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Dropshippers and Small Scale Wholesale Suppliers
and How to Use Them to Double Your eBay Profits
Here’s a
great way to add lots of new products to your eBay business while
only ever having to buy one item (or beg, or borrow it) and use that
item as a test sample to see how much people bid for your item on
eBay and how many people bid above the price you are willing expect,
in this case generating lots of Second Chance Offers for your
products. Your suppliers will be normal wholesale and
dropshipping companies, preferably local suppliers and even more
especially companies that don’t already operate as wholesalers or
dropshippers. You are looking her for people running small
businesses making their own products such as craftworkers, artists,
home-based or factory unit manufacturing companies, and you can find
most of them advertising in ‘Yellow Pages’ or taking stalls at local
art and craft fairs. Tourist Information Offices also usually
keep lists of smaller artisan firms.
You will find
some wholesalers and dropshippers, especially local companies, might
give you products ‘sale or return’, meaning if you buy products and
they don’t sell you can take them back and exchange them for
something else to test market on eBay.
You should
start out by listing as many different ‘test’ items as possible,
which you are confident you can purchase in quantity when your
auctions end in seven or ten days time. It’s best to use
auction format to test items you have no experience of selling, both
to determine how many people want your product and how much they are
willing to pay.
You should
add a ‘counter’ to your auction which reveals how many people have
clicked to open your listing to learn more about your product.
This is a great indicator of likely interest in your product and
your most frequently viewed items will usually attract early bids
and generous profit margins.
About a
day before your auctions end you’ll spot signs of multiple bidders
and consequently ‘Second Chance’ buyers for some of your products.
Second Chance Offers are where
unsuccessful
bidders are invited to buy an
identical item at their highest bidding price. Some amazing
profits are possible and you can easily find ten or more people
accepting your Second Chance Offers.
But the best
is yet to come because you will find a good number of items
attracting bids way beyond their high street value and generating
plentiful profits for you, alongside other items that fetch just
five or ten pounds profit apiece, along with usually a tiny minority
of items that attract no bidders and remain unsold. This time
round, that is, because in seven days those very same items that
went unsold this week could fetch record high prices on eBay.
Once you have
multiple bidders for an auction just about to end, go obtain stock
right away, ask for 30 days trade terms before having to pay, and
this way you’ll have stock enough for several bidders and you’ll
have money in the bank before you have to pay your supplier.
You should
not make Second Chance Offers unless you are certain your supplier
has products in hand or can provide stock within two days maximum.
Making Second Chance Offers, taking payment, then having to refund
buyers because stocks have run dry, is a great way to get negative
feedback! Be earned.
Before you
start counting the profits, bear in mind it’s not a question of win
or lose when you are ‘testing’ products, all you want is an
indication of products that will sell and continue to sell, and
these will form the core of your product range.
Once
you have tested products, and determine which are your most likely
best seller, you must decide how many products to stock and what
mark up is needed. If you want to make, say, £1000 profit each week,
you might opt for one hundred listings with £10 profit margin with a
few more thrown in to cover listing fees and incidental expenses.
Or maybe you’ll go for ten items individually
offering £100 pure profit.
The choice is
yours and this represents the main way the world’s top PowerSellers
generate incredible profits.
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