Tip #1 – You need MORE inventory
That doesn’t mean that you need to go out & source 100K worth of retail value in order to start. You can start small & slowly add to your inventory as you go, regardless of your sourcing method. But ultimately, let’s say your goal is to sell 5K a month. Well, you’ll need 5K in potential products so people can actually buy it…and you’ll most likely need a lot more than that because no one’s sell through rate is 100%.
Now, if you’re selling on Amazon, then you don’t necessarily need to always source a significant amount more (depending on the business model) b/c you can judge product demand a lot easier & only source in demand products that will sell relatively quickly. But if you’re reselling on sites like eBay, Poshmark, & Mercari, then more quality inventory listed generally means more sales & more profit.
Tip #2 – Don’t Price Yourself out of Profit
That means if you list something & it doesn’t sell within your expected time frame, don’t get impatient. Finding a buyer on these sites is a lot like dating in a way. You might have to kiss a lot of frogs to find your prince or princess, as they say. I’d rather be patient on an item & sell it for $20 profit then get impatient & sell it for $5 profit. One is a lot better for your business & takes a lot less effort on your part.
Tip #3 – Sell on All Platforms
Amazon & eBay are the best platforms to Resell on. But if you’re only listing on those platforms, you’re leaving a lot of sales & profit on the table. I would heavily recommend (depending on the business models you’re implementing obviously) to look into selling on Poshmark & Mercari on top of that.
Now, with that said, listing across a lot different platforms can be extremely time consumingList perfectly is a great multi-channel listing software that lets you create one listing & then it’ll post it to many different reselling platforms for you instantly.
Tip #4 – It’s a lifestyle & you’re building an actual business
The #1 reason people fail in the stock market is they try to day trade stocks instead of focusing on inventing for the long term. It’s the same idea with reselling. It’s simple…find great inventory that’s profitable, list it, wait & let the right customer buy it when the time is right. It’s not complicated, but it does take discipline & the right system.
Tip #5 – Organized Inventory
Now, if you’re selling on Amazon through FBA this doesn’t apply to you b/c Amazon will do all this for you. But if you’re doing your own fulfillment, this is CRUCIAL. I’ve spent hours & hours of my life I’ll never get back searching for items when I didn’t have an inventory system. Not only that, there have been countless times I’ve had to cancel orders because I couldn’t locate the item. And every single platform takes canceled orders very seriously, especially eBay & Amazon.
Tip #6 – More product research AHEAD OF TIME
Now, this mainly goes for sourcing techniques when you’re spending a decent amount of $ into inventory. So for coupon arbitrage & cashback arbitrage (where your buying into super cheap or free inventory) I wouldn’t worry about this. Then the name of the game for those is more inventory listed = more potential profit.
But if you’re buying into inventory like wholesale or books or bulk deal with the intention of reselling on amazon for example, the most important step is to do product research…. on the listing, the sales velocity, & the competition on that listing.
If you’re sourcing liquidation to sell on eBay for example, then you want to look into the potential demand of that brand or product….you can check that by searching for it & then going to “sold” & “completed listings.” Then you want to look into the amount of sales & the recency of those sales. You also want to check the supply & competition of that product. Are there a bunch of other sellers all listing the product a lot lower than you were hoping to? Then it’s probably not a good buy.
And that’s 6 tips to scale your reselling business this year.
If you're interested in watching a video tutorial explaining this further, you can do so below.