How To Make Money On Qoo10, Lazada and Online Marketplaces… by Not Losing Money By Andrew Tan
This video is published by Andrew Tan, who run a paid course in Singapore on how to make money on Qoo10. The video was published on YouTube on 20 August 2015.I was unable to find the transcript anywhere and had to do it myself. I have posted the transcript here for the public’s learning purposes.
Hi, This is Andrew Tan. I am the online retail expert. This is the first video in a series of videos. In this first video, I want to set something right, right from the beginning.
The title of this video is how do you make money by not losing money. Nowadays, the business sentiments out there; a lot has changed already, from traditional retail, you see that it is not really working that well in traditional retail now because rental is high, staff salary is high. So we talk about doing business, a lot of times, people think that when we start business we need to think of a hot product and after that they will spend money on getting products, opening shop lots, or even renting office spaces and all that.
A lot of time, these people don’t really know how to make money and the question why I asked you is that when you start businesses nowadays, is there a way that you can guarantee you will not lose money or guarantee that you will make money. See, the thing is that a lot of people don’t know. Now, as far as online retail is concerned, my take is do not guess. Do not try to follow feelings where you feel like this product can sell well; you that this product is something the whole world would need; the whole world would want and then you start a business based on that product. Big mistake!
So here the thing, now in what I do is I do very much a calculation based business to ensure that you will not lose money. That is why the main thing I want to talk about today is to ensure that you don’t lose money and therefore you confirm that you will make money.
First thing that you need to do is to research. Do in-depth research of what kinds of products you are looking at and the product got how much demand; how much does it sell in the marketplace and what is the market price out there; what would ensure that you are pricing correctly. If you overprice your product, you don’t get any customer base at all.
Now, also in terms of demand, we also need to look at different categories and we need to look at what platforms sell well. First and foremost, let me be just be clear with you – the platforms that we sell does not really matter. What really important is a system on how not to lose money. And in my 5 steps system, which is called the freedom maker system.
First and foremost, ensure that you do your research on what sells well, what does not sell well, what customers want to buy, what customers do not want to buy.Be clear with that. How much demand there is.
Then step number two would be to source for the products. Sourcing means to find the supplier that can give you that product at the lowest possible price. And you can negotiate to get the lowest price. You can go online to source. You can go offline sourcing. But the main thing is that you need to be able to find a supplier that can give you prices at wholesale. Ok, that is step number two.
In step number three which is to confirm that you can make money.See, the thing in the online world, you can calculate firsthand before you even spend any money to buy stocks at all, you can calculate your expenses, like what is your import tax, how much you need to pay for the costs of the products and so on. You can find out what are all your costs and what are all your income. You take your money in and minus your money out and confirm that you got a net profit and make sure that in every single transaction you definitely get that profit, then you spend the money to buy the product. Because when you take the product in, you know definitely that his product can sell, than you spend the money to buy the product.
Step number four would be to sell on the platform. What is good about selling on online platform, especially places like lazada, Qoo10, ebay. All these platforms already come with traffic, that means there are a lot of customers on these platforms waiting to look for products to buy; so it is a target market place, so you don’t have to spend a lot money to set up your websites. You don’t have to spend money to do hosting; autoresponders and all that. All you need is to sell on the market places. They already spent a lot of money every month just to bring people to their website. What you need to do is to able to sell to those people, to make things a lot, a lot easier.
When you reach to stage number four, and you are selling at market price, you will already see sales coming in because that is market price. People will buy at that price. You see, the thing is that as your sales increase, you may want to ask yourself a question “How do you make more money by spending lesser time?” and the main thing you must make sure is that you are able to outsource operations because between business developments and operations, which is the one that makes you money? Business development! Operations are the things that you spend a lot of time on but it does not really increase sales. So, in terms of all these operations, I rather you outsource. You outsource to somebody to take care of your operations so that you can focus on business development. In that waay, you ensure that your business sustains for the long term.
So, in summary, how do you make money by not losing money:
First and foremost, do your research to know what products are in demand.
Second, getting a supplier that can you that product.
Third, confirm that you can make money first, then you spend the money to buy stocks.
Fourth, list on platforms. You can list on one platform; you can list on multiple platforms.
Fifth, ensure that you outsource your operations. When you do that, you ensure that you got a business that you can grow into a big money maker and yet you keep your operations small; you keep your ownership small and you are still able to work from home and yet have a freedom lifestyle.