Hi Everyone! Every morning I check my InventoryLab account to see the net profit and ROI numbers of the items that I just sold. Knowing which of my products were “good buys” and “bad buys” helps me make future buying decisions.
With the good products, I like to find them again and repeat it. With the bad products, I figure out what went wrong so I can avoid the same from happening again.
My first four products on today’s list are two items from the shoe category and two from the toy category. Each category has one good buy and one bad buy:
Here’s more information regarding the 4 products:
Altra is a brand that I recently started selling. I sent in 3 pairs about 2 weeks ago and two sold right away:
Because of the quick success that I had with these shoes, I researched and purchased more Altra shoes this week (different styles). I’ll keep an eye on how well these sell (or don’t sell) and continue to research and learn more about this brand.
I know that brand isn’t everything and I also base my shoe buying decisions on ranking, recent reviews, ratings, competition, colors and sizes.
I especially make a note of the recently sold sizes and the past and current rankings to help me with future shoe purchases.
According to Caleb Roth’s Tracking Spreadsheet, I bought two of these toys in November 2016 and the ranking was at 401,114.
I honestly don’t know why I purchased them with such a terrible ranking especially since they aren’t very profitable even at my original selling price of $12.90. I ended up selling both at a lower price and barely broke even:
Lesson learned is that higher ranked toys do sell, but not to buy any unless there’s more money to be made.
According to Caleb Roth’s Tracking Spreadsheet, I bought this shoe from Walmart in October 2016 and my original selling price was $22.95:
Unfortunately, I sold it at a much lower price:
I don’t purchase many children’s shoes, so I don’t have a good feel for them in terms of which brands, styles and sizes sell the best.
I did have more success with a different style of a Paw Patrol shoe that I purchased from Kmart – the Paw Patrol Boys’ Toddlers Blue/Black/White Sneakers Light Up Shoe.
At the time of purchase, the ranking was at 806 and right now it’s ranked in the 8,000’s. With the new ranking system, I’m not sure if a new 8,000 is equivalent to an old 806. But regardless, this shoe was more profitable:
After seeing the differences in sales ranking between the two types of Paw Patrol shoes, I’m now wondering if parents prefer having their toddlers wear light-up sneakers over slip-ons?
This toy turned out to be profitable and it definitely had to do with buying it at a low price of $6.59:
At the time of purchase, the normal retail price at Toys R Us was $19.99 (give or take a few cents). On the day I bought this toy, it was on sale and I had additional discounts to use.
I learned that female WWE action figures are harder to find and are usually worth more than the males. But there are a few males that are hard to find too.
In my experience, WWE action figures are only good if you can buy a rare one at a heavily discounted price.
Review Your Data
Reviewing what you recently sold can help you make better buying decisions. You’ll learn which products make you money and which ones don’t. For the ones that don’t, take a few minutes and figure out why and learn from it.
I wish all of you much success in your business. Be sure to leave a comment below and tell me how reviewing your sales data has helped you! Also, don’t forget to say hi to me on Facebook!