Business Opportunities:

Business Type: Branded Perfume and Cosmetics Reseller

Starting This Business: This type of business is typically high volume/low margin, but as you are reselling very well-known brands that have spent millions on advertising, the hard work has already been done. You will need to buy stock from a beauty wholesaler who will sell you all the latest perfumes and cosmetics you normally find on the shelf in Boots at less than half the price (the wholesale price). There will typically be a minimum order of approx £250-£500 but that will get you a wide selection of all the most popular products that are currently being advertised on television. Do some research on ebay first to see what other sellers sell most of and make a list of those brands to order yourself. It is a ready-made market as buyers are searching ebay constantly for branded perfumes and cosmetics. You will notice that most sellers are offering these product for sale at well below what Boots and Superdrug sell them for, but always at a higher price than what the wholesalers sell them to you for. For example, you may buy a certain branded perfume from the wholesaler for £9.00 but most sellers would advertise the same perfume on ebay for at least £12-£14. Boots would advertise it for most probably £20, but you would never sell it at that price via ebay due to the number of other sellers undercutting you. However by offering it at a similar price to other sellers you will still sell them and make a small profit of £2-£4 per product.

The key to success is to carry a small stock of each of the most popular brands, thus widening your appeal to buyers as they search for various products. The wider your selection, the more buyers will click into your auctions and make a purchase. Don’t simply buy a large stock of one single product – think in the same way as a shopkeeper, he/she wouldn’t just buy lots of one product because that means only people looking for that single product would visit their shop. By stocking several brands, it will attract more people into your ‘shop’ and as they look around they may even buy something else, or even something completely different to what they originally came in for. Click NEXT for where to sell, how much you could make, top places to source your stock from, etc.

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