How to Sell Refurbished Electronics on eBay
There has never been a better time to enter the world of online commerce, with more and more people shipping online. Making wholesale purchases of merchandise to resell over the Internet – through platforms like eBay or Amazon – can be extremely profitable. There are now more than 182 million eBay users worldwide. Let’s explore how you can make money by selling refurbished electronics on eBay.
How can you trust us on refurbished electronics? Direct Liquidation is a premier online liquidation specialist accredited by the Better Business Bureau with more than ten years of experience in the industry. Direct Liquidation works with some of the nation’s largest electronics retailers: Walmart, Target, and Amazon. This means you’ll find a wide range of refurbished electronics available to buy through the Direct Liquidation online liquidation marketplace by auction or at fixed prices.
Refurbished Electronics and eBay
Buying and selling refurbished electronics – from smartphones to laptops, there is always a market for electronics online, as many shoppers are looking for great deals and are willing to pay for products with lower prices than new equipment and with lower risks than used.
The electronic products industry is one of the largest in the world of E-commerce. Particularly on eBay. The “Electronics & Accessories” category is what most users search for and is the top-selling sector on the platform, with 16.4 percent of all items sold on eBay falling into this category.
So how can you get involved with this market? The most important step in starting a profitable eBay business is to find a reliable source of the goods that are in demand. One such source is through a platform such as Direct Liquidation. We can give you access to liquidated and refurbished stock, fully-guaranteed working, at a fraction of MSRP.
With lots selling from a single box to full-truckloads of merchandise, we can cater for any volume of stock that your business can handle. Direct Liquidation is a Better Business Bureau accredited, and we have more than a decade of experience in refurbishing electronics. We even offer a full 90-day warranty on all our refurbished products.
What are Refurbished Electronics?
Refurbished products, also known as reconditioned or remanufactured, are usually products that have previously been bought and then returned. This can be for any reason. Just because an item was returned doesn’t mean it is damaged. Returns could be unwanted gifts, a changed mind after ordering, they could be products shipped incorrectly due to a mistake at a distribution center. In these cases, the products are still new and in unopened original packaging.
Many large retail companies have a fairly generous Returns Policy, which allows customers to return the product for a full money back within 30 days, or even longer. Many consumers take advantage of this period to test the item and simply return it in exchange for another.
Some refurbished products have been returned because of damage or software malfunctions.
Direct Liquidation acquires these items in bulk from some of the largest retailers in the US, including Walmart, Target, and Amazon. When you see lots listed on our site labeled as “refurbished,” they have gone through a specific process.
Depending on the type of electronic item, the refurbishment process will include:
- Rigorous testing to be in fully-working condition, including port testing for full functionality
- Repairs if necessary to reach the above
- Data is wiped
- Original accessories included (unless otherwise stated)
- Updated with new software
- Verified battery health and charging capability
- Cosmetic grading performed
This cosmetic grading represents the physical appearance of the item, and has nothing to do with the functionality – all refurbished products function as new.
The grading that we use is:
These items have been restored to meet manufacturer quality standards and are in like-new, retail-ready” condition with NO cosmetic defects, blemishes, dents, scratches, or signs of age.
These are fully-functioning items in “retail-ready” condition with SLIGHT cosmetic defects (minor blemishes and/or light scratches).
These are fully-functioning items in “retail-ready” condition with SIGNIFICANT cosmetic defects (significant blemishes and/or significant scratches, dents, or frame damage).
Refurbished items are packaged in cleaned original boxes where possible. If the box is damaged or otherwise unusable, the refurbished item is packaged in either a new white box or a new brown box. The items have a scannable code for inventory systems and are retail ready (saleable immediately).
Researching Your Products
The key to making money buying and reselling refurbished electronics is choosing the right products to sell. Take a look, for example, at the best sellers in the “Electronics & Accessories” category on eBay. This will give you a good indication of the types of products that customers are looking for and want to buy. It’s also a good idea to stick to product lines that interest you – you will be more likely to retain information about them, notice changes in the markets, and to understand the software, and any issues your customers may be having.
When you find average selling prices for these products, compare them to what refurbished items we have available, and then consider the shipping costs, eBay and PayPal fees, and taxes. What you’re left with is your potential profit. If the figure is too low to be worth the work, or is negative – then you know you need to look at another lot or product line.
Some of the most popular you would like to consider are:
When selling refurbished items, we will put together batches of similar or same products. This means you may be able to find boxes of refurbished iPhones, all of the same model. We also put together lots containing different brands; for example, you may find auctions of refurbished televisions that contain different brands. You need to calculate your potential profit over each item and multiply it by the number of those items contained in the lot. On our website, when looking at a refurbished lot, you will find a link to download the full manifest at the bottom of the page.
Top Tip: it is a good idea at this stage to consider the shipping. Each auction has a shipping calculator below the price, which can give you an estimated quote to ship to your address. Always take this into account when considering the price. If you live close to the warehouse location, you may be able to pick up the items yourself, though check this before purchasing. Our customer service teams can always be contacted using the “live chat” feature on the bottom of your screen. We can always arrange to ship for you.
Selling Smart Refurbished Electronics on eBay
When you receive your wholesale batch of electronic products, the next step is to list the products appropriately and at a reasonable price.
Your Must-Have eBay Tools
If you’re completely new to selling refurbished goods on eBay and are wondering where to start, the great news is you can find amazing tools, apps, and websites that will help you in the process. From currently trending products, price history of products to average selling prices, you can use these tools to maximize your time and sales through automating or streamlining processes that will help you avoid all the inefficiencies when it comes to flipping or reselling on eBay.
The following are some of the tools you might want to check out:
- Checkaflip is an app that allows you to check prices for listings on eBay.
- Title Builder allows you to optimize the titles for your eBay listings.
- With the eBay PayPal Fee Calculator, you can input all costs and fees associated with a listing to calculate your final profit.
Play with your Margins
The electronics market on eBay is competitive, so you should take into account the prices offered by your competitors, and the conditions their products are in.
You should always correctly label your listings as refurbished, and explain the condition they are in. There is nothing more off-putting for your customers than buying a” Brand New” smartwatch and finding it arrives in non-original packaging and with minor signs of wear. This is a fast way to get complaints, refund orders, and even being removed from the platform.
As such, you won’t be able to sell at the same price as brand new items. Make clear that the products are in fully working order, have undergone thorough testing and cleaning and that they should work to the original manufacturer’s specifications. These are some of your top-selling points.
With this in mind, what price point should you be using? Look at other sellers, are there similar refurbished items in the same grade? If so, then you will be looking to sell at a similar price. List your items below new-item prices, and higher than “used”, and you’ll be in the right region. If you’re looking for quick sales, list at as low a price as you’re comfortable with. If you’re not in a rush, try listing them at higher prices, and gauge interest. Are they selling? Even if they start getting a lot of attention and “watch list” additions, you’re likely to be able to sell at that price.
Set your prices lower than the competition, and you’ll attract the first customers.
eBay Seller Ratings and Customer Satisfaction
One of the most important considerations when selling on eBay should be to take care of your seller rating. This means you need to keep your customers happy. We have already discussed why you should not be attempting to sell refurbished electronics as new. Make detailed descriptions, take as many photos as you can of each product, and list them separately, point out possible flaws – so customers can’t complain about them afterward. Ship items as quickly as possible. All of this will help to build a good reputation.
You may also want to institute a refund policy in case customers have problems with an item. This helps to build trust and avoids negative feedback. Poor seller ratings will turn many customers off from your listings.
In general, buying and reselling wholesale refurbished electronics can be a fantastic business with a lot of potential for profit, if you follow this guide and sell appropriately.
Rafael works as a sales manager for Direct Liquidation helping businesses to source liquidation inventory from the world’s top retailers and manufacturers. Rafael works with single pallet, LTL and truckload buyers hand in hand to ensure their businesses stay stocked up with the highest quality merchandise, all year round.
View Rafael’s bio on YouTube.
- 3 Pallets – 1772 Pcs – In Ear Headphones, Over Ear Headphones, Security & Surveillance, Lamps, Parts & Accessories – Customer Returns – Apple, Blackweb, Onn, Monster
USD $7,781.97 Buy NowEnds
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- USD $53,848.33 MSRP
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