Monday, December 8, 2008

Starting an eBay Business

Drop shipping VS. Wholesale


Starting an eBay business is very involved. More so, than most people think. If you haven't already, go back and read Page 1 on starting with eBay.

Now that we have covered what not to sell, lets talk about what you should sell. You want to pick categories of items that are already HOT! Do not go for something obscure that only 5% of the population would know about...go for something that most people are interested in or have at least has heard of. For your eBay business, you will want to target an audience, for example, Webkinz (electronic pets) are hot right now, so your target audience would be elementary and junior high aged children (both boys and girls). Or you may be interested in selling automobile parts, which would make your target audience may be predominantly males, ages 16-50, for example. If you know who you are selling to, it will be much easier to actually sell.

Here is a list of the most popular search categories online:

· Antiques

· Dolls & bears

· Travel

· Art

· Books

· CD's

· DVD's

· Automotive parts

· Consumer electronics

· Computers

· Office supply

· Travel

· Books

· Gifts

· Software

· Apparel & accessories

· Tickets

· Coins

· Stamps

· Toys & hobbies

· Jewelry & watches

In order to give you a better idea of what types of items your eBay business should sell, we have compiled a list of great niche ideas, and they are as follows:


Antique Reproductions
Apparel & Accessories
Appliances
Art Reproductions
As Seen On TV
Automotive Parts & Accessories
Baby Products
Bags/Backpacks
Baskets
Bathroom Accessories
Batteries
Beads
Beauty & Barber Supplies
Binoculars
Books
Brassware
Briefcases
Calculators
Cameras & Supplies
Camping Equip & Accessories
Candles
Candy/Confectionery
Caps/Headwear
Cellular Products & Acc.
Ceramics (kitchenware)
Christmas Items
Cigarette Lighters
Cleaning Products
Clocks
Closeouts
Collectibles
Computer Parts & Supplies
Convenience Store Items
Cookware
Cosmetics
Crafts & Hobby Items
Crystal
Cutlery
Novelties
Office Supplies
Organizers & Planners
Outerwear
Paintball Games Supplies
Paints & Painting Supplies
Party Supplies
Perfumes & Fragrances
Pet Products
Pewter Items
Picture Frames
Plasticware
Plush Toys
Porcelain
Posters
Potpourri
Vitamins
Wallets

Decorative Accessories
Dollar Store Items
Dolls
Domestics
Electronics
Figurines
Flags
Floral & Supplies
Food Products/Snacks
Footwear
Framed Prints/Pictures
Fund Raising Items
Garden Products
Gemstones
Giftware
Gloves
Greeting Cards
Hair Accessories
Handbags
Hardware
Health & Beauty
Herbal Products
Home Furnishings
Hosiery
Houseware
Inflatables
Jewelry
Key rings/Chains
Knives (Kitchen)
Knives (Sporting)
Lamps/Lighting
Leather Goods
Licensed Products
Lingerie
Luggage
Magnets
Military Surplus
Mirrors
Musical Boxes
Pottery
Replica Arms & Armor
Rugs & Mats
Safety & Security Products
School Supplies
Shopping Bags
Smoking Accessories
Sporting Goods/ Sportswear
Stationery
Stickers & Decals
Store Displays
Sunglasses & Accessories
T-Shirts
Tapestries/Quilts
Tools
Toys
Watches

Now that we have covered what to sell, we need to discuss where you will get your items from. Dropshipping is a great way to start your eBay business because it minimizes risk. Not only do you not have to pay upfront for the goods, but you don't have to bother with shipping the item either. It is a quick and easy way to get yourself out there, and begin getting customer feedback. The drawback would be that you will not be able to compete as much as you would probably like to with the other sellers out there. When you are using dropshipping, you must use their given prices as your starting point, but you must also add in any drop ship fees, listing fees, and shipping costs associated with the product.

However, if you decide to go with wholesale items that you purchase first in bulk, you have much more control over shipping costs, pricing etc. There really is no right or wrong answer with an eBay business...it is just what ever you are comfortable with. You will notice there are powersellers in each category, so it is really up to you. We recommend using wholesale if you are comfortable with that, and can afford to shell out the cash first. You will increase your profit margin many times over, and also have unique photographs to post, and not the same ones other people might be using also.