Original subtitles

0 Imagine if you would have gone and bought beachfront property in Manhattan or the Hamptons back when 1

it was really cheap. 2

It's essentially what the equivalent of getting all of the real estate that exists on Amazon. 3

So in this video. 4

I want to tell you guys how I think about Amazon in these search results as real estate. 5

Now it's not as stable where you get to just buy it and keep the deed and nobody else can take it from 6

you but there's ways that you can protect it. 7

And as long as you've got that spot and you do your work to make sure that you maintain it, it'll keep 8

paying you dividends just like all of that other real estate and will continue to appreciate. 9

OK. 10

So the first concept is essentially let's say we were gonna have a brick and mortar store. 11

The most important to the thing to them and actually the most valuable asset is is not necessarily the 12

brand or their store. 13

It was their real estate. 14

Where are the customers coming through. 15

Companies actually went bankrupt think of Sears or what not, but the most valuable asset they had left 16

at the end was their prime retail locations. 17

So but things work a little bit differently on Amazon and you see it's not like there's just putting 18

your product in the right spot in one spot. 19

There's potentially two hundred paths that people come in to see your product. 20

So we know that 50 percent of product searches in the world start at the Amazon search bar. 21

OK. 22

So essentially now everybody's gonna be typing in keywords and your goal is to find as many of those 23

keywords and they become relevant in the best product for those that you actually get a good market 24

fit for. 25

And then if you optimize and you run your PPC and you do all the other things that you can do to get 26

the most sales through those and optimize for those you're going to get a foothold and essentially grab 27

some of the most valuable real estate that exists in the digital world. 28

Now it's not the physical world but as we go in more and more everybody gonna be looking digitally and 29

with the way that the algorithms work they look at buckets. 30

So 30 days 14 days seven days 90 days it's always changing. 31

I don't know them exactly but I know that the longer term buckets do have relevance because I've seen 32

products at the end of their product lifecycle whose price will triple and their conversions will kill 33

but they'll still be ranking for a lot of these keywords because they have this built in an ingrained 34

thing. 35

So I mean if these long discontinued products are able to sell and continue to rank if you so if you 36

keep yours up to date and keep all of your customers happy and keep enhancing it you're going to be 37

able to keep your ranking and then grab some of this digital real estate. 38

Now why is it important to grab all this. 39

Well because it's going to increase over time. 40

OK. 41

So eventually so everybody right now has been benefiting from the fact that it's a rising sea. 42

OK. 43

There's always more and more Amazon customers coming on. 44

But what happens when there's a day that there's none. 45

OK you know just like in America back in the days there was always people going out west so you could 46

keep getting real estate and land and it was cheap. 47

But eventually there's nothing like everybody's on it. 48

OK. 49

So that's why it's still in this golden era because there's just this never and ending land of creating 50

new markets as well as new customers. 51

So that's where this is the golden arrow right now. 52

Now here's the thing. 53

So right now there's literally just more and more real estate being made because of expanding customers. 54

But there's always going to be new real estate mean made because there's new markets. 55

So that's where there will always be opportunity but the opportunity won't be as great as several years 56

out as the whole world becomes more. 57

But I mean we still got maybe five years until that happens so I believe at least for the next two years 58

I don't see any downside there's gonna be a rising sea for everybody as well as new markets being made. 59

So this is just a huge disruption but as it goes on eventually tops out. 60

And guess what then. 61

The only thing is people are willing to spend more and more until eventually margins become zero. 62

But we're still in that opportunity where people you know they could make more money doing something 63

else so 30 percent are a lie. 64

I don't want to do that but somebody else will take it. 65

So or work harder so we're in this golden era where this real estate you could still go grab it. 66

But if you hold onto it and make something great for that real estate it's gonna be it's going to appreciate 67

and pay dividends. 68

So you do everything right. 69

You could sell it keep their make money at the same time and that's what I think is valuable about this. 70

The most undervalued real estate except maybe parts of social media and getting people's attention and 71

respect on there that's that's a real estate game too. 72

All in itself. 73

So but I hope that you guys kind of think about this more of the you know just think about the long 74

term value not short term of oh I broke even that didn't make any money. 75

Well you've gotten you've gotten your way to building up those keyword ranking and if you had a good 76

product you know selling at break even break even and then eventually you raise it and you're starting 77

to make money and then great. 78

Now you've you've built up all these valuable assets and made money so people will lose money or go 79

cash flow negative on houses because they know that they're getting appreciation and paying down that 80

mortgage. 81

Now maybe there is actually money coming out of their pocket the whole time but they know at the end 82

of the day they're gonna be ahead you know two three years out for now. 83

So this is probably the best business opportunity where you can grow your money go and ask any real 84

estate investor if you could make 400 percent rely on your money in a year if they would do it consistently. 85

They would love that. 86

They make like 10 15 percent a year and they're happy with that. 87

So know there's other ways that they make money with debt and leveraging so they can make more cash 88

and cash value. 89

But we're not going to go into that the end of the day as this is very undervalued real estate. 90

And don't don't discount it and don't be afraid that it's going to go away but it will go away eventually 91

or just become more. 92

It'll be it'll become fairly priced. 93

OK. 94

Right now it is so underpriced and that's why you could put in the work and go grab some of it and eventually 95

somebody else will realize that or you'll just make the dividends from it while it's underpriced. 96

So just for an example if you think about the real estate charge so if it's a very profitable market 97

and there's going to be consistent demand for a long time eventually everybody realizes the true value 98

of it and they keep like a bigger investor will come in and be willing to pay more for it because if 99

it yields dividends and appreciates over time then what a better investment to put your time into. 100

So this is why brands are going to be bought out for large amounts in the future and people are going 101

to be willing to lose more to get these spots because these spots for certain keywords in markets are 102

worth so much. 103

So I mean here's just a chart of Seattle real estate over time now. 104

I do think it is a quite an unsustainable graph. 105

But guess what. 106

There's a constant demand from high paid tech individuals in the Seattle area and there's only so much 107

land. 108

OK. 109

So you know is eventually the land stops expanding and then if there's that demand there and it's valuable 110

then the price keeps going up. 111

So as long as there's money to be made in a market the top spots are going to be worth a lot because 112

it just goes to show. 113

So essentially you can imagine this will be the price to pay for the first spot on a on a search result 114

as time goes on with PPC bids and everything as the true value becomes determined. 115

If we could go back now essentially the same thing has existed in the San Francisco area for housing. 116

You know it's just you know it went up it goes up and down but there's just a constant. 117

It's valuable and there's only so much of it. 118

So I mean obviously these people need it for different reasons than this digital real estate but I'm 119

trying to just get across the point that there's only so much of this. 120

And if it is a profitable niche in bigger pockets come in over time and are willing to spend because 121

they know it's valuable and it's limited. 122

So go in there and try to grab land before it gets expensive and each market is different. 123

Just like the housing market. 124

But your goal is to find maybe the new and upcoming ones in the housing you know like there's new and 125

upcoming areas and housing where demand is change like Denver recently that whole area. 126

So you could go and then find the new markets and go grab that real estate Well it's cheap and then 127

get that appreciation and the dividends that it pays. 128

So all right. 129

So one other key concept to think about on Amazon is that while you could get one piece of property 130

like let's say you were at the Mall of America or you know in a place that you thought was going to 131

be appreciating over time you want to grab as much of that real estate as possible. 132

Now this is what all the biggest brands in the world to do. 133

So if we look at Facebook you know they just started out as Facebook but then they realized Instagram 134

was coming and they were in the real estate of digital attention which is a very valuable asset. 135

So they bought up Instagram for one billion maybe two billion dollars. 136

And at the time a lot of people thought they were crazy. 137

But then what maybe two years later they bought WhatsApp for 18 billion dollars. 138

You know I still really don't understand how they monetize WhatsApp but that's a whole nother discussion. 139

This is what the biggest brands will do. 140

So in the group of people that are consuming social media they are trying to grab all of that attention 141

so that you know if they want to go on Facebook and connect with people they can get them or if they're 142

getting people that are doing more pictures and videos they'll be on Instagram and you'll see that Instagram 143

just edit the SCRAM TV to try to grab the long form video format and then WhatsApp of course and messaging. 144

So they want to control that whole area. 145

Now Coca-Cola does this also. 146

So most people think they have coke but they also have water brands just designing I think. 147

Don't hold me accountable to that. 148

But then they have monster they have sprite they have so many more I even was even reading it. 149

I think they Bacardi too. 150

So they're literally getting the whole drink market. 151

So what you can do though so essentially you want to grab as much of this real estate as possible so 152

maybe because there's obviously different niches within each individual market. 153

But if you grab as much of that it is possible you can really establish yourself as a valuable brand 154

and I guess the best example of this is gonna be anchor. 155

So let's go and I'll just show you how much of that real estate they've grabbed. 156

All right. 157

So when we look at anchor. 158

They originally started out in about 2012 as just a replacement laptop battery. 159

So they started to go into the whole charging niche over time. 160

So I mean if we even really we look up now they have the apple cell phone chargers. 161

So they are on here but they don't just have one. 162

So let's see how many times anchor shows up here. 163

So they have the top one there looks like they don't have any more there but if you've got a power bank 164

they just took over the power bank market and they're the one that I trust the most. 165

But essentially there's people who are looking for more hard core within this niche but then there's 166

also people want more portable one that still is is a pretty good quality brand so that there's still 167

those people who want a more economic smaller one within the niche. 168

So if you just look at how many anchor is ranking four on this page there one two three four. 169

So you know they're good even the super small so they're just taking up literally as much real estate 170

as possible to establish themselves as the brand leader and to serve the whole market and make the most 171

out of it. 172

So you definitely want to be taking over your nation. 173

This is what I did with the solar eclipse I took over forty four different skews I took every person 174

into account the professional photographer I took it also took into account big groups like schools 175

and governments and then also was taking care of those individuals who wanted the highest quality product 176

also people looking at telescopes. 177

So I took over the entire niche. 178

Now was I the highest seller on any individual Aizen. 179

No I wasn't. 180

But I had the widest reach. 181

And by doing that I didn't need to be the best seller because I was just all over the place. 182

And while there were there was one guy who just crush it having the top ace and I found success by just 183

serving everybody. 184

So you know one SKU is not going to serve everybody in a market unless it's a very very specific market. 185

But yeah so there's always room to serve everybody out. 186

So as you go on time try to grab as much real estate as possible because if you eat I bet even if we're 187

going to anchor here Now look there's not only that but then they can up sell their other stuff like 188

their other cords and their other cases and then they will also have who who bought this also bought 189

others. 190

So there's other anchor products and then you will also get the ability to cross promote your other 191

products here and then you can also do comparison once you get brand registry. 192

So you're just getting so much real estate because somebody might click on Here's my guy. 193

I want a smaller one but now they'll see oh well you anchor does have other options. 194

And so by grabbing as much of the market as possible you are getting as many impressions and potential 195

buyers as possible so go out there and grab some of this real estate while it's cheap. 196

Now I don't suggest you try to go grab that power bank market because it's already been taken but find 197

your place where you can grab some real estate before it gets too expensive.