The internet has changed the face of retail arbitrage. In the past it was nearly impossible to keep up with the price of wholesale items. Now with the popularity of websites like eBay, Amazon, Overstock, and JC Penny, anyone can compete on a more level playing field. If you have retail experience and want to move into internet sales, retail arbitrage is a great way to enter the online retail industry.
Retail arbitrage is also referred to as “flipping items”. It involves buying a product at a good price, then reselling it for a higher price. Retailers who are involved in retail arbitrage make money by taking a small loss on each item they sell and then absorbing that loss in full when they sell the item again. You can begin this exciting career with little or no investment upfront.
Some people are only in retail arbitrage for the profits. You can earn very good profits on just a few items per month. However, it is possible to earn multiple incomes from retail arbitrage. Some people build a full-time income from it. This is possible if you have the patience to stay at it, have knowledge of the product you’re purchasing, and can work hard.
If you’re just trying to break into the retail arbitrage game, it’s wise to do some research on the product you’re planning to sell. Look at the average prices of similar products in different locations. You should find a great deal of variation in price. Pay attention to the weather and season, as these will affect the demand and profitability of the product. If you’re going to be selling in bad weather or on holidays, you’ll need to carefully consider your inventory and sales expectations.
Another way to get into retail arbitrage is to contact a local fba firm. Find a reputable firm that offers a variety of services to make your job simpler. They offer a free demo account where you test the methods taught by their training staff. Most firms will provide you with a contact number for your business, which will give you access to the company if you wish to hire their services.
If you already own a retail store or garage sale business, take advantage of the fact that thrift stores and yard sales often carry a large variety of retail arbitrage items for sale. These items are usually brand new but may have been used several times before. Invest in a good flashlight and make sure you know exactly what you’re looking for when you visit any of these sales. The key to making money with retail arbitrage is getting the product at a bargain price; buying something at a yard sale means you’ve already got a bargain!
Another way to start making money with retail arbitrage is to find deals on clearance items at local retail stores. Look in the clearance section for last years hot buys that retail stores want to unload in order to make room for new merchandise. Be on the lookout for electronics, clothing, furniture, and home appliances. These items are usually priced very cheaply because they are being axed from the shelves in preparation for new inventory. You should be able to find some pretty amazing deals on clearance items in most retail locations. Even the big stores like Macy’s and Target have a clearance section dedicated to bargains.
Once you’ve found some great deals in the clearance section, you can contact the store’s sales manager and ask them to set you up on the inventories. Many stores are eager to have someone come into the store and do work for them; in exchange for allowing them to showcase their wares, the sales managers often give generous commissions. With so many people competing for such a great deal, you can be sure to get good, solid commissions. Once you’ve established yourself as a reputable dealer, you can move your inventory over to your own website. That’s how to start making money with retail arbitrage.
