Today we look at the art of reselling. Over the years, I’ve adjusted from becoming a typical Amazon FBA seller, expanding to other avenues to help increase my income. After all, you can never have enough income streams.
In 2022, I’ve actually increased my eBay activity to match my Amazon activity, which I’ll be honest has been very intense. It’s been a great learning curve though, and overall a good experience. I must say, I much prefer the Return on Investment that’s available with eBay reselling.
However, eBay selling is significantly different to Amazon selling and the strategy is completely different. Today, I’ll be providing a full Reselling Tutorial for Beginners which will teach you everything that you need to know for long term success.
The Official Definition of Reselling
Reselling is the act of purchasing a product or service with the intention of reselling it for a profit. This can be done through various channels, such as online marketplaces, brick-and-mortar stores, or even through social media.
There are many different types of products that can be resold, ranging from brand new items to gently used or even vintage items. Some popular items that are often resold include clothing, accessories, electronics, and collectibles.
One of the biggest advantages of reselling is that it allows individuals to start their own business without having to invest a lot of money upfront. By purchasing items at a lower price and then selling them for a higher price, resellers can make a profit without having to worry about the costs associated with manufacturing or distributing a product.
Another advantage of reselling is that it allows people to tap into existing demand for a product. If there is already a market for a particular item, a reseller can simply purchase that item and sell it to people who are looking to buy it. This means that reselling can be a low-risk way to start a business, as there is already an established demand for the product.
There are a few different ways that resellers can source products to sell. One option is to purchase products directly from manufacturers or wholesalers, who often offer discounts to resellers. This can be a good option for resellers who are looking to sell a large volume of a particular product.
Another option is to purchase products from retail stores or online marketplaces, such as eBay or Amazon. This can be a good option for resellers who are looking to sell a wide variety of products, as these platforms offer a wide selection of items.
Finally, resellers can also source products from yard sales, estate sales, or thrift stores. These types of sales often offer items at a discounted price, which can be resold for a profit.
There are a few different strategies that resellers can use to maximize their profits. One strategy is to focus on a particular niche or category of products, such as vintage clothing or electronics. By specializing in a particular area, resellers can often command higher prices for their products, as they have a deep knowledge of the market and can provide valuable information to potential buyers.
Another strategy is to focus on sourcing products at a discounted price and then reselling them for a profit. This can be done by negotiating with manufacturers or wholesalers, or by finding deals on online marketplaces or through other channels.
Finally, resellers can also focus on providing excellent customer service to differentiate themselves from competitors and increase customer loyalty. By offering fast shipping, excellent communication, and a hassle-free return policy, resellers can build a positive reputation and increase the chances that customers will return for future purchases.
In conclusion, reselling is a great way for individuals to start their own business and make a profit. By sourcing products at a discounted price and reselling them for a profit, resellers can take advantage of existing demand for a product and build a successful business. With a little bit of knowledge and some strategic planning, anyone can become a successful reseller.
What is Reselling? (Answered for beginners)
Reselling is the form of purchaisng something, and selling it yourself on a marketplace. In many ways, every company that sells a branded product is a re-seller.
Let’s take Curry’s as the perfect example. Curry’s purchase an Air Fryer either directly from the manufacturer, or from a distributor. As they purchase so many items, they would likely get a quantity discount on the purchase price.
Curry’s will then stock the item, list it on their website (and in-store) and sell the item to someone like yourself. Customer will purchase this and Curry’s will make a profit.
The term ‘Reseller’ is a very broad term, and often gets referred to as ‘Scalper’ when individuals get involved in the act. In reality, anybody that purchases an item with the aim of selling it on, is a reseller.
Being a reseller involves ‘taking advantage’ of products that are high in demand, with short supply. I will go through some examples a little later on to show you items that have been taken advantage of, which will help you with the learning process.
The aim of reselling is ultimately to make a profit. However, you should treat this with the utmost professionalism and remember that this should be run like a business. Although you’re trading on eBay, you’ll have a customer base. The better you act, the better your feedback and the more sales you’ll make.
Resellers in the UK often buy items in bulk at a discounted price, before selling them individually at a larger price.
Your aim here though, isn’t to become the next Curry’s, or Very. As an individual reseller, you’ll be looking towards eBay as your marketplace, buying brand new items for retail and selling them at a profit.
However, finding the items isn’t always the easiest, and it pays to have information on High Demand items, such as collectibles or Sports Trading Cards.
What items are good for reselling in the UK?
I can’t give a single answer here, as I’ll be honest, the answer always changes! It depends on the season, on the ‘hot item’ during that quarter etc.
In Quarter 3 of 2022, I have been selling lots, and lots of Air Fryers. This is due to things such as the Cost of Living Crisis, but also increased media attention on these. I’ve not been the only one buying these though, and they have been highly recommended in many Reselling Groups (Cook Groups).
My typical items I have been flipping in 2022 are:
- Ninja AF400UK – Purchase Price £229 with a sell price of £299. I also had 8% cashback each time. Total Profit: £75 per Air Fryer
- Lay Z Boy Spa: Purchase Price £399 with a sell price of £550. Total Profit after fees £115
- Sony PS5 – Purchase Price £479 with a sell price of £589-£699. Total Average Profit after fees £130
I’ll be honest, these are some of the most popular items to re-sell. I can’t highlight the items that I’ve currently been selling, because I’m part of a Reselling Group that forbids me to leak any data.
There are members paying for this information, so if I’m just giving the information out for free, that group would cease to exist.
Is it worth signing up to a Reselling Group in the UK?
Without a doubt, if you’re serious about Reselling Groups, then you should definitely sign up to a reselling group. There are plenty of these out there, so I won’t be explicitly declaring you should join a single one.
Just due your due diligence, and make sure the group that you join offers enough good items to resell. You should ideally see products that you never thought of, from websites that you never previously considered.
Once you’ve completed your first month of flipping, consider how much profit you’ve made and maybe you could even register to join another group. Just like in real life, you won’t move into your forever home as your first house.
What is Flipping?
I’ve just mentioned the famous word Flipping. This is another word for reselling, but it’s the art of buying and selling pretty quickly. This is why it’s known as a flip.
The highest demand items are always classed as a flip, as by the time you’ve made the listing, it’s time to print your postage label!
You’ll learn all of this if you join a reselling group.
What type of products can I resell in the UK?
If you decide to join a resell group, you’ll be provided with all of the information, including products and product links for where to purchase your items.
However, not everybody can afford up to £40 per month investment, so may need to start out on your own. If this is you, it will definitely pay to know what sort of items re-sell well.
If you’re doing it alone, you will need to determine yourself if the item has resale value. I would advise looking for items that appear to be out of stock in most retailers. Beyond this, you’d need to check on eBay if your chosen item has a good range of sales.
If you aren’t really sure where to go from here, take a look at:
- Games Consoles. Any new games console that is released is likely to go out of stock. Two years later, the PS5 still isn’t sat in stock on the shelves and has excellent re-selling potential.
- Signed Memorabilia. You don’t want just anything that’s signed, you will need to look for actors, musicians or sports stars that have high popularity. During Christmas, these things fly, especially anything like Taylor Swift, Ed Sheeran signed CDs.
- Seasonal Items. In the Summer, things like Hot Tubs, Barbecues, and Log Burners are all in hot demand. In the winter? Air Fryers, Heated Blankets & ‘Hot’ Christmas Presents. I’ve sold everything from Ugg Boots, to Dyson Air Wraps!
Can I make a profit from Reselling in the UK?
You can definitely make a profit from reselling. It will all depend on how much stock that you can purchase, which will then be re-sold. However, you should aim to make at least 20% Return on Investment… per item.
This is scalable really quickly, and during the year there are items that will earn you much more than the target 20%. I set this to be modest, as you might struggle if not in a premium reselling group.
If you start with £1,000 I think you can realistically expect to have £3,000 in your bankroll for the beginning of Year 2. If you scale at this rate continuously, you would have over £20,000 after three years.
Tips for Reselling in the UK & Maximising Sales
Now we reach a part in this article where I will provide some tips for reselling in the UK. This isn’t going to be about specific items, but it’s more-so about how you can set yourself up for long term success.
Build a Brand
When I say build a brand, I don’t mean make a website and sell items specifically under your own label. This is a very simple trick and will pay you dividends.
When you create your eBay selling account, you’ll be asked to choose a userrname. Instead of choosing something like FirstName Lastname, get creative and choose yourself a store-like name.
You don’t need to officially register this, it’s just an eBay name. However, this will subconciously add more confidence to your buyers when they look for an item to purchase.
If you aren’t sure on the above, just think of your own past purchasing history. When you buy something from eBay, do you look who the seller is? 99% of people do!
If you have a name that sounds like a brand, you’ll look more professional and have more chances of gaining a sale.
Satisfy the Buyers Needs
In most cases, your buyer will order the item without even contacting you. However, you need to be prepared to answer some questions before your buyer will part with their hard-earned money. Sometimes, they will also feel entitled to a higher level of service, as they are paying over the Recommended Retail Price for that item.
Most of the time, these will be harmless questions that will be asked. I’d recommend you do your very best to offer that buyer a good service, which may include selecting the ‘Reply with Offer’ button and offering them a small discount.
There are things to be careful of, such as ensuring you don’t provide any digital information to the buyer before they have paid for it. For example, if you are selling a Digital Code for a Game, don’t provide any pictures of this beforehand!
Add a Good Item Description
I follow this rule 95% of the time. Sometimes, I really struggle for time and the description is the sacrificed piece of the puzzle. Fortunately, this can be edited at any point, so it’s something that you can fine tune at a later date.
When your buyers are looking at listings, they want to be forced to press buy on your listing. If your description is blank, or very limited with information, then you’ve just lost your chance at the sale. The buyer has clicked onto your listing, but you haven’t secured the sale. And it was all your fault!
A good item description will include a sentence on the Condition of the item, a sentence about the postage method & include your seller terms. I often include something like “If purchased before 14:00, your item will be despatched today”. However, this isn’t an opportunity to mislead your buyer, only write in the description anything that you can actually offer.
Use the Expected Shipping Service
When you create a listing, it can be quite easy for you to select Next Day Postage as your eBay delivery service. It’s incredibly important that if you select this, you follow through and provide the service. It’s not there to make your listing look sexier, it’s there for the buyers convenience.
Let’s take a look at the below screenshot, picking on Air Fryers as the test subject.
If you’re the seller offering ‘Free 2 Day Postage’, this will show up like this for buyers. It says get the item by Saturday. You need to ensure that the buyer receives this by Saturday.
I’ve made this mistake when I started selling, selecting Next Day Delivery for a 15KG item. This ended up costing me £16 to post, when it would’ve only cost me £9 if I had chosen the Economy method.
Put yourself in the buyers shoes. Let’s say they see the above screen and they need their Air Fryer by Saturday night because their oven has broken. If they don’t get this, then what have they paid £40 extra for? They could’ve proceeded with the £299.99 listing which will arrive by Monday.
Only offer the shipping service that you’re willing to provide. It’s always better to under-promise and over-deliver.
Make Your Listing Stand Out
When you’re reselling items on eBay, in many instances you’re going to be competing with other resellers. Now, some items may be very limited and only have a few other sellers… but other items will have hundreds of listings, and you will need to compete. You can do some things like promote your listing and may an extra few percent fees, but you can also manipulate your listings (ethically) to stand out from the crowd.
Most people that look at the above image will be drawn to the £339.95 Air Fryer, even though it’s the most expensive item on the list. This works wonders on eBay, and will lead to this seller achieving many sales.
This seller has utilised their listing perfectly, adding an easy to read title, which contains a few Emojis to capture the buyers attention. In addition to this, they have added a solid photo of their Air Fryer, confirmed by them propping a piece of paper with their eBay username attached. This would give the buyer confidence that this isn’t a scam listing.
Let’s take a look at the other listings, the top one is a stock photo which is likely to put the buyer off. They would be thinking Is this item in stock with this seller? Is the seller legit? Why haven’t they got a picture of their item for sale?!
The middle listing is an unfortunate one. It appears that the seller has attempted to take a nice picture of their item, but they might have been up against the clock and not managed to get that professional touch. Unfortunately, you can see more of the table, than the item for sale.
There’s nothing in particular wrong with the item titles for any of those, but you can see that they don’t stand out quite as much.
Be Wary about Pre-Listing Items that you’ve purchased
If you’re reading this blog post as it’s just been published, congratulations on your free lead below! However, this is not my intention, it’s to warn you against pre-listing items.
I try not to pre-list items whatsoever, but it’s an incredibly popular tactic. I think some sellers do this to try and obtain the absolute maximum price possible, but this comes with a huge risk. The risk can ultimately cost you with negative feedback, cancelled orders and refunds to pay out.
Let’s say you purchase this £350 Limited Edition Star Wars Light Saber. There’s only 5,000 being made and demand will be incredibly high. You decide to list it for sale at £650 and it sells immediately. The buyer pays, and now he waits to receive the item.
Now, in the best case scenario, you receive the item and send it to the customer, who is incredibly happy. Positive Feedback for you, profit for you.
What happens if Disney decide to cancel your order, because they’ve noticed that you’ve purchased multiple of the same item? What happens if the courier delivering this item loses the parcel? What happens if you receive the parcel, but it arrives damaged?
This is going to end up with an unhappy customer, and they tend to ‘vent’ their anger in the form of negative feedback. This is essentially a signal for other buyers to see that you can’t be trusted fully… and it will affect your sales potential.
Let’s think of the other side of things, too. What if you pre-sell this item, but the one you receive is an exclusive number, for example 1/5000. The very first one. This will hold significantly more value, and you will have sold it for a base price.
Sometimes, it pays more to wait until you have the item physically in stock.
Reselling Tutorial: Conclusion
I hope that this Reselling Tutorial has offered you a good insight into selling, but it won’t make you a master overnight. Keep an eye out for the Reselling & Flipping blog which will contain more tips & insights into becoming a profitable reseller.