What’s the secret of pricing your product right for quick turnover? Knowing your product and niche!
A couple of months ago, I wrote a post titled, “Sell Used Books And Toys With ASellerTool–First Update In Series,” which included what I purchased from the discount retail store, Tuesday Mornings, to resell on Amazon.com. I used the AsellerTool to discover what items were selling well on Amazon, and would provide me with a decent profit if I could buy the items at a reasonable price, and sell them for, well, obviously more.
One of the items I wrote about was a product from “Hooked On Phonics” called “Hooked On First Grade.” I purchased this product for $29.99 and listed it on Amazon for just over $80–still less expensive than the $99.99 retail price. I had one of of the lowest prices at the time I listed it, however, the item didn’t sell.
This could have been for a number of reasons. It could have been because I listed it at the beginning of the summer, and parents weren’t thinking about school at this time (Makes sense, right?), Or it could have been because there were listings for this product on eBay at better prices.
Whatever the reason–my item didn’t sell. So the other day, I made a huge price adjustment and changed the selling price to $48.95. I did this mostly so I could clear out the inventory in my office. I wasn’t sure it would even sell at this price since there were still better prices for it on eBay (in my opinion, there are “eBay people” and “Amazon people” and often they do not cross over, allowing sellers on Amazon to have higher prices than sellers on eBay).
To my delight, I sold my item two days after I listed it. If I had known at the time that the item would sell around this price, I would have bought a bunch of them. Yes, my profit is smaller, but I would have made it up on volume.
This type of selling definitely has a learning curve. The more you buy and sell products, the more you learn what people want and how to price them.
If you decide to sell products in a particular niche–even better. For instance, say you want to sell toys. It would be smarter to learn about certain types of toys in this niche like “learning toys,” “toddler toys,” or “infant toys” and then concentrate on the micro-niche that you pick. This way, you will get much better at finding these toys in the field and knowing whether or not you can sell them for a profit.