If you think finding products to sell on eBay and finding products to sell online through your home business ecommerce site are the same, you may want to think again. That isn't to say that eBay and ecommerce might not share some of the same sources, but as eBay becomes oriented more and more towards power sellers and other big sellers, such as buy.com, you may need to start paying close attention to the differences in selling environments in order to come out ahead. By the way, when I say selling environment, I simply mean a place where you sell stuff.
I'll try to clarify what I mean. Basically, eBay is a wholesale selling environment and your typical ecommerce site, as mentioned above is a retail environment. This has everything to do with cost of goods and profit margins. This also makes a good deal of difference in terms of how and where you handle product supply. This point is something that many people overlook, especially newcomers to eBay. Of course, none of this matters is you are a casual seller or a hobby seller, but if you want to run a business, this is crucial.
Again, on eBay the price of most goods are either at or below wholesale. For you, this means that if you purchase your items in small lots or single units from a wholesaler, it will be difficult for you to compete with other sellers and make a profit unless there is very little or no competition and your item is popular. This fact makes it especially difficult to make a profit selling mass market consumer electronics because the competition is so fierce and profit margin so narrow.
Nevertheless, just because your mass market, wholesale electronics may not sell well on eBay does not mean that you should give up. Not every item will sell well in every market. Thus, items that don't sell on eBay may do very well on your retail ecommerce site. In other words, an item, such as a GPS or television, that is not able to compete on eBay, may compete very well in an online retail market.
What I am explaining may fly in the face of all the promotion you see on the Internet, but the fact is, if you sign up for doba.com or shopster.com and expect to make a killing on eBay selling consumer electronics or brand name perfumes, you are in for a shock. Drop shipping on eBay through sites such as the two examples just mentioned is especially hard because drop ship prices are typically higher than mere wholesale because of the added expense.
Moreover, sites like doba.com, dropshipdesign.com and so forth, are not true wholesale sites. These are essentially retail sites offering steeply discounted goods. They are legitimate and make it easy to start selling online, but are they best for eBay? In my opinion, your chances for success with this particular model will generally be greater if you pursue an independent ecommerce option.
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