Amazon FBA Experimnet Archives

11 Legitimate Survey Sites

How to create quick cash on Ebay here

Take Ann Mavis. On a recent Wednesday afternoon in Southern Texas, she loaded up her station wagon with all kinds of items to donate. “Im smitten with the Kondo bug,” she said.

What was she donating? Family games, handbags, shoes, ornaments, and bedding.

And she’s not alone. According to Goodwill, which operates used goods stores across the U.S., donations in some cities like Washington and Houston have jumped nearly 32% since her show began.

Some items are new. A store manager in Houston tells the story of a man who came in with his girlfriends shoes – Gucci and Prada- still in their boxes with price tags upward of $1,000. The girlfriend was waiting to go shopping for new shoes.

So, with items that can be purchased for pennies on the dollar and then re-sold on Ebay, resellers stand to benefit from a big increase in donations.

Learn about my Amazon FBA experiment here.

Relevant Articles:

11 of The Best Side Hustle Ideas for 2019

11 Legitimate Survey Sites

So what are some tips from Kondo on Tidying up?

Throughout her decluttering career, Marie Kondo has developed six basic rules for tidying. These simple items are the basis of her brand — but if you apply them to your household, you may just see results.

Marie Kondo’s six rules for tidying are:

Commit yourself to tidying up.
Imagine your ideal lifestyle.
Finish discarding first.
Tidy by category — not location.
Follow the right order.
Ask yourself if it sparks joy.

As millions put Kondo’s plan into action and declutter their lives of excess stuff including books. Most are happy and feel a sense of relief. I read the book and found it a very useful and helpful practice. However, some wound up regretting their donations. Especially in the book category.

“I deeply regret Marie Kondo-ing my books a few years ago, just in case anyone is toying with doing the same!” Said one viral tweet.

The fact remains, that one person’s junk is another person’s treasure. And if you’re willing to do the work and hustle, finding valuable items at thrift stores and res-selling them on platforms like Amazon and Ebay can be quite profitable. And a simple and effective side hustle.

Amazon FBA tips below:

Why do I like selling on Amazon & EBay so much?

Here are five reasons:

1. It’s easy. Find stuff you already own, take pictures, add a listing, and a week later you have cash.

2. You control the entire process. You get to choose the minimum price you are willing to accept, you control how much time you want to spend on it, you control when the auctions will end, it’s all controlled by you.

3. It creates cash quickly. You can receive money for your items in 3-7 days.

4. It is a reminder that you’re buying stuff you don’t really need. The next time you think about buying something, you can remember the items you sold on Ebay.

(More on this from my post, Why We Buy What We Buy here.)

5. You find out the real value of items. All these items we buy depreciate immediately and lose much of their value. Seeing the sale price of items on Ebay is a nice reminder that our purchases retain little value.

Its anyone’s guess how long this de-cluttering trend will last. However, with all of the attention from her Netflix show, I wouldnt be surprised if it lasted a long time. And that’s good news for people looking to simplify as well as those looking to earn some extra money as a side hustle.

Extra info on our Youtube Channel here.

Amazon Retail Arbitrage Update: Tips for Making Money Now

March 7, 2019 by Frugal Prof

Amazon FBA Update: Tips for Making Money Now.

I began this journey to test whether I could really make money in Amazon FBA. I didn’t know the answer.

(Read my earlier posts on how this experiment began) here

And here we are, about six months later and the sales are starting to grow.

Within the last 30 days, I’ve sold over $1,500 in items on Amazon and EBay.

Find Tips to sell on EBay here.

Disclaimer; I believe in transparency and want to disclose this page has links to products that I may earn an affiliate commission for purchases you make. The reader pays nothing.

It’s a nice amount of extra income and I’ve learned so much.

To show you what I’m selling and which items can make you money, I’ve created a quick video.

I think you will like it and if you do, please Like & Subscribe

I am going to try to update videos on a consistent basis on making money with retail arbitrage.

So, definitely subscribe.

Why This Side Hustle is Great:

Flexibility: I love that I can work on this side hustle whenever its convenient for me. It’s very convenient and profitable. I can go to a few stores during my lunch hour and make extra money whenever I want.

I drop off packages at my mail box store first thing in the morning or usually when they open around 9 AM. It’s easy and it fits perfectly into my day.

I list items on Ebay while watching TV. This allows me to make money whenever I want. And if I get burned out, then I scale back on what I’m doing. It’s that easy. Its flexible and very convenient.

I can go to an estate sale or garage sale Saturday morning and make $200 in profit for an hour or two of “work.” It’s not really work at all because it’s interesting and I’m also learning about what items are worth.

The more you use the Amazon app or Ebay app to see what Items have sold for, the easier it is to make more money. What other side hustle can you make a couple hundred dollars in a few hours on a Saturday morning?

How to Learn From Me As I Grow:

I believe the best platform to continue sharing this journey is through Video.

So, I will be expanding and growing my YouTube Channel.

Definitely check it out! Here

Retail Arbitrage: Of course, if garage sales or thrift stores aren’t your thing, there are many ways to make money. I have also done retail arbitrage. Where you buy clearance or discounted items and then sell them. There are good profits in retail arbitrage, but it takes more capital to get started and it takes more skill. Garage sales are still a great way to make money and learn in my opinion.

One of my best Amazon flip came from a garage sale. A man was selling two new Schlage door fixtures. New in the box. From Home Depot. I offered $25 for two and then sold them on Amazon FBA for $95 EACH! For 10 minutes of “work.”

Garage sales are great because people really just want to get rid of their stuff. It’s not about getting the best price. They just have too much stuff and want it gone. Estate sales are similar, but they can be more fixated on price. It all depends.

My advice is to go early. The early bird does get the worm. I get great deals at garage sales because I’m able to wake up early and show up. It’s pretty simple. Yes, you can do well if you show up at 11:30AM but the best deals are found at 8:30AM. That’s the truth.

Tools I recommend:

These are very helpful tools to get started:

Quality Shipping Tape- Will save you money. Don’t buy the cheap stuff.
Label Scraper (amazingly helpful to remove price tags quickly and without danging the item).
Poly Mailer Bags for shipping. These will allow you to send items First Class mail and save money.
Good Bubble Wrap If items break, you wind up losing money. So bubble wrap protects your investment.
Mister Clean Magic Eraser– To clean up books – These are handy for many different items including cleaning shoes.
Quality and affordable shipping scale
A higher quality shipping scale
Quality Lights for Ebay: These were on sale ~$35 and they are great for the money.
Better pictures = higher profits on Ebay. Lighting is very important.
Shirt Folder: Makes it easier to fit clothes in the poly bag and saves money over time. Makes everything much more polished. More here.
Dolly/ Cart for Books & Boxes: Here
Handheld Scanner: here
Air Pillows for Shipping Here
Thank you stickers: Because positive feedback is important here.

Relevant Articles:

11 Legitimate Survey Sites for 2019

Make it Easy:

When I go to a store looking for books or items to sell on Amazon, I just put in my earphones and listen to a book from audible (right now it’s the biography of Ben Franklin), and it makes it easy.

Try Audible and get two books Free. More here.

That’s what I like. And then I scan the items to see which ones will make me money and after 30 minutes or 45 minutes, I’ve found $150 worth of profit.

And the time has flown by. Find what works for you.

Watch the Amazon Fees:

Everything with Amazon FBA and selling on Ebay comes down to fees.

Shipping fees, storage fees, listing fees.

Learning the cost of shipping is really important. I’ve learned the hard way to avoid selling large items that are expensive to ship (unless they are really profitable.) I made $185 profit on a VCR/ DVD combo and didn’t mind shipping that item. Other large items, not so much!

Learn what to sell:

I’ve tried selling everything.

I really wanted to be open to selling any item that can make me money.

On Ebay, I’ve now sold:

womens shoes,
clothing,
food items,
electronics,
sunglasses,
books,
dvds,
sneakers,
household items
tools
and more.

Pay attention:

Some items that I think will sell just sit in my Ebay store. And others fly off the shelves.

For example, I’ve been experimenting with buying women’s running shoes to re-sell for a profit on Ebay. I’m having a hard time getting people to pay $65 for some Adidas sneakers. But, the flip flops I bought have all sold. I sell three times as many pairs of flip flops as running sneakers. What’s more, the flip flops are easier to ship and cost much less.

Relevant Articles:

11 Legitimate Survey Sites for 2019

What’s Next?:

I’m hoping to keep scaling up this business until I get in the $2,000-$3,000 range.

In order to do that, I think I will need another 5 hours per week. In addition, I need my items that are in Amazon’s warehouse to Sell. Of course, I have no control over that. So, finding cool items to sell is something I can control.

I believe the best platform to continue sharing this journey is through Video.

So, I will be expanding and growing my YouTube Channel.

Definitely check it out!

The Frugal Prof Youtube Channel Here

So, please share and subscribe to continue to share this journey, learn, and make money.

I hope you’re inspired to begin your own Side Hustle soon.

How to Make Money Selling on Amazon in 2019- Tips and Update

December 6, 2018 by Frugal Prof

How to Make Money Selling on Amazon in 2019- Tips and Update

I’ve been very busy. My Amazon FBA Experiment is now in its Fourth Month. I’ve learned a lot about Amazon FBA and selling on Ebay as a professional seller. So, here is a progress report and some tips on making money in Amazon FBA in 2019.

Disclaimer; I believe in transparency and want to disclose this page has links to products that I may earn an affiliate commission for purchases you make. The reader pays nothing.

Update:

Yesterday was my biggest day in terms of earnings on Amazon FBA. I made $136. My 30 day average sales are now at $571. And My Ebay earnings are now averaging around $1,800 per month.

So, my revenues for both Amazon and Ebay reselling side hustles is averaging about $2,300 per month. This is not profit. This is before fees and expenses. But, selling and re-selling using Amazon FBA & Ebay can be very profitable with some hard work and focus.

Why This Side Hustle is Great:

I drop off packages at my mail box store first thing in the morning or usually when they open around 9 AM. It’s easy and it fits perfectly into my day.

Relevant Articles:

11 Legitimate Survey Sites for 2019

Make it Easy:

When I go to a store looking for books or items to sell on Amazon, I just put in my earphones and listen to a book from audible (right now it’s the biography of Ben Franklin), and it makes it easy.

Try Audible and get two books Free. More here.

That’s what I like. And then I scan the items to see which ones will make me money and after 30 minutes or 45 minutes, I’ve found $150 worth of profit.

And the time has flown by. Find what works for you.

Tools I recommend:

These are very helpful tools to get started:

Quality Shipping Tape- Will save you money. Don’t buy the cheap stuff.
Label Scraper (amazingly helpful to remove price tags quickly and without danging the item).
Poly Mailer Bags for shipping. These will allow you to send items First Class mail and save money.
Good Bubble Wrap If items break, you wind up losing money. So bubble wrap protects your investment.
Mister Clean Magic Eraser– To clean up books – These are handy for many different items including cleaning shoes.
Quality and affordable shipping scale
A higher quality shipping scale
Quality Lights for Ebay: These were on sale ~$35 and they are great for the money.
Better pictures = higher profits on Ebay. Lighting is very important.
Shirt Folder: Makes it easier to fit clothes in the poly bag and saves money over time. Makes everything much more polished. More here.
Dolly/ Cart for Books & Boxes: Here
Air Pillows for Shipping Here
Thank you stickers: Because positive feedback is important here.

Invest in the right tools:

Many people think, I don’t really need a lighting kit or Quality Shipping tape or multiple sizes of poly bags. But, the truth is quality photos will make you more money and having the right tools saves you time.

Quality Photos make you seem more professional and easier to trust with a purchase.

Having the right size bags to ship will save you money, and also time.

If you don’t have the right size bag handy, then you’ll probably waste 20 minutes rummaging around your home looking for a bag to ship an item. It may not fit and it may damage the item. Investing in the right tools not only saves money, it saves time as well. (See below for tools I recommend).

Watch the Amazon Fees:

Everything with Amazon FBA and selling on Ebay comes down to fees.

Shipping fees, storage fees, listing fees.

Learn what to sell:

I’ve tried selling everything.

I really wanted to be open to selling any item that can make me money. On Ebay, I’ve now sold:

womens shoes,
clothing,
food items,
electronics,
sunglasses,
books,
dvds,
sneakers,
household items
tools
and more.

Pay attention:

Some items that I think will sell just sit in my Ebay store. And others fly off the shelves.

Keep Learning:

This leads me one of the best things about this side hustle- you can earn while you learn.

In the previous example, I will make money from all of these items when they sell. It’s just that now I know that some items are easier to sell and will make more money for me. So, I can make better buying decisions and hopefully, make more money over time.

The learning curve is fast. I believe you can really start making pretty good money in reselling in 80 days.

Organize your bookkeeping:

Gotta do it. For 2019, my goal is to have everything entered into a spreadsheet within two weeks of the end of the month. This will allow me to learn what’s selling as well as where I’m making the most profit. All of this data helps improve the business and make more money with less effort over time!

Get the right tools:

As I write this, I just sold a Yankee Candle Spray. After entering the details in my spreadsheet, I see that the net profit after Ebay fees and paypal fees is only 76 cents.

Now that I have the data, I realize I made a mistake by not bundling two of these sprays as a package.

This would have doubled my profit due to the shipping fees etc…

My new target is to avoid items priced for less than $10. Smaller items are less profitable and just as much work.

Keep Learning:

I recently added a video on YouTube that describes what I’ve been making money on lately. Lots of good information here.

(And please Like and Subscribe!)

Keep Looking for New Resources:

I’ve mentioned that I am also selling on Poshmark. It’s not a big sales venue yet, but it has the potential to be. I’m open to selling on any platform. I have also sold an item on Facebook Marketplace. So, it pays to keep looking for new venues. This also lessens my dependency on Amazon and Ebay.

You never know if Amazon FBA will change their rules and make it harder (or less profitable) to sell through their platform. Don’t put all your eggs in one basket is sound business advice. Your mother was right.

Mistakes: I could easily do a whole post on mistakes I’ve made. (Comment below if you’d like that). One that comes to mind was a toy I bought 6 weeks before the holidays. It was supposed to be a hot toy. So I bought 3 of them. They’re sitting right now.

And other buyers who thought the same thing have lowered their prices to the point where no one is going to make money.

At best, I will break even on these LOL Surprise OOTD Outfit of the Day Toys. Yes, I’m still learning and making mistakes.

Hustle Pays off:

When I first started looking for items to sell, I would go to one or two places like a thrift store or book sale and that was it. Now, I try to hit a bunch of places all at once.

It makes it so much easier and profitable. I wish I had known this when I started.

Now, the minimum number of places I will check is three and sometimes I will visit 5 or 6 places. This way, I always find items to sell and it helps reduce my Amazon FBA shipping fees.

When I started this experiment, I expected to list 40 items a month on Amazon. Now I realize in order to get more profit and reduce the shipping costs, I need more like 100 or 150 items a month. Quality, profitable items that will sell.

I hope you enjoyed this update. Let me know in the comments below!

Relevant Articles:

11 of The Best Side Hustle Ideas for 2019

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Can you make money in Amazon FBA in 2019? My First Month (Post # 4)

September 3, 2018 by Frugal Prof

Can you make money in Amazon FBA in 2019:

My first month:

I’ve been spending at least one hour every day finding items to list on Amazon (or eBay).

My typical routine is to drop off my Amazon shipment at my local mail box store. From there, I spend about an hour at either a thrift store or library book sale. In the past month, I’ve accumulated a lot of items that I’m selling.

Disclaimer: My aim is to recommend products that will truly benefit you. I believe in transparency and want to disclose that I’ve included certain products and links to those products on this page that I will earn an affiliate commission for any purchases you make. The reader pays nothing.

Let’s talk numbers:

I currently have 92 items for sale on Amazon FBA. In addition, I have 10 items en route to Amazon FBA (it takes from 3-7 days for your items to get to Amazon). And I have 10 items I am about to list and send to Amazon today.

Have I sold anything on Amazon?

Yes! So far, I have sold about 8 items that have sold for a total of $209.

In addition, everything that I can’t sell on Amazon fba due to gating restrictions, I have listed on EBay.

EBay:

As of today, I have 78 items for sale on EBay.

In the last month, I’ve sold 11 items for a total of $260.

Many of these items I found for very inexpensive prices. Most are very profitable items.

I purchased a Brooks Brothers Cashmere Sweater at a garage sale for $5 and sold for $50.
I sold a bunch of textbooks that cost ~$2 and sold for $25-$30.
And Ill share with you the Hermes Tie story below

So, having the ability to sell items on EBay is really helpful (and profitable.)

Relevant Articles:

Front loading effort:

My view is that it would take one month of focus and effort to get this “business” off the ground.

It’s hard to describe the reality of this business. Many times, it’s SO easy and profitable!

And sometimes, you’re just not feeling it.

Listing items on EBay can be time consuming. In order to avoid returns, every part of the item description must be accurate. This can be tedious. But it has to be done. And it’s an important part of the business.

Finding items is fun and like a treasure hunt.

But, until the items are photographed, listed, and sold, there is no profit.

Just because your app says an item is worth $50 doesn’t mean anything until you take it home, photograph it, list it, and sell it.

Profits and fees:

I’m really excited that my items are starting to sell on Amazon and I have some cash flow.

In my first month, I’ve sold $209. Keep in mind, until the second week of August, I had no inventory for sale with Amazon.

So, this figure should grow quickly.

But, my Amazon account is still – $72. Due to the Fees.

Professional Account fees are $39.95. Plus shipping for every item.

So, it’s a bit frustrating that the cash flow has yet to turn positive. I expect this should happen soon.

We’ll see.

Want to learn more about what’s selling and how I’m making money?

Check out my recent Youtube Video Below!

EBay:

The EBay items I’ve sold are definitely cash flow positive. But it’s still not much. After fees it’s about $150.

The pipeline:

My profit is in the future pipeline of the items I have listed for sale.

That’s about 100 items on Amazon and 78 on EBay.

If I make an average of $15 on each item, that’s ~$2670 in revenue before fees. And many are listed for much higher profit margins that $15. So, that’s a conservative number.

How long will it take for those items to sell and create that $2670 in revenue?

That’s the really interesting question. I will keep you posted.

Lessons Learned:

I still like selling books. They’re straight forward. Simple. Scan and go.

And I can sell them on Amazon (for most types).

Also, I try to find anything new in Plastic. Those are really good. And the smaller the better. Shipping fees both for EBay and Amazon are huge.

Ignoring shipping costs is a major mistake.

Relevant Articles:

Pricing on EBay:

I’ve switched to “buy it now” listings. And all of my items I will accept best offers. This saves me time and is the best way to go. Also, I am exploring opening an actual EBay store.

Great stuff at garage sales:

I found an awesome scale by accident at a garage sale. If you’re gonna do this, you need a scale. The scale I found was $10. I needed it because I was trying to use a bathroom scale and it was not working well!

I got this scale for $10. Works great. It’s a $55 scale new. There is great stuff at garages sales. It’s kind of amazing.

No free lunch:

I haven’t mentioned it much, but I started to do online Retail Arbitrage.

By using a free online resource keepa.com, you can scan for price drops on Amazon. And I have some deal sites I was using to alert me to deals. So you buy low from one site and sell for a profit on EBay.

I did this with a slow cooker from Amazon. It was $13. And using Keepa, I could see that the data showed its typical selling price on Amazon was ~$50.

Slam dunk, right? Well, not so fast.

These deals are hardly a secret. So other people do the same thing.

So, the slow cooker I bought now has 20 listings on EBay not for $50, but for $22.

This is where I developed my rule about large, heavy items.

So, I’m hoping to sell it closer to Christmas at a better profit. Until then, I have a large and heavy item in my hallway. And I’m not confident that I will make more than $15 on this purchase.

Obviously, I still need to refine my Retail Arbitrage criteria.

Stuff everywhere:

The nice thing about selling items on Amazon is that they store your items.

But for EBay, you need to hold your items until they sell.

Not a problem if you’re selling 10 or 20 items, but I’ve been finding about 10 items everyday.

Books, toys, shirts, video games, and everything in between.

My dining room table is now filled with items I’m selling. And I have a photo lighting setup there as well.

As I scale this business, I will need to use a system to organize my items and keep them in plastic bins. I am developing this now.

Pricing Strategies:

I’ve started to believe that I am guilty of trying to hold out for top dollar.

And I think I need to start pricing items on Amazon and EBay to sell. You feel better getting that high price, but turning inventory and getting cash flow coming in is optimal as well.

Plus, there is a race to the bottom in pricing. I think my ability to price items should improve and I will share my tips with you.

Listing Strategies:

I’m trying to find items that I can list in multiple quantities. If you can sell 5 items from one listing, then it saves a lot of time. And time is money in this business. So, right now I have 2 items with multiple item listings. I’d like to do more of this.

General Tips:

Research is key. It can be fun to buy items, but you have to know what an item is worth. Checking the sold listings on EBay is key.

Sold Listings: Filter a listing using the choices of completed listings and sold items. All of the items will have green prices. These are sold listings. That’s what the real price is.

Mistakes: I have made multiple mistakes so far.

I bought a pair of Lucky Jeans for $5 and they’re just sitting. No one wants them. The market is flooded. I bought a Brooks Brothers short for $5 but it’s not in very good shape. So it’s sitting and no one wants it.

Worst of all, I paid $49.95 for a pair of True Religion Jeans. Luckily, I kept the receipt and tags. I listed them and did not feel like they were going to be profitable. So, I returned them. 99% of the time, you cannot get a return. So I was lucky and , it was a lesson for me.

I need to Keep learning about the true value of items. And item condition is really important.

A great story:

I was a bit hesitant to check out the American Cancer Society thrift shop near me.

The reviews online were pretty negative. Overpriced and crowded is what people said.

So it was pretty low on my list.

Yesterday, I happened to be in the neighborhood, so I decided to check it out. As I walked around the store, I realized the reviews were right. Everything was really overpriced.

But I kept looking. When I got to men’s ties, I couldn’t believe what I found.

An Hermès Tie and an Ike Bahar Tie. 100% Silk.

The sign said $2 each or Two for $2

For an Hermès Tie!

Score!

It turned out they had a bunch of stuff that I can resell for a healthy profit.

Lesson: It always pays to look. There’s always a deal. And the more you know about what items sell for, the easier it is to find very profitable items.

Tools I recommend:

These are very helpful tools to get started:

Quality Shipping Tape- Will save you money. Don’t buy the cheap stuff.
Label Scraper (amazingly helpful to remove price tags quickly and without danging the item).
Poly Mailer Bags for shipping. These will allow you to send items First Class mail and save money.
Good Bubble Wrap If items break, you wind up losing money. So bubble wrap protects your investment.
Mister Clean Magic Eraser– To clean up books – These are handy for many different items including cleaning shoes.
Quality and affordable shipping scale
A higher quality shipping scale
Quality Lights for Ebay: These were on sale ~$35 and they are great for the money.
Better pictures = higher profits on Ebay. Lighting is very important.
Shirt Folder: Makes it easier to fit clothes in the poly bag and saves money over time. Makes everything much more polished. More here.
Dolly/ Cart for Books & Boxes: Here
Air Pillows for Shipping Here
Thank you stickers: Because positive feedback is important here.

Next Steps:

I started selling on Postmark. And I just sold my first item.

Will give you all the details next update.

Let me know what you think in the comments!

Making Money with Amazon FBA Profit Plus Tips and Advice: Update #3

August 20, 2018 by Frugal Prof

Amazon FBA Update #3: My First $1,000 Plus Tips and Advice

Overview: I’ve been so busy.

This Amazon FBA / Retail Arbitrage has proven to be a really good side hustle / business.

And it’s going really well.

Am I making money? Yes, we’ll get to that.

Am I making mistakes that you can learn from? Yes.

So let’s get to it.

I began focusing on books and textbooks.

It seemed like the most straight forward place to begin.

Disclaimer: My aim is to recommend products that will truly benefit you. I believe in transparency and want to disclose that I’ve included certain products and links to those products on this page that I will earn an affiliate commission for any purchases you make. You pay nothing.

Relevant Articles:

Learn from the Amazon App:

I use the Amazon app to tell me the rank (how quickly a book sells).

Less than 50,000 means it’s flying off the shelves.

Less than 250,000 is a solid seller.

1M still pretty good.

Over 1.5M. Questionable.

Over 2M must be a huge profit margin to buy.

Amazon charges fees to store books in their inventory. So, it becomes a cost benefit analysis of what is worth selling.

The good news: all of the info is on their app.

Where am I finding inventory to sell?

Or how am I sourcing inventory for Amazon FBA.

Garage sales worked out really well for me. Everything is very cheap. I live in a nice area and people want their stuff gone. The problem is garage sales are only on the weekend.

I needed more inventory for my Amazon FBA store.

Goodwill: They are a bunch around my area and I went to almost all of them.

Each day I would take about an hour and check them out and buy undervalued books.

It was really easy. And very profitable. Especially textbooks and nonfiction.

Because it’s August, I have been stocking up on popular textbooks that will be in demand very soon.

Many of these are selling for $2 at Goodwill and selling for $30 or more on Amazon. – Not on EBay.

Gating Issues on Amazon:

One issue I’ve been having is that Amazon restricts ie “gates” some product categories for new sellers. Sometimes there is a great profitable book and I’m restricted from selling it.

What do I do? I check on EBay and see if it’s worth selling. And profitable. Some are. Some aren’t.

Books are heavy and expensive to ship, so you have to be careful to include the total costs. But, I’ve found some gems that I’m selling on Amazon and EBay.

Free Books? Yes.

I’ve been learning a lot via YouTube and one of the thrifters (that’s what they call themselves) mentioned Facebook Marketplace. So, I tried it out.

A girl near me was moving and giving away a stack of college textbooks. Perfect timing.

I arranged to meet her and got three bags of books and dvds for FREE.

Score.

It can’t be that easy. It’s not. I decide to venture out into Retail Arbitrage at my local Ross Stores. All the youtube thrifters talk a lot about jeans and I’m trying to venture out from just books.

Even though I like books and it’s very profitable.

So I found a new pair of True Religion Jeans that looked like a great Deal at $49.95. Retail was ~$220 new.

I checked a eBay and it seemed they were all selling for much more. The retail for these jeans was around $200, so I thought it was a good deal.

Unfortunately, when I got home, the comps were right around what I paid. – $50. So, I listed them for $69.95 and I’m determined to wait to see if they can sell.

With clothes, you have to take a bunch of pictures and provide measurements.

Books seem much better to me.

My strategy: stick with what’s profitable and keep learning about other areas/ product categories.

Maybe ill leave the jeans to the young thrifters.

Observations: it’s really fun because it feels like a treasure hunt.

And it’s been very profitable. I can make $75-$100 in gross profit in an hour many days.

Profit margins: I think after expenses the Net profit margins should be in the 35%-40% range.

Expenses:

Amazon FBA fees

UPS Shipping fees

Amazon Storage fees

Gas/ parking

Boxes / Shipping supplies/ ink

Taxes

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My strategy: Products that I cant sell on Amazon FBA can be sold on Ebay. If I find a very profitable product (like a new toy from Disney), I will check the comps on EBay and sell it via EBay.

So, I am also making a lot more money from EBay. Which is great.

My post on How to sell on Ebay here

Amazon FBA restrictions: Amazon restricts many great brands and products for new sellers:

Disney,
Mattel,
Barbie Dolls,
DVD’s
anything Star Wars,
etc… lots of restrictions with Amazon FBA.

Amazon FBA New seller profit hold back:

One other thing is that for new sellers like me, Amazon is holding back my money from sales for 30 days.

So, factor that in if you’re thinking of getting started.

Your cash flow from sales will be delayed for at least 30 days.

Capital needs:

I think you could get started with as little as $500.

You could start with only $250, but it would be tight in my opinion.

Do I need a new laser printer?

Some thrifters on YouTube recommend this printer. Try to get it on sale for around $99 or less.

But, you probably don’t need it until you are up and running and have cash flow.

I have been using my HP Jet printer and it’s been fine.

Advantages: Find your advantage.

I have some big advantages and I try to exploit them.

You have some too.

Find them. Use them.

I’m used to being up really early. So, I can be at a garage sale at 7:45 AM on a Saturday or Sunday no problem. It’s a big advantage for me.

Also, I control my own schedule, so I can hit a used bookstore whenever I want.

I have a bunch of disadvantages too!

I’m not young or very hip anymore.

I don’t know anything about which video games. Which are hot or valuable? I don’t know.

If you know video games, that could be your advantage.

Use what you know to make money.

Keep Learning: another advantage I have is that I know a fair amount about men’s clothes. (from overspending most of my life!)

Some brands that can be sold for good money on EBay include:

Brooks Brothers,
Thomas Pink,
Hugo Boss,
Charles Tyrwhit.

I’m still learning about items that can make me a profit on Amazon.

I’ve done really well with random items:

Board games,
household items,
books,
And even an avocado planter!

Seriously. I made $20 buying one at a garage sale.

Let’s talk profits from Amazon FBA and EBay:

I have already sent in 2.5 boxes each week for the past 4 weeks.
Each box has ~12 items.
I have already started making sales in my Amazon FBA account.
In the last week, I have sold $111 worth of items. Which is amazing.
Again, Amazon will hold this money for another 3 weeks before they pay me.

Based on my sourcing for the past month, I project that when these items will sell on Amazon FBA as well as EBay, I should comfortably clear at least $1,000.

That’s a pretty conservative estimate.

If some of the more valuable books sell, it could be double that estimate.

Plus, I am learning and getting better so I expect the profitability to rise as I keep going.

Sourcing Spots for Amazon FBA and Ebay Retail Arbitrage

Where have I been able to make money the last few weeks:

Bed, Bath and Beyond
CVS
Goodwill
Bookstores
Thrift Shops
Marshalls
Ross Stores
Online Stores like Best Buy
Amazon

Tools I recommend:

These are very helpful tools to get started:

Quality Shipping Tape- Will save you money. Don’t buy the cheap stuff.
Label Scraper (amazingly helpful to remove price tags quickly and without danging the item).
Poly Mailer Bags for shipping. These will allow you to send items First Class mail and save money.
Good Bubble Wrap If items break, you wind up losing money. So bubble wrap protects your investment.
Mister Clean Magic Eraser– To clean up books – These are handy for many different items including cleaning shoes.
Quality and affordable shipping scale
A higher quality shipping scale
Quality Lights for Ebay: These were on sale ~$35 and they are great for the money.
Better pictures = higher profits on Ebay. Lighting is very important.
Shirt Folder: Makes it easier to fit clothes in the poly bag and saves money over time. Makes everything much more polished. More here.
Thank you stickers: A classy touch. And positive feedback is important. I use these. More here.

FREE Stuff:

Also, the USPS has tons of free Boxes and Envelopes. (For use with their shipping).

Next Blog Post:

Updates on what sold on Amazon and Ebay.
Profit and Loss Details.
Tips and Strategies that are working.
Plus, I’ve joined Postmark and will discuss how that is going.

Special Bonus:

Here is a special behind the scenes YouTube video of what I bought and how much I made!

(Please like and subscribe!)

Feel free to ask a question in the comment section below and

Join my E-mail list to get the latest update!

Amazon FBA Week 2: $274 Worth of Beginners Luck with Retail Arbitrage

July 30, 2018 by Frugal Prof

Week 2: Amazon FBA / Retail Arbitrage Experiment:

It’s week 2 and Ive been busy learning about Amazon FBA. I guess the headline is $275 worth of beginners luck from a box of old books at a a garage sale. But, let’s review everything I’ve been learning: the good and the bad.

Getting set up: The Amazon FBA platform was a little trickier than I expected. I decided to use a professional seller account and pay $39.95 per month. Go big or go home, right?

Well, I decided to use an LLC and Amazon wanted documentation like a drivers license and copies of my bank statements. And there were a few days of back and forth with documents. Don’t let this deter you from starting– just know it may take a few days.

“Congrats you’re now an Amazon FBA seller.”

And within 5 Minutes, Amazon charged my credit card their $39.95 professional seller fee. Time to get busy!

I immediately downloaded the Amazon seller app – loaded with helpful information and plotted my strategy as I waited for the weekend.

As I said in the launch post, I’m trying to do this as a normal side hustle, so mainly on the weekend.

Read the Launch post here. and find side hustle ideas here.

I watched a bunch of YouTube videos of people walking into stores and making big profits. In reality, it was not so easy. Would you like me to make a Youtube video series? Let me know in the comments.

Saturday: My first stop was my local 99 cent store. I started thinking about doing Amazon FBA when I was there. They had a bunch of Star Wars items for 99c that were worth $9 or $10 on EBay. Piece of cake, right?

Well, Not so fast. The Star Wars Items we’re gone and then it took me a long time to scan the other items. All of the name brand items like Despicable Me napkins and Disney Toys were “restricted” to me said the Amazon app.

I bought some stuff anyway. My thought process was that I could see if I was able to flip these items on EBay. Tips to sell on Ebay here.

Takeaway: I got a bunch of items that I’m listing on EBay and none that I could use for Amazon FBA. I will give updates on how the items are selling. Most items were 99c and Im looking to sell them for ~$5-$7.

Nothing great- but if you sell 1,000 items at a $5 profit, then it’s $5,000.

Relevant Articles:

Scan Everything: It took a while to scan items. The advice from retail Arbitrage Youtubers was to “scan everything.” Because you never know what can sell and be profitable. Good advice and soon I will know from experience which items can be sold profitably.

For now, I rely on the Amazon and EBay apps. This also means when my WiFi is down, my business stops. More on this later.

Restrictions: As a new Amazon seller, many categories are restricted. It may take a while for me to get “ungated.” This is the term for being allowed to sell in certain categories like groceries or personal care. Amazon is strict with selling brands like Star Wars and Disney because they are cracking down on counterfeits.

I get it, but I am paying Amazon $39.95 a month for the professional service, and if too many categories are restricted, it may not be worth it for me. We will see.

Sunday: On the way to the grocery store, I notice a family setting up a garage sale. Perfect timing. Luckily, I had my phone with me so I could scan.

It was only 7 A.M., so I was one of the first people there. I went straight to the books, since that is one of the better categories for new Amazon FBA re-sellers like me.

Cook books: lots of cook books. Julia Child, Frugal Gourmet, Food and Wine. Too many.

Boxes of cook books. My head was spinning. I’m the first one here. I get my pick of all these great books.

It’s 7 A.M. and I have my pick of the whole garage sale.

I have an unanticipated problem: cash.

It’s a garage sale. All they take is cash. I only have $13 in my car. It’s 7 AM on a Sunday.

I realize if I’m going to do this Amazon FBA /re-selling thing I will need to keep extra cash in my car for garage sales/ Estate sales.

I keep trying to scan books without attracting attention to myself. I find three that are good and I try to remember the others, so I can do a tactical retreat, research, and return better prepared.

Tactical retreat: I Buy three books that seem good for $3 including an old French restaurant guide. I tell the owners I may come back and they tell me if I buy more books, they will give me a discount.

It’s 7:40 and more people are now perusing the garage sale. My window for the big score is closing. Did I blow my chance?

I’m too new to know if I’ve missed an obvious diamond in the rough. There are some old French cook books. Other cook books seem brand new. Beautiful, glossy pages.

I quickly head home to get cash and use a strong wi-fi signal to research re-sale prices on the Amazon app.

Julia Child, Martha Stewart, Food and Wine. All the books are $1.

It’s impossible to mess it up. Right?

What am I missing? Is it really this easy? Did I just get lucky?

“Buy everything. Go back and Buy everything. What are you waiting for?”

Don’t mess this up.

It’s now nearly 8:00 AM and I’m trying to decide the smartest thing to do.

I have a wad of cash at home. I grab $60, a water, quickly put my grocery food in the fridge, and race back to the garage sale.

I’m trying to decide the best strategy. I decide to buy as many as I can, since everything seems like profit. I have a large beach bag that will hold a lot of books.

Do I buy a box or try to negotiate a deal for ALL of the books?

Back at the garage sale: I decide to buy a lot of books.

There are now many people going through the items.

I am back. I tell the woman I am learning to cook. I add the most beautiful glossy books in the best shape to my bag. That is my strategy. The bag gets heavy quickly. Big, heavy cook books.

Which ones do I pick? It’s hard to scan a book with an owner behind you. It’s strange.

“Hello I’m here to pick your inventory clean and re-sell on Amazon for a profit.”

It’s not very neighborly.

I try to stick to the books in the best condition. Some seem new.

I add a gigantic Julia Child book.

And The Frugal Gourmet cookbook.

Gordon Ramsey’s book is not worth that much. I leave it. I am learning.

I have about 40 large, heavy cook books in my bag. We agree on $25. I am leaving about 75 books. I tell the woman I may come back later.

Will the best books be gone?

Have I bought all the best books?

I shoulder my bag of 35 pounds of cook books back to my car.

Even though I know nothing, I am still pretty confident that I have crushed it at this garage sale.

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