Clear the Shelf with Chris & Chris

$25M Seller Reveals the #1 Mistake Killing New Arbitrage Sellers

Jul 4, 2025
Guest
Jeff Storch
In this insightful discussion, Jeff Storch, a powerhouse Amazon seller with a $25 million annual business, shares his secrets to success. He highlights the dangers of relying on a single brand and reveals strategies to diversify revenue and manage returns for profit. Jeff explains how he transformed unsellable items into cash and built a robust returns department. With practical tips on sourcing, navigating brand restrictions, and scaling smart, he offers a comprehensive roadmap for both new and seasoned sellers looking to thrive in the competitive Amazon marketplace.
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ADVICE

Reps Make Sourcing Efficient

  • Get sourcing reps: familiar stores yield higher hit rates; new stores start with 5–10% hits.
  • Set daily scanning targets (hundreds) to reach steady OA income by volume.
INSIGHT

SKU Count Adds Hidden Cost

  • High-SKU businesses carry operational overhead that eats profits unless SKUs justify maintenance.
  • Focus catalog on SKUs that can realistically make significant monthly profit per SKU.
ADVICE

Prioritize Profit Per Unit

  • Target items that net meaningful profit per unit rather than chasing high ROI on tiny margins.
  • Aim for healthy net margins (Jeff cites ~30–40%) and prioritize profit per unit sold.
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