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Can't find a wholeseller? Here's the next best thing (and much safer)

Discussion in 'Ebay' started by justaboy101, Apr 23, 2013.

  1. justaboy101

    justaboy101 Junior Member

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    I buy and sell electronics on eBay (basically it's just price arbitrage) for a small, quick profit. It's hard to find electronics at a wholesale price because they are so high in demand. I have been looking for a wholeseller in my niche market for months and could not find anyone with good prices to cover my margins, until last week. Here's how I did it:

    1) Research: Find a product that is in high demand. This item has to be in high enough demand for you to sell at least a couple in a day, but the market price has to be stable. Don't go for generic products because margins are low on them unless you actually find the direct supplier, which I could not do with my particular product other than going to the actual company and signing a million dollar contract.

    2) Compare: I buy on eBay and usually resell on Amazon. There is a big price difference on my item and the fees are lower because Amazon only charges you fees once, unlike eBay where you're charged by eBay and then by Paypal. Make sure your item can be easily sold on both platforms.

    3) Find Supplier: Find the supplier straight from eBay. For example, if you're buying brand name mp3 players, scroll through the listings and look for people with professional looking pictures (bright lighting, display stand, high resolution, etc.) and see if they are selling more than just one. If the seller has lots of feedback, great products at market price with a large quantity, and a considerably high rating, then contact them and try to strike a wholesale deal.

    4) Make The Deal: Send out a message to all these sellers stating that you are interested in purchasing their product in bulk and that you are willing to circumvent the eBay fees and purchase directly through Paypal via invoice. Paypal is very safe for the buyer, as most of you may now, because they usually side with the buyer in most situations. I have never been scammed as buyer with this method. If the seller agrees to sell you these items at a low enough price for you to make a profit, purchase a few items to start off with and see how quickly they sell. Note: The higher your feedback on Amazon/eBay, the quicker the item usually sells. Don't be discouraged in your item doesn't sell instantly.

    5) Safety Precautions: Understand your rights as a Paypal user. If the seller sends you damaged goods or does not send you any items at all, you are entitled to a refund, many times regardless of terms such as "sold as is" or "no returns accepted" (as many frustrated eBay sellers here know).


    With this method I found a supplier who owns a store that buys that electronics (best case scenario for you) and gets hundreds, if not thousands, of items each week. These are the people who have to hire dozens of workers just to process these items quickly and increase their turnover rate. They are looking for people like you who would buy in bulk at a discount. To them, it's a win/win. They get to sell 10+ items at once, eliminating the cost of paying someone to list them, pack them, and ship them, and they still make a decent profit. With this current supplier that I found, I purchased 2 items for $365 and sold them the almost instantly for a total of $515. After fees, shipping, taxes, etc. I was left with about $90 in profits. Not bad for about 20 minutes of work listing, packing and shipping the items.
     
    • Thanks Thanks x 2
  2. JL007

    JL007 Newbie

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    That is a great strategy! Making $90 bucks for 20 minutes of your time that is not bad! Thanks for the inspiration and the ideas!
     
  3. justaboy101

    justaboy101 Junior Member

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    Thanks! Are you also selling/planning to sell on eBay?
     
  4. speeder33

    speeder33 Registered Member

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    good job! continue to grow your business