There’s a whole industry which promises to make you money through what’s known as arbitrage. Basically it’s finding a product at a low price from one supplier and selling it at a higher price to the customer. That might sound like your business, but the difference is that instead of buying cheap in bulk, with arbitrage you’re often buying from a retailer and getting them to ship direct to your customer.
Now a new service, Arbiship, has launched in the US with the promise to automate the whole arbitrage process for you. It’ll allow you to sell on eBay.com whilst automatically scanning, processing and shipping orders from multiple vendors including Walmart and Amazon.com.
Without automation you would be placing manual orders, finding the correct items on retailers websites, copying address lines manually, double checking buyer information, filling in payment details and having to calculate your profits. Arbiship say that they can do all this for you.
It’s certainly not unusual for marketplace sellers to drop ship orders, I also personally know sellers who list stock that they don’t have in the knowledge that they can order from a supplier on a 24 hour delivery to onward ship to the customer.
Arbitrage is slightly different though, would you be willing to trust that the product would still be available from a retailer when you got a sale. What if they sell out or the price changes. You could very quickly find that your eBay account has a ton of orders that you can only fulfil at a loss, but equally if everything goes well you could be making profits without holding any stock or touching a single product.
How far would you be willing to go to automate an eBay business – is arbitrage something you’d be willing to try, either manually or automated with software like Arbiship