Beginner's Guide to Making Money on Ebay

I will make this short and to the point. The number one way to Make Money on Ebay is to sell physical wholesale products shipped from your door. However, a lot of so called experts will say drop-shipping is the way to go, yes and no ! Drop-shipping works by finding a product from an online store or wholesaler and advertising that product on Ebay, at a small profit of course. When a purchase is made, you the seller then order that product from the third party supplier and make the Ebay purchaser the recipient of the goods and you keep the profit margin, like a middleman. Sounds great right? The main problem with this is you are at the mercy of the drop-shipping company to deliver the goods on time and indeed have that stock on hand, also prices tend to be at a premium and guess what, all your competitors are doing the same thing as you! The absolute greatest way to go, is to buy your products in bulk (wholesale) deliver them to your address and mail them out as you sell them. This is a lot more work but worth it in the long run trust me on this. I went from $20-$30 daily drop-shipping to $200-$400 daily doing wholesale depending on what folks were buying on a particular day.

Lets get started making Money!

So without going into too much detail about the pro's and cons of Drop-shipping, let me tell you how to make real money from wholesale selling on Ebay (note this also works on other auction sites too) First of all you need start up money, Easy if you don't have any. Find any old unused household goods around the house worth a dime and list them all on Ebay with a starting bid of $1 , they will sell, people buy all sorts of crazy crap and its also great to hone your Ebay selling skills and Auction layout. Once you have some money you need to find a niche ie what to sell, People say you a crazy to sell electronics as its a saturated market, true but its saturated by drop-shippers and Chinese wholesalers. You have the advantage of physical products in your possession ready to be shipped overnight and the fact that you bought your product in bulk, you can compete with everyone else. You will also be surprised by how many locals will want to pick it up in person, that's fine as long as making profit from shipping is not on you marketing plan and it should not be. Seasoned Ebay buyers are not stupid, they know that a small item is not going to cost $50 to ship, so be honest about your shipping costs, however its totally reasonable to add Handling costs , after all you will have to buy bubble wrap and boxes for shipping, your time spent etc, so calculate all of this wisely and keep all receipts for tax time .

Don't expect a high profit margin Selling on Ebay

The name of the game here is volume sales, if you can get 10-20% profit on each Item be very happy with that. For example say you sell at $200 minus Ebay fees etc $195 if you make 10% you are $19.50 better off , big deal you say. If you follow my lead you will be selling minimum of 10 items a day , do the math :)

Where to buy your wholesale goods

There are literally 1000's of online wholesalers mainly from china, to save you all the time in the world a members website called salehoo has already catalogued and reviewed all of them, so save your time and lost money getting ripped off and sign up with them, you can get started immediately.Click to find out more about Salehoo.  Only if you are deadly serious about making money from Ebay you will need the edge that few have, there is an amazing site called World Wide Brands, they are direct links to wholesalers without middlemen. This is the only way to go for maximum profits .

How to make your Ebay auctions

Unless I'm trying to move old stock I only ever use the buy it now feature and never use Ebays Picture packs , they are not needed and here's why. You will make all of you auctions in the free program Turbolister . Learn it !! You can add you own photos you have hosted on www.photobucket.com and insert them as HTML into your well laid out add. That way you pay bare minimum for your adds, also if you have say 10 particular items available you add a quantity of 10 in Ebay, that way if someone hits buy it now your add remains live and get 9 more chances of someone hitting buy it now . Pretty cool !!! You will also be making 10 adds a day and will have a total of 5 product you sell, so make 5 add for your 5 product on the daytime and 5 at night, that way you always have adds running out of time when people shop the most , In the middle of the day and after tea !! this is a well known fact !

For further reading the best guide I've come across is the Powersellers guide to making money on ebay