbers of business and profitability. And that is kind of understanding some of the fundamentals of the business and ensuring your profitability.
So it's, for example, you wouldn't sell on the marketplace of Amazon or even anywhere else, in my opinion, products that are less than $50 in price point. Okay, 50 to $500 in retail price point are the kind of products we sell, and in those numbers, that makes sure that we're selling more than $12 in net profit per unit. Everything goes in the top. Cost of goods marketing, everything falls in. What falls out of the net is what you keep.
That is our net profit, and that is what we get to keep out of each sale of the product. And the higher the net profit, the more money we make, right? So I prefer products that are making me like 30, 40, 50, or more dollars in profit per unit. So we'll sell products 150 to $400 in price point for the kind of products we sell in our brands. Just to give you some bandwidth, now, there are hundreds of thousands, if not millions of those products in the marketplace.
So it's a process of conditioning and going through numbers and understanding how to analyze the product to determine that as you do that, it starts to look better and that you have an opportunity to sell that product. So when it comes down to what kind of product you would sell, that's just a process by which you look at the market, do the research, look at the green blinky lights, and yellow lights and red lights, and when it goes green, you follow the green path.
Because it's a data-driven decision and we're not gonna order like a 40 foot container and say we can sell this product. We're not smart enough to tell the market what it wants, but what we are smart enough is to, uh, look at 80% of the data confidently and then take it to market and get that 20% back. Right. So I launch a product that has a hundred units and I say, Hey, do you like this version of the product? And the market says, sure, about five sales a day.
Okay, lemme see if I can make that better. A little tweaking. Okay, I'm up to 10 sales a day. Not bad. And then I notice, oh, what if I sell this version of it? Maybe it's the extra large black version, not the extra large yellow version. And oh wow, there's 50 sales a day. The market, I'm closer to what the market wants. But I tested it. I didn't just guess, I'm testing on the data that says, Hey. These are the top products that the customer needs. Demand.
Here are a hundred units of each of those products, and then I'm gonna let the Law of averages kick in. Okay? A law of averages in our, in my five by five is to launch five of those products. Looking to see if I can get 25 organic sales a day from those top products and determining which of those five variations is making the most sales. So I'm not guessing. Right, right. So, and again, like you said, we, we will be the ones owning this. Product, whatever.
It's correct, you own the product because it is a customized product. It's not a white label product. It's not wholesaling somebody. It's not flipping somebody else's product for profit. It is creating value in a brand, and there by that simple word, customization, you are having that product made for you in a manufacturer that is your product, within your brand, within your trademark, which is called intellectual property. At that you have intrinsic value in your company.
Now, right from the company, you now are building up a brand with intrinsic value. So, okay. I'm throwing out the idea. You gave me a price range, so I'm thinking just popped in my head. Yeah. Treadmill, right? Treadmill. Could be a treadmill, could be, uh, one of the walking treadmills. Like the smaller ones. Right? Right. Yeah. That's what I see that a lot recently is they're getting hot. Oh yeah. We get the Omar's treadmill. Yep. Someone is building that treadmill somewhere. Correct.
Yep. On once someone orders it. Mm-hmm. So I guess the question that I get you probably is the number two question that you get a lot. Well clarification on that statement just yet. Sure. You're gonna order some units of that product and you're gonna have it shipped into Amazon and then people are gonna start ordering it. But you're gonna look to see how fast do I sell through a hundred units of that.
So as an inventory based business model, not a drop shipping model, which just as a clarification on, on kind of what you said, we're not drop shipping product, we're having them manufactured and acquiring them, and then we're selling them in the market. Okay. So that being said, so that's even a, a great point. I guess I gotta write it down to make sure I go back. No worries. Because I wanna like talk non drop shipping. Amazon and drop shipping are not a part of the terms of service. Gotcha.
Okay. Sounds good. So why are they gonna buy my treadmill? Mm-hmm. As opposed to all branding. Right? It's just the branding is the word we're looking for, but it's not the most simple answer. But it does get down to the psychology of a buyer. Okay. Okay, so let me reverse this and ask you a question if I can. Sure. When you think about a brand of equipment, is there a particular brand that just immediately comes to mind that you have a certain level of value in your brain with, and what is it?
I'm thinking Boflex. Boflex. Now why Boflex? The commercials. I've seen it for like 25 years. You know, I'm very, okay. I've bought some product from them. There's an sort of an intrinsic idea of trust built into the Bowflex. Yeah. Is there, is there a cheaper version of that product in the market? Yes. So why would you buy the Bowflex versus the cheaper version in the market?
I don't know if that cheaper version's gonna break, you know, like, and then let, let's reverse that question back to you. Why would somebody buy my product and value in the market versus somebody else's, right? Oh yeah, no, there's an intrinsic belief mm-hmm. That it is a better value product than another version of the product I can get. Now, what brings that together in a brand is how we present the product to the market, and more importantly.
How we present the product to the engine now, everything. Online runs on an economic engine with AI tied to it, semantic engines, searches, um, how you see and look at videos and how many more they show. So if you watch one video for longer than six seconds on pretty much any platform, now it's gonna show you more of similar kinds of videos as it tailors content to you. These sales engines, these merchant engines like Amazon and stuff, they're all doing the same thing.
They're getting even smarter and smarter with ai, building large language models and using AI to create more customer intent opportunities to say, well, if they know you've purchased health equipment, if they know you've purchased supplements, if they know you've purchased running shoes, then there's a customer intent behind your purchases. So they're gonna start showing you products that are specific to that industry and niche around you.
And not show you things that are not relevant to you, right? Because it's gonna be more tailored to you and it's not even more tailored. It's intended to try to predict what it is you intend to buy before you even know it yourself. Okay? So when we get this product listing an image out there to determine whether or not there's value, I'm not actually selling it to you, Omar. I'm selling it to an AI engine.
I'm selling the AI engine, that I'm the better product, I'm, the better narrative I have, the better value I have, the better graphics, images, and copy. Therefore, I must have the better product. Its job is to go out and look at the interest, information, intent, and data. It has everything about somebody like you and present my product to you just in time. So you go, I need that, right? I trust that, I want that, and if I don't like it, I'll return it.
If I really don't like it, I'll leave a negative review. If I like it, but I don't really like it, I just won't review it. But if I like it and really like it, I'm gonna leave a review, right? A positive review in that instance so that economic engine turns that big wheel.
So then as I'm presenting that value and determining my data is better than the competitors who are currently in the market, the the engine is going to start showing me to more people like you saying, Hey, here's a whole nother segment of people who might want to buy your product. As people look at that and go, you're right, I do want that. Yeah, I do need that product, and yeah, I will pay for the Boflex version and not the basic Walmart version. Mm-hmm.
Then that engine's gonna look at that data and say, you're the better value, and then it's going to present it to you to buy it, and you're gonna click on it and hopefully buy it. And if you, in our world, buy, if 10 people click on it and one person buys, we are highly optimized inside of this economic engine. With that, it will send it out to more and more and millions and millions of people and say, Hey, what about you guys? Do you like this too?
And that, of course, will translate into more people buying our products. If I don't do a good job of presenting the product and selling the product to the engine, I don't do a good job of making the sales. And the phrase in our company is sales fixes everything. So that is the first thing we're gonna solve. Right, right. Wow, this is amazing. It makes total sense because again, I, I'm, I'm into the algorithm. They're feeding me what I, what They know what I want. And you're consuming it. Right.
Even if it's just video but not purchases, you're like, dang, I want more shark videos. Like, or I want more workout videos, or I want more ad videos. Right. I'm like, and it's just showing you more and more of it. Right? Exactly. Exactly. So by it showing me more and more of my product, that's how it'll just a hundred percent. As it starts to dial in that audience and intersect between other audiences of people like you and starts showing it, those are what are called impressions. Mm-hmm.
And those impressions of showing it to you, hopefully get you to click on it. Okay. And when you click on it, the goal is to get you to buy. So here's the thing though, is I'm not. Uh, trying to convince you to buy. People love to buy. They don't like to be sold. And since Amazon is a demand capture platform, it's capturing the demand of people's interest. We don't try to sell them on Amazon.
We simply give them three variables of benefit to answer three questions they already had in their mind before they showed up. Mm-hmm. And if we can answer those three questions extremely well, they will purchase our product instead of somebody else's, even at a higher price point, even $10 more than a competition. Interesting. Wow. Mm-hmm. That, that's amazing. Now it all becomes an economic engine that does require eventually a product, okay. To a, create a medium median of exchange.
So we just use Amazon's platform to create that medium of exchange, which means I have to have a product that gets delivered to the customer that creates that value. I paid for it, I want the product. Right. Right. So that's the second thing, is to make sure that we don't just create a dummy me too product that tastes and look like everything else.
What we need to do is actually innovate a product with only three to four simple changes that create a unique selling position, a unique selling position, A USP in the value of the mind of the customer over other products, right? Mm-hmm. So it's not, how complicated do I need to make this, because really I'm going to test the product first. To see if people like and wanna buy it from me. Sales fixes everything.
Mm-hmm. And then I'm going to innovate a product and say, well, if they liked a hundred units and that starts selling really well, then I'm going to go get a thousand units. I'm gonna do a full product launch. 'cause I have every confidence now that I can sell it. So I'm going to get more of it purchased and I'm gonna make some changes, a little innovation, not invention, just a little innovation, and make that product just a little more unique in the market.
And then I'm gonna present that 1000 back to the market already knowing that it's sold. And I'm gonna see, can I sell more of it with more time in market, more marketing on Amazon and Amazon's own economic engine pushing me. I'm gonna see how many I can sell at that 1000 and how fast I can turn that inventory over. Mm-hmm. So that's where, I guess the big question is, is how much is the investment that is required Capitalization? Yep. Yeah. It's gonna be a variable.
So for, for people I speak to, in terms of the eComm world. Um, it is not product flipping. It is not gonna be, as you heard, lower priced products. 'cause in our world, friends, don't let friends sell $20 products on Amazon. You'll go broke doing that. Okay? You sell above $50 in retail on Amazon, or you're going to lose to the market. It's simply fees and cost and time and production, et cetera, are simply not gonna be in your favor.
Okay, so that means that the cost of goods on that product, or what we refer to as the landed cost of goods, that's a product that has to be purchased and then shipped into a position to be sold to the customer. It has to be 35% or less of the price of the product. So that means if I'm gonna sell a hundred dollars product, it can't have more than $35 in landed cost of goods for that product. So if I'm gonna sell a hundred dollars product and I need to get a hundred of them in the market.
I's gonna cost me roughly $3,500 to put that into the market. And that test is going to be a variable. I'm going to sell that product. But my real question is how fast am I selling that product? Mm-hmm. So I'm gonna wanna make sure that I sell through that product as quickly as possible, and I want to see how that data tells me how much I'm selling. Then from there I could go out and order a thousand of them because I now know that I could sell that product. I can sell it at a certain pace.
And my real question is, how much more can I sell of it? How fast can I do it? Mm-hmm. So that that capitalization is gonna be larger next. That's why when people wanna work with us, they have to bring at least a minimum of 20 5K to the business. Mm-hmm. To invest in the business itself. You know, startup activities, testing the products, and then putting more money into the products when they start to do well. Right? Mm-hmm.
From there, kind of the sky is the limit, uh, because as products sell and you find more product types that you want to sell, the business itself is gonna drive you forward. And as you are a hundred percent owner of the business, it's your determination to create whatever risk reward opportunity is most comfortable for you. Now I'm gonna push everybody's numbers because I have seen some incredible things in 12 years of doing this, 18 years in business.
And those who have a higher risk reward ratio, meaning they're willing to risk a little bit more, knowing the reward is a lot greater on the other side. They can scale businesses in three, four, and five years to 10, 20, 50 million a year. Hmm. Right, which they had to incorporate the inventory required to do that. And from that they had to be willing to pay the cost to get the business to grow to the next level. So there are two factors of failure in e-commerce. You ready for this?
Yeah. First one is failure to start. Failure to start at all. And you as a coach or anybody listening to this as a coach, knows that anybody's weight loss doesn't start unless they actually get off the couch. Exactly. So if they fail to start, they fail the whole thing, right? Yeah. The second thing is having the energy to keep going along with the intention and the money required to keep it going. That might be, I need to buy a better shorts, I've gotta buy some supplements.
I got up and invest in some software to help me track my weight loss. On the physical product world, it is I need to pay up for inventory. The second thing is when my business starts to go, when I start to have a, what's called a going concern, a business that's actually driving revenue, I have to capitalize that revenue. And when I capitalize through more inventory and more marketing, I. Then I'm starting to see every 90 days what's called a cashflow plan. Mm-hmm.
Okay. How much money's coming in, how much money I'm making, how much money's going out, how much profit I have. From there, it's how big do I want to grow this business? It's how fast do I want to capitalize on that? Do I, am I okay with just a six figure business a year? Do I want make six figures a year or do I want a seven figure an eight figure business?
When you know the numbers and you're in the business at that point running it, it'll be very clear to you how much inventory, money, and time and energy and attention you need to put into making this go. And then it's up to you for that risk to reward ratio, right? It's up to you to deploy that capital. And it may be a quarter million, it may be half a million, it may be a million.
To get you to those life goals you want to go after, but it'll be a roadmap that you now clearly understand as a business owner. So what's interesting here is, uh, and maybe it's just, it's obviously would be my ignorance, I would think that that, that you're not gonna put in a ton of time as opposed to. Quote unquote, a ton of money if you want to get to the time actually degrades because the systems of automations and infrastructures are already out there.
And that has evolved even in the last few years to be easier and greater than it was five and 12 years ago. That's what I was thinking. Okay. Yeah. Yeah. It's gotten so much more easier and there's so much more people online. Here's the fact, in 2020, there were 10 years of growth. In the first three months of 2020, after that, uh, everybody moved online. Right. Mobile purchases surpassed desktop purchase during that time.
For the first time since they came online, more phones are, are now purchasing online than desktops. Most all of Facebook is now mobile traffic. Instagram is MA majority mobile traffic. TikTok is all mobile traffic, meaning that people are now buying, okay, and there's no friction to them buying anywhere, any place, anytime now. Which has speeded up the amount of transaction and the amount of growth that is occurring.
And after 2020, so many new people came on, there was an event in the e-commerce world called mass adoption that occurred, and any vertical in any industry, there's early adopters. I. Okay, there's early inside guys. Well, hey man, crypto's gonna be amazing. You gotta get in. And it's like, everybody's like, you're crazy. That's insane. Nobody wants in Bitcoin, right? Yeah. Right. And then they're gonna be somewhere up the line around 30 5K in Bitcoin.
Everybody's like, well maybe that guy wasn't so crazy after all. Yeah. And then by the time mass adoption starts to kick in and it goes past 80 and a hundred thousand and this is just a cryptocurrency 'cause this is real time. Right? Right. People are like, holy crap. I missed out, and this is when mass adoption kicks in. Doesn't kick in at the 35. It kicks in at the 80 and a hundred because in the FOMO or free of missing out kicks in. And that's when a mass adoption curve happens.
And this is every industry everywhere in some I. Place some way, some date has had one of these events that occurred e-commerce had a mass adoption curve happen in 2020. And from that point forward, what we're now seeing, and this is actually a report recently by Bank of America Forester Research and the Department of Commerce is talking about a wealth transfer of over $21 trillion. From the offline retail world all coming back online? Not really back online.
It's all coming online and it, it was Catalyst was from that 2020 event. And with that, like it or not, as you see certain companies. Going bankrupt. Okay. Like, um, Joanne's Fabrics and others, most recently, no one can buy from those stores. And since they were such large stores, a lot of what they offered is only available online now. Right, right, right. So those customers are being forced to go online to get that product.
And as more of those kinds of retail stores collapse, Macy's is now in bankruptcy. As of yesterday, 23. And me, if you got data in, if you did that, you better get your data out of it. I don't wanna tell you about all that, but you know, that's not on, not on board anymore. Um, you're seeing all that wealth transfer actually occur. So I'm extremely bullish as we see things changing dramatically as we see this occurring as inflation has actually dropped.
Uh, and opportunities for growth are coming to America in the trillions of dollars of infrastructure and trillions of dollars of investment that's happening and, and being committed right now. I'm actually gonna be bullish in 2025 as we're pulling back this rubber band, that with all of this growth, that wealth transfer is happening in the next couple years, and we're moving very hard and fast into brands and more product capitalization.
As these things occur, and this catalyst happens, more and more people are buying. Sales are up now in the first quarter greater than they have been in the last five years, if you can believe that, because everybody's thinking all this negative scarcity. There's no money, there's all these problems, whatever. But in actuality, they're buying more now ever than they were buying this, uh, time in the last five years, in the first quarter of 2025. That is interesting.
Yeah. I can't imagine it going anywhere but up. I mean, up it just because even like the people who are hesitant about, you know, doing anything online, it's just, they're, it's changing. It is changing if you like it or not. So you can either be a consumer and maybe a victim of it. Hopefully not. Or you can say, look, I want to take advantage of this. I wanna see how to get in position. I wanna be on the opportunity side of this.
And you know, that's a lot of different places in the world and online to do that. I just chose years ago to get into the physical product component because I knew I wanted to own both sides of it. I wanted to digital. And for me, you know, I wanted to see the physical side of it. Right. And I wanted to see the actual product because I wanted to provide that value to a customer because I believed in the value of the product.
Mm-hmm. And I see that even more and more now as a way to complete the cycle with ethics, you know, and integrity to have an actual product delivered for what they paid for. And so with that, I'm bullish this year moving a lot of money into.
Products and brands and bringing along partners and other, you know, aspiring entrepreneurs and existing businesses, and even acquiring companies now through our private equity group in the five to 15 million plus in revenue, to get those companies under our wing to take advantage of what I believe is gonna be a huge slingshot when that rubber band snaps. Yeah, no, that's amazing. Yeah, I mean, I, I, we could go into so many things I. A list of questions. Rabbit holes everywhere, dude.
Oh, is that all? You ain't get any of them? Well, I'll shut up. I won't answer. So long-winded. I'll go faster. Hit it. Hit Oh no, no. Faster. I'll go quicker. No, no, that, that, that just shows that you're a great guest and you had uh, you know, opened my eyes and I'm sure the audience as well, eyes to a possibilities that just. My question is, we're not gonna do you justice, just, just say, oh, that's not true. You're doing amazing, dude.
I think, you know, with the, with the coaching in this space, I'm a coach and, and I'm actually getting out of it this year to focus on the physical product brands and stuff. And there's just a short time here where I'm gonna take on a few more people because I have all the operators that I need. I don't have any employees. I got rid of them all in the past. And what I did was I trained people up, kinda like you guys trained people up.
Hmm To build stuff into themselves, build their confidence, build their own business as a part of that, get them into position to help themselves so they can help others. And with that and their going concerns. Now they work with us in product partnerships. They work with us in operations. They partner with us in businesses we acquire. So I don't have any employees. I'm now working business to business owner across other businesses.
And you know, you can't, uh, buy that loyalty because these people want to be involved. They love the brand. They've become successful with operations with us in partnering and building these companies. And now we're building more and doing more together in that capacity and makes it easier. Um, and the loyalty to their, you know, business is what they have, and then they. Sign off some of that and work with voltage on other fun things to do together.
And that kept me out of having an employees while getting the economies of scale. And with that, we have 35 brands now. Wow, that's unbelievable. That, that is really, really great, I guess. Um, wow. I don't even know how to wrap to be honest. I got, I don't wanna let you go. We'll wrap on this. How about I give you something for free? Like, I believe there's a, there's a, um, voltage dm.com source slash freebook. Uh, I think you've got a code for my team, if I'm not mistaken. Yes, I did.
What was that code? I wouldn't have to put it in the show notes 'cause I thought I, I think it said health coach, but I'll make sure in my intro I'll correct it. Yeah, yeah. In the, in the notes, show notes, guys, there's a free copy, 10 free copies of the book in the digital format. There's a paperback version if you want to grab it. And you're more tactile. I'm kind of tactile myself, but that's the strategy guide. Just be very clear. It's not a tactical, tactical guide is a strategy guide.
For many of the things I talked about today, including 15 other guests, um, that did chapters each with me on the different areas of growth and wealth and products and marketing and finances and wealth preservation and wealth growing. It's all in the strategy of our e-commerce driven, um, playbook.
And it is within that book and it will give you a, a complete understanding of how to build, uh, a strategy around an omni, you know, omnichannel, a physical, private label brand, and all the resources you can check out in there. Uh, to kind of help you get your mind wrapped around that. And from there if you, you know, want to chat more, we can chat more. That's awesome. Really appreciate that. Uh, know that they're gonna take advantage of that. This Anil, you've been fantastic. What can I say?
Um, thanks for opening our eyes to, uh, avenue that at least I wasn't familiar with, to the extent that you've displayed it today. And yeah, I hope you have the great rest of the day and keep doing all the great stuff you're doing. Thanks for having me on, sir. It's been a pleasure. Wait, uh, yes. How do we keep, get in touch with you? Oh, uh, voltage dm.com. You know, the free book thing or go check out. Um, some of the workshop resources I've got training on there.
Um, they're, uh, they, um, mentor. I have Kevin Harrington who wrote the forward for my book as, uh, as seen on TV guy and the original Shark Tank guy. We do a presentation is what we call our as scene on TV strategy. Uh, we guys can check out, uh, more details about how we work and who applies or can't apply to work with us. Uh, and launch one of these businesses together. Um, all that information is@voltagedm.com. Voltage digital marketing.com. You have any socials? All the socials brother?
I got a short last name. It is, um, as you can see, or maybe you didn't know, I'm not a small Asian dude. Like I get mistaken for many times on the internet. Um, you can search my last name. You can search for the word voltage. You'll find me on all the socials. All right, fantastic. Again, appreciate you jumping on the show, sharing all your knowledge today. Have a great. Thank you, sir. Hope you enjoyed listening to today's episode of the Health Coach Academy podcast.
If you did, jump over to iTunes and leave a rating and or review. It goes a long way in helping get this message out to our fellow health coaches and people in our industry. Also, if you can jump over to my website, omar cumberbatch.com, where I give out a lot of freebies, including my five day sugar challenge for people who are having issues with sugar. And also for health coaches. I have the book hidden. It's the six Not So Obvious Ways to get your Clients unstuck. Have a great day.