Just a few years ago, when one thought of a home-based sales
business, Tupperware, Avon and a host of multi-level marketing
schemes might have come to mind. Today, however, changing market
conditions and evolving consumer habits have converged to make
home-based selling businesses a realistic opportunity with real
profit potential.
This is especially true in the world of collectibles and
giftware. In years past, collectors—who are among the most
discerning shoppers—had few avenues for conveniently finding and
then purchasing the items they were seeking. They would have to
visit specialty shops and expensive boutiques. They often waited
for the right specialty event or show, and then would drive many
miles to attend so they could look for that exceptional piece.
With Internet retail sites, online auctions, and a growing body
of home-based entrepreneurs, these shoppers now are able to take
advantage of many new resources.
For those considering home-based businesses, there are many
avenues. There are franchises, partnerships and other business
relationships that involve other people. Many of these require
an investment in someone else’s business, and unfortunately,
many of them turn out to be scams. For those looking to sell
collectibles and giftware from home, the only investment that
is made is in that person’s own business. The start-up costs
depend on how much inventory the entrepreneur can afford to
have at first.
With our economy poised for what some economists are calling
a potentially unprecedented recovery, those searching for
high-quality collectibles and giftware will have more money to
spend on those items they cherish, and they will be looking for
convenient and inexpensive ways to collect them. Selection,
price and superior customer service will differentiate the
successful entrepreneurs in this area.
Collectibles and giftware are sold by home-based entrepreneurs
using several marketing programs: retail sites on the Internet,
online auctions such as eBay and others, swaps and flea markets,
mail-order, catalogs and in-home parties. Some people sell
collectibles and giftware for supplemental income, and some make
a business of it. Either way, selling collectibles and giftware
is a proven way to immediately improve cash flow. Collectibles
and giftware are also often sold or auctioned to raise funds
for nonprofit organizations.
Entrepreneurs often get into the business of selling
collectibles and giftware in stages by setting up a small
Internet retail site, or attending flea markets on the weekend,
or putting a few items up occasionally at an online auction
site. Because the profit margin in selling these items can be
great, in many cases these people soon “quit their day jobs”
to sell collectibles and giftware full time. The profit
margins are tremendous.
As we stated before, collectibles and giftware shoppers
generally know what they’re looking for and they now have many
more options for finding what they want. Entrepreneurs who want
to succeed need to do four things:
* Stand out from the crowd by selling the types of
collectibles giftware that people are buying.
* Offer some exclusive items that cannot be found anywhere
else or that cannot be found easily.
* Be a resource for your customers.
* Keep prices low.
Home-based sellers of collectibles and giftware need to keep on
top of what their customers are buying so they can stand out by
selling popular items. Tastes and trends in collectibles change
over time, so these entrepreneurs need to do their homework,
using research tools such as the Internet and keeping a close
eye on the competition.
Offering exclusive or hard-to-find items is another way to stand
out in the collectibles and giftware world. Entrepreneurs
should keep in mind that collectibles encompass a mind-boggling
number of items, since the term refers to anything that people
might collect. Often, specializing in a certain type of item
can be profitable if there is a large enough demand and there
are few sources for the item.
Even with all of the technological tools at their disposal
today, collectors still have trouble finding an item that they
desire. Some collectors may not be Internet-savvy, or may not
be familiar with sources in their areas. The more adept that
home-based sellers of collectibles and giftware become at
finding specific items for customers, the more they will be
relied on as a resource, and the more customer loyalty they
will develop.
Even if an entrepreneur does provide all of this added value to
the customer, prices should be kept low. Customer loyalty can
quickly turn if they realize that the items of a certain seller
are obviously overpriced. The profit margin for collectibles and
giftware is generally high, so prices can be kept low while the
profit margin can remain relatively high for the seller. Keeping
prices low will help the collectibles and giftware seller attract
many more customers.
One of the best aspects of selling collectibles and giftware
is that it is a year-round business, unlike the huge seasonal
highs and lows seen in other retail areas. At the same time,
the Christmas, Mother’s Day and Valentine’s Day shopping
seasons always bring a big boost to the collectibles and
giftware business.
Selling collectibles and giftware can be a rewarding home-based
business in which the entrepreneurs are truly their own bosses.
Because of the changing habits of collectors and the impending
economic upturn, selling collectibles and giftware is perhaps
one of the brightest opportunities in the world of home-based
businesses today.
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