This is great news for those looking for a highly profitable industry to kickstart their journey of success.<\/p>\n\n\n\n
Whatever your goal is, there is no better time to learn what a reselling business is and how to make money from it. <\/p>\n\n\n\n
Below you will find 8 tips to guide you in starting a successful reseller business<\/strong>. We’ll go over:<\/p>\n\n\n\n What Is a Reselling Business?<\/a><\/p>\n\n\n\n How Profitable Is Reselling?<\/a><\/p>\n\n\n\n How to Start A Reselling Business- 8 Steps To Success!<\/a><\/p>\n\n\n\n There is no secret to the name.<\/p>\n\n\n\n A reselling business simply involves the purchase of products from a manufacturer or wholesaler and then selling them to customers for a profit. <\/p>\n\n\n\n A reseller will typically sell their items for a price that is either higher or lower than the original.<\/p>\n\n\n\n Popular product categories<\/strong> to resell include:<\/p>\n\n\n\n Find out more: <\/em>Best Things to Resell – Ultimate List<\/em><\/a><\/p>\n\n\n\n Online reselling can be a highly profitable (and rewarding!) business model. <\/strong><\/p>\n\n\n\n Most successful resellers<\/strong> can make anywhere between 10% to 50% profit margins on their sales<\/strong>; although it is useful to note that certain product categories- like luxury items- can increase profits even further. <\/p>\n\n\n\n Therefore, it is safe to say that product type, demand, competition, and marketing efforts can all influence your sales.<\/p>\n\n\n\n For instance, products<\/strong> that are high in demand<\/strong>, but have less competition<\/strong> are likely to attract a greater number of sales.<\/strong> <\/p>\n\n\n\n Here\u2019s why starting a reseller business is a great business idea<\/strong>:<\/p>\n\n\n\n Setting up an online store comes with minimal overhead costs<\/strong>. Whether you build your own website, or take advantage of existing marketplaces, you can reach a wide audience without the need to spend a fortune.<\/p>\n\n\n\n Flexibility is at the core of online reselling. <\/p>\n\n\n\n For starters, you are free to choose whether you want this to be a side gig or a full-time career. You can even switch between them if your preference changes along the way. <\/p>\n\n\n\n On top of this, you can run your ecommerce business from virtually anywhere- giving you complete geographical independence<\/strong> for a higher chance of great profits!<\/p>\n\n\n\n Finally, as the CEO of your own business, you are free to experiment with different products and strategies, allowing you to channel your creativity through different mediums. <\/p>\n\n\n\n An environmental study<\/a> found that if every shopper replaced a new purchase with a pre-loved one, 5.7 pounds of carbon emissions would be reduced- enough to plant 66 million trees!<\/p>\n\n\n\n So, it is safe to say that a circular business approach is one of the most impactful ways to minimize the environmental impact of fast fashion and hyper-consumerism. <\/p>\n\n\n\n Adopting ethical and fair trade practices by offering products that are sourced responsibly is a great way to be part of the change, while also finding a strong niche of sustainability lovers for your reseller business! <\/p>\n\n\n\n While we have established that online reselling can be a lucrative career, it won\u2019t magically happen overnight. <\/p>\n\n\n\n Not to worry!<\/p>\n\n\n\n To make your reselling journey as smooth as possible, we put together a complete guide to help you start selling online<\/strong>:<\/p>\n\n\n\n Choosing the right niche<\/strong> is the foundation of a successful ecommerce business.<\/p>\n\n\n\n A rookie mistake is trying to appeal to everyone in the hopes of reaching a wider audience.<\/p>\n\n\n\n This should be avoided at all costs!<\/em><\/p>\n\n\n\n Having niche expertise will help you target specific communities<\/strong> of buyers that already have an interest in products like yours; giving you a headstart in the game!<\/p>\n\n\n\n Demonstrating expertise can help customers feel more confident in their purchase decisions, as can see that you specialize in your product. <\/p>\n\n\n\n SbriStudio specializes in personalized leather purses and accessories.<\/p>\n\n\n\n Source<\/a><\/p>\n\n\n\n This is a great example of an online business portraying itself as a product specialist.<\/p>\n\n\n\n Would you be more likely to trust a shop that sells glasses, electronics, and leather purses or one that specifically specializes in leather products?<\/p>\n\n\n\n We both know the answer here!<\/p>\n\n\n\n So, to niche down <\/strong>make sure that you:<\/p>\n\n\n\n The ideal product category should be one in which you can showcase product specialty, and is high in demand with low competition.<\/p>\n\n\n\n Now that you have chosen your perfect product niche, it is time to find the best marketplace to sell on. <\/p>\n\n\n\n There are a myriad of ecommerce platforms<\/a>, each with its own communities of buyers:<\/p>\n\n\n\n This popular online marketplace is best known for its fashion-savvy users. <\/strong><\/p>\n\n\n\n The app is particularly useful for those interested in Gen-Z fashion<\/strong>, including Y2K and vintage product categories. <\/p>\n\n\n\n Apparel and jewelry are the most profitable niches<\/strong>– as long as they are aesthetic and on a budget!<\/p>\n\n\n\n Find out more: <\/em>How to Become a Clothing Reseller<\/em><\/a><\/p>\n\n\n\n This social network platform is known for its huge luxury fashion niche<\/strong>.<\/p>\n\n\n\n New and pre-loved designer pieces sell the most here. <\/p>\n\n\n\n Popular brands<\/strong> include:<\/p>\n\n\n\n Find out more: <\/em>Where to Sell Luxury Items<\/em><\/a><\/p>\n\n\n\n This is one of the most popular platforms for sneaker resale<\/strong>– especially rare and limited-edition kicks. <\/p>\n\n\n\n It operates on a bid-system and maintains anonymity for both buyers and sellers.<\/p>\n\n\n\n Find out more: <\/em>How to Become a Sneaker Reseller<\/em><\/a><\/p>\n\n\n\n This second-hand app is perfect for selling new and used items of any category<\/strong>– although collectibles tend to do particularly well here. <\/p>\n\n\n\n While the marketplaces above target a specific niche of consumers, Mercari attracts a diverse audience.<\/p>\n\n\n\n Doing extensive market research is a must<\/strong> for any upcoming online reselling business.<\/p>\n\n\n\n Your final decision should be determined by the audience you are looking to target; which should be a community of buyers that already have an interest in products like yours! <\/p>\n\n\n\n While building a website for your brand is important for scaling your business, it is not recommended as an initial step.<\/p>\n\n\n\n Online marketplaces already have a customer base ready for your online store<\/strong>, along with other great features – customer support, built-in marketing tools, and inventory management- that can help you start selling immediately.<\/p>\n\n\n\n Find out more: <\/em>Best Second-Hand Apps to Sell On<\/em><\/a><\/p>\n\n\n\n TIP:<\/strong> There\u2019s no need to stick to just one marketplace!<\/p>\n\n\n\n This is also known as crosslisting.<\/strong><\/p>\n\n\n\n Selling on multiple sites at once can help you reach your target audience on multiple platforms<\/strong>, as it is common for a lot of users to stay loyal to a singular marketplace.<\/p>\n\n\n\n For instance, both Vestiaire Collective and Poshmark are great places for targeting buyers that want to purchase high-end, designer apparel and jewelry. <\/p>\n\n\n\n Apart from reaching more customers, you will increase your brand exposure<\/strong>; making you a more memorable seller. <\/p>\n\n\n\n Manual crosslisting can be a tedious, time-consuming process that can discourage even the most dedicated reseller.<\/p>\n\n\n\n This is why we recommend affordable crosslisting software<\/strong> that will take care of the entire process for you.<\/p>\n\n\n\n Find out more: <\/em>How to Sell on Multiple Sites at Once<\/em><\/a><\/p>\n\n\n\n Crosslister<\/a> is the best crosslisting software on the market and is supported by most marketplaces.<\/p>\n\n\n\n Once you make an account, you can select the inventory you would like to copy over to another marketplace and simply click Crosslist. <\/strong><\/p>\n\n\n\n It\u2019s that simple!<\/em><\/p>\n\n\n\n Try Crosslister for FREE<\/strong> here.<\/a><\/p>\n\n\n\n The price you source products for will determine how much profit you can make in your reselling business.<\/p>\n\n\n\n So, it is key to find suppliers that are compatible with both your budget and storage.<\/strong><\/p>\n\n\n\n There are several methods<\/a> of inventory sourcing:<\/p>\n\n\n\n This business strategy refers to the purchase of products from a retailer- usually at a discounted price- and then reselling it at a higher price.<\/p>\n\n\n\n The success of retail arbitrage often depends on the reseller\u2019s ability to identify high demand products and effectively market them to the target market. <\/p>\n\n\n\n You can source your inventory from<\/strong>:<\/p>\n\n\n\n (Although our home is not a reliable supplier, this should be your first option at the initial stage of reselling. Our homes are filled with unused items that would be better suited at the hands of a happy buyer, so using it as a temporary supplier is a budget-friendly start!)<\/p>\n\n\n\n This sourcing method consists of a distributor that purchases product in bulk from a manufacturer at discounted price. A reseller can then buy this product in large quantities, again, at a discounted price. <\/p>\n\n\n\n Due to the bulk packaging, wholesale requires access to physical space, which can be an issue for those living in small apartments. <\/p>\n\n\n\n However, the bulk discounts make this a great investment that can save you money down the road. That is, of course, if you are able to afford the start-up cost AND <\/strong>can attract customers to resell all the inventory. <\/p>\n\n\n\n Make sure to calculate this risk when deciding if wholesale is for you.<\/p>\n\n\n\n This is a retail fulfillment method where a reseller business accepts orders without storing or shipping the stock. <\/p>\n\n\n\n Instead, the manufacturer takes care of this process themselves. <\/p>\n\n\n\n Once you find suppliers and get into contact with them, you will have to list their products on your own ecommerce business, and you will start earning a percentage of the sales. <\/p>\n\n\n\n A dropshipping business is cost-effective and saves storage<\/strong>, making it great for a small business that is just starting out. <\/p>\n\n\n\n However, keep in mind that you will be responsible for the safe delivery of the parcels and customer support, despite you not actually shipping the products yourself. This can have an impact on your reviews- the cornerstone of an ecommerce store. <\/p>\n\n\n\n TIP:<\/strong> Use our free profit\/fee calculators for each major reselling marketplace to help you:<\/p>\n\n\n\n Although online reselling<\/strong> is a simple business model that doesn\u2019t require much capital to start up, it can quickly become super time-consuming as your business grows<\/strong>.<\/p>\n\n\n\n Automating tedious tasks<\/strong>, such as listing and refreshing items, can make your workflow more efficient.<\/strong><\/p>\n\n\n\n Here are some great automation tools<\/strong> for various marketplaces:<\/p>\n\n\n\n A Depop Bot can help you increase your sales by taking several tasks off your plate:<\/p>\n\n\n\n In just a few clicks, you can make online reselling simple and faster.<\/p>\n\n\n\n Check out our Bot for Depop here.<\/a><\/p>\n\n\n\n Similar to a Depop Bot, a Poshmark Bot can automate your closet in the following ways:<\/p>\n\n\n\n\n
What Is a Reselling Business?<\/strong><\/h2>\n\n\n\n
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How Profitable Is Reselling?<\/strong><\/h2>\n\n\n\n
Low Initial Investment<\/h3>\n\n\n\n
Flexible Business Model <\/strong><\/h3>\n\n\n\n
Sustainability<\/strong><\/h3>\n\n\n\n
How to Start A Reselling Business- 8 Steps To Success!<\/strong><\/h2>\n\n\n\n
Think About What You Want To Sell<\/strong><\/h3>\n\n\n\n
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Choose The Best Marketplace For Your Niche<\/strong><\/h3>\n\n\n\n
Depop<\/strong><\/a><\/h4>\n\n\n\n
Poshmark<\/strong><\/a><\/h4>\n\n\n\n
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StockX<\/strong><\/a><\/h4>\n\n\n\n
Mercari<\/strong><\/a><\/h4>\n\n\n\n
Source Products With Profit In Mind <\/strong><\/h3>\n\n\n\n
Retail Arbitrage<\/strong><\/h4>\n\n\n\n
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Wholesale<\/strong><\/h4>\n\n\n\n
Dropshipping Business <\/strong><\/h4>\n\n\n\n
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Invest In Tools That Will Help You Grow<\/strong><\/h3>\n\n\n\n
Bot for Depop <\/strong><\/a><\/h4>\n\n\n\n
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Bot for Poshmark<\/strong><\/a><\/h4>\n\n\n\n
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