Buying Clearance and Closeout Items Arbitrage

8 replies
  • ECOMMERCE
  • |
Can you actually make a decent arbitrage business model picking items from major retailers like Walmart that are on Clearance or Closeout flipping the product on Amazon and Ebay? I have watched several YouTube videos that show it is possible to find golden items that fetch 50%+ profits. There are people who go Clearance shopping as a job to Arbitrage and sell on Amazon and Ebay. Which are other good retailers to go Clearance Picking for Arbitrage? How much of an inventory investment should you start with? Anyone on Warrior Forums having success with this type of E-commerce Arbitrage please share your experience and story.
#arbitrage #buying #clearance #closeout #items
Avatar of Unregistered
  • Profile picture of the author johnnajera
    I have an uncle who does retail arbitrage, I think he makes something close to 8k to 10k a month but he wakes up at 5 am every day and goes to a Swap Meet to search for this "golden products" and then he goes to retail places like Walmart and Target to find offers, honestly that lifestyle is pretty boring to me but hell yeah he does some nice money.
    {{ DiscussionBoard.errors[11383656].message }}
  • Profile picture of the author dave_hermansen
    This is true arbitrage and is definitely a solid business model. It takes an initial investment but is very viable, provided you are purchasing things that have a decent shelf life. A good example would be finding a "come-on" Christmas sale for thumb drives at a super cheap price. A month later, the regular price will be in effect everywhere and you can clean up by offering a small discount on all the ones you bought.

    The amount you would need to invest is impossible to say. It comes down to how many are available to buy at a cheap price and what those things are. If they are evergreen and will sell well for many months/years, your profit is limited only by the amount of money you have available to spend on the closeouts.
    Signature
    StoreCoach.com- Learn How to Dropship the Right Way - Buy & Sell Websites - Partner with Coach
    My PROVEN ecommerce process, as seen on: Fox News, the NY Times & Flippa
    {{ DiscussionBoard.errors[11384239].message }}
  • Profile picture of the author martworld
    Can this model be applied worldwide? or just limited to specific geographical area?
    {{ DiscussionBoard.errors[11384910].message }}
    • Profile picture of the author dave_hermansen
      Originally Posted by martworld View Post

      Can this model be applied worldwide? or just limited to specific geographical area?
      Anything can be applied worldwide if they are products that are purchased worldwide.
      Signature
      StoreCoach.com- Learn How to Dropship the Right Way - Buy & Sell Websites - Partner with Coach
      My PROVEN ecommerce process, as seen on: Fox News, the NY Times & Flippa
      {{ DiscussionBoard.errors[11385349].message }}
  • Profile picture of the author ecomhustla
    It sounds like a lot of footwork is involved, but surely you can make a profit. To be sustainable, you might need to broaden your strategy beyond just clearance/closeout/on-sale items. Some possible examples:

    - Join these retailers' or credit card rewards programs and use points to get discounts
    - Collect coupons to use for discounts

    You might also consider branching out beyond major retailers' main stores:

    - Find nearby factory outlet-type of stores where certain product lines or older styles may be discounted
    - Smaller businesses that might be going out of business or running clearance/closeout sales
    - Garage sales, moving sales, yard sales

    In all, it is probably useful to have a smartphone to scan items that have barcodes, so you can instantly see what they are going for online.
    {{ DiscussionBoard.errors[11385742].message }}
  • Profile picture of the author yukon
    Banned
    Arbitrage doesn't even have to be bought at a discounted price.

    I'm looking at some items on Amazon that are marked up 10x times from the regular local price and plenty of positive buyer comments.

    Folks around here tend to believe they need to find good deals in order to make a profit which isn't true. You just need to research what's selling good and for higher markup prices.

    I know this is hard for people to understand but traffic is lazy, they don't usually comparison shop on multiple sites. The majority don't even do Google searches for lower prices. They obviously don't care what they pay.
    Signature
    Hi
    {{ DiscussionBoard.errors[11385754].message }}
    • Profile picture of the author DURABLEOILCOM
      Can you pull positive return on investment buying from Amazon on Amazon day then reselling them on Amazon. Or Ebay? Which hot items do you recommend jumping on?
      {{ DiscussionBoard.errors[11395720].message }}
      • Profile picture of the author DWolfe
        Originally Posted by DURABLEOILCOM View Post

        Can you pull positive return on investment buying from Amazon on Amazon day then reselling them on Amazon. Or Ebay? Which hot items do you recommend jumping on?
        Done it before with a release of a DVD on Amazon and sold it on Ebay or also worked with Lego's. Make sure you figure shipping costs and mark up to cover Ebay's take.
        {{ DiscussionBoard.errors[11395779].message }}
Avatar of Unregistered

Trending Topics