Review of Amz Automation by Kevin David – AMZDFY.com
As has become the norm lately I was on my Facebook account when I came across an advertisement from a man named Kevin David.
In his video advertisement he stated he will create a completely automated Amazon business for me and do all the work.
My interest was peaked so I decided to click through the video and provide my email address.
Who Is Kevin David?
Kevin David’s legal name is Kevin David Hulse and is a well know internet marketer and self made millionaire. I’ll admit that I didn’t know who he was until I began researching his Amazon Automation Program.
I’ll also admit that what he’s been able to accomplish is quite impressive considering that as of this post he’s only 30 years old. Kevin David has an approximate net worth of anywhere between $5 million and $20 million dollars and has won an award that can only be attained by hitting a sales revenue of $10,000,000.
As of this post his YouTube channel has over 950,000 subscribers, his Twitter account 8,654 followers and has 212,000 Instagram followers.
It’s obvious that Kevin David knows how to market by his social media presence, his accumulated wealth and his marketing methods.
His advertisements whether for his podcasts or products normally contain a photo with an exotic Lamborghini. Granted I didn’t search for many but came across pictures of him with an orange Lamborghini as well as him inside a white Lamborghini.
There is also a YouTube video of a house walk through of a home he purchased for $2.3 million in San Diego, complete with an ocean view.
It’s been proven that when attempting to sell informational products nothing converts better than selling success. Its been said time and again that if you want to be successful you need to surround yourself with successful people and I couldn’t agree more.
As, I said, Kevin David Hulse knows how to market.
It’s been proven time and again that attraction marketing works and he utilized this technique as well. The picture of the pretty girl on the left was shown to me in an attempt to obtain to either obtain my contact information or provide a discount. I honesty can’t remember. Attraction marketing backfire! (Am I joking or am I not?”)
Kevin David has sold many products and courses in his career with his newest product being the just launched Amazon Automation known as AMZ Automation.
What is Kevin David’s Amazon Automation (AMZ Automation)?
Simply stated, Kevin David’s Amazon Automation Program, Kevin and his team will create a successful Amazon Store for you for a fee and do all of the work.
Kevin and his partner have a 55,000 square foot warehouse that has inventory of products that they feel will successfully sell on Amazon. You pay the fee based on your level of investment and keep a credit card on file with the company.
They will automatically select the products to sell and have those products shipped to Amazon on your behalf.
The sales are made on Amazon and are fulfilled by Amazon.
The end game is to gain exclusivity to a product so that you are the only person that is able to sell that product on Amazon.
However, partners are to look at the system from the standpoint of a financial investment with regard to the rate of return as well as from an equity standpoint in the business itself.
The more equity built the more your Amazon store can be sold for.
The fee is based upon the investment level you choose.
What are The Investment Levels for Kevin David’s Amazon Automation (AMZ Automation)?
- Standard Automation – $25,000. Working capital mininum $7,500/maxium $10,000
- Platinum Automation – $40,000. Working capital minimum $15,000/maximum $35,000
- Diamond Automation – $100,000. Working capital minimum $50,000 working capital requirement
In addition to the above investment levels there is also a 30% monthly fee based on your monthly net income.
For example, your Amazon store earns a net profit of $3,000 in a month, the fee would be $900.
The investment model is based upon reinvesting your working capital plus your net profit margin on a monthly basis.
For example, on the Platinum Automation investment level starting with working capital of $15,000 and profit of $2,009.70 on a 45 day inventory turnaround you would reinvest a total of $17,009.70 and continue each time with a timeframe of 24 months being the goal.
However, at the end of year one there is an account management fee of $25,000.
If and when you’re ready to sell Kevin David and his team will broker the sale for you for a fee which I believe is 30% of the final sales price.
Only 50 Diamond Automation clients are accepted in a calendar year and a total of 15 new clients per week in total spread out amongst all the investment levels.
My Concerns with Amazon Automation by Kevin David (AMZ Automation)
I had many concerns with Amazon Automation by Kevin David and needed answers before I could consider the opportunity further.
As such I scheduled a call with a sales representative.
Below is a summary of my questions asked and how they were answered by the sales representative.
“What products are being sold?”
I asked this question to my sales representative and was provided with an answer of “Products that sell. Kevin knows what he’s doing and already has products on hand ready to be shipped out on your behalf.”
“What am I being charged for the products?”
“Your credit card will automatically be charged once your products are selected.”
This was not the answer I was seeking. What I wanted to know was what would be my average markup.
What I’m a buying, what is the cost per unit and what will each unit sell for on average?
I wanted to know so I asked.
“How much am I buying products for and what is the cost per unit and what will each unit sell for on average?”
“That’s not important.
What is important is your average monthly profit and we’re providing a conservative return in investment of 14.5%.”
I would be happy with a 14.5% return on investment but my sales representative skirted my question.
“Wouldn’t my Amazon store be competing with other clients’ Amazon stores?”
“Amazon earns a profit of over $200,000,000 per year. Even if we took a small percentage of that profit that is still a ton of money to go round.”
Again my question wasn’t answered so I had to ask with question in a different way.
“If I were to invest in the Platinum Automation and David has 500 other Platinum clients wouldn’t I be competing against those clients?”
“Not at all. On the Platinum level your store would be selling around 10 products maximum per month. 3 of the products would be shared products while the other 6 would be exclusive to you. Besides there are over 20 million products that are sold through Amazon so there are plenty of products”
I didn’t buy this answer at all.
With any product or service there is a saturation point.
How many clients will Kevin David sell on AMZ Automation before it’s too big to handle effectively?
How many products have been identified and already purchased by Kevin David that meet his criteria based on his formula?
I didn’t ask this question but wished that I had.
“Why would a customer purchase from my store as opposed to one of David’s other clients or another Amazon store not assocation with AMZ Automation at all?”
“It’s all about the Amazon buy box. Our clients will be able to get there products into the buy box. The buy box is a round robin type of system so each client will receive a percetage of those sales. Eventually, we’ll sell so much of the product that there will be no reason for the manufacturer to deal with anyone besides us. We then become the exclusive seller of that product on Amazon.”
I found myself scratching my head over this answer as it raised another concern.
“I’m purchasing my products from David therefor the exclusive relationship is his, not mine.”
“You’re correct but then only David’s clients have access to that product to sell on Amazon.”
This answer again lead to me to another question but my head was spinning.
I should have asked, “Which clients get to sell that product?” but I wasn’t able to ask the question.
“My biggest concern is why there is no guarantee. Why can’t a specific level of net revenue be guaranteed?”
“No investment is guaranteed. Look what happened to wall street years ago.”
To be candid I was expecting this sort of answer as Kevin David in his marketing videos as well as profit estimation calculator is clear that the AMZ Automation system is an alternative form of investing.
As such no investment is guaranteed and a disclaimer of the below is provided on the bottom of the profit estimation calculator.
At this point I was sure I wanted to end my conversation with the sales representative so I provided him with a “close tell” statement.
“I think I’m finished with questions at this point. What would be then next steps if I wanted to join?”
The AMZ Automation Sales Representative Goes for the Close!
“First I need you to understand that David is very selective on who to partner with. We’re looking for individuals that have a background in investing and who are able to invest without financing Do you have experience with investing?” he asked.
“Not so much. A little real estate and saving my money. I prefer to be liquid,” I replied
(When I stated a little real estate I was referring to my house. My house is a type of investment as it builds equity.)
“Real estate is a form of investing so it sounds like you can be a potential partner,” he said to me.
(Really? He didn’t ask what form of real estate investing I was involved with and never asked me how much money I was able to invest comfortably. All he knew was that we were discussing the Platinum level.)
“Great…what now?” I asked.
“I’ve been taking notes during our conversation and will forward them to David. There is a waiting list so don’t expect to hear anything back until next Wednesday at earliest” he explained to me.
“Okay, I guess I’ll wait to hear something back. By the way I have a few more questions,” I responded.
“This call was only meant to be a half and hour maximum and we’re over. I have another call to make” he responded.
(Really? I have additional questions but you need to make another call? Goodbye!)
“Okay, nice chatting,” I responded and ended the call.
A little over an hour later I receive a text message from the sales representative saying, “Good news u got accepted. May I get your full name so I can send out the agreement”
Considering this call took place on a Saturday and was told to expect a response by Wednesday at earliest I was disturbed to find out I had been “accepted” a little over an hour after my conversation with the sales representative.
“Shocking” I sent a text in reply which I followed with another text of, “David received it already? Thought I was looking at Wednesday?”
“We review all the files on the weekend” a text response followed a few minutes later with another text a minute later that read, “David didn’t review it yet but our account executive has then it gets forwarded to David.”
(This is not what I was told a little over an hour before! I this point I decided to didn’t even want to review the agreement!)
Why I won’t invest in AMZ Automation
Let me be clear with this statement. I am not defaming Kevin David by stating that his Amazon Automation System known as AMZ Automation is a scam.
The truth is that I don’t have enough information to reach a conclusion of whether or not AMZ Automation is a scam.
Therefore I will clearly state that I’m not stating that Kevin David’s Amazon Automation program is a scam.
However, there are reasons why I won’t personally invest and become a partner on any level.
My reasoning is my own personal opinion and personal belief with regard to AMZ Automation.
To open and have a 55,000 square foot warehouse full of products and creating the infrastructure would not only be difficult but I would need millions of dollars that I don’t have that Kevin David and his partner obviously have.
Kevin David is worth more alive than I’ll probably ever be worth dead. He’s a young and successful millionaire, two facts that cannot be disputed.
I don’t believe the reason he chose to enter into this business model is to make me a “conservative” 14.5% return on my investment. I believe the reason he chose to enter into this business model is to make millions of more dollars with no regard for my “investment.”
The investment being made is in the hope that I can own and operate a successful business so that I will make an income and create value in that business so that when I choose to exit I can sell said business. Again, this is a fact that cannot be disputed.
However, in this case I would be investing in Kevin David for his expertise in marketing and past performance of his and his partners own personal Amazon account performances which he is basing the entire business of AMZ Automation on.
He knows what his results have been and how he’s achieved those results but cannot guarantee a result?
If I had the same knowlede I would go with “This is what I’ve achieved and I can do it for you. You may not achieve the same results but I’m so confident in my methods I guarantee that if you invest x amount of dollars with me and allow me to manage your Amazon account you will earn x amount of dollars!”
Instead he went with the “Alternative investment” marketing plan and states that “No investment is guaranteed” and for what I believe to be for a valid reason.
Again, this is my own personal opinion but I believe the reason to be that no guarantee = no risk as I don’t believe the business model is sustainable.
People who have the ability to invest $100,000 plus an additional $50,000 in working capital is a finite group. If I was liquid to the tune of $150,000 this is a business I wouldn’t be entertaining.
However, groups of people who have liquidity of $55,000, although finite, is a much larger group and in my opinion Kevin David’s target market as it would be mine.
Why is this my belief?
The above is a snippet has been taking from the AMZ Automation Package PDF.
“Many of our successful Platinum sellers upgrade to the Diamond plan after year one (And are happy they did!)?
This is a newly launched business opportunity and hasn’t been in existence for a year, as of this posting, yet the above statement is in writing.
I made a statement of belief earlier which reads, “I don’t believe the reason he chose to enter into this business model is to make me a “conservative” 14.5% return on my investment. I believe the reason he chose to enter into this business model is to make millions of more dollars with no regard for my “investment.”
Why did I feel it necessary to state the above belief?
There’s a once popular saying in the sales profession of, “Make as much money as fast as you for as long as you can and let the chips fall where they may.”
Granted I’m in my forties and it’s been close to a decade since I was a full time sales professional but the above saying was how I was trained. It’s an old saying but at the end of the day sales is sales and knowing what I believe to know about Kevin David is that he knows sales.
I’ll forget about Diamond ($100k) for now and crunch numbers based solely on Platinum ($40k) and Bronze ($25K) at numbers I believe are well within reach and how I would look at this business model from my own perspective.
The numbers? 100 Platinum and 50 Bronze for a total of $5,250,000 in revenue with a total of 150 total clients. If I’m able to properly service half of my clients and retain half of those clients for another year I’m now in the ballpark of $7,64,000 in revenue.
If I take into consideration that AMZ Automation allegedly has over 50 members within weeks of launch the above numbers can easily be surpassed.
I pay $40,000 and allow Kevin David to charge my credit card without knowing anything and assume all the risk while Kevin David earns millions more?
AMZ Automation by Kevin David is not for me.