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When It Comes To Ebay, Don't Follow The Herd
by: Tim Knox
Q: I want to start an online business. Since I don't know anything about ecommerce and building websites and such, I'm thinking about starting out selling products on eBay, then pay someone to build a website for me once the money starts coming in. The big question is: what is the hot product to sell on eBay to make money fast? -- Bob D.

A: While it's true that selling products on eBay can be a quick, low cost way to launch an online business, following the herd by selling the "hot product" of the moment, is not a great idea. To the contrary, chances are you will be stomped in the ground by the herd and left lying in the dust with your unsold inventory in hand.

We talked about starting a profitable eBay business in a previous column and the advice I dispensed then still applies today.

The most successful eBay sellers are those who understand that success on eBay relies on many of the same factors as success in a brick and mortar business.

* Smart sellers research the marketplace and the competition to determine the salability and profitability of the product.

* Smart sellers test the market with one or two before committing to a product line and tying up their cash reserves in inventory that may never sell.

* Smart sellers adjust their product offerings until they find a product or product line that sells consistently.

The last point is perhaps the most important. Long term eBay success does not come from "one off" sales. The key to real eBay success is to find a product that sells well and sell that product over and over and over again.

I asked Timothy Mina, author of the new book, The Online Auction Expert's Bible To Selling on eBay, his thoughts on launching a successful eBay business.

Why is eBay so attractive to entrepreneurs?
"With an eBay business, you set your own hours and set your own goals," Mina said. "You can work as much or as little as you want and whenever you want. Many sellers supplement their income by selling on eBay and many others have turned it into a full time business."

Mina cites the following reasons for eBay's growing popularity among entrepreneurs who want to start an online business:

* You can start up quickly and don't need special skills.

* There is very little risk and investment required to get started.

* The marketplace is huge. There are millions of potential customers waiting to buy what you're selling, 24 hours a day, with the click of a button.

* No stress, no boss. Yes, there is work involved, but the work can be done at your own pace. You are your own boss and you set your own schedule.

* Most importantly, you can follow your passion and do something you love. If you sell something you enjoy selling, online auctions aren't just profitable, they're fun and exciting, too.

Why It's Critical To Find Your Niche
Mina recommends creating your eBay business with niche items. According to Mina, the benefits of targeting a specific niche market include:

* If you are going to rely on eBay as your primary source of income, it is essential that you find your niche. If the goal of your eBay business is to earn enough money in your spare time to make your car payment every month, it is less important, but still highly recommended.

* If you find a profitable niche, you will become a certified guru of the items you sell you will ideally be the only one on eBay offering the products.

* Your expertise will make it ten times as easy to spot bargains when you're shopping for products to resell. Bargains might be all around you, but if you don't know anything about what you're selling, you won't know how to spot bargains that are right in front of you.

* You will find different ways to add personal value to your products. These low cost add-ons or unique twists to your products will drastically increase your sales and profits by making your items unique and desirable.

* You will have little or no competition from other sellers, so you can corner your niche market.

* By dealing with the same type of customer over a long period of time you will get to intimately understand the mindset of your target customer and what your customer wants. This will help you sell your products better and allow you to market your products in ways others haven't thought of.

* You will be knowledgeable and enthusiastic about what you sell, and you will be attentive to your customer's desires. This results in satisfied customers, name recognition, and a lot of repeat business.

* You're going to find something you're passionate about and specialize in it. If you love what you're doing, you have a much greater chance of sticking to it and loving it. So it won't even fell like work - it'll be like you're getting paid to play.

How do you find your niche? So how do you find your niche? Mina recommends doing an inventory of your hobbies and interests to help you identify a niche you would enjoy working in.

Ask yourself:

* What are you passionate about?
* What do you collect?
* What do you like to read about?
* What do you do in your spare time?
* So you have a favorite pastime?
* What was your major in college?
* What jobs have you had?
* Are there any other fields in which you have a great amount of knowledge?
* What clubs do you belong to?

Mina also recommends that you spend time on eBay studying the category listings. This may give you additional ideas for hobbies you can turn into an eBay business. Once you have defined your hobbies or interests, brainstorm how you can turn them into a business.

* How can you turn your expertise into a product?
* How can you add value to current products related to your interest?
* What product can you sell that may be one of a kind and have little or no competition?
* Can you think of novel ideas that people who share your passion would love?
* Is there anything related to your hobby that you can create yourself? An ebook or a how to, perhaps?

About the author:
Tim serves as the president and CEO of three successful technology companies and is the founder of DropshipWholesale.net, an online organization dedicated to the success of online and eBay entrepreneurs http://www.prosperityandprofits.comhttp://www.dropshipwholesale.nethttp://www.30dayblueprint.com


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20 Ways To Increase Website Traffic and eBook Sales


Here's a fast, easy list for you. Use it as checklist to see what you need to do to increase traffic. Or use it as a review list if you have already been working on improving your website traffic. It will help you find ways that you might have known or forgotten.

1. People love to receive free or win free stuff, whether they really need it or want it. A free eBook is perfect to satisfy those needs over the Internet. They will visit your website to get the free valuable information.

2. Give away the full version of your eBook in exchange for testimonials. You can use these customer statements to improve your ads' effectiveness.

3. When you create an eBook, you change your image to "Expert." This will gain people's trust and they will buy your main product or service quicker.

4. Publish your website in eBook format. Put the eBook on a disk or CD-ROM then include it with your direct mail packages. This can increase the number of people that buy your product or service.

5. Offer your eBook as a free bonus for buying one of your main products or services. People will buy the product or service more often when you offer a free bonus.

6. Allow people to download your free eBook, if they give the e-mail addresses of 3 to 5 friends or associates that would be interested in your eBook. This will quickly build your e-mail list.

7. Create a directory of websites in eBook form. List peoples websites in the directory that will agree to advertise the eBook on their website or e-zine (electronic newsletter). This will give them an incentive to give away or advertise your eBook.

8. Allow other people to give away your free eBook. This will increase the number of people that will see your ad in the eBook. You could also include a mini catalog of all your product or services that you offer in the eBook.

9. Gain new leads by having people sign up and give you their contact information before they can download your eBook. This is a very effective way to conduct market research.

10. Make money selling advertising space in your eBook. You could charge for full-page color ads, classified ads or banners ads. You could also trade advertising space in your eBook for other forms of advertising.

11. Give away the eBook as a gift to your current customers as a way of letting them know you appreciate their business. Place an ad in the eBook for a new back end product you are offering

12. Get free advertising by submitting your eBook to freebie and freeware/shareware websites. This will increase the number of people that will download your eBook and see your ad.

13. Make money by selling the reprint rights to those that would like to sell the eBook. You could also make even more money by selling the master rights. This would allow other people to sell the reprint rights.

14. Hold a contest on your website so people can win your eBook. You will get free advertising by submitting your contest ad to free contest or sweepstakes directories. Just make sure you publicize the winner's information -- they love the acknowledgment.

15. You will gain valuable referrals from people telling others about your eBook. Word of mouth advertising can be very effective.

16. Make money cross promoting your eBook with other people's products or services. This technique doubles your marketing effort without spending more time and money on your part.

17. Increase your e-zine subscribers by giving away your eBook to people that subscribe to your e-zine. This will give people an incentive to subscribe. Allow your e-zine subscribers to also give it away to multiply your subscribers.

18. Give away the eBook to people that join your affiliate program. This will increase the number of people that subscribe. You could also create an eBook for them to use that will help them promote your product or service.

19. Give away the eBook in exchange for people leaving their contact information. This will help you follow-up with the prospects that buy your main product or service.

20. Offer a free eBook that contains a couple of sample chapters. If they like it, give them the option of ordering the full version. It would work just like a software demo or shareware.

You will want to print this list and keep it in your website improvement file if you aren't quite ready. Or add it to your planning list.

Catherine Franz, a Professional Marketing & Writing Coach, specializes in product development, Internet writing and marketing, nonfiction, training. Newsletters and articles available at: http://www.abundancecenter.com blog: http://abundance.blogs.com



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