KD in NJ

[KD_Mac]

Hi! 🙂 I started selling on eBay in 2004 as a way to supplement my income and added the Amazon FBA platform in early 2015. Professionally I’ve served in the non-profit sector as the Sexual Assault Prevention Coordinator/ Violence Prevention Educator covering a large NJ county but resigned earlier in 2016 after many years. (although I’m still very involved and hard at work) I’m now the Customer Learning and Development Coordinator of a popular web-based company focused on supporting Amazon Sellers. Yay! Although Amazon FBA is an important component of my business, eBay occupies the largest amount of real estate in my inventory.

I’m pretty sure I’ve happily listened to every Scavenger Life podcast. I easily identify with Jay & Ryanne’s values & goals and appreciate their highlighting of “new” schools of thought around money, conventional employment environments, scavenging, etc. and promoting voices from diverse backgrounds. (Hi-5 on the interview with parents that started their family early. -A fellow teen Mom)

KD
Top Rated eBay Power Seller

[Jay]

Glad you made it over KD!

I know you’re in a good position to know what’s up in the Amazon FBA world. Just curious what you think of the changes to Amazon FBA storage fees? Do you see it affecting the market?

[KD_Mac]

Good question. Because the market is becoming so competitive I’ve definitely seen an increase in folks innovating by creating bundles and developing White Label (not so much Private Label) items. Which is really exciting!

I haven’t seen too many sellers making major adjustments due to the changes in fees though. At least not yet. That may change in February though. Amazon has been kind of hinting over the last year that they preferred sellers to only stock around 90 days of inventory in fulfillment centers so I don’t think anyone is too surprised. I think we may start to see more folks Merchant Fulfilling orders as opposed to FBA as a result. Or storing inventory at home or in a warehouse and shipping smaller quantities over time.

If I had to predict, I think the folks that are committed to selling on Amazon and sourcing inventory via Retail or Online Arbitrage will be affected the most. They’ll have to work a little harder to find low ranking inventory for FBA, get ungated in new categories, seek wholesale opportunities, or start Merchant Fulfilling anything considered “long tail”. But online sellers are pretty resourceful people. : ) They’ll find a way.

In our house, we’re still pretty rooted in eBay while Amazon makes up only a small component of our business. We enjoy scavenging SO much; compared to sourcing for Amazon- not so much. Coincidentally, of the recent interviews I’ve done the interviewer has asked about the perceived migration to eBay or “back” to eBay almost every time. I’m excited to see people diversifying a bit! I’m even currently working on a webinar for Sellers/Subscribers that sell on both platforms. : )

[Jay]

This is great info. I’m surprised that people who sell wholesale can have such robust businesses on FBA. I always assumed that if it was easy to buy and sell items from a wholesaler, a thousand other sellers would do the same.

What is a “white label” item?

[KD_Mac]

It’s actually not as easy as one might think. For many reasons e-Commerce sellers are hesitant to approach wholesale companies. They assume wholesalers are only interested in dealing with brick & mortar stores, they think they’ll require a minimum purchase with a steep price tag, they’re not sure how to approach a wholesale company to open an account, they’ve heard stories about negative experiences, etc. Sadly, a lot of that is true. It’s difficult to find: A wholesaler that will sell to e-Commerce businesses in quantities that are affordable to small-medium sellers, with items that are profitable and that aren’t already being sold by multiple other sellers. But I think we’ll start to see folks get innovative and pursue those needle-in-a-haystack opportunities more vigorously.

White label describes working with a manufacturer to customize an item. Ex. I can open an account with a company that makes customizable teapots and have them add a zombie detail/graphic to it. Then, I could even find a company to make zombie tea cups and saucers. I can sell each individually or bundle a few together, “Zombie Tea Time Gift Bundle” haha! (Side note: I think there is a great market for “Scavenger Life” and “Shampoo & Booze” out there. I’d love to help point you in the right direction if you’re interested.)

As opposed to “Private Label” which describes slightly altering an existing item and branding it as your own. A lot of folks are really successful with this but it has its own set of challenges. And usually includes importing from China via alibaba or aliexpress.

[Jay]

Just curious. Since you have a front row seat to that word (through your job), why don’t you buy wholesale or do white labeling? Seems it’d be successful for you since you seem to know the ins and outs of it.

[KD_Mac]

Haha! I’m not sure I have an answer that would make sense. The most honest thing I can say is I much happier and am infinitely more successful when I’m serving. In the non-profit sector I served as a victim advocate, an ally to communities of Color, people with disabilities, the LGBTQIA+ community, for women, and socially disadvantaged. And for some reason I was able to build a solid reputation as an educator and public speaker. I loved it! And it still very much defines who I am.

But during my career I turned to (read: needed) eBay to supplement our income. I discovered it gave me a sense of security while serving in a field that often left me feeling like I had none. Then I started to recognize that eBay could be a great tool in empowering others. And it is!

Ultimately, my grant-funded non-profit position underwent some pretty major grant changes and I had to resign. But in that same week an opportunity to join a great team focused on supporting the scrappy, innovative e-commerce community opened up. I jumped on it and submitted my resume. (Honestly, I never expected it to go anywhere) And today I’m their Learning & Development Coordinator. : ) So now I get to work from home full-time for a company that supports me in serving everyone from large groups of people at conferences all over the country, creating video tutorials, hosting webinars, to extensive one-on-one training sessions with newly retired people, young couples, single parents, non-profit workers all wanting to supplement their income and/or just feel more secure.

I enjoy scavenging; like really really enjoy. But I’m most in my element and happy when I’m serving.

Don’t misunderstand me though- I have about a dozen white label concepts in my head and I keep my eBay store stocked with over 200 items at all times. Actually, those white label ideas are currently bubbling to the surface while we’re looking at college tuition for our youngest in the near future. But for now my family, serving the e-commerce seller community, my activism (especially in this post-election era), and my well-being occupies all the available real estate in my life.

[Jay]

Sounds like you’ve found the right mixture of things in your life!

I was just asking about white label or private label because I hear people talk about it, but have never really heard real experience directly from someone who sells one of these items. I’d love to hear specifics about up front costs and its success/failure over time.

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