A lot of people decide to make a few bucks by selling stuff on Amazon, but hardly anyone makes more than that few bucks. There are a lot of factors involved in successfully selling on Amazon, but today we’ll talk about just one: inventory.
Due to the 15% fee that Amazon charges on most sales, starting an Amazon business requires finding inventory that has a pretty decent markup. If you already own your own business, this shouldn’t be a problem, as you’ll be purchasing inventory at wholesale anyway. For the rest of us, finding stuff to sell can present a challenge. Here are a few good options.
Books
If you’re thinking about selling new books on Amazon – forget about it! They get better prices than you ever will and are even willing to take a loss (as with ebooks) to keep market share. There are exceptions, of course – I’ve seen brand new textbooks occasionally cleared out at the local college bookstore for a fraction of what they sell for on Amazon – but for the most part, you should stick with used books. A ridiculous number of used books sell for a penny apiece on Amazon, but many more sell for a decent amount; if you have an iphone, you can check out current selling prices while browsing garage sales and your local thrift store. Otherwise, become an expert on a certain type of book and look for those. For example, I know that Easton Press leather-bound books, with a few exceptions, always sell well, so I keep an eye out for those.
Video Games
Like books, video games have an attribute that makes them very attractive to the Amazon seller: they can be shipped media mail or (better) first class parcel, which means you can actually make money on shipping. Don’t run out and buy a dozen copies of the latest Super Mario game, though; there are enough copies of each game made that they’re unlikely to ever appreciate much! What you need to do is find unexpected hits, for which supply exceeds demand. For example, a few years back there was a Wii game, I think Wii Carnival, that was getting very difficult to find in stores; I was lucky enough to be checking when Amazon got them in stock and picked up about 50 copies at $40 apiece. When they arrived two days later, I listed them on Amazon for $60 apiece and sold out that afternoon; for those counting, that’s a quick $1000 profit before fees. Not bad for a few hours work!