Online arbitrage sourcing is one of my favorite ways to source products and make money selling on Amazon. What I love about this method is that it is so easy for anyone with Internet access and a small amount of cash or credit card to get started.
This product sourcing technique is similar to retail arbitrage, but you don’t have to run around to retail stores. Instead, this can be done from the comfort of your home whenever it is convenient for you.
See, I started sourcing via retail arbitrage (“in stores“) over 10 years ago, and that was my launching pad for a highly successful Amazon & eBay business.
But finding products in stores can leave you (like me) tired and empty handed. So that’s where online arbitrage comes in.
Get ready because I am about to show you the secrets to buying products low from online retailers and selling them successfully at higher prices on Amazon. If you are willing to keep reinvesting your profits, this business model can be scaled up quickly!
Let me show you how to gain an unfair advantage over other Amazon sellers by learning how to find products, buy products, and sell products first before your competitors.
Your Unfair Advantage
Use the right tools to get a leg up on your competition and ensure that you are truly making a profit. While there are so many great Amazon FBA tools available today, there are only a few that I highly recommend and use regularly.
These tools will speed up your time while bringing you even more product opportunities to buy low and sell high online.
My Favorite Online Arbitrage Sourcing Tools
1.) Cleer Pro - This free Chrome extension will give you a big productivity boost while sourcing inventory online.
It is for U.S. sellers and can be only used in the Chrome Internet browser. Don’t let those two limitations fool you though. There is a lot more to this little tool that you can use to get started for free!
The Cleer Pro online arbitrage software gives you the ability to:
- Check eBay's recent completed sales activity for a product you find anywhere online
- See an Amazon product's price history (via Keepa and/or CamelCamelCamel)
- Locate an Amazon product at another online store or on eBay (for purposes of 'buying low to sell high')
The beauty of this free tool is that it significantly speeds up finding profitable products to resell online.
Just make sure you compare the Amazon buy box price with the online store price using the free FBA Revenue Calculator to ensure you can truly make a profit.
Check out this Cleer Pro video tutorial (how to get it for free and install it):
Go ahead and get the full directions on how to download and setup Cleer Pro plus watch 4 free video tutorials here: Cleer Pro: Free Online Arbitrage Software
2.) Cleer Platinum - This is the ultimate online sourcing software that helps you find profitable Amazon products to sell even faster yet.
Here’s how it works:
- The short learning curve makes it easy to get started in minutes
- Discover with one click whether or not you can make a profit with any product online
This tool is not only the best for online arbitrage, but for resellers of all products including books and private label product research.
A free 7-day trial is included plus the bonus “Quick View” Chrome extension. It truly is a good deal for those looking to get started quickly with minimal risk.
You can check out Cleer Platinum plus watch 3 profit proof videos here: Cleer Platinum Online Arbitrage Sourcing Software
The Benefits Of Both Online Arbitrage Sourcing Tools
Benefit #1: Not only do these sourcing tools speed up your time finding products, but each helps you analyze them better and faster too.
The deals are everywhere! The right software will help you unbury the hidden treasure and unlock your future profit-making potential.
Finding this information manually can be enormously time consuming and brain energy intensive. Get back your time and take away some of the mental pain by using these two excellent tools.
Benefit #2: Find product deals first.
You aren’t the only person looking for products online to sell on Amazon. Why? Because online arbitrage has a low barrier to entry. This means you could have lots of competitors that will make the Amazon selling price tank.
So ensure you are first to find and sell items before your competition moves in. Getting that early advantage helps you build momentum using these tools.
Benefit #3: Make better buying decisions.
Run calculations first before you buy in order to stay in profit. The last thing you want to do is tie up your money with a bunch of inventory you can’t sell for a profit.
Your investment in one of these online sourcing product deal tools could save you thousands of dollars in unsold inventory. Buying only products with healthy profit margins will help you weather the Amazon price dips.
Keep It Simple
Online arbitrage is a great way to make money, but keep it simple. Don’t try to overcomplicate the process with too many tools or spend too much time analyzing products before pulling the trigger.
Have you ever heard of paralysis by analysis? It’s a real thing that stops far too many people cold in their tracks before they even get started.
Online arbitrage is a skill that needs to be developed through practice. It’s not a “get rich quick” scheme. The secret to doing this successfully is using great tools like the ones listed above to help you identify the right products with good profit margins before you make a purchase.
Keep your risk low and your profit margins high by being strategic in your product sourcing efforts.
Power Sourcing Tip #1 - Explore products in all Amazon categories and not just toys. New Amazon sellers tend to get stuck in the toy category that is already saturated with many sellers and brand restrictions.
The profit margins may be lower and it may take longer to sell your stock. Open yourself up to more money making possibilities by being willing to find profitable products in other categories too.
Power Sourcing Tip #2 - If you source books to resell, don’t try to compete directly with Amazon selling books as “new”. Amazon dominates the buy box making it very hard for you to get your books sold. Instead, list your books in a used condition in order to get them sold faster.
Power Sourcing Tip #3 - Never price your products below the Amazon buy box price. This will trigger repricers that will begin the never-ending battle of price wars. Once the price starts going down, it is very hard for it go back up until your competition goes out of stock.
Power Sourcing Tip #4 - Buy products with zero FBA competition first and buy all the stock you can find online. This technique will help you sell your items at a higher price and remain as the only seller in the buy box.
Power Sourcing Tip #5 - Be willing to invest in products that are lower than 100% ROI. While starting with a rule of only buying items with 100% or more ROI is great for beginners, stretch yourself and be willing to take a lower ROI if the sales rank shows it will sell fast.
Power Sourcing Tip #6 - Only ship in to the Amazon warehouses the amount of inventory you can sell in 30 days. This will keep your FBA long-term storage fees low and give you the ability to make quick decisions if competition does move in.
If you do have to hold onto products a little longer than expected before getting them sold, it’s better to store them in your home where you can either wait it out or sell it in another marketplace.
Power Sourcing Tip #7 - Be on the look-out for replenishable products. Go beyond just clearance and sale items and start looking for products that are easy to replenish on a regular basis.
This will become the bread and butter of your business giving you a solid foundation of repeatable income. Keep that cash moving in!
Power Sourcing Tip #8 - Reinvest your profits and keep shipping in products. Set a goal for yourself to ship a certain number of boxes or profitable products every single week that you can sell in 30 days or less.
Get that momentum going if you are serious about turning this into a lucrative online business.
Power Sourcing Tip #9 - Keep practicing to build confidence. The best way to get better at anything is to keep practicing. Most people give up right before a major breakthrough. Don’t be one of them. If you need further help, I recommend this course from my trusted partners, and/or Online Arbitrage by Chris Green. (And, yes, both tutorials 'still work in 2019').
Level Up Your Online Business
Be intentional about scaling up your online business by either getting started with the free Cleer Pro or trying out Cleer Platinum for free for 7 days. These two tools are the best way for you to get an edge on your competition and bring in more cash.