Many thanks Mark for the continued support!
- To answer your original question around profit margin. In the product business, different product genres or categories (e.g. Health, Beauty, Sporting, Baby, etc.) all vary with different industry margins. To add, there are a few other items to always take into consideration:
1) Our 3,500 manufacturers often have special promotions, close-outs and other discounts; EnRoute Global passes these along to our Resellers. NOTE: Manufacturer promo's are usually on specific brands, individual SKU's/Model Numbers/UPC's, etc. (not across entire product categories).
2) EnRoute Global often has additional promotions on specific SKU's/Model Numbers/UPC's, etc., along with partnering with our Liquidation Division to provide close-out and liquidation type discounts to our Resellers.
3) Manufacturer have rebates for specific SKU's/Model Numbers/UPC's, etc. that you can pass along to your Customers - for deeper discounts and value add.
So what does all of this mean to a Reseller... Let's take a couple of scenarios and dig a little deeper:
A) Selling on a Niche Site: Let's say you have a niche Salehoo Store (maybe a baby site specifically for triplets) with 50 products; of those 50 products, five (5) of those products have extremely pleasant profit margin and possibly are your own private label. One strategy would be to highlight those five products and attempt to upsell at every chance. The other 45 products are possibly replenishable type products (i.e. diaper cream, diapers, bibs, etc.) - where the profit margin is low, but provides steady, consistent sales (with targeted traffic).
B) Selling on Amazon or eBay: You will only list or jump on listing for those products where you can compete... Possibly, there are five products where you can compete on pricing and the sales rank is leaning towards the type of daily/weekly/monthly sales... The real opportunity lies in your competitor are all selling the product merchant fulfilled. By you sending the product into Amazon FBA, you are able to steal the sales and make the sales.
Let me know if you would like me to clarify anything.
Lastly, please also send a Skype invite to "pro-ture" as well. I toggle Skype ID's depending on appointment load.
All the best and looking forward to our chat!
Marc R. Williams
Founder and Senior Managing Partner
EnRoute Global Exchange (EnRoute) Your One-Stop Shop Drop-Shipper!