[AMA] Importing & wholesaling for resale on eBay.

[Thoelk]

I normally say I am the buying manager for XYZ company. We are looking to add some additional products to our product line and we are interested in X(whatever specific product you are looking to purchase). Before I am authorized to do a regular order I need do a test order of 25 pieces. After we test the quality of your X we will be ordering in quantities of (100, 1,000 etc). What would be the cost including shipment to our warehouse for the sample order of 25 pieces? Also what would be the cost for future orders of Y pieces including shipping costs as well. Thanks for your time. We are looking forward to adding your product to our other successful lines.

Econman
Buying manager XYZ corporation

I would recommend tweaking this to what makes you feel comfortable in regards to sample size, future order size etc.

Hey Ecom,

I've been a fan of your thread since your first post.. Thank you for all the information! No interest in joining on the Inside?

With reading this post above, I wondered... Have you ever had someone say "hey that adress is residence-based, not a warehouse? Assuming they checked google-streetview to see if you are/were lying about your company". This scenario popped up in my head, as soon as I thought about it.. I've started shipping myself and I always ship to my father-in-law's shop/warehouse.. He's always there and packages get dropped off there every week anyway..

 

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[Ecom man]

Hey Ecom,

I've been a fan of your thread since your first post.. Thank you for all the information! No interest in joining on the Inside?

With reading this post above, I wondered... Have you ever had someone say "hey that adress is residence-based, not a warehouse? Assuming they checked google-streetview to see if you are/were lying about your company". This scenario popped up in my head, as soon as I thought about it.. I've started shipping myself and I always ship to my father-in-law's shop/warehouse.. He's always there and packages get dropped off there every week anyway..

I've never had that issue come up. I don't know if the sellers don't care as long as they get paid or if they don't bother to check but it hasn't come up yet.

 

[EPerceptions]

I'll probably end up using FBA. Does this sound viable to you?

In my experience, FBA will eat roughly 30% of the sales price in fees for products priced under about $50.

I tend to calculate my landed price (cost plus shipping) and determine whether I can likely sell for a minimum of three times that.

 

[P3HSB]

Hey Ecom man, thanks for providing a ton of value here, really appreciate it. I have a few questions I want to ask. I am a complete newbie btw. (only information I have so far about importing is from this awesome thread )

Q1) Is it possible to safely make orders through Alibaba, DHgate,Aliexpress with a debit card instead of a credit card? Or is it recommended that we only use CC in case of an emergency recourse?

Q2) After reading this thread, Its seems as if you have to act as an establish importer who already owns a business (whether you really own one or not) in order to cut a deal with these suppliers. When the deal is made and you give them your shipping address (which is probably your home), would there be a possibility that they would find out that you aren't as big as you said you were and not continue with the deal? Would they ever map your address to see if you have a legitimate office location?

Q3) Do you need to provide any information or paperwork in order to verify that you are a business owner to start making orders? (EIN, Social Security, permits, incorporations? etc.) Or is it anyone can just hop onto Alibaba, DHgate,Aliexpress and start making purchases like how you would on Amazon except you would have to negotiation for Alibaba?

Q4) Would a regular Gmail or Yahoo account do? Ex: Joeblow12@gmail.com Or does it have to be professional? Ex: John.Smith@TradingCo.com

Q5) Lastly, What mindset a should a newbie have before he/she begins their importing journey?

 

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[FastlaneTiger]

The cost of shipping from Hungary to Great Britain:

0g - 1000g: 9 180 Ft = 37.3626 U.S. dollars
1000g - 2000g: 9 515 Ft = 38.72605 U.S. dollars
2000g - 3000g: 10 535 Ft = 42.87745 U.S. dollars
3000g - 4000g: 11 215 Ft = 45.64505 U.S. dollars4000g - 5000g: 12 235 Ft = 49.79645 U.S. dollars

I don't want to sell heavier than 5kg so I just stop there.
If you want to know the other prices here is the list although it's in Hungarian:
http://www.posta.hu/static/internet/download/Nagy_Britannia_es_Eszak_Irorszag_.pdf
EMS high priority post: (bit more expensive)
http://www.posta.hu/static/internet/picture/nemzetkozi_feladas.jpg

Let's say I want to buy this product:
http://www.alibaba.com/product-detail/WYD-227-Men-Dot-Matrix-RPM_761832588.html
3.99$ / piece

http://www.ebay.com/sch/i.html?_fro...Matrix+&_nkw=WYD-227+Men+Dot+Matrix+&_sacat=0
They are selling it for a few bucks!!! How the hell am I supposed to make profit?
We haven't even talked about the listing, ebay fees yet. Oh and the shipping from China.
It's just soo not worth it.

http://www.ebay.com/itm/Sport-Blue-...068527402?pt=Wristwatches&hash=item54115c7f2a
Here this guy is selling it for 1.34$
I've tried a lot of products but it seems like it's not working for me. The shipping costs are eating me.What am I doing wrong?

 

[Thoelk]

http://www.ebay.com/itm/Sport-Blue-...068527402?pt=Wristwatches&hash=item54115c7f2a
Here this guy is selling it for 1.34$
I've tried a lot of products but it seems like it's not working for me. The shipping costs are eating me.What am I doing wrong?

I only have a moment, so I'll focus on 1 thing:

Shipping time. The list you linked is from people selling it in China, it takes an average of 3 week - 1,5 months to get an item worth 1.34dollar.. Without shipping fees.

Make the difference (for example) by delivering it within 1/2 days (in Great-Britain). No shipping costs, the customer wont have to wait a month on the item.. You'd be surprised how lazy/impatient people are! You can easily charge 10x for some items, if you can deliver it within 1 day (compared to Chinese sellers on ebay)!

 

[FastlaneTiger]

Thanks for your answer Thoelk but another thing that I don't understand is how can he afford it?
1.34$ free shipping... Does it even worth it for him? *confused*

 

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[Ecom man]

Hey Ecom man, thanks for providing a ton of value here, really appreciate it. I have a few questions I want to ask. I am a complete newbie btw. (only information I have so far about importing is from this awesome thread )

Q1) Is it possible to safely make orders through Alibaba, DHgate,Aliexpress with a debit card instead of a credit card? Or is it recommended that we only use CC in case of an emergency recourse?

Q2) After reading this thread, Its seems as if you have to act as an establish importer who already owns a business (whether you really own one or not) in order to cut a deal with these suppliers. When the deal is made and you give them your shipping address (which is probably your home), would there be a possibility that they would find out that you aren't as big as you said you were and not continue with the deal? Would they ever map your address to see if you have a legitimate office location?

Q3) Do you need to provide any information or paperwork in order to verify that you are a business owner to start making orders? (EIN, Social Security, permits, incorporations? etc.) Or is it anyone can just hop onto Alibaba, DHgate,Aliexpress and start making purchases like how you would on Amazon except you would have to negotiation for Alibaba?

Q4) Would a regular Gmail or Yahoo account do? Ex: Joeblow12@gmail.com Or does it have to be professional? Ex: John.Smith@TradingCo.com

Q5) Lastly, What mindset a should a newbie have before he/she begins their importing journey?

Sorry about the delay in answering. Had an allergic reaction to something and both my eyes were swollen shut for a few days. (Not fun having my wife drive me everywhere)

1. A debit card does come with fraud protection as well. If you order an item and it is never shipped etc you can call your bank and they will reverse the charge. I personally prefer a cc as it is easier and if the # gets in the hands of someone with bad intentions they don't drain money from my checking account. You are not liable for fraudulent charges either way but it can take a few days to clear something up if the problem ever arises.

2. I have never had an issue with a seller checking out my address and canceling the transaction. I want to sound as professional as possible to secure a better price and to actually get sellers to answer the email. To the seller it really doesn't matter if I have a storefront or sell from my home. They get their money both ways.

3. You don't have to have anything special to order from Alibaba etc. It is really quite simple to order. Finding products to sell at a profit is where the issue lies.

4. I recommend using a throw away email address. You will get a ton of responses etc and it can really clog up your regular email. Yahoo or gmail work perfectly.

5. You have to go in prepared to fail. That sounds really counterintuitive but failure is a part of this. You will spend hours, days, and even weeks trying to find a good product. You find the perfect product, import a test sample, and list it for sale at great margins.... And it doesn't sell! It will happen at one point. You have to know going in that failure is a part of the business. If you can't handle a product failing and starting over again then you will have issues.

 

[TurboWagon]

@Ecom man

Just want to thank you for this thread. Thanks to you @Vigilante, zen*******, @MJ DeMarco, @IceCreamKid and others I'm selling my first product ever on Ebay! I discovered something only one other person was selling and with very good margins. I found a supplier, ordered samples in August and last month pulled the trigger and ordered 100 pieces from China. It was the craziest feeling clicking the button to make that payment for thousands of dollars but now I have my product and I've already sold 14 of them so far! I'm considering this a starter product, I need to find something more permanent that I can create my own brand with. Anyway, thanks again @Ecom man for everything you've shared in this thread! Cheers!

 

[Ecom man]

The cost of shipping from Hungary to Great Britain:

0g - 1000g: 9 180 Ft = 37.3626 U.S. dollars
1000g - 2000g: 9 515 Ft = 38.72605 U.S. dollars
2000g - 3000g: 10 535 Ft = 42.87745 U.S. dollars
3000g - 4000g: 11 215 Ft = 45.64505 U.S. dollars4000g - 5000g: 12 235 Ft = 49.79645 U.S. dollars

I don't want to sell heavier than 5kg so I just stop there.
If you want to know the other prices here is the list although it's in Hungarian:
http://www.posta.hu/static/internet/download/Nagy_Britannia_es_Eszak_Irorszag_.pdf
EMS high priority post: (bit more expensive)
http://www.posta.hu/static/internet/picture/nemzetkozi_feladas.jpg

Let's say I want to buy this product:
http://www.alibaba.com/product-detail/WYD-227-Men-Dot-Matrix-RPM_761832588.html
3.99$ / piece

http://www.ebay.com/sch/i.html?_from=R40&_trksid=p2050601.m570.l1313.TR0.TRC0.H0.XWYD-227 Men Dot Matrix &_nkw=WYD-227 Men Dot Matrix &_sacat=0
They are selling it for a few bucks!!! How the hell am I supposed to make profit?
We haven't even talked about the listing, ebay fees yet. Oh and the shipping from China.
It's just soo not worth it.

http://www.ebay.com/itm/Sport-Blue-...068527402?pt=Wristwatches&hash=item54115c7f2a
Here this guy is selling it for 1.34$
I've tried a lot of products but it seems like it's not working for me. The shipping costs are eating me.What am I doing wrong?

1. These listings are auctions so that isn't the final selling price for this item. The seller might have a reserve set at $20 or even $100.

2. You and I can never compete with a China sellers on price. You beat them by shipping times, customer service, and quality of packaging/shipping. China sellers can use shipping that is subsidized by the Chinese government but it takes FOREVER to arrive. Most people will pay a lot more to buy from a local seller and not have to wait for shipping.

 

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[Ecom man]

@Ecom man

Just want to thank you for this thread. Thanks to you @Vigilante, zen*******, @MJ DeMarco, @IceCreamKid and others I'm selling my first product ever on Ebay! I discovered something only one other person was selling and with very good margins. I found a supplier, ordered samples in August and last month pulled the trigger and ordered 100 pieces from China. It was the craziest feeling clicking the button to make that payment for thousands of dollars but now I have my product and I've already sold 14 of them so far! I'm considering this a starter product, I need to find something for permanent that I can create my own brand with. Anyway, thanks again @Ecom man for everything you've shared in this thread! Cheers!

Awesome! Glad to hear you are on your way!

 

[Vigilante]

@Ecom man

Just want to thank you for this thread. Thanks to you @Vigilante, zen*******, @MJ DeMarco, @IceCreamKid and others I'm selling my first product ever on Ebay! I discovered something only one other person was selling and with very good margins. I found a supplier, ordered samples in August and last month pulled the trigger and ordered 100 pieces from China. It was the craziest feeling clicking the button to make that payment for thousands of dollars but now I have my product and I've already sold 14 of them so far! I'm considering this a starter product, I need to find something for permanent that I can create my own brand with. Anyway, thanks again @Ecom man for everything you've shared in this thread! Cheers!

How many do you need to sell to reach break-even on your total purchase>

 

[TurboWagon]

How many do you need to sell to reach break-even on your total purchase>

Good question, it depends. The more I sell locally (outside Ebay/PayPal and no shipping) the better the numbers work. If I sell them all through Ebay ,which is the case so far, I think it would be 50 sold to break even. The only other seller of this product sells over 100 items every month but he has Google juice, listed #3 for main keywords (which I don't have, I'm using Facebook Ads to drive traffic).

 

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[JustinBoshans]

Anyone starting importing, on dhgate they have some coupons for around christmas time. It's not a lot but lets say you got 5 orders of $20 from the same seller you would get 10 dollars off. I still don't have a lot of extra cash to spend so every little bit helps. http://www.dhgate.com/promotion/Thanksgiving_Envelope_Giveaway.html

 

[Ecom man]

Anyone starting importing, on dhgate they have some coupons for around christmas time. It's not a lot but lets say you got 5 orders of $20 from the same seller you would get 10 dollars off. I still don't have a lot of extra cash to spend so every little bit helps. http://www.dhgate.com/promotion/Thanksgiving_Envelope_Giveaway.html

Every dollar saved is one extra in your pocket! Thanks for the tip.

 

[NerdAtCoolTable]

When do you look to drop prices on your buy it now items? They have been on there for a few weeks and not selling.

 

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[Ecom man]

I normally give them a week or two. If no sales either my price is too high or there is no demand for the item. I would drop it 10-20% and give that price a week, then drop it another 10-20%. At some point you will either sell the items or donate them to goodwill. If you start selling them at a certain price then decide if that price point is sustainable for reordering or to not carry the product.

 

[NerdAtCoolTable]

Is everything on alibaba that is name brand a knock off ?

A few are selling xbox one controllers

 

[Ecom man]

Is everything on alibaba that is name brand a knock off ?

A few are selling xbox one controllers

There might be one seller out of the thousands that are actually selling a legit product that is a brand name. Most likely that is someone who is only accepting western union or direct money transfer. They are offering you something amazing but most likely will take your money and then send you an email saying "we need extra money for customs". If they cant suck anymore money out of you they move on to another sucker.

If you want to take a chance with a small amount of money (a couple of controllers) then go for it but only if you can pay through alibaba escrow with your credit card.

 

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[NYCGoblin]

Got quoted for my first samples today. 10 pairs of the product for 6.39 each and 5.55 shipping on each. Now the seller is a 4 year gold member on alilbaba, but is trying to I think take things a bit quickly not giving a lot of detail. Should I be comfortable with them. Also I see a comparable product selling on ebay for $20-35 with some Chinese sellers selling for $14 with cheap shipping but taking a few weeks to arrive. What do you think? I have had a lot of suppliers not replying to initial messages becoming a bit frustrating.

 

[Ecom man]

Got quoted for my first samples today. 10 pairs of the product for 6.39 each and 5.55 shipping on each. Now the seller is a 4 year gold member on alilbaba, but is trying to I think take things a bit quickly not giving a lot of detail. Should I be comfortable with them. Also I see a comparable product selling on ebay for $20-35 with some Chinese sellers selling for $14 with cheap shipping but taking a few weeks to arrive. What do you think? I have had a lot of suppliers not replying to initial messages becoming a bit frustrating.

Get enough details about the product where you are comfortable. Ultimately it is your money that you stand to lose if the products are junk. The prices seem about normal where you can't compete with Chinese sellers but the US sellers are making about double of the purchase price. Many sellers on Alibaba deal with tons of businesses and buyers so they might seem to be moving "quicker" than normal. The language barrier can also affect that as well.

 

[NerdAtCoolTable]

Have you thought about building a website to sell your products on?

 

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[Ecom man]

Have you thought about building a website to sell your products on?

That is my next step. I am was hoping to have that up and running by this Christmas time but it probably isn't going to happen. Some family things came up and those things are more important than money. I still might just throw together a shopify site or something quickly but I don't want to mess up the inventory and destroy my eBay account as well.

 

[NYCGoblin]

Where do you go to check that you are not getting shafted on shipping? I have gotten a few different prices on shipping from sellers and a few of them have been far apart for the same item. One charging me 5.55 per unit and another $77 for 3 units.

 

[Bananas]

That is my next step. I am was hoping to have that up and running by this Christmas time but it probably isn't going to happen. Some family things came up and those things are more important than money. I still might just throw together a shopify site or something quickly but I don't want to mess up the inventory and destroy my eBay account as well.

I'm right where you are, wanting to build my own website. Unfortunately, I have absolutely zero skills with which to do so. I found a thread from 2013 where MJ DeMarco recommended BigCommerce so I think I'll investigate that first.

I'd love to hear your progress on this when you proceed and can share mine as well if you are interested.

My current progress is this: I bought a domain last night. It is super good. I can't believe it was even available, it's that good. And it describes an item group I sell regularly on eBay and it's the item group I wanted to make my own site for.

Here's an example of how good it is. Pretend I sell extra large golf shirts constantly and have a following and am a leader in my niche... I got: extralargegolfshirts.com. That's an example. I do not actually own that domain, nor I sell golf shirts.

 

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[Caleb]

Hello Ecom man! Much appreciation for what you are doing here!

I wanted to get some feedback from some people here.

In the city I live in, there is an antique shop/flea market. It's a pretty goin place usually. Out of several hundred booths, he only has one opening at the first of November and there wont be any open until the beginning of 2015, leading me to believe its a pretty good place to sell. Now, it being part antique shop, it makes sense that I can easily assume they draw more of the older crowd.

I've been considering importing to resell, though there is so much competition online that I have turned to local options (there are serious pros and cons of both, though the prices I would be able to charge for my items will severely undercut local shops, flea markets are available 6 to 7 days a week, but close at night. of course online is 24/7/365). Now, a big plus is obviously no shipping fees to the customer. They walk out the door with the product.

Now, my thought is that why don't I import some different kinds of products that I know the elderly may be interested in purchasing while searching a flea market/antique shop. I have turned to pet products. Such as cat trees (since i can import large trees for $25 + s/h, which is super cheap), dog beds, and other luxury pet items that we all know the older crowd buys for their spoiled pets. =)

Can I get some suggestions, recommendations, tips, constructive criticism, from the crowd here?

When you think about what items ages 55+ would like for super cheap from importing, what items do you envision when you see that old man/woman at the flea market snagging because it is so cheap compared to local retail?

Thanks for reading guys! I look forward to hear back from all of you.

Edit: Or maybe a variety of necklaces? Older women like to buy necklaces right? Light/cheap shipping 300% to 400% margin.

 

[Lone Wolf]

Hey! I've been lurking on this thread long before I signed up (today), and so firstly I just wanted to say a huge thank you for all the information you've provided, its been really helpful!

A little background: I've been importing for a while, and have been making a healthy amount of profit, but I've recently discovered a completely unsaturated niche that I'm going to be selling in. I've already bought and sold a sample shipment and made a large amount off of just that (~£300 profit per item, minus shipping), so I've now got an order of ~£3000 worth of these items on its way and should hopefully arrive before the week is out, which is great.

The only problem is with this product, is that despite the large profit margin the product itself is both big and heavy, which of course means I had to use a courier to send it, so my question is; are there any alternate methods I can use to ship large items such as this, in order to save on the courier charges? It's not a huge issue as I'm more than happy with the profit margin already, but every little helps!

Thanks again, I look forward to reading any advice you might have!

 

[Crog]

i like this thread

 

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[Ecom man]

Where do you go to check that you are not getting shafted on shipping? I have gotten a few different prices on shipping from sellers and a few of them have been far apart for the same item. One charging me 5.55 per unit and another $77 for 3 units.

You pretty much answered your own question. If one seller can ship them to you for $16 and the other is charging $77 it's pretty obvious which one is trying to shaft you on Shipping. I always get multiple quotes from different sellers and that is the best way to tell who is over charging you.

 

[Ecom man]

Hey! I've been lurking on this thread long before I signed up (today), and so firstly I just wanted to say a huge thank you for all the information you've provided, its been really helpful!

A little background: I've been importing for a while, and have been making a healthy amount of profit, but I've recently discovered a completely unsaturated niche that I'm going to be selling in. I've already bought and sold a sample shipment and made a large amount off of just that (~£300 profit per item, minus shipping), so I've now got an order of ~£3000 worth of these items on its way and should hopefully arrive before the week is out, which is great.

The only problem is with this product, is that despite the large profit margin the product itself is both big and heavy, which of course means I had to use a courier to send it, so my question is; are there any alternate methods I can use to ship large items such as this, in order to save on the courier charges? It's not a huge issue as I'm more than happy with the profit margin already, but every little helps!

Thanks again, I look forward to reading any advice you might have!

Besides shipping the items you can always sell through Craigslist (if you have it in your area) or advertise through newspapers etc.