One of the main things people ask me, when I sit or talk with them about selling on sites such as eBay, is what about product sourcing. Product sourcing is one of those areas that can either make or break your business. If you get the wrong product or you see a hot product being sold and but stock when you have the money, you might have missed the hotness of the product.
Time after time people say to me “why not sell items like iPhones, or iPads, well yes this is a good seller, these items sell day in and day out there is no question about that…………………. but, companies like Apple control who they sell to, and if you do pass all the tests of becoming a seller then you will need to buy a massive amount of stock that will cost a lot of money. But while we are on the subject of iPhones etc, just think outside the box, why not sell things like, earpieces, cases, covers, external batteries, but again think broad and outside the box, do not go for brand named items again the profits will be low, go for what is known as generic products, unbranded items. These items do not carry a brand name, but there is nothing wrong with them and often they are as good as the well known names, plus the profit margins are far higher.
Product Sourcing once you have been doing it for a few weeks will soon become second nature to you, when you are out and about, products and product ideas will pop out at you, when this happens you need to make a note of the product, where you saw it, the RRP (Recommended Retail Price), and if possible try and get the name and contact details of who made the item or who sells it. Also when you are looking for new products, do not forget craft fairs and local products these can be a great Product Sourcing channel for your business. And quite often these people do not sell online as they love making crafts and just do not have the time to sell online, this is a great bonus for you as you will be the only person selling these items.
Another area for your Product Sourcing business is in local products, that can only be bought from your local area, again quite often these people do not have the time to sell online, and you can come along and help them out – with this market you will be selling both to local people and also to people who have moved away and still want to buy their favourite items.
Quick Product Sourcing Tips
- Go and look at all the magazines in your local newsagent or newsstand. If you see more than a few magazines for a niche you could be onto a winner. And even better if you have a magazine in a broad niche such as Horses and there are several magazines in this broad niche, and along side these you have magazine for horse riding, pony club, show jumping etc, these really helps you. When you have chosen a few niches go and buy a few magazines and read them and make a note of all the suppliers in them, and then contact these people.
- Another good product source is go to local craft shows and county shows.
- Network with small local businesses who sell into niche markets
- Lastly one of the best places for product sourcing is to go to Trade Fairs, here you can meet with suppliers and agents and get to see and touch the products.
As I mentioned at the start product sourcing is a lifestyle, one that is fun…………… yes at times you will get it wrong, but if you have bought right, not spent a lot and not bought loads of the item, you can sell them at cost and re-invest the the money back into new stock. Hope this article on Product Sourcing has helped you.