One thing we seem to be constantly reminding people of on our member's forum is that eBay is a wholesalers market. People identify with eBay as a place to pick up a bargain. I'm sure when you search for an item on eBay you look there because you hope (and expect) to find it at a price significantly below what you can buy it for in a brick and mortar store. It’s something we all do.
Why is it then that we regularly get irate or disillusioned posts from members who are horrified to find that they can buy an item cheaper on eBay than they can from a wholesaler?
It can't be both ways - you can't have a market that everyone identifies with as cheap and yet the sellers are still making a killing. Somewhere in the supply chain, someone is going to suffer the consequences.
I don't mean to make it sound as though making money from eBay isn't possible - it most definitely is. It's just that eBay is a wholesalers market. Many items (particularly hot consumer electronics etc), sell for below wholesale on eBay! That's why some people make a killing by buying stuff off eBay and selling it on their own websites or in newspapers and magazines for a higher price!
Items such as Xbox, Playstation, designer handbags, Nikes, the list goes on, are very difficult to profit on.The only way people make money from these items is when they are (a) a big seller who can afford to purchase in bulk (i.e. thousands of dollars worth at a time) or (b) by getting a liquidation or clearance lot for below cost price.
Once you face the fact that eBay is a wholesalers market you can stop wasting time trying to find a wholesaler that beats eBay’s prices and start developing a niche or buying liquidation. Then, when money starts to roll in you can contact wholesalers and start negotiating deals with them (yes wholesalers will often give you better prices if you contact them direct rather than just going off their website!). This is the way money is made on eBay today.
Have a great week!
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