The key to success on eBay

The key to success in any business is planning and selling on eBay should be no different. You may have heard other eBay experts tell people to start selling and plan later. This is fine for those just starting out and exploring the idea of ​​selling on eBay. However, if you’re serious and really want to start earning some sort of income from your eBay business, you’ll need a rock-solid plan.

Analyzing Your eBay Business Goals

Every person is different and therefore every business will also be inherently different. He wants as a business that meets her personal goals. Success for you may mean being able to quit your job from nine to five. For others, it may simply mean earning enough to spend some extra money each month. To get a clear picture of your goals, ask yourself these questions:

1. Is this business something I want to do full time or part time?
2. Is this going to be a one man operation or will I have a partner/employee?
3. How much money would I like to take home each month?
4. How much am I willing to spend on monthly overhead?

Only after answering these basic questions can you have an idea of ​​how to proceed with your eBay strategy for your business.

Formulating a winning strategy

The next step is to figure out how you plan to achieve the goals you’ve set for yourself. The bigger you want your business to be, the more complicated the planning and overhead will be. Let’s give a short example, let’s say you want to earn $1,000 per month, which is quite doable. However, there are many different ways to do it. You could sell 1,000 items for a dollar profit each or you could sell 5 items each for a $200 profit. If you want to work part time, the best solution would be the second one. That brings us to our steps to a successful eBay business plan:

1. Start with eBay market research. So the first step is to browse the eBay Marketplace and look for items that are selling well. There are some tools available for free on eBay that can help. Try using the full listings tool to see which items seem popular. There are also third-party research tools available, such as Terapeak or Hammertap.
2. Research article sources. Once you’ve brainstormed a list of potential items you’d like to sell, it’s time to try and see if you can find them for a good price. Depending on your business goals, some items may be out of your reach as they require large amounts of capital. An example would be high-end electronics that may sell well, but many wholesalers have a minimum purchase order that would make things difficult for smaller sellers. Some sources include buying in bulk, buying wholesale closeouts, thrift stores, real estate sales, /Craigslist, eBay wholesale listings, and many more.
3. Calculation of your profit margins. Once you have an item in mind and a source, it’s time to calculate your profit margin. Take the expected selling price plus shipping and minus any eBay fees that apply, this includes final value fees, listing fees, and PayPal fees. From this figure, you can calculate how many of the items you would need to sell to reach your goal. You also have to take into account how many of the items are available for purchase. Used collectible items have a limited supply inherited.

As you can see, it can be difficult to find the perfect eBay niche that works for you and helps you achieve your goals. However, the key is to thoroughly research your eBay business plan. When you find it, making money on eBay will be as simple as buying inventory, listing it, and shipping it to your customers.