Any Retail Arbitrage people out there?

oatmeal

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There is a dropshipping category but I didn't see a category for retail arbitrage.
It's not quite the same thing. I've been doing this for almost 10 years on ebay
with moderate success. Ever since the sales tax came in, it's taken away about
20-40% of my profit margins. Those of you who do retail arbitrage dropshipping
KNOW exactly what I'm talking about. If you don't, feel free to message me
or ask me about it.

I'm hoping this thread can be a place where retail arbitragers can come together
and share some helpful tips, ideas, and maybe even winning products. I realize
it's stiff competition out there so we aren't eagerly willing to share what we have
found to be hot sellers right now, but I am willing to share what has worked for
me in the past and how I did it.

There are endless amounts of niches out there and one can only focus on a few
unless you've figured out a way to mass automate listings and stores etc. I do
everything manually which sucks but it's the only thing I know and feel safe
and comfortable doing it.

One of the best ways to make profits is to somehow find products that are on
huge sales (20% - 70% off) and resell it quickly before the sale ends. In those
circumstances, I can make 50% or more profits which is fantastic. A small, low
risk selling item at only $30 can net you $15 profit, etc. Usually my profit margins
for selling a $30 item is about $5-$7 per sale. That's still pretty nice, but before
sales tax came in, I used to make $10 per sale easy on $20-$40 products.
Sales tax + seller fees can eat as much as 40% of my profits now so I'd only make $6 because
I'm paying $4 sales tax out of my own pocket.

I wanted to try and sell in the hot markets like electronics/photo/video/pc/computer
but those are risky due to returns, defects, mfg problems, and the cost of items
can be quite high. I like to take smaller risks with higher reliability such as the
niches in beauty products and health supplements. They often cost less and
have less chance of being problematic. But I'm curious about other niches
like clothes, shoes, camping, furniture/household products, applicances, car
parts, hardware tools, gardening/farming, pets, groceries, books/ebooks,
jewelery, toys, games, and other niches. I hope we can share some ideas
and experiences together.
 
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I was doing this in 2013-2015, it's harder with so many ebay fees chewing at your profit. I've seen some success longer term with toys if you're willing to hold.

As an example with licensed LEGO products - Star Wars Jedi Interceptor 75135 was retailing for 49.99 a few years back, now that it's discontinued, brand new unopened it's selling for 200 on eBay
 
There is a dropshipping category but I didn't see a category for retail arbitrage.
It's not quite the same thing. I've been doing this for almost 10 years on ebay
with moderate success. Ever since the sales tax came in, it's taken away about
20-40% of my profit margins. Those of you who do retail arbitrage dropshipping
KNOW exactly what I'm talking about. If you don't, feel free to message me
or ask me about it.

I'm hoping this thread can be a place where retail arbitragers can come together
and share some helpful tips, ideas, and maybe even winning products. I realize
it's stiff competition out there so we aren't eagerly willing to share what we have
found to be hot sellers right now, but I am willing to share what has worked for
me in the past and how I did it.

There are endless amounts of niches out there and one can only focus on a few
unless you've figured out a way to mass automate listings and stores etc. I do
everything manually which sucks but it's the only thing I know and feel safe
and comfortable doing it.

One of the best ways to make profits is to somehow find products that are on
huge sales (20% - 70% off) and resell it quickly before the sale ends. In those
circumstances, I can make 50% or more profits which is fantastic. A small, low
risk selling item at only $30 can net you $15 profit, etc. Usually my profit margins
for selling a $30 item is about $5-$7 per sale. That's still pretty nice, but before
sales tax came in, I used to make $10 per sale easy on $20-$40 products.
Sales tax + seller fees can eat as much as 40% of my profits now so I'd only make $6 because
I'm paying $4 sales tax out of my own pocket.

I wanted to try and sell in the hot markets like electronics/photo/video/pc/computer
but those are risky due to returns, defects, mfg problems, and the cost of items
can be quite high. I like to take smaller risks with higher reliability such as the
niches in beauty products and health supplements. They often cost less and
have less chance of being problematic. But I'm curious about other niches
like clothes, shoes, camping, furniture/household products, applicances, car
parts, hardware tools, gardening/farming, pets, groceries, books/ebooks,
jewelery, toys, games, and other niches. I hope we can share some ideas
and experiences together.
We currently have a strong local customer base for our product—plastic containers. These containers are available in three colors and three different quantity ranges, and we’ve partnered with a plastic manufacturing company in Puducherry, India. This partnership allows us to procure these containers in bulk at a very low cost of $0.035 per container. The quality of the product is excellent, and I’m confident that it provides great value to customers.

However, due to the increasing demand from our local customers, it’s becoming difficult to manage operations efficiently. This has led me to consider expanding the business online to streamline sales, reach a wider audience, and scale more effectively.

I’m exploring platforms like Amazon FBA or similar options to take the business online. My goal is to utilize such platforms to handle storage, shipping, and customer service, which would save us time and resources while allowing us to focus on scaling.

I'm looking for suggestions on where to sell my product in bulk online. Is Amazon the only option, or are there other platforms available? I'm stepping onto this new vendor, and I need guidance and tips from you to make it happen.
 
My aunt does it, by buying certain products from Marshalls and Walmart, so it is certainly not dead
 
Hey guys! Just to update you I'm still doing retail arbitrage and you can make some good money on the side. It would still be nice if there was an actual forum / group for this specific category so we can all share and talk about like-minded business. I do not hold any actual inventory. This way there is zero money spent. I only spend money when my customer buys and then minus the extravagant ebay fees, I take home the difference as profit. It can be anywhere as small as a couple bucks per sale to as much as even $100 in one sale. I seem to average somewhere between 15% to 30% profit margins. I'm still trying to figure out how I can use AI to my advantage to help me sell more.

I have managed to somehow go from making about $500 to $1000 USD per month in the past few years to now making $1500-2000 USD a month so a nice increase but
I would love to take it to another level and start raking in $2500-$3000 USD or more. Step by step right?
 
Very interested in the topic. I'm a bit confused though, is this just regular dropshipping but selling on ebay instead of your own store or etsy, etc?
Where do you get your products from?
So you are creating new listings whenever you believe there's a good markup potential?
 
Hey guys! Just to update you I'm still doing retail arbitrage and you can make some good money on the side. It would still be nice if there was an actual forum / group for this specific category so we can all share and talk about like-minded business. I do not hold any actual inventory. This way there is zero money spent. I only spend money when my customer buys and then minus the extravagant ebay fees, I take home the difference as profit. It can be anywhere as small as a couple bucks per sale to as much as even $100 in one sale. I seem to average somewhere between 15% to 30% profit margins. I'm still trying to figure out how I can use AI to my advantage to help me sell more.

I have managed to somehow go from making about $500 to $1000 USD per month in the past few years to now making $1500-2000 USD a month so a nice increase but
I would love to take it to another level and start raking in $2500-$3000 USD or more. Step by step right?
great i need to talk
 
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