The Wholesale Forums

[BillyA]

Hello all,

Thought I would post some info for all the newer players to the game. This has probably been brought up before, but I think it deserves another post.

As you are probably aware, Ebay is NOT the best place to sell your goods. Sure, its probably the fastest way to sell, but profit is profit and unless your source is outstanding, you will be giving most of those profits to Ebay.

Many of you are judging the prices for goods on this forum solely on Ebay closing sales prices. This is not a great way to judge profit potential. Why? First, Ebay is worldwide competition (someone will always beat you on price). Second, many online retailers use popular items as loss leaders on Ebay to drive traffic to their own websites. Third, many popular items are counterfeit/fake. Finally, many items just don't exist (ie. scammers).

So here are some other ideas on how to build your business and get more profit out of your products:

1. Set up your own website (there are members of this forum that can help you with this). Many online retailers can get 10-20% higher prices on their own website versus Ebay - plus your variable sales costs will be lower.

2. Use other sites. Amazon.com, UBid, Yahoo Shopping - there are other outlets.

3. Sell in your local community. Place ads in local papers, on local message boards, put up fliers in your local market. You will sell face to face, get to know your customers for repeat sales, and save on shipping costs.

4. Go door to door. Look for small/independent retailers. Call and ask for a meeting with the manager or owner. You would be VERY surprised at the prices some of these small Mom & Pop places pay. Its a good chance you may be able to save them money and gain a loyal customer.

Now, which one of the above is the most important? Thats right!! All of them. If you are serious about building your business, you will not just do one or two of the above, but all of them and some others that I haven't even thought of. Thats how a business is built. It is hard. It is work. Nothing about it is easy. But, if you put in the time, smarts, and effort - before long, you will be the owner of a profitable business.

Now quit looking at Ebay and get to work!!!!!

[danky]

Thanks for the information Billy, but there is one question i have. Say you are selling Ipods you bought from a supplier and not from Apple themselves.(no specific model). I cant really explain what im thinking, but is it "legal" to sell Apple products, to these stores without Apple's consent? I mean your selling their products without them recieving any money.

Possibly another tip which i plan to take advantage of... School Newspaper.

[double_d77]

I think there would be a few stores who can't get them themselves who would take them of you, but there will be some in the same position who would want to see that you are legit reseller of apple products.

So you would have to be careful with Ipods unless they have come from apple resellers.

Somebody else might know more on this side of things tho.

Dave

[BillyA]

Originally Posted by danky

Thanks for the information Billy, but there is one question i have. Say you are selling Ipods you bought from a supplier and not from Apple themselves.(no specific model). I cant really explain what im thinking, but is it "legal" to sell Apple products, to these stores without Apple's consent? I mean your selling their products without them recieving any money.

Possibly another tip which i plan to take advantage of... School Newspaper.

First off, they have received their money. You paid your supplier and down the line your suppliers supplier paid Apple. Legal? Illegal? We are in a gray area here. Nothing can stop you from selling what you own.

Like he said, some stores would not be willing to resell Apple products without you being authorized, however, the Mom & Pop stores may. They understand it is a hot product and have no channels open to them to acquire it. I sold some that I bought from Apple directly to a local music store this past holiday season. They paid top dollar and used them more as a promotional tool.

Great idea with the school newspaper!!!!

[danky]

Yeah i guess that makes sense.. just didnt want to get in trouble

[ham76]

thanx billy, but i think your ideas are quite expensive. i mean the site, the door to door thingy. that means more money has to spent. i really dont think this is a good idea if youre starting out like myself. and ive tried amazon for the last 4 months, sold nothing yet. Ebay works fine for now. will try the site later

[Titchimp]

Originally Posted by ham76

thanx billy, but i think your ideas are quite expensive. i mean the site, the door to door thingy. that means more money has to spent. i really dont think this is a good idea if youre starting out like myself. and ive tried amazon for the last 4 months, sold nothing yet. Ebay works fine for now. will try the site later

i dunno about by you but here you can get 1500 A5 black and white flyers for £15 so 1p per household and im sure you could make that money back from one sale

[BillyA]

I dunno, you can build a site for about $30 with free website builders offered by hosting companies such as GoDaddy. Also, how does going door to door cost money? You take your products into small privately held stores and ask to see the purchasing manager. Better yet, call the store and ask if you can set an appt. with him. Then go see him and take your products with you.

Ebay is a good way to start out. However, you must realize why people have a hard time establishing ongoing businesses on ebay is that the pricing on ebay is actually wholesale pricing. To succeed, you must very close to the top of the chain from a supply standpoint.

[MustHaveMobiles]

Originally Posted by BillyA

Ebay is a good way to start out. However, you must realize why people have a hard time establishing ongoing businesses on ebay is that the pricing on ebay is actually wholesale pricing. To succeed, you must very close to the top of the chain from a supply standpoint.

My feelings on the whole Ebay thing are that the majority of sellers are flogging a dead horse with their product selection, this comment isn't meant to offend and was actually a comment made by an Ebay Power Seller at a conference I attended...

If your idea of selling on Ebay and making money is by selling a mainstream product then you have no business sense and shouldn't be wasting your time, go back to school get your qualifications and go work for someone else.

As BillyA says, you will never be able to compete on purely price as someone will always beat you...I have access to SIM FREE mobiles and can buy in any quantity but the pricing I can get doesn't make it worth it until you get to the 0000's of units (I only use an in stock UK supplier as well which factors in the cost)..

Ebay success relies on two things: Niche Products and Added Value, all the mainstream sectors are sown up now. Years ago DVD's etc were easy sector but not now the big guys have arrived..

Now quit looking at Ebay and get to work!!!!!

Don't agree (as expected ), ignoring a semi captive marketplace with the traffic power of Ebay is missing a golden opportunity. Relying solely on it, as per Billy's first post, I agree is also wrong but not factoring it into part of your business plan is simply wrong.

[Anthony]

This is a great thread that I only just picked up for some reason. Sound advice David, Nice one!