The Online Retail Arbitrage as a Smart Business Way to Do in This Era


This article will discuss about retail arbitrage, especially on Walmart. First of all, understanding the concept of retail arbitrage is crucial because it is the starting point from which you move. Actually the concept of the arbitrage is the concept of "middle man with early purchase." You buy the product from a retail store (in this case Walmart) and then sell it for a higher price.

Although it seems very simple, in fact running arbitration retail is complicated enough to do and the complexities lead to two points as follows: 

1. Determining the product to be purchased
2. How can you sell it


Walmart in New York and Walmart in Boston may have several variations that differentiate the two. Variations lie in the type of product sold (in the same product segment). As an arbitration retailer, you have to be smart in choosing which types might be profitable for resale.

Fluctuations of purchasing power

As a businessperson, you must take into account the fluctuations in your consumers' purchasing power. You can’t always expect the same purchasing power in each of your stores (if you have more than one store). Each store has a different consumer with different buying behavior. You should take into account if there are more items unsold this month while you buy from Walmart in the same quantity as previous purchases. Decrease in purchasing power is determined by several factors; the most important thing is that the products we sell may be "too generic." There are many competitors and if many stores offer relatively similar goods to each other, the income niche will narrow. A decrease in purchasing power also forces you to provide additional warehouses and this requires more cost.

Sell online

This is the essence of how we use Walmart to increase our sales. There are many ways to sell online but in this article I will focus on selling through Amazon. Why Amazon? It is the world's largest online store with the most widespread delivery network reaching almost the entire world.

Using Amazon Seller app

This app can be used to estimate how much profit each might open and how long that quantity can be obtained. However this step has a disadvantage regarding the amount of time spent for processing and wrapping each order.

Apply Fulfillment by Amazon

This is a smart move that is facilitated by the world's largest online store. You can submit everything about packaging, storage, and also shipping on Amazon. For example, you want to sell books and you decide to use Amazon Fulfillment Services, this means you can send your books (in bulk) to Amazon's warehouse and when there are buyers, this great online store will ship your products to buyers. This facility is not free and is subject to a fee but you can save tens of hours of packaging and also minimize damage to shipping.

One of the best examples

Ryan Grant is one of the best examples on the case of buying from Walmart and selling it online through Amazon. He is a student at Winona State University who pioneered the business of selling books. He has sent his products almost to the entire United States and has made a profit of up to hundreds of thousands of dollars. He utilizes UPS special rates to ensure bulk mailing of books in bulk can be done smoothly.

Now, Grant has expanded its business line by selling more than books. He buys toys, home improvement tools, and anything that can be sold online for profit. So ... how? What are you waiting for now? Immediately apply the retail arbitrage combined online to get maximum profit with minimum effort. Just try it!