A few months ago I told you guys that I started selling stuff purchased from Alibaba.com on eBay. I though it looked pretty promising after that first few weeks so I invested in more inventory. I also thought it would give me content for my blog and YouTube channel. Now that I have been selling on eBay for 4 months, I realize it isn’t as promising as I thought.
Let’s take a look at the numbers for the first four months.
|April 2019||May 2019||June 2019||July 2019||Total|
As you can see the last two months have been profitable. That is due to the fact that I have not spent any money on inventory from Alibaba.com. At this point I will be digging myself out of a hole until I can break even.
You may also notice sales dropped dramatically in July compared to June. One reason I had less items listed. I removed some items voluntary as I was getting some of them returned to me for insufficient postage. Some items were removed by eBay for trademark violations.
Another reason sales were down is because I sold out of some of my best selling items and decided not to reorder.
Plans for the next few months
I know eBay is not a good long term business for me. I prefer businesses that can be run from anywhere. This is not that type of business as I have to physically ship products everyday.
I want to sell all of my inventory before the end of the year and try to walk away with a profit of $500 to $,1000 dollars. Right now I am down about $2,400 so I would have to make $3,500 selling everything.
Some of the items that are not selling well will be sold to as wholesale lots to other people on eBay. Basically a business to business transaction. I will most likely take a loss on the sale of these wholesale lots.
The more stuff I can sell directly to consumers over the next few months, the more likely I can walk away with the small profit I desire.
What about Fulfillment By Amazon (FBA)?
I have thought about sending some of this stuff to FBA. It would take away the hassle of packaging and shipping stuff everyday.
My thoughts have not lead to much action outside of researching potential product margins and watching videos on how to label for Amazon. For the most part, I lack a competitive advantage so I am not too motivated to try FBA right now.
I also think it would be a distraction. One issue I have had in online business is an inability to stay focused or determine what my best opportunity is at any given moment.
I have said recently I want to stay focused on this blog and my Youtube channel, but at the same time I have gotten off track by launching affiliate campaigns, selling on eBay and working on a print on demand (POD) Shopify store. I cannot let Amazon FBA distract me too.
Would I recommend selling on eBay?
I would not recommend selling on eBay. We should strive for more automated businesses or try to create much residual income as possible. Situations in which we do some upfront work and make money for years to come.
Their is nothing fun about packaging up stuff and dropping it in the blue bin everyday. If you want to give eBay a try, I suggest selling items that are small and can fit in a bubble mailer. Items that can be shipped as a first class flat mail piece. Your items would have to be small and flexible to ship at that rate.
Research some items that you are interested in selling. Check how many the sellers are selling every week. Take notice of how much they charge and find out how much it costs to ship the item.
Once you see a promising items, purchase small quantities on Aliexpress.com first. I suggest buying 5-10 of each item. List the items for sell on eBay and see what sells fast and what doesn’t.
From that point forward go to Alibaba.com and make bulk orders of the items that sold well during your testing phase.
Doing it this way will reduce the chance that you have a bunch of inventory you can’t sell.
Their are a lot of ways to make money online and not all of them are worth the time. It is important to be disciplined and pursue business opportunities that can not only make money, but that fit the lifestyle you want to live.
At this point in my life I am looking to travel more so deciding to sell on eBay was an irresponsible decision. I thought it would make me a little money and give me some good content for my YouTube channel, but in reality it has kept me from spending time on more important things.
Save your money, learn from books, blogs and YouTube channels and wait for the opportunities that fit your personality and the lifestyle you desire.