Sourcing products from the same sales channel or alternative channels is a viable approach. Those offering under-valued items make it possible for another merchant to flip the same goods for a profit. Newspaper classified ads and sites like Craigslist offer a wide selection of items available free of charge. Sales promotions on ecommerce sites like Amazon and eBay may also make it possible to flip items at a profit.
Pricing research is crucial in identifying under-valued items.
- Classified Ads
- Items can be sourced at a cost that allows for resale on the same channel or alternative channels
- Items can be sourced in single or small quantities.
- Price negotiation may be acceptable in some channels
- Broad range of products available
- Little or no challenge in identification of items
- Opportunities can be browsed online, limiting travel time and expense
- Stock cannot be replenished (normally).
- Inventory may require shipping, adding to cost of business
- Terms of sale vary by sales channel and by advertisement
- Payment types other than cash may not be accepted
- Inventory requires storage
- May require discretion to avoid conflict with original seller