Skip to main content

Reasons Why Sellers Fail with Amazon FBA Online Arbitrage

Failure is also a part of a journey, but it’s true only in one case – when you know WHY you failed! That’s why it is vital to understand where the letdown comes from and why.

After working with hundreds of online arbitrage sellers, we found a pattern that explains all! In our opinion, it’s important to share this information with you as soon as possible to help you avoid the same mistakes other sellers made! In other words, in this very article, you will witness all the reasons why sellers fail while operating their Amazon FBA online arbitrage business.

Forget Subjectivity, Start Thinking Realistically

Amazon is an objective and independent platform where you can sell your products without any problems. However, if you start your selling career guided by your own opinion, you will not succeed. This means that you should sell products that are objectively selling like hot cakes, and not because you or your family members like them. Conduct an independent and truthful research of products, find out what your customers want and only then start selling those items.

Forget Expectations, Live in the Moment

Most of the sellers fail because FBA online arbitrage is not how they expected it to be. If you search “FBA online arbitrage” in search engines like Google, you will get impressed by the success this selling model has on a platform like Amazon. This is when you should identify the trap and avoid it at all costs!

To do so, read not only the benefits of FBA Online Arbitrage and its success rate, but also the drawbacks and negative consequences it offers. As you may already know, nothing’s perfect, and neither is FBA online arbitrage. When you have completely pragmatic expectations and approach towards this selling method and you’re still thinking about operating your business under it, then it’s the perfect time to start your business!

Forget about Solitude, It’s Time to Come Together

If you want to achieve success on Amazon, you can’t do that alone! Of course, you can always start your business alone, without anyone’s help. However, as soon as you start getting tons of sales and orders, you’ll find yourself suffocating in work and tasks that need to be done, which will in turn lead you to a total burnout and failures, which is something you certainly do not want!

In this case, you can either hire employees and have business partners, or work with Amazon management and Amazon automation services that will help you handle the orders and manage everything at the same time. Don’t be afraid to ask for help, we’re all humans and we all have our limits!

Forget About Spend Money, Invest Instead!

“Rule No. 1: Never lose money. Rule No. 2: Never forget rule No.1” – Warren Buffett

Spending money is easy, but have you tried investing it instead? Every business needs an investment, because without you will simply find yourself falling behind in everything you do. For example, if you don’t invest in marketing of your Amazon store, you will never be as visible as you want to. Or, if you don’t put your money in Amazon automation, you won’t be able to handle everything manually and will eventually fail!

Forget About Expansion for Now, Focus on Stability

Most of the sellers we have worked with have made the same mistake – they were growing too fast. And yes, even growing too fast has harmful consequences, but that’s not the point.

In general, sellers pay attention to their income, and not their abilities! For example, if they have numerous orders and see that their products are selling like hotcakes, they decide to expand their business, open up a store on Walmart, eBay and other marketplaces. It’s like an addiction that is getting worse and worse… Our advice is not to fall into this trap, because sooner or later, you will find yourself snowed under an unbelievable amount of work! If you don’t want to lose your business this fast, focus on stability, maintain a SINGLE and successful store on ONE marketplace, and only then, when you feel that you’ve grown enough, you can start expanding!

Amazon arbitrage seems easy, but it’s not! Our specialists at Jerome Basilio think that following these tips will positively affect your store on Amazon, and will keep you away from failures that usually happen to most of the sellers. If you feel that you don’t want to be alone anymore, get in touch with us now and start the best partnership you have ever seen!

If you need more information about selling on Amazon, you can always educate yourself in our blog section.

Jerome Basilio

Assisting businesses with Wholesale and Multimarket Management services is a passion of mine and that is why I formed Basilio Corporation, providing such services for 84 companies as of today. Basilio Corporation has sold a total of 52 stores for seven figures, in open digital exit broker companies. The company has partnered with Khachaturov Group, a leader in multiple industries, which has strengthened its resources. Over the years, I have used my experience to consult top players in the business, and mentored minds which became influential millionaires in the eCommerce sphere.