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Maximizing your retail arbitrage buys via the “OA Backdoor”
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But I Don’t Have A Warehouse!
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Tactical Arbitrage Closing

Maximizing your retail arbitrage buys via the “OA Backdoor”

While I’m working towards wholesale the majority of my business is still Retail Arbitrage. I love the thrill of the hunt for a new item and the rush that I get when I find several of an item that I know will be profitable for me.

In this post I’m going to lay out one of my most valuable strategies – I call it the “OA Backdoor”

It’s not rocket science, but it’s made me a bunch of money and I wanted to share it with you.

Here’s a real life example:

A few days ago I scanned some toys that I’d not looked at before in Wal-Mart, there were several variations of the same type of toy with different characters from a children’s program.

Most of them weren’t profitable. Actually all but two weren’t profitable. The buy cost on the profitable one was $14 and the sale price on Amazon was over $40 with a rank under 20K in toys – Jackpot! Sadly though, there were only a couple of them in the store, I went to a couple other stores but only ended up with a total of five of this particular toy.

Alright – now to fire up the “OA Backdoor” method! When I got home I scanned the UPC and searched for it on Walmart.com – this brought me to a page that looks like the one in the photo below.

This is a textbook example of the “OA backdoor” at it’s finest. Even though there was NO picture and NO description I bought about 20 of these items because I knew what they were. If you were doing OA and saw this listing you probably would have passed on it because you had no way to know for sure if they were the correct item.

They were delivered to my house yesterday and I stand to make a few hundred bucks off of just a few minutes of my time placing an OA order.

Most of the time if you search for a profitable item you purchased RA you won’t find it online at the same price. A lot of profitable RA items that I currently sell are “in store only” items but it never hurts to make a quick search on Walmart.com, Target.com and even a quick google search. This is a very powerful method to help you scale your RA finds. While it doesn’t work often, when it does it’s a thing of beauty!

Alright – enough of me blathering on my blog – I have some stuff to prep and get out the door.

Go Ship Some Stuff!

Matt

 

But I Don’t Have A Warehouse!

Moving into doing wholesale one of my main concerns was how on earth was I going to be able to get deliveries of large amounts of product. Warehouse space is expensive here in Denver and I’m not quite that big yet. I had a local friend with a warehouse willing to accept pallets for me but he ended up selling that part of his business, leaving me to try and figure out another solution.

Enter “Cross Docking” – which I’ll let wikipedia explain below.

“Cross-docking is a practice in logistics of unloading materials from an incoming semi-trailer truck or railroad car and loading these materials directly into outbound trucks, trailers, or rail cars, with little or no storage in between. This may be done to change the type of conveyance, to sort material intended for different destinations, or to combine material from different origins into transport vehicles (or containers) with the same destination or similar destinations.”

A couple hours of searching on Google for “Denver Cross Dock”, reading through the sites that came up in the results and exactly one phone call later and I’ve got a contract pending with a local company that specializes in working with smaller businesses for stuff like this. For only $35 a pallet to start I now have a warehouse/receiving company “on payroll”. After working with them for the next 60-90 days the owner and I will revisit that rate because the less time the pallets stay in his warehouse the better the rate he’ll be able to give me.

Now to get some pallets lined up! More coming soon on how my wholesale journey is going. My wife and I are getting ready to move at the end of this month which has forced me to concentrate on getting my current warehouse (AKA, the garage) cleaned so we don’t have to move my inventory across town. Sending in some summer items that I’ve been holding over the winter now and looking forward to easter.

Go Ship Some Stuff!

Tactical Arbitrage Closing

My friend Alex Moss is the creator of Tactical Arbitrage – the premiere tool for finding great Online Arbitrage opportunities and Amazon to Amazon flips.

When I did my New Year giveaway Alex was one of my main sponsors – he asked me if I was going to be giving away a copy of OAxray (his main competitor) as well. My response was “Why give away a Ford, when you can give away a Porsche?”. That, plus the fact that I personally have three different Tactical Arbitrage accounts should tell you something about how highly I recommend this product.

One to the things that I really like about Alex is that he knows when to throw up his hands and say “enough!” – which is what he’s doing tonight. He is closing the doors for Tactical Arbitrage for at least a month so that he can dedicate more time to supporting his current customer base, add new sites and some new features to avoid saturation. He’s also going to be adding some more wholesale functions that I’m really looking forward to.

If you don’t yet use it, I urge you to check out Tactical Arbitrage before it closes tonight at midnight Hawaii time. There’s a Seven day free trial so Try It Out Today!

 

Disclosure: I’m an affiliate for Alex so if you decide to check out TA through the links in this post I may earn an comission. The price you pay through my link is the same that you would pay if you went directly to tacticalarbitrage.com

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