This is a brief summary to give you an idea how this works. The finite details that explain everything, what to look for, and how to make the right decisions are all explained in the book, eBay Arbitrage.
So here it goes:
Even though I have my favorite category (and favorite products within that category) from doing this so much, I just chose one at random to show you how this is done from scratch.
While you will always be doing Live auctions, this example is using already closed auctions so you can see what took place and how you could have participated.
1) Pick a category and dig deeper into it:
Category: Sporting Goods > Exercise & Fitness > Exercise Monitors, Computers > Other
NOTE: I know nothing about Exercise Monitors.
2) Now, here I looked through all the completed listings and focused on The Exact Same Product and found the highest and lowest auction closing bids.
The item I decided to focus on was a Timex Bodylink Heartrate & GPS Watch, Model T5E671. The highest closing bid was the last one in the listings (see below):
2) The lowest closing bid was further up in the listings (see below, 4th one down):
Now, What does all this mean?
1) The highest closing bid was $178 + shipping.
2) The lowest closing bid was $83.15 + shipping of $10.05 for a total of $93.20.
3) The difference is $84.80.
Both auctions were on the same model of watch, yet one sold for more than twice the other. How did that happen?
If you were doing Arbitrage you’d know why - and you could have won the lower bid auction, relisted that same watch yourself on you own auction, and made a potential profit of over $80.
This is just from one simple auction!
Now, If you’re ready to get serious about doing eBay Arbitrage and make some easy profits as illustrated above then get eBay Arbitrage and get started.
To see another example, Click Here.