This might be a good option if you’re trying to establish an emergency fund or get out from under some debt.
Maybe you want to save more money because you like having more of it. Buying something on sale and selling it for a profit might help you reach your financial goals.
Passive Product Flipping is pretty similar to most other FBA programs. They pitch you on the “dream” of running a profitable e-commerce business that can generate cash while you sleep.
All without having to invest much money upfront into things like inventory & advertising…
Too good to be true?
Not necessarily – Amazon FBA programs have certainly minted a few online millionaires.
It was actually one of the first online business models I made money with.
So as far as making money online goes, there are A LOT worse things you could be doing than Amazon FBA.
That being said, you shouldn’t start a business because “it’s not as bad” as some other type of business – it needs to stand on its own merits.
Choosing between the lesser of two evils always results in, ya know – evil.
So, in this Passive Product Flipping review, I’m going to break down exactly who FBA is good for and who should avoid it.
There are a few important things you need to keep in mind when considering FBA as a business:
- Operations
- Finding winning products
- Time (the most valuable thing of all)
Again, it’s 100% possible to make legitimate money with FBA, but it’s NOT a simple business.
Let’s talk about why:
Operations: The big pitch with FBA is that you don’t really need to do much, because Amazon handles all the heavy lifting (shipping, packing, returns, etc.).
That’s cool and all, except for the fact that Amazon actually has incredibly strict guidelines that you need to follow even to be able to ship out of their warehouses – something most programs don’t tell you about in their “awesome” marketing materials.
This process typically takes a solid 4-5 hours alone. So unless you have a very large team, this step is going to take up a lot of your time.
That doesn’t mean FBA is bad – it just means you need to know what you’re getting into. A “passive income business” is not what you’re going to get with Passive Product Flipping.
Some courses will teach you how to outsource all of this prep to another company, but that eats into your margins significantly. Amazon is already taking 30-40% just for being part of the FBA program, so you don’t exactly have a lot of wiggle room.
Finding winning products: “Hot” products are typically only popular for a few glorious months, and then they fall off. Again, that doesn’t make FBA a bad business – it just means you need to be constantly on the lookout for the next hot thing.
If you have a supplier that you’re on really good terms with, sometimes they’ll drop you hints and tell you what’s about to trend. But this won’t happen until you have a history of making 6-figures with one another.
What this really means is that you need to be innovative and detail-oriented when it comes to staying on top of trends. You want to be the first one to the product, not the last one struggling to turn a profit off of the big dog’s leftovers.
There’s always the option of serving the “evergreen” markets that have always been around, but to that, I say good luck selling meal prep containers against the Tupperwares of the world.
So – we can safely add on another 3-4 hours worth of time each day trying to hunt for hot products.
Time: Despite what any Amazon FBA course seller tries to tell you, when it comes to FBA (or any e-commerce business model), you’re looking at about 3 months of serious trial, error, & testing before even making $1 back.
It could easily take 6 months or more before you’re even at break even.
And this all assumes you’re actually getting it right out of the gate, which isn’t impossible with a good program – but it’s not necessarily the norm.
To be honest, it’s not uncommon to operate at a LOSS for the first year of any new business, so I’m not bashing FBA here – I’m just talking facts based on my own personal experience selling on Amazon.
But what if you could build a different (non-FBA) income stream, and start seeing profits within your first few days?
I’m talking about a system that doesn’t have:
- Inventory
- Crappy margins
- A 12-month wait time before you turn a profit
- A continuous guessing-wheel trying to find “hot products”
Something that you could make anywhere from $2,000 – $10,000 with consistently, month after month?
A stream of income that you can build as high (or low) as you feel like building it?
If that sounds interesting, you might want to think about using the Digital Rental Method.
If you wanna see what Passive Product Flipping looks like on the inside, keep reading.
What Is Flipping?
Is the idea of flipping a house overwhelming to you? Don’t fret; I’ll be here to guide you through it!
To put it another way, “flipping” refers to the practice of reselling an item at a price higher than its original asking price. House flipping describes how a real estate investor purchases a home, renovates and then sells it for a profit.
However, flipping isn’t limited to real estate or digital real estate business. You can also make money by reselling stuff you already own or get for a low price if you do some research and choose the proper marketplace.
Passive Product Flipping
“If you’ve never heard of passive product flipping, you’re missing out on a massive opportunity,” says FBA Masterclass founder Tom Wang. As you can see, many people are looking for a way to make extra cash by actively flipping products.
As a result, they buy low-priced goods and then sell them for a profit on sites like eBay and Craigslist, but they need to keep looking for more deals and new products to offer. As a result, your money will cease to come in as soon as you quit working.”
As an alternative, passive product flipping can help you earn semi-passive revenue. Because selecting and purchasing things and shipping them to an Amazon warehouse means you don’t have to do any of the hard liftings yourself, Amazon will take care of the rest.
Many consumers mistakenly believe that to ship things sold on Amazon, you must store them at home and personally transport them to the post office. “However, that’s completely incorrect.”
Fulfillment By Amazon
Tom Wang claims that with FBA, sellers never see or touch the products they sell. Instead, you’d have your supplier ship straight to Amazon, where it would be stored, packed, and sent to customers.
When the system is up and running, no matter what you’re doing, whether you’re eating, watching a movie, or even asleep, you’ll be able to earn money passively. This also lessens the shipping costs, and you save money from this flipping business.
If you believe this sounds too wonderful to be true, Tom assures you that it is, in fact, real. Customers who learned to use Amazon’s FBA program account for more than half of the company’s revenues.
Sdara Skincare By Tom Wang
Tom created the private label skincare company Sdara Skincare and grew it to sell it on Amazon for seven figures.
“Now I know many experts are telling you how to dropship or sell on Amazon,” Tom explains. “Although most of them have never even attempted it themselves,” he adds. “In contrast, I’ve been there, done that, and now I want to assist others in accomplishing the same. I’ve helped many people succeed on Amazon with my Master’s FBA system. Amazon FBA sellers worldwide can join our community, which has more than 5,000 members.”
“To help you start selling your products on Amazon, I’ve put together a 15-minute training that answers all your questions, and it’s completely free. What you’ll learn about Amazon will include how to get started, how much money you’ll need, identifying decent products and suppliers, and shipping your products to Amazon. As the last step, I’ll happily set you up with a one-on-one coaching session with a team member. In which case, no worries.”
What Are My Thoughts About This?
I find it funny how course sellers come up with a hook, run it until their cost-per-lead starts creeping up, and then cobble together a new ad with a different hook they may have stolen from a rival (weren’t Abdul and Chance from Modern Millionaire running a “lead flipping” ad not too long ago?). Therefore, I don’t approve of this.
Who Is Tom Wang?
Tom Wang’s success as an Amazon seller is not a secret.
To help others learn how to build their own successful Amazon business by selling a single product, he founded FBA Masterclass, an Amazon-focused tutoring organization.
Before immigrating to Canada in 2001, Tom Wang was born and raised in China.
Before starting his Amazon business, Tom was an account manager at a Yellow Pages contact center, where he gained a few hundred dollars.
Tom’s first product was sold on Amazon in 2017. Because he didn’t know how to sell products on Amazon effectively, his first two products were a failure.
The third time’s a charm for him on Amazon. Tom alleges that his Amazon sales have totaled over $5 million.
With Tom Wang’s Amazon FBA Masterclass, customers may learn Tom’s single product profit approach for selling on Amazon in 2019.
Tom promises that he can teach you how to make millions in a couple of months if you follow his instructions. He also gives some passive income ideas for you to have extra money and use the Facebook marketplace as a platform for you to sell products.
He also claims that he will show you to increase the resale value of the items to flip.
However, selling on Amazon may not be lucrative for Tom Wang. The FBA Masterclass is clearly what’s paying off for him.
Some Passive Income Ideas
Tom claims that power tools, garden tools, and other home improvement goods sell the best on Home Depot’s website, one of the world’s top 10 most visited retail websites.
Begin by looking through thrift stores and garage sales for drills, lawnmowers, circular saws, power washers, and other similar goods. After obtaining them, you may sell them online through sites such as eBay or locally through sites such as Craigslist or Facebook Marketplace.
On eBay, reselling or flipping is highly popular. Selling on eBay may provide you with the benefits of security, free traffic, and competitive pricing for your products. Remember that eBay charges $0.35 for each listing after the first 50 free listings per month and a final value fee ranging from 5% to 12%, depending on the product type.
Garage Sale – When you have many small items to sell, a yard sale or a good old-fashioned garage sale is typically the best option.
You may also make money by reselling products you own or can acquire for cheap if you research the best things to flip for money (and choose the proper marketplace). If you’re interested in flipping items, you’ll be relieved that there are plenty of secondhand buyers.
However, selling cars could earn a higher income if you reside in a commuter-heavy area. Whatever vehicle you choose, understand your state’s auto selling regulations and learn how to protect yourself as a private seller.
Whether you want to browse estate sales, thrift stores, internet platforms, flea markets, or your personal cache of secondhand items, you’ll find something you can flip for a profit and start your online business.
Platforms You Can Flip Items
Many people are turning to flip as a way to supplement their incomes. Quite a few people profit by selling items they’ve found for a discount.
Today, there are more platforms to sell on, more money-making tools to price and sell your stuff, and more sites to purchase items you can then sell on.
Personal Capital is a free service that allows you to monitor your cash flow and revenue. You can use this to keep an eye on your net worth and ensure you’re investing your money wisely, even if it’s just a few dollars.
Before buying and reselling an item, consider using Honey to gauge its value. Using this information, you can better evaluate your product’s market value based on online discounts. The use of Honey’s platform is entirely free of charge.
Are There Alternatives To Passive Product Flipping?
Yes, there are plenty of other business models to choose from if you want to pursue this making money online. Here are just a few:
Is Passive Product Flipping A Scam?
Time for the million-dollar question: is Passive Product Flipping a scam?
No, it’s not a “scam,” technically speaking. They aren’t going to take your money and run away, leaving you empty-handed.
You can make money with the program, but not nearly as easily as Tom Wang wants you to think it is.
As with most FBA businesses, there is A LOT of work that needs to be done up-front, and there is really no guarantee of you being successful.
You’ll need to get very lucky and find an awesome product no one’s heard of, and then pump a ton of volume into it while it lasts.
Don’t get me wrong, I’m a big proponent of front-loading work now, so you can make money later and sip out of coconuts on the beach.
But if I’m gonna do that, I want the rewards to be HIGH and virtually guaranteed.
I’d rather put in that same 3 months of work (in my spare time) & build a handful of Digital Rental Properties that each produce $500-$2,000 checks every single month afterward (AKA recurring income).
And the cool part is that you can do it in a lot less time than 3-months (I personally did it in my first 2 weeks of using the Digital Rental Method).
Unlike Amazon FBA, you can do it from anywhere in the world, so it’s a genuine “laptop-lifestyle” business.
All you need is an internet connection.
Some of my friends are Digital Rental Method that run their 6-figure businesses from:
- Camping trips at national parks
- Beachfront in Hawaii
- On the road in a camper van (with a pet pig!)
They focus on living an enjoyable life first, and focus on income second. All thanks to this program.
They can take weeks or months off, and money keeps rolling in.
Living happily is the top priority.
If the thought of living perpetually at your dream vacation spot interests you, using the Digital Rental Method might be for you!
What Is My Top Recommendation For Making Money Online In 2022?
Read Our In Depth Breakdown Of The Top 5 OppAmazon FBA Courses For 2024
I’ve personally tried all of the major online business models:
- I’ve sold fidget spinners through Amazon FBA
- I’ve drop-shipped a toilet bowl putting green on Shopify
- I’ve sold women’s health supplements via Clickbank affiliate marketing
And I made money with all of them, so trust me when I say: there is no “perfect” business model.
That being said, my #1 recommendation for making real money online is, hands-down: being a Digital Landlord.
Whether you’re a complete newbie, or you’ve been around the block before but have never had that “big win” to propel you forward, using the Digital Rental Method is for you.
Here’s why:
1)Time: If you’ve got a spare hour or two each day, you can do this. If you want to drop everything and go all in, you can do this. More time obviously means faster results, but even putting in a few hours per day is enough to see real success.
And because of that flexibility, you don’t need to trade your time for money. Once the income starts, it’s recurring.
That means you can take a month off, travel the country, pursue a passion project, chill on the beach, or charter a boat across the world.
But you can only do that once you’ve created an income stream that doesn’t require YOU to be there all day, every day.
2) Ownership & Control: With Amazon FBA, you don’t technically own the customer base.
Amazon could literally shut you down overnight. They have a history of kicking suppliers off their platform, or stopping payouts to affiliates for certain products once they’ve built their own.
Why pour your soul into a business that could be taken away from you at the drop of a dime?
With the Digital Rental Method, you literally own all of the assets, which means you have ultimate control.
3) Big Margins: With FBA, you’re often going to have really slim margins. That means you need to hit a serious scale to make serious money. This usually entails spending A LOT of money on ads and other methods for growing traffic to your product.
using the Digital Rental Method, your profit margin is nearly 100%. Watch here to learn how.
Just a reminder: these Digital Rental Properties are worth (at a minimum) $500/mo in semi-passive income. And each time you create another one, your income increases, and the effort put into creating the next property decreases.
Best-case scenario, you have properties bringing in over $3,000+/mo on auto-pilot.
4) It’s Effectively Copy-Paste: Here’s my favorite part: once you have your first Digital Rental Property up, you can literally copy-paste another version of it and find another willing “renter” in a few days. DOUBLING your income doesn’t get much easier than that…
If you wanted to double your income with Amazon FBA, you would need to sell twice as much inventory, or double your profit margins. And I can guarantee you (from my fidget-spinner FBA days) that it’s a lot harder than a few clicks & a phone call.
5) You’re Helping REAL People: My biggest gripe with FBA is that you’re basically only helping yourself. The world doesn’t need another B.S. gadget to consume.
It’s cool in the short term to make a quick buck, but in the long term, it gets really old fast.
But With the Digital Rental Method, you’re helping solve REAL problems that people are ASKING for help with:
Small local businesses around the world need one thing: customers. Without them, their business would fall apart. If you can provide those customers, they’re going to be really happy – and they’re going to pay you for it.
We’re not helping Jeff Bezos shoot another rocket into space – you’re helping a struggling mother or father put food on the table for their families, put their kids through college, or simply live life a little bit more comfortably.
Having this type of impact on the world is what will help you sleep soundly at night.
So, the rest is up to you. You could keep looking at other FBA programs like Passive Product Flipping, which might make you money 12 months from now.
You could keep researching and researching for the next few months (or few years), never making a concrete decision.
OR, you can look deep inside, think about those dreams, hopes, & desires, and make the decision to ACTUALLY make it happen, just like it has for thousands of other students before you.
Making a fortune while actually helping real people that need it.
If this sounds like you, click here to see how it all works.
