Ecomnomy.com

Want To Buy Ecommerce Courses And Learn How To Make Passive Income?

With the advancement of technology, many companies are turning to the internet to enhance their business. Some are even setting up storefronts on their websites to allow customers to purchase their products online. This is great for customers who do not want to travel to the physical brick and mortar shop to make purchases. We call this the ecommerce business model. However, this business model is not just used by huge companies. Ordinary people like you and me can use it too.Want To Buy Ecommerce Courses And Learn How To Make Passive Income

In case you are not aware, you can purchase ecommerce courses online too! Thousands of people out there are already making part time (some even full time) passive income from their online businesses. The trick is to find a suitable course and take action.

What do I mean by suitable? Well did you know that there are various types of business models within the ecommerce business model itself? You could be selling your own products and carrying your own inventory, or you could be promoting other people’s products and getting an affiliate commission. Let me briefly talk about a few of them.

The Lowdown On Ecommerce Passive Income

Selling Your Own Products

Amazon

This is probably the most challenging and advanced method. You need to source for your own inventory, keep them in a storehouse, and then replenish them when you are running out of stock. In some cases you will also need to take care of the shipping and handling. There are some exceptions such as Amazon. Amazon has a program called Fulfillment by Amazon (FBA) where your products are stored in Amazon’s fulfillment centers and the shipping is taken care of by them. Selling your own products Amazon can be very profitable, especially because one can earn a profit margin of 200% or more. You also do not need to set up your own website since you will be listing your product on Amazon. However, the challenge here is to find a trusted product vendor and then ship the products in bulk to Amazon’s fulfillment centers. I won’t say that this is not a suitable ecommerce model for beginners, although if you do not have a lot of capital on hand then this method is not recommended.

Drop-shipping

This method is somewhat easier because you do not need to hold any inventory. Drop-shipping involves you finding a manufacturer (drop-shipper) who takes care of the shipping for you. So all you have to do is sell the products on a storefront (which is basically a website) and when a customer makes a purchase, the drop-shipper gets notified and ships the item out. The main challenge with this method is you are limited to selling products by just that manufacturer. If you want to sell other types of products that this manufacturer of yours does not sell, you will have to find another drop-shipper.

Arbitrage

This method is involves you finding another seller. Let’s say he is selling mugs. You’ll set up your own storefront and list the exact same mugs for sale. The difference is, you are listing those mugs on your storefront at a higher price. As soon as you get a confirmed buyer, you are going to the seller’s storefront and purchase whatever your customer bought, and you’ll fill the seller’s shopping cart with your customer’s postal address. This is a win-win situation for both the seller and yourself. You’re helping the seller get sales and you are making a profit on the markup. The main disadvantage is the lack of automation. You need to manually enter your customer’s particulars when you’re buying from the seller. Also, your customers will not know that you are getting the mug from another seller, so you need to answer support queries from them.

Affiliate Marketing

Affiliate marketing has always been the go-to business model for newbies and beginners. You are simply promoting other people’s products and receiving a commission for every sale referred by you. You do not need to keep any inventory, and the shipping as well as support queries are handled by the vendor. Amazon has its own affiliate program known as Amazon Associates. Another affiliate networks you can look at is Commission Junction, where you can find a myriad of brands allowing affiliates to promote their products.

Teespring

In more recent years, there had been a trend where people were selling T-shirts through a platform known as Teespring. This method involves slapping your own T-shirt design on clothes, then leaving it to Teespring print the design on the apparel and shipping them to customers. Some of the best Teespring courses can still be found today. Later, this model evolved and other similar platforms such as Spreadshirt and Gearbubble emerged. Designs were now able to be printed onto caps, mugs, phone covers, pendants, and more.

Pick Your Course

These are just a few of the methods within the online retail business model. If you are looking for courses that teach how to make money with ecommerce, be sure to know which method you want to go for. I hope this article will help you make an informed decision before committing to a course.

Pros And Cons of Ecommerce Arbitrage

Arbitrage is a simple ecommerce strategy that newbies can follow. It does not require you to keep or ship your own inventory. If you are looking for a way to make some extra income then this is a suitable method for you to consider.

Arbitrage is a method whereby you act as a middleman, connecting a customer to a vendor. You list an item for sale on your website. When you get a buyer, you go to a vendor who is selling that same product, and you buy it from him. You type your customer’s name and address in the vendor’s shopping cart.

Pros And Cons of Ecommerce Arbitrage

Arbitrage Pros And Cons

There are a number of advantages with this business model.

Pros

  1. Add your own markup – The markup can be as much as 200%. The key is to find the right vendor who is selling the item at a really low price.
  2. You don’t have to worry about inventory or shipping – That is the vendor’s responsibility, not yours.
  3. You can go vendor hopping – Very often you will find the same exact item being sold by multiple sellers. If one vendor runs out of stock, you can go to another.
  4. Doesn’t cost much to get started – You do not need to buy your own inventory. You just need to set up your own storefront and be able to receive payments. Shopify’s basic plan costs just $38 a month, which amounts to about $1.20 a day. If you make one sale a day you could easily cover your cost.

As with any business model, arbitrage has its disadvantages too.

Cons

  1. Manual labor – Every time a customer makes a purchase on your storefront, you will need to head over to the vendor’s storefront and manually purchase the item there. That is quite manageable if you have maybe 10 customers a day, but if you start to scale up and get 100 sales a day then you may want to consider outsourcing the task.
  2. Finding the right vendor – You need to find a few vendors who can be trusted. The reason why you should find more than one vendor is because of what I mentioned earlier. If one vendor runs out of stock, at least you have another vendor to go to. Apart from that, every vendor will be selling the item you want to arbitrage at a different price. Obviously the lower the price, the higher your profit margin. You’ll need to add that into your consideration when finding a vendor.
  3. Finding the right product – You cannot arbitrage branded items such as iPhones or laptops. Also it is recommended that you pick a product that is light in weight. In most cases the products you’ll find which can be arbitraged are sold for a low price point so your profit margin may not be as high.

That’s about it for the pros and cons of arbitrage. It’s fairly simple to get started so why not give it a shot? Let us know how it goes! Of course there are other ecommerce strategies that consider besides arbitrage so do your research and pick the strategy that you like best.

Ecommerce And Online Retail Ideas For Beginners

Ecommerce Business Ideas For Beginners

If you have been following the news, you will most likely know that many businesses these days are using the ecommerce model to generate profits. Amazon have been recording massive profits year after year, and it was not too long ago that Alibaba had a billion dollar IPO. Online retail is a very lucrative business model, with many websites such as Shopify, Etsy and eBay allowing people to set up their own storefronts online.Ecommerce And Online Retail Ideas For Beginners

Setting up your own retail commerce business is not as difficult as it may appear to be. If you are thinking that you are going to need your own inventory and have to handle shipping and delivery in order to run a success retail business, then you are wrong. There are other methods that do not involve that. This includes drop-shipping and affiliate marketing.

Drop-shipping means that you have your own storefront and you let someone else ship the product for you to the customer. Usually the one who ships is the manufacturer. With this approach, you just need to set up the front end store and your drop-shipper will take care of the back end stuff. In most cases, your shopping cart is connected to the drop-shipper, so they will get notified when someone confirms a purchase.

Affiliate marketing of physical products is the more common ecommerce strategy that many beginners adopt. Affiliate marketing is simpler and provides more freedom. What do I mean? Like drop-shipping, affiliate marketing does not require you to carry your own inventory. However, in this case, you do not need to get a drop-shipper. You only need to join an affiliate network such as Amazon Associates where you will be allowed to promote any product on Amazon and you will receive a commission for every sale that you refer. There are lesser restrictions here because the shopping cart is taken care of by the vendor, so the restriction that I mentioned earlier is non-existent here.

Before you start, I recommend that you do some research to see what products are selling well. You can look at Amazon’s best seller list. It has a whole list of products that people are buying. Of course you are not limited to just promoting Amazon products. Websites such as Commission Junction, ASOS and Rakuten also allow affiliates to promote their products.

You will be able to find plenty of online retail courses where you can get more in-depth information on marketing strategies for running your own ecommerce business. There are lots of interesting tricks and tips that you can apply. Don’t stop at what I’ve shared with you today. Keep learning and I hope you’ll be successful one day.