Ebay-Amazon arbitrage. Anyone done it?

There's a method out there thats become popular within the last year or so. The method requires that you pretty much find a ton of things you can sell on Amazon but get from eBay. It says to upload like 1000 items and stuff, and it wont take too long before you are making $10,000 a month or something. You might know what I'm talking about, but in case you don't, I will try to locate the method and copy+paste it here.

Well, here's the scoop. Most people that tried, lost their Amazon accounts. You think getting back on eBay and PayPal is hard? Try Amazon, they take that crap pretty seriously. Amazon does NOT like dropshippers. I had about 400 different items stored in a warehouse locally that I had to prove I had in my possession, or else they would delete my account.

I've done it. As mentioned above you have to be very careful with DVD's, CD's and VHS. Many of them are copies. I rarely arbitrage them because of the difficulty in finding legitimate versions.

Another problem is that Amazon prices for used items fluctuate wildly sometimes. An item may list on Amazon for $100 and you can buy it on eBay for $30 but by the time you get it and list it on Amazon the price is down to $50 and after fees you don't make any money.

Amazon sales rank is another factor. The higher the rank number the less often the item sells. You can always find potential arbitrage items on eBay but their Amazon rank is usually very high meaning they just don't sell very often. Sometimes not for years. So, your money is tied up in that item until it sells.

It is very competitive on Amazon. You may have a book listed for $100 that you paid $20 for on eBay and you're the cheapest price on Amazon. The next day Goodwill Books lists the same book for $80 which they got for free from a donation. So, you re-price your book to $98. Well, 15 minutes later their book will be $97 because they have automatic re-pricing software - and so on. If you have a few sellers doing this then the price can go to 1 cent. Literally. This happens quite a bit with books that don't sell often.

There are quite a few things to consider when looking at this business model so you have to be a little careful. eBay to eBay arbitrage can be done as well - sometimes more successfully. You just have to have automated eBay search software and know what items to look for.