PROPER RESEARCH IS NECESSARY FOR SUCCESS
Research requires due diligence on your part, spend time with research. You must know the average selling price on eBay of the product you have decided to sell. On the main search page, located to the right of the search button is an [Advanced Search] button. Next, open the Advanced Search link, enter a keyword(s) for your product.
What you do next is by selecting your related category, then the completed listings link, then search. You are now seeing on your monitor closed auctions for products you are considering selling. Green means a sold product. Red means an auction item that did not sell. Black means the product did not sell, and was originally listed as a Buy it Now listing. Forward this critical data to a spreadsheet such as Microsoft Excel.
DONT FORGET TO MIND YOUR SHIPPING
In order to take care of your customer, you must be sensitive to shipping fees. It was a common practice recently to have a low priced item, but overcharge for shipping. A way of hiding additional profit. Buyers have caught on to this, and are very selective to products when it comes to Free shipping vs. Overcharged Shipping. When I speak of Free shipping, even a reasonable shipping fee is acceptable.
As you perform your research, notice that many of the products that Sold, have either Free Shipping or Low cost shipping. Overall, Free shipping or reasonably priced shipping products will do better in the long run. Make sure to keep the majority of your shipping cost priced in your product, while maintaining your profit margin, and keep your price competitive.
BASIC ECONOMICS: SUPPLY AND DEMAND
There must be a demand for any product you wish to sell on eBay. Prior research is a must before any listing follows. If the demand and profit margin are not in line, you may have a shelf full of product that does not sell. Frozen capital will ruin, and severly hurt any business. Enough frozen capital and the business fails. If someone offers to sell you product "X" for $10.00 each, 100 count. You do your eBay research and find that in the last sixty days, only 1 sale was made of 50 offered on eBay, selling price $10.50. You will have a problem on your hands. 50 problems to be exact. Product "X" should not be purchased.
It is recommend to get off to a good start, find a Dropshipper, a legitimate Dropshipper. With a dropshipper, you do not have to stock any products. Just sell the product, and the dropshipper will send to customer for you. You just collect the profits. Yes, I said legitimate, many so-called "Wholesalers" are retailers in disguise. They give minimal discounts off of retail price, but you are not getting true wholesale pricing. Do a Google search for Wholesale Sources, or Dropship Wholesale, perform your due diligence and deal with a wholesaler, not a middleman. - 16928
Research requires due diligence on your part, spend time with research. You must know the average selling price on eBay of the product you have decided to sell. On the main search page, located to the right of the search button is an [Advanced Search] button. Next, open the Advanced Search link, enter a keyword(s) for your product.
What you do next is by selecting your related category, then the completed listings link, then search. You are now seeing on your monitor closed auctions for products you are considering selling. Green means a sold product. Red means an auction item that did not sell. Black means the product did not sell, and was originally listed as a Buy it Now listing. Forward this critical data to a spreadsheet such as Microsoft Excel.
DONT FORGET TO MIND YOUR SHIPPING
In order to take care of your customer, you must be sensitive to shipping fees. It was a common practice recently to have a low priced item, but overcharge for shipping. A way of hiding additional profit. Buyers have caught on to this, and are very selective to products when it comes to Free shipping vs. Overcharged Shipping. When I speak of Free shipping, even a reasonable shipping fee is acceptable.
As you perform your research, notice that many of the products that Sold, have either Free Shipping or Low cost shipping. Overall, Free shipping or reasonably priced shipping products will do better in the long run. Make sure to keep the majority of your shipping cost priced in your product, while maintaining your profit margin, and keep your price competitive.
BASIC ECONOMICS: SUPPLY AND DEMAND
There must be a demand for any product you wish to sell on eBay. Prior research is a must before any listing follows. If the demand and profit margin are not in line, you may have a shelf full of product that does not sell. Frozen capital will ruin, and severly hurt any business. Enough frozen capital and the business fails. If someone offers to sell you product "X" for $10.00 each, 100 count. You do your eBay research and find that in the last sixty days, only 1 sale was made of 50 offered on eBay, selling price $10.50. You will have a problem on your hands. 50 problems to be exact. Product "X" should not be purchased.
It is recommend to get off to a good start, find a Dropshipper, a legitimate Dropshipper. With a dropshipper, you do not have to stock any products. Just sell the product, and the dropshipper will send to customer for you. You just collect the profits. Yes, I said legitimate, many so-called "Wholesalers" are retailers in disguise. They give minimal discounts off of retail price, but you are not getting true wholesale pricing. Do a Google search for Wholesale Sources, or Dropship Wholesale, perform your due diligence and deal with a wholesaler, not a middleman. - 16928
About the Author:
Johnathan Z Moore has been enjoying Internet Marketing since March 2001. For a brief period he is offering his eBay Mini Course at No Charge. Get this information now FREE 7 Day eBay Success Mini Course To find Pre-Screened legitimate Suppliers follow this link Wholesale and Dropship Sources
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