In this lesson, we look at selling online options including stock managed e-commerce, dropshipping, Amazon FBA, private label, affiliate marketing, retail arbitrage and much more.
So let’s imagine you are wanting to sell hamster cages – what are the options?
OPTION 1: STOCK MANAGEDE-COMMERCE – Source & buy stock
You hold stock, pick & pack orders, manage deliveries and returns.
OPTION 2: DROPSHIPPING – Find a wholesaler to fulfill orders for you
You don’t need to hold any stock or pick & pack orders or manage deliveries and returns. Instead, you market the products, take orders, pay the supplier (wholesaler, manufacturer, or distributor) and they process for you.
OPTION 3: AMAZON FBA – Source & buy stock but let Amazon manage orders
You buy the stock and have it delivered directly to Amazon warehouses. Amazon manages the orders and deliveries for you.
OPTION 4: PRIVATE LABEL – Source a manufacturer & have your own branded products
You find a manufacturer (use Alibaba.com) then buy products with your logo printed on them. You can sell using any of the 3 methods above.
OPTION 5: AFFILIATE MARKETING – You promote products from other sellers
You join an affiliate program (such as with Amazon) and promote products sold by other people for a % commission of the sale price.
There is also another option, although it’s not one we really cover within Ukandoo Academy.
OPTION 6: RETAIL ARBITRAGE – Buying items well and selling for profit
With this method, you buy products cheaply from retailers who often sell items on special offer, and then immediately sell them online for a higher price to make a profit.
So are these the only options for selling online?
No, there are other options such as…
- Print-on-demand (POD) e-commerce -This is a type of e-commerce dropshipping. Items such as t-shirt designs, wall stickers, canvas prints etc., are printed on demand as soon as an order is placed
- Create-on-demand e-commerce – items such as jewelry, paintings, crafts etc., are created on demand as soon as an order is placed
- Unwanted items – items that you no longer want or need can be sold on sites like eBay
- Digital products & short courses – selling digital products for one-off payments such as eBooks or short courses
- Membership sites – selling access to member-only websites, such as Ukandoo Academy
- SaaS (Software as a Service) sites – a software licensing and delivery model where software is sold on a subscription basis
- Services – such as consultants or remote IT support technicians selling fixed priced service or support or individuals selling creative or technical services on Fiverr.com
- Games & apps – selling games or apps that can be delivered as electronic downloads
- Stock library sites – creating assets such as photography, illustrations, music, video clips, website templates or code on stock library sites like Adobe Stock, Shutterstock or Envato Market
And there are also different types of e-commerce model, such as…
- B2C (Business-to-Consumer) – the most common e-commerce model is B2C where businesses sell products to consumers
- B2B (Business-to-Business) – the second most common e-commerce model is B2B where businesses sell their goods to other businesses
- C2B (Consumer-to-Business) – individuals selling products or services to organizations such as freelancers selling services such as whiteboard animations on Fiverr.com
- C2C (Consumer-to-Consumer) – individuals selling products or services directly to other consumers such as selling products on eBay or services to other individuals on Fiverr.com
So which option is best for YOU ?
This really depends on:
- what interests you
- what products or services you are considering selling
- whether you have money to invest or not
- whether you want to establish a business or not
- whether you want to mix online selling with offline selling
- whether you want to build your own brand or not
- whether you are looking to make a little extra money, or build a substantial income or business
- whether you are seeking to build a residual income or not
- how quickly you are looking to make a profit or even sales
- whether you are interested in selling to businesses or consumers, or both
- whether you have technical skills or not
- whether you want to do your own marketing
- or whether you just want sales from an established platform such as eBay, Amazon or any of the stock library websites
Our aim at Ukandoo Academy is to help you understand all of the options to help you decide on the best approach that’s right for YOU.
Don’t be swayed by what someone else is doing if it’s not the right fit for you. You have more chance of success if you love what you’re doing and have the right knowledge, skills, and support.