What is a moat, you might ask? Something like a trademark, patent, a

utility patent is the way in which a product operates and

a design patent, exclusive distribution. Now,

what does that mean? Exactly what I do. I have a product, I

have exclusive distribution on meaning that I have the right solely

to sell that product in places like Amazon, eBay, and

even entire countries and nobody else can compete with me

in those marketplaces. What happens if your product doesn't

even sell? You might find a product that what I

consider is the holy grail of attributes and for whatever reason,

it just may not work in the marketplace. What I always tell people, I'm

Matthew Fraser and this is Amazon Ecom

Secrets. I'll be sharing with you the secrets that helped me go from

millions in debt to an eight-figure entrepreneur. If

you're ready to escape the nine-to-five and live life on your terms,

let me show you the way. Newsflash. Joe Biden

is now talking about bringing in a

44.6% capital gains tax, obviously in the USA, right? Now,

that could be catastrophic for anyone, particularly if

you own a business that you're planning on selling. Imagine selling

that business and then having to give away 44.6% of the

profit back to the state, being Joe Biden. So

could this happen in Australia? Could the Albanese Labour

government bring in a 44.6% capital gains

tax? And if you have an Amazon business, what does that mean for

you? Do you now need to source a better product with

a better margin so you could withstand such

an onslaught in tax? Or are you just going to move overseas, maybe

to Qatar or Dubai? Let me know what you think. So, speaking

about better products, welcome to Amazon Ecom

Secrets and my name is Matthew Fraser. In today's episode,

we're going to talk about exactly that, trying to find the

best product possible. Now, this question comes up

so much. I think it's probably the one thing that

most people struggle with is what

product to sell and how do I find it? Where

do I look? And the strategies behind

finding such products. So with

all these questions coming to me from clients and other

people, I put together what I

consider the holy grail of

product guide. Now let me tell you the

top three things that I would think should be

in your holy grail product. Say in my product guide, I've

listed nine different things and if your product had

five of those things or even four of those

high quality attributes, it would be a great product to sell. If

you could find a product with all nine and even more unique

attributes, then absolutely you'd be onto the one

in a million product to sell on the Amazon marketplace. But

let me start by telling you the top three. And the very first one

would be COGS, cost of goods sold. So

when thinking about COGS, if I was to buy something for $20, I'd

want to sell it for at least five times, which would mean $100. So

that would mean I'd have plenty of money left over for advertising, for

Amazon fees, marketing, and further

shipping to the customer if required. Now the question comes up to me

though is, but Matt, couldn't I sell something for like

a 3x? And the answer is you

could, but it's very, very reduced. It's

a very much reduced margin. It makes it much more difficult to

come up with money for advertising and marketing. So could it be done?

Yes. And there could be a potential for you to sell something

at a 3x, but it's on massive volume, a

bit like a fast food model. They sell food

cheap, but they sell so much of it that they actually can make a

margin because of the volume that they do. All right, let's talk about

number two in my list for the Holy Grail product, and

that is exclusive distribution. Now, what

does that mean? Well, it means that exactly what

I do, I have a product that I have exclusive

distribution on, meaning that I have the right solely to sell that

product in places like Amazon, eBay,

and even entire countries. and nobody else

can compete with me in those marketplaces. And

that gives you so much leverage in

that marketplace because you can do all the advertising and all the marketing

and ultimately the sales will come back to you. These

are the types of things that I teach in my mentorship

program is finding these exclusive distribution products.

And people say to me, Matt, there's probably nothing left

in the world to sell. It's all sort of done. But I want to tell

you a story. And this just happened with a client of mine in just the

past week. And what had happened was my clients were

looking for a solution for their baby. and

their baby had a particular medical condition and they wanted a device to

help them with this problem. So they started scouring

the internet and they came up with this particular product

that was only being sold out of the USA. So

they bought the product, had it shipped into Australia and the

problem was that the shipping cost was so expensive, it was like

$200 to have this product shipped over. But they paid it, of course, because

it was the solution they needed. But then that gave them the idea. What

if we were to have this product sold in

Australia to Australian consumers? So

what'd they do? They then contacted me, joined

my mentorship program, and we figured out a way to contact this, which

ended up being an inventor, a doctor who lived in the United

States who had made this product. We devised a

plan, we contacted the doctor, we worked out an agreement, which

ultimately became an exclusive distribution agreement for Australia

and New Zealand for this product, which is going to be a huge win.

Now, for this couple, It could be life-changing

for them because we did some numbers, and this could be in the vicinity of

a $250,000 plus profit per

year in Australia alone. And the other

great thing we secured in this deal was that a

first right to refusal for other territories in

the Asian marketplace. That is big. And

that's why you should try and get exclusive distribution to

secure your rights for a particular product

in a particular territory or marketplace. All right,

what's number three in my holy grail product list?

And that is a moat. Having some sort of a moat

around your product. What is a moat, you might ask? Something like a trademark.

a patent. Now a patent can be a utility patent or

a design patent. A utility patent is the way in

which a product operates and a design patent

is the way in which a product looks. So those are

three things right there that could give you a moat. Another thing

is Potentially your product has a lot

of reviews on Amazon. You've built up reviews over time on

Amazon. That becomes a moat unto itself as

well on that Amazon marketplace. Because imagine this,

you've got a yoga mat. Yoga mat is your product. And

your yoga mat has 50,000 reviews. And

somebody else comes into the marketplace as a brand new yoga mat,

looks exactly the same as yours, and they start off with zero

reviews. Which one are you going to pick to

buy? The one with 50,000 reviews or the one with zero reviews? Nine

times out of ten, people are going to go with the one that has more

reviews. Now, could the competitor at

zero reviews have a cheaper price? Sure

they could. But sometimes price doesn't matter. It's

the reviews that matter because the reviews give trust

and transparency and authenticity and

integrity of the product, which gives ultimately the consumer the

right incentive to buy and therefore beat the

other product. One common question that comes up when talking about moat

and a utility or design pattern is how much

does it cost and what sort of investment is required? Well,

I can tell you the cost is quite vast. Now,

I've got a client right now who has invented a unique

product to do with, let's call it the waste

disposal niche. And

he has invested, to date, nearly $400,000 on patents across

the world. This is Australia. America,

UK, Europe and it's a design pattern and

also a utility pattern so getting

into this type of this type of

moat can be quite expensive but If

you were my client, what I would say to you is if you don't have that type of budget, I

would certainly start with not doing a worldwide patent.

In my case, when I was just starting out, I

had a kitchen product and I decided to get a utility and a

design patent on my kitchen product and it

was about $10,000, $15,000 at the

time just for the USA. So

you can get in much, much cheaper than

$400,000. But still, it's going to require some sort of investment on your part. And

the other thing, too, is by taking a new product to market with all those types

of patents, What happens if

your product doesn't even sell? And in my case,

I spent all that money on patents, and I never even took it

to market. So now it literally just sits in my office

in a box. Yeah, I've already made the investment, but I just never took

it to market. Now, why didn't I take it to market? Well, things just changed

in my situation. I ultimately ended up finding the healthcare product,

which went on to do over $40 million in sales. So I kind

of lost interest in the kitchen

product, even though I'd spent the money. So guys, I've just given you the top three things

that I would consider when doing a holy grail type

product. But also, I've got further attributes on

a list that you can get a hold of. If you want to join my free community, then

you can get that list. Plus also, you can have access

to my list of where to find products and

the strategies that you could adapt for your own

situation to help you find these and put together deals in

these types of situations so you can get products to market faster. Okay, so

click on the link somewhere in this in the show notes and you can have access to

that. Now, one of the things that pops

up all the time is people then they come up with their And

people always want to know, what is the product? So

let's say you're someone, you've searched high and low, you've found a product, and

you just can't wait to tell people. But guess what? The

advice is, don't tell people. Keep it a secret. Now,

others are going to say to you, well, why would you keep it a secret for me? Why don't you just share

the information with everybody? Well, because it actually takes sometimes

weeks and months of research day

in and day out to find the Holy Grail products.

So you don't want to just start advertising that to everybody and let them shortcut all

the work that you've put in. So make sure, even if

you're in a mastermind or some sort of

coaching program, make sure you keep it close to your chest, yeah,

because you just don't want other people jumping on the back of your coattails

after you've done all the work and just riding off with your product into

the sunset. So ultimately guys I'm going to put a great

big caveat in here which is that you might

find a product that what I consider is the holy

grail of attributes and for whatever reason it

just may not work in the marketplace. So I would still encourage

you to certainly take action on products and take them to

market But what I always tell people is

start small. There's no reason to start with huge

order quantities into the 30s and 40s and

$50,000. You can always start small. Test the marketplace to

see if the product that you think is a holy grail has

product market fit. And that way, you'll avoid losing lots of

money. And if it doesn't work out, you can always move on to the next one

because you haven't made yourself bankrupt. So guys, that

wraps up this episode. I've given you the top three things that

you should definitely consider when finding the Holy Grail product. And again, I

just want to remind you, if you want to get access to the full list and

a range of other things which will help you fast track your

way to finding the best product, please click on the show notes to

get access to my free community. All right, guys, thank you so much for

joining me and take care. Thanks for tuning into Amazon Ecom

Secrets. If you enjoyed this episode, the best way to show

your support is to give a five-star review on Apple Podcast

and Spotify and make sure to subscribe on YouTube

so you don't miss an episode. You can also find more

at I'm Matthew Fraser on all social media platforms.