With the rise in the online shopping trend, we are pretty sure that you must have received an item that you ordered from Amazon come in from eBay with the package being a gift. If you have, what you encountered was an arbitrage seller. The seller actually used eBay as a drop shipper for the item you ordered from Amazon and basically took the difference in the price as profit. Did not understand what I just said? Well, let us talk in detail.
Online Arbitrage and Online Arbitrage Software have been on the rise in popularity in recent years. Online Arbitrage means that the seller of a particular item does not hold the item in stock but rather finds a product on another website at a lower price and then resell it somewhere else while keeping a reasonable percentage of profit in between. Seems simple right? But, it is not as simple as you are expecting it to be. It is a known fact that prices for products change very rapidly and sometimes there are many price changes to a product in just a matter of hours. Now, if we are to make a profit, we need to adjust our destination listings according to the source price and considering the number of times that prices change, this requires a lot of manual work. This is where online arbitrage software come in.
Say you re list 5 products from website A onto website B while keeping a 10% profit in between. If the price does not change (very unlikely), you are good to go and should not have any problems. But what if the prices actually change? Well then you will have to make adjustments to your price tags accordingly and if you do not make these adjustments and, in the meantime, receive an order for it, you will end up selling it for a lower price and are going to make a loss instead of a profit. Now, online arbitrage software helps you take away this problem of manual work and aims to make your business and online selling as smooth and seamless as possible. What this software does is that it checks for price changes according to your set interval for your chosen products and then adjusts your destination listings to reflect that new price change. You can set a wide variety of products along with a revenue percentage as well so all of the price calculation is done by the software itself without additional labor or effort. What this basically means is that after the initial setup and the scraper set to look for specific items, there is no need for manual work or interference and the software keeps updating the prices at the set intervals itself.
Online arbitrage software is now one of the most important tools for people who are or wish to enter the world of Online arbitrage. With so many products bearing a potential arbitrage worthy profit, Online arbitrage software is one of the must have tools for any online arbitrage business out there.