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The Amazon Files, hosted by Kristin Ostrander and Amy Feierman Amazon business strategists and founders of Mommy Income, hits the airwaves every Tuesday with the real truth about selling on Amazon. This show isn’t about sugar-coated reality. It’s real truth - the good, the bad and the ugly - shared with practical action steps and strategies to help both new and experienced sellers tackle the world’s largest retail sales platform.

May 6, 2019

Retail arbitrage may seem like an incredibly profitable and attractive concept, but it can actually be quite limiting. In fact, it could even stunt your growth as an Amazon seller. The process of sustaining such a business model can be so demanding and time-consuming that it may end up feeling like a prison. The bottom line is - retail arbitrage is not a business strategy you’d want to stick with for the long haul, and unless this is something you’ve always wanted to do throughout your business career, it’s wise to get out while you still can.

 

Today, we are sharing our thoughts and experiences concerning retail arbitrage. We discuss why retail arbitrage is like a prison, as well as why it demands a lot of time and effort. We explain how finding the right kind and quantity of items to sell is one of the biggest obstacles in maintaining a consistent retail presence. We also share some of the limitations that come with retail arbitrage, such as dealing with shops, sourcing availability, the issue of item authenticity, and brand and category restrictions.

 

“It’s about working smarter, not harder.” - Amy Feierman

 

This week on the Amazon Files:

 

  • Why retail arbitrage is not a good long-term strategy.
  • Why it’s time-consuming to do retail arbitrage.
  • The addictiveness of the “flip”—and how that can trap you.
  • The challenges in finding the right kind and quantity of products to sustain retail arbitrage.
  • The ever-present problems of long lines and the window of sourcing availability.
  • How outdated software and equipment makes retail arbitrage even more difficult.
  • Why retail arbitrage requires a lot of traveling.
  • Why it’s not too early to think of the future.
  • The issue of dealing with stores while doing retail arbitrage.
  • Account and authenticity woes that come up with retail arbitrage.
  • Problems with brand and category restrictions.

 

Resources:

 

 

Related Content:

 

Get the PROVEN System to Maximize Your Profits on Amazon Through Wholesale Bundling!

 

Don’t know where to start in your wholesale bundling Amazon business? We teach a lot of different strategies for searching wholesale bundles and creating your own unique bundles. Learn the A to Z of Amazon wholesale bundling through Mommy Income’s Wholesale Bundle System. Visit MommyIncome.com/system for more information.

 

Grow Your Amazon Business!

Thanks for tuning into this week’s episode of The Amazon Files, the show to help Amazon seller along their business journey one step at a time with your hosts and Amazon experts, Amy Feierman and Kristin Ostrander. If you enjoyed this episode, head over to iTunes, subscribe to the show and leave us your honest review. Don’t forget to share your favorite episodes with your friends on social media! Use the codeword Start Today to join us on Facebook. Each week we host a live discussion on how to grow your Amazon business. Don’t forget to check out our website and subscribe to our mailing list for even more resources.