Online Arbitrage is where you purchase products online, get them delivered to you and send them to Amazon in order to resell on the platform.
When first starting with online arbitrage it can be difficult to identify what a good deal is.
In this article I will share my top three ways to find online arbitrate deals as a new seller.
Deal Sheets
A deal sheet is when you sign up to a service and deals will be delivered directly to you.
A deal sheet is great if you are new to Amazon FBA, this is because the deal services will scout the internet for you and deliver profitable deals to you that you can sell on Amazon.
You cherry pick the deals from the list that will work best for your business.
Things you will want to bear in mind is
1. Are you eligible to sell the product
2. The price of the item in relation to the profit that can be made
3. The sales history on the item e.g. how often is it selling, what was the average sell price, how many other sellers are on the listing in the price bracket you wish to sell at
There is a plethora of great deal sheets currently available on the market.
Types of Deal Sheets
Most deals sheets are set up as a monthly service, this is where you will pay a monthly fee and in return get X amount of deals.
There are also a few on the market where you can pay as you go. You pay for your sheet and get delivered X amount of deals, with no subscription. So if you like it is a takeaway service!! No commitments.
This makes deal sheets a great option, whatever your budget - as there is something for everyone!
Sourcing Software
Another way to get leads into your Amazon FBA Online Arbitrage Business is by using sourcing software.
Sourcing software is online software, you sign up to the service and it links to your Amazon Sellers Account.
In most cases you will require a Professional Account on Amazon (the one where you pay a monthly fee), this is because the software connects to your account via MWS keys - this feature is only available with Amazon Professional Accounts and not available with the free Individual Plan).
You then input your own search criteria e.g. store you would like to search, price you want to pay for an item etc.
The software will then either search websites live, or use there own saved data to search via your selected criteria and return you deals.
Sourcing software requires more expertise than using deal sheets. This is because you will need to do your own extra due diligence in ensuring the leads delivered match the item on Amazon.
There can be mis-matches with sourcing software therefore you need to really check the deals in order to ensure the product delivered via the software is in fact the item being sold on Amazon.
A popular mismatch with sourcing software tend to be the package quantity.
On Amazon it may be a three pack but the sourcing software has detected is is a one pack.
Therefore you do need to be beady eyed when using sourcing software.
However it they are a great way of getting extra leads in to your business.
3. Manual Sourcing
Manual Sourcing is where you find products to sell on Amazon independently. You do not use any sourcing software or sourcing services.
You generally begin the process by one of two ways
You go to a retailers website begin looking at items for they have available, those on offer tend to be a great place to start as they are already discounted. You then check if that item is on Amazon, if you identify the item on Amazon, you then use your profits calculator to identify if that item will be profitable after Amazon takes their fees for selling the product.
The second way is to identify some brands currently selling on Amazon, you then reverse search the brand on Google. Once you find the brand/product you then follow the process mentioned in step one.
Conclusion
In this article we have dived deep into the three different ways you can begin to find online arbitrage deals in order to flip them on Amazon for profit.
