What is difference between Amazon PL, Wholesale, Retail Arbitrage and Drop shipping?

 

What is the difference between Amazon PL, Wholesale, Retail

 Arbitrage and Dropshipping?

What is the difference between private label and wholesale?

What is PL in Amazon?

Is Amazon retail or wholesale?

Does Amazon offer wholesale pricing?

Okay so after my last post this is post for people just starting out to learn or fro those wondering what should they go for. So let’s try to break it down.

Retail arbitrage is when you get a stock of lets say “Nike Shoes “ at a discount from a sale or anywhere and find if you can sale it for a certain profit. Find listing for the same shoes and do MEETOO on the listing.

Pros

· Low investment

· No hassle of ranking or bleeding

· You get some pieces of a known brand so no need to burn your own money into building the brand.

Cons

· Not scalable enough you are on the hands of your supplier or the company once they stop your listing is over

· Takes lots and lots of time and can not be categorized into passive business/income.

· You can not sell your listing so the profit is only what you make every month.

Dropshipping Most of the people here might know what dropshipping is and for those who don’t know Let us say you have a physical shop, a customer comes to you and asks for “Nike Shoes” and you don’t have any stock you go to a shop in the market and place an order on behalf of your customer and keep the margins as your profits. Dropshipping is same but in online. Somebody places an order from you and you place the order to some other supplier with your customer details and keep your profits.

Pros

· Low investment needed

· Sell and Test More Products with Less Risk.

Cons

· Dropshipping is also not a very scalable business and products mostly sell when they are trending only.

· Less control over order fulfillment time.

· Again You can not sell your business so the profit is only what you make every month.

Wholesale This business is quite similar to Retail Arbitrage but in wholesale you contact known brands who are already selling on Amazon and negotiate them into giving you bulk items and allowing you to sell them by doing MEETOO on their listings. Lets say you got 1000 pieces of NIKE SHOES at 60$ each and they are selling on Amazon at around 85$ you go to the listing do MEETOO on the listing , Shoe Amazon your receipts and you get your profits.

Pros

· This model of business is expensive but not as much expensive as PL.

· Lower risk as you are already selling renowned brands.

· No hassle of ranking or bleeding for the product.

Cons

· You have to face competition as you are not the only one the brands are allowing to sell there are others as well and then it’s a war of winning the BUYBOX

· Time consumimg and takes lots of ghantay.

· Not an asset building path so you can not sell your listing.

Amazon Private Label The biggest and most recommended business on Amazon. Private label is you building your own brand. Instead of selling NIKE SHOES you go to suppliers and make your own shoes with your own branding on it. You select your own process and launch it from a ZERO to where you want. PL is the business in which the sky Is the Limit.

Pros

· You make your own brand.

· You set what you sell (until unless you have the money for it obviously).

· Insanely Scalable It depends on you where you wanna go with your brand.

· Timeless business Once your listing is set on the right track you can do the things you like.

· Easily Flippable Asset. You can easily sell your Listing on Any flipping websites or to anyone depending on your profits.

Cons

· Needs a big investment and a big Gurda Too.

· Needs you to know every single aspect on how to run the Business or you can easily Hire a VA to do your work for you.

what is amazon wholesale?