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I sell random stuff on Amazon, buying wholesale. Current run rate is ~200k/month, more in Q4, figure profit somewhere between 5-20%. Started 2 years ago buying
by ikeboy 9y ago
I sell random stuff on Amazon, buying wholesale. Current run rate is ~200k/month, more in Q4, figure profit somewhere between 5-20%.
Started 2 years ago buying from stores etc, shifted to wholesale a year ago.
- philbarr 9y agowhat kinds of things do you sell? how do you advertise? do you have a marketing campaign? how do you know people will want to buy what you have?
- ikeboy 9y ago1. Random, electronics/toys/health/office supplies 2. Not much advertising, just checked and YTD spend is $600, most on a single product. Most traffic is organic 3. Mostly sell existing items that already have a lot of sales and we just get a share of those. That's what I'm paying Amazon enormous commissions for - to bring the eyeballs
- HatchedLake721 9y ago200k revenue or profit?
- ikeboy 9y agoRevenue
- benp84 9y agoSo, what's gross profit look like? Edit: My mistake. Already said it.
- ikeboy 9y agoIt's in my first comment
- prklmn 9y agoThat’s great! Do you ever physically handle any product?
- ikeboy 9y agoRarely. Returns are a bother to handle, I put it off then go through a bunch of boxes every so often.
- prklmn 9y agoThat's interesting. I just heard about a guy who is in the returns auction business where he'll take all your returns and then get rid of them without you ever having to get involved, then you get a cut after he sells the product.
- ikeboy 9y agoI know a couple services like that but aren't using them for various reasons
- sreyaNotfilc 9y agoWow! That's pretty amazing! I have a course on how to do that. It seems pretty easy, but for some reason I never go out and just try it. I have another business idea that I've been working on for some time. So, maybe that's the reason for not starting this one. But, why not have multiple source of income than rely one thing that may be BIG. I guess I'm saying I'm throwing my hat into the ring today. Gosh, business is scary and exciting at the same time.
- ikeboy 9y agohttps://www.frugalhack.me/2016/09/28/how-to-sell-on-amazon/ https://www.frugalhack.me/2016/09/28/how-to-sell-on-amazon/ good general intro to a bunch of models, http://www.lessonslearnedinbusiness.com/amazon-wholesale-sourcing-training-course/ http://www.lessonslearnedinbusiness.com/amazon-wholesale-sou... good long deep dive into wholesale.
- blunte 9y agoIf you're referring to the "Amazon drop-ship" business, I think that space is probably already overcrowded. Those who got in and figured it out - and got a head start, probably still have an advantage. But you must realize that Amazon can, at their whim, change anything at any moment and kill that business. Plus you have unscrupulous competitors who will throw a little money in to buy a bunch of your products as soon as they appear (if your products compete with theirs), and then leave negative reviews. I suspect that eventually the only way to be a winner is to be a cheater. Surely you don't do that.
- ikeboy 9y agoI got out of drop-ship and pivoted to wholesale a year ago. Agree with you on saturation, margins are tiny but some people are making serious bank, I know a couple 8 figure (gross) accounts