What Is Amazon Automation? Is It A SCAM?

by Tomer

August 24, 2021

There’s a new business model being offered that supposedly will help anyone who has the money to start their own Amazon business without putting in much time and effort, and it is called Amazon Automation.

What is Amazon Automation? with this service, you will have access to an expert who will build your business for you and handle all the aspects of it from A-Z.

Amazon is a huge platform, and many people are looking at its potential to make high profits.

The platform grows every day with more than 2 million Amazon sellers, an estimate of 1,500 new sellers joining, and over 200 million items being sold daily which means that starting a business on Amazon will take up time and effort.

The competition on the platform is high because there are many sellers selling similar products. This means that you have to be extra creative with your marketing strategy in order to get noticed by potential customers.

You also need to spend a lot of time perfecting the presentation and creating quality product listings.

With Amazon Automation, the experts will take care of everything; all that is required is a little bit of hard work from yourself at the beginning – they’ll provide all the knowledge needed later on.

You just need to be committed enough to put in some time during which they’ll teach you how e-commerce works and how Amazon operates as a marketplace.

It sounds too good to be true, right? It’s because it is!

Amazon Automation is not a new concept and most of the people who have tried to use it to gain success online were left disappointed.

The Amazon marketplace has been plagued with scammers previously and this year is expected to be no different from previous years when it comes to these types of schemes.

Let’s dive into why we think it’s a scam…

Is Amazon Automation a SCAM?

What is Amazon Automation

Amazon Automation is a business model that will help you build a profitable business, but that doesn’t mean that there’s no chance of you failing.

Businesses within the website building and dropshipping industries are usually faced with a high failure rate due to the effort required to keep them running.

There’s no way for you to get full control of the business (unless you’re willing to put in more effort and money on top of the service fee you have paid them).

These businesses aren’t necessarily a scam, and you can have a really successful business with these models. However, just like any other business model, it requires effort and money to succeed.

This is why it’s important for you to remember that Amazon Automation is in no way, shape, or form guaranteed! As said above, if the process fails on your end, there’s no refund given, and not much you can do about it.

It’s important to be wary of the risks when taking this type of opportunity as part of your online business!

With that being said, if you’re willing to put in the money and effort, and do your due diligence about finding an expert who will be able to assist you with Amazon Automation, then there’s nothing going to stop you from enjoying a lucrative business while utilizing this service.

Amazon Automation

What is Amazon Automation

Here is what you need to know about this business model: Amazon Automation IS NOT a dropshipping business outsourcing company that works on a referral/commission basis.

Instead, you are buying services from experts who will give you help in every step of the business-building process.

In fact, you can focus on growing your own brand since you won’t have to worry about finding suppliers or managing any other aspects of running an Amazon Automation business for yourself.

You don’t actually tell them what to do; they work for you by doing all the heavy lifting. Basically, they take care of everything from product sourcing and listing, to order fulfillment (Amazon ships it) so that sellers spend more time building their brands outside of Amazon.

You can use this service if you are looking to start your own business on Amazon, and don’t have the time or patience to do all the things involved in creating a successful business.

Can you really start a business on Amazon with this service?

The experts make everything possible; all that is required is for you to be ready

How Does Amazon Automation Work?

The service works by having the experts create a business for you. What that means is that they’ll do all of the things we mentioned above, including coming up with a brand name for your business.

They’ll have to do all the market research and find out the best products to sell based on demand and profitability.

The Amazon Automation experts that you hire on the FBA Superstore will build you an Amazon business by providing necessary product sourcing, listing, and other services. They’ll provide all of the supplies that are needed such as:

  • Products to sell – Sellers must source their own products; no need for this cost with Amazon Automation
  • Supplies or tools to package items for shipment – Products and supplies are not included in your service fee; you purchase these yourself from the Amazon marketplace.

This is very convenient since you will be selling the same products that you buy to sell on Amazon! If necessary, shipping supplies can also be obtained via their supplier contacts.

  • Storage – The experts at FBA Superstore will store your inventory for you until it is ordered from the customers.
  • Order fulfillment is handled by Amazon or other 3rd party providers – It means that no manpower is needed to fulfill orders! This can be a huge time saver for anybody who doesn’t have much time to build their own business on Amazon (see how my story below).

As I said above, there’s plenty of free knowledge offered through this service as well, such as:

  • How Amazon works and what they look for in products when deciding whether or not to sell them; this will make your life so much easier and help you understand exactly what needs to be done to have success on Amazon.
  • What you need to do in order to profit from the business that the experts will build for you; there’s plenty of information on their website and through their email correspondence (see my experience below).

The only thing that they keep secret is their actual strategy, which is not surprising considering that they want to keep their business model exclusive and allow only those who they feel are responsible enough, with the potential for success, access to this service.

But even so, not everything is a secret: there has been some controversy over whether or not Amazon Automation is a scam since it’s offered by an online guru who was involved in another internet marketing failure – with My Commerce Network.

How Does This Method Compare to FBA?

What is Amazon Automation

Fulfillment by Amazon is the more commonly used method of selling on Amazon. The main advantage of using this route is that it’s hands-off – they take care of product storage and order fulfillment, so all you need to do is advertise.

Marketing yourself through other online channels like YouTube or Facebook will be difficult: once you’re selling via FBA, there are certain restrictions that limit what can be done with your products in terms of advertising (no linking them to any website outside of amazon .com for example).

If you want complete marketing freedom without worrying about inventory management, you’ll need to go the Amazon Automation route.

The main disadvantage of this method is that you have limited control over pricing – Amazon will charge you $1 for each item sold through their marketplace, plus a referral fee (commission they receive from products’ sale price) which varies between 16-24%.

The good news is that by using the dropshipping model, you can offer your own prices without any trouble – since Amazon is handling all shipping and product storage details, there’s no need to worry about inventory management or fees.

This method isn’t just useful for setting up a dropshipping business with Amazon: if you’re an advanced entrepreneur who already has multiple businesses going on at once, this can be a great way to offload some of your workloads to Amazon.

Related Reading: What is Amazon FBA: Complete Amazon FBA Guide in 2023

Cost of Amazon Automation

The price will vary, but on average it costs between $20,000 up to $50,000. What you are paying for is the help received from expert Amazon sellers who will build, set up and run your business so that you can focus on building your brand outside the platform.

Your payment will include everything that is needed to kick-start your business and pay for the services of a professional seller who will help you build your brand. However, there are a few things that the experts won’t do for you:

They won’t handle all aspects of listing including having to go through the entire process of product photography and editing. You will still have to take care of this yourself. Also, they will not handle the shipping process, which is more or less your responsibility.

They will also not manage your inventory and inventory level. Instead, they will set up automated systems that will help you to keep inventory levels high and minimize the need for restocking. Additionally, you’ll have to handle your own customer service.

Benefits of Using Amazon Automation

  • Liquidity – You don’t need to hold inventory; selling through Amazon Automation gives you access to a marketplace where millions of customers are already shopping! 

When using FBA, you have to wait until you have order before purchasing inventory – through Amazon Automation, as soon as you receive your funds, they automatically place a purchase for you.

  • Convenience – As mentioned above, all purchases are handled by the seller source directly from Amazon. Also with Amazon Automation, it will be easier for you to provide better service because there’s no need for double handling of products.
  • Freedom to do whatever you want once your business is up and running! Since the whole process goes more smoothly when automated by an expert, this allows you greater freedom to focus on other areas of your online business should you choose. 

This also means that if something comes up in your personal life that prevents you from working for a while, you won’t have to worry about Amazon Automation closing down your Amazon business! Once your business is set up and running, you don’t have to worry about it.

If all of this sounds too good to be true, then think again! They don’t guarantee that you’ll make money by using their service. If anything goes wrong, they cannot be held responsible for it; it’s your own business, and you are fully responsible for any loss or failure.

Furthermore, if you decide to discontinue the service at any time in the future, there’s no refund given!

And this leads us to the question…

Final Thoughts

The Amazon Automation business model is an interesting one, to say the least. It is said that it allows you to build a successful business without having to have complete control of it.

So, if you’re not ready or willing to put in all the work on your own, then you might want to consider this alternative.

Remember, any online opportunity that seems too good to be true probably is! If something sounds too out of this world, then it probably is.

If you’re really considering Amazon Automation, take the time to do your due diligence and ask questions before committing to anything. You can always approach the source with any doubts or concerns that you might have; they should be accommodating enough to answer them!

Plus, if you want to be successful with this business model, you’ll have to put in the effort and money at some point. If you’re not willing to risk the potential loss of money, then you might want to reconsider your decision.

However, if you do choose to go through with it, there’s nothing stopping you. Your success all depends on how you are as a business owner!

About the author

My name is Tomer, and I founded Sourcing Monster to share proven tips and methods that I use every day for my Amazon business to provide value and growth for you as well as you journey through your own business!

Feel free to comment or share any feedback down below!

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}

Stay Updated with the latest Amazon FBA News

It's time for you to get the latest Amazon FBA Updates, News and tips so you can scale and grow your Private Label business.