Hi all,
Myself and friend of mine are in the process of setting up an online store and could use some advice - we are working hard on our due dilligence!
We are researching potential products to sell and suppliers but are wondering what is really selling online right now and more importantly what products are providing the best margins. I know that we are basically faced with two options: 1. to sell products in high volume at low margins or 2. sell low volumes of products which have high margins.
We are trying to focus on products that are interesting to us: Clothing (apparel), Sunglasses, Watches, Jewellery are a few that we have in mind.
We also had consumer electronics in mind but from what we can see this is a very difficult area to tackle due to the sheer number of people trying to sell in this niche and the margins are not that good.
Could any of you give any advice on the above based on your own experiences?
John/Rob.
Hi John and Rob, welcome to Salehoo.
As Irene has indicated, this is one of the most asked questions we see here on the forum, and there really is no definitive answer as the market is constantly changing.
I would say it's a big step going into online sales with your own site upfront, as you don't just have the issues of what to sell, but how to market it effectively to generate traffic.
For my money, this is the very first box you have to tick. What to sell is further down the list. You need to have a firm plan in place for this type of venture to ensure you know how, where and how much it's going to cost you to ensure traffic flow to your online store.
No traffic, no sales, no matter what you are trying to sell!
Firm up the foundations of the business first, the rest can then be built on top far more effectively : )