If you’re into creating an e-commerce business, bulk buying goods from trade stock auctions is an excellent idea to consider. Stock auctions are an excellent source of goods, and trade auctions are hosted frequently. Therefore, you’ll be able to find a diverse range of available items.
These items can include large pallets with hundreds of different products. The pallets are ready for stripping down, and the items are sold in bulk, while the lots may contain multiple identical things. Bulk buying offers incredible value for money. The more substantial quantities of goods you buy, the lower the cost per each unit will be.
William George Auctions is an online auction platform that partnered with large retail suppliers. They have frequent auctions of “end of line stock,” retail returns, and any other goods that have been liquidated. Buying off these items in bulk will significantly lower the overall costs.
With all this information in mind, here are some ideas on how you can build your e-commerce business:
1. Determine The Target Audience For Your Store
Maybe you already know who your target audience is, but before you start your bulk buying e-commerce business, make sure to perform market research first. Hire top-notch market researchers and see if there’s a high demand for the items you’re thinking of acquiring. If there’s a market for these items, the bulk buying idea is on the right track.
The most usual items sold in bulk on stock auctions include standard high street goods like watches, electronics, clothes, etc. For these products, the general market already exists, and all you’ll need to do is promote your online business to boost your website’s visits. By doing so, you’ll see a significant increase in sales.
The potential buyers of these types of products are more-or-less general audience, so you shouldn’t have any trouble selling your goods. However, in case the clothing or watches are for teenagers instead of adults, you may want to reconsider buying several pallets of these goods. Make sure to find out the details of the auction before you decide to place your bid.
2. Decide Which Products Are The Best For Your Target Audience And Which Ones Will Sell-Out Quickly
Buying clothes or small electronics in bulks will save you vast amounts of money. But before you save your money, make sure you’ll be able to make any return on your initial investment. The first step to make is to see which products are best suited for your target audience.
If your target audience is male adults, electronics and watches will most likely sell out very quickly, as these items are what adult males are most into. On the other hand, if you’re thinking of buying a pallet of various types of female handbags, make sure you have an audience willing to buy them.
Some items will sell much faster than others, and what you need to do is discover which ones will sell out quickly based on your customer base and target audience. Selling your goods rapidly will allow you to invest further and make more money quickly.
Hiring a professional digital marketer will help you understand your target audience’s demands, and you’ll be able to act accordingly. Moreover, you’ll be able to understand your customers’ purchase patterns better. This allows you to organize your future investments as well as to make plans for your sales.
3. Discover How Much Stock You’d Need When Bulk Buying And Make A Budget For The Auction
After performing marketing research, you’ll have a better insight into the demand for the items you plan on buying. If the demand is high, you should start small. Buy one pallet of items of your choice and see how the sales go. If you’re satisfied with sales results, do another marketing research before buying more of the same product. From there, you can build your business and stock further up.
Another essential tip is to always make a budget for the upcoming auction. Bidding on auction items can sometimes go through the roof, and if you’re in a dire need for the goods you’re bidding for, you might go over your initial budget, losing you money at the start.
Therefore, it’s important to come up with an optimal budget you’re ready to use for bidding at the auction. It’s not a big problem if the price goes a bit out of your budget range, but make sure you don’t spend too much. Otherwise, your ROI will be much smaller than initially expected.
Creating a budget for the upcoming auction is one of the essential steps in bulk buying stock auction business. Without a pre-determined budget, you may spend much more than you initially planned on spending, and getting that money back can be much harder than spending it.
4. Set Up your E-Commerce Website For Selling Your Bulk Purchase From The Auction
After you’ve done marketing research and found your exact target audience, the next thing to do is buy the goods. When that part is done, you’ll need to start selling. To sell the bulk goods you bought from the stock trade auction, you must set up your e-commerce website.
In case you have no clue how to set up your website and fill in the necessary information, you can always hire a professional digital marketer, and they’ll help you put your e-commerce store on the web. If you’re using a pre-made and existing e-commerce website to sell your items, what you have to do is fill in the information detail about the products and set the prices according to previous market research. The next step is to promote your online store to your target audience.
Advertising your e-commerce store through various social media advertising channels, such as Facebook or Instagram, is a must. Moreover, it’d help if you started a Google Ads campaign since it’ll enable you to push your e-commerce store to a higher place in the Search Engine Results Page (SERP).
Before starting your e-commerce store, you need to find out who your target audience is. The next step is to perform research to see which items are appealing for your target audience and which ones will sell quickly. With all this information, you must come up with an idea of how much stock you’ll need before you can set up your e-commerce store and start selling your goods.