Just a quick note to let you know how I bought a new $39.99 item for $3.63 using Ebates, Shop Your Way and my credit card.
The product was a Craftsman Tool Set that was listed on my Primeresale list. The regular price at Sears is $39.99, but they were selling it for $15.92. On Amazon, it was selling for $39.99 which would lead to a net profit of $13.62.
One problem with buying online is that you may have to deal with shipping and sales tax that increases your buy cost. So even though Sears was selling the item at a reduced price, they wanted $7.75 for shipping which would have brought my buy cost up to $23.67. Then there’s sales tax to add on top of that because I’m not setup for tax-exempt purchases with Sears.
Fortunately though, Sears is nice enough to list the stores near you and tell you how many of a particular unit they have in stock. If you select “store pickup,” then you eliminate the shipping charges. There just happens to be a Sears a few minutes from where I work and at that time, they had one in stock.
I then went to Ebates and saw that Sears is listed as a merchant. By going through Ebates, I get cash back in the form of a check at a future date. For this purchase, I earned $0.96 back. I know that doesn’t sound like a lot, but those little amounts do add up. This is a check that I just received:
After going through Ebates and putting the tool set in my shopping cart for store pickup, I was expecting to pay $15.92 + sales tax. However, since I’m a Shop Your Way member, at the Sears checkout screen, there was a note saying that I had $10.66 worth of Shop Your Way points to redeem. I was not expecting this because I don’t shop online from Shop Your Way merchants very often. It was nice that they detected that I was purchasing from Sears and told me about this.
What I like about Shop Your Way is that they gave me 10,000 surprise points earlier in the month for my birthday. What I also like about Shop Your Way is that you redeem your points at the time of purchase so that it reduces your purchase price today. Applying those points made my final checkout price with Sears just $5.70 after sales tax.
To make things better, I earned $0.53 to use in a future Shop Your Way purchase.
But it doesn’t stop there. The credit card that I use for all of my inventory purchases has a points program attached to it. With this transaction, I earned 57 credit card points which is 57 cents. I know that isn’t much, but like Ebates, those small amounts do add up. Each month I redeem my points for statement credit. I never recommend going into credit card debt, so if you also use a credit card, make sure you pay off the balance each month.
After it was all done, here’s what I ended up with:
- $39.99 item on sale for $15.92
- No shipping fees since I did store pickup
- Used Shop Your Way Points to save $10.66
- Paid $5.70 after sales tax
- Earned $0.97 back from Ebates
- Eared $0.53 back from Shop Your Way
- Earned $0.57 back from my credit card company
- Final Price: $3.63
This item sold almost immediately after reaching Amazon. I sold it for $38.56 and after Amazon fees and COGS of $5.70, I made $22.28.
For accounting purposes, I count what I paid at the time of purchase for my COGS. That’s why I used $5.70 instead of $3.63.
I will use my future Ebates rebate check as a “bonus” check and I still haven’t decided what to spend my current $65.19 rebate check on yet.
I already used my Shop Your Way points for another purchase I just made from Sears. Later, I will redeem my credit card points for statement credit which will go towards lowering my monthly COGS total.
I hope this post shows you how you can both make and save money with your inventory purchases. As always, if you have any questions or have a great deal that you want to share, please let me know on my Facebook page or in the comments below!
Featured Image of Tools: From Amazon
Ebates Check: Diana Poisson