When a lower ROI is a good thing for your reselling business. Achieving a minimum ROI is essential for a reselling business. It is the figure you need to generate new capital that allows you to reinvest profits to grow. It’s something I give special importance to. you adapt the sales price to your ability to replenish new products when you sell. That’s what I do with Pokémon packs. We have received products from an order to China very recently.
In these situations it is possible to achieve a high ROI
When a lower ROI you sell a product competing with third parties, the most important thing is not always to achieve the maximum percentage of the Buy Box. Sometimes it may make sense to have a smaller share to increase the ROI in return: When you are the only one or one of a few Prime sellers you can sell more expensive than the rest. The customer on Amazon pays more if a product is sold in this free shipping method. When you email leads cannot supply new products as quickly as you sell them, you adapt the sales price to your ability to replenish new products when you sell.
It makes sense to accept a lower ROI
When a lower ROI in these situations it makes sense to accept a lower ROI In the end it is basic mathematics. An ROI of 25% can be more profitable than one of 50%. As? Very easy. It depends on the rotation. If you sell a product twice with a 25% ROI compared to one that sells AUB Directory once with a 50% ROI you earn more. A combined ROI of two sales with 25% gives an overall ROI of more than 56%. That is why you should not always look only at the ROI but also at the speed of sale.