If you’re looking for a side hustle that will rake in the money while keeping your time investment as minimal as possible, buying and reselling jewelry might be the route for you. Currently, you can buy and sell jewelry online, especially because the demand of jewelry online is continually growing. If you’re hoping to get into the buying and selling jewelry online, here are some essential things to keep in mind before you get started.
1. Jewelry Sources
The first thing to consider when reselling jewelry is the source of your jewelry. Obviously, you want to find the highest quality piece for the lowest possible price so you can mark it up and resell it to the general public. One of the best places to get excellent quality jewelry at a lower price is purchasing wholesale jewelry supplies. Wholesale suppliers buy jewelry in bulk and offer high-quality pieces at lower prices for retailers like you.
In addition to wholesalers, you can also find jewelry in person from pawnbrokers, estate sales, and discounted brand sales or clearance sales. If you see a piece you think you can resell at a higher price, pick it up! One of the most important things to remember is that not all websites and stores are reputable, so exercise caution when purchasing jewelry to resell, as some of it could be a scam. If the deal seems too good to be true, then it probably is.
One of the most challenging aspects of reselling jewelry is figuring out the perfect markup percentage. Price the piece too high and no one will be willing to buy, but price it too low, and you won’t be turning a profit in the first place. Retail pricing is generally two times the original value of the piece, but if you want to be competitive, you should start your markup at about 1.5% of the price you purchased the jewelry for.
That profit margin is humble, but it gives you a good baseline for pricing. If no one is interested in your piece, then you likely have it priced too high. Continually keep your prices fluid to attract as many potential buyers as possible while still getting your original investment back.
3. Selling Platform and General Business
Another important concept is the selling platform for your side hustle. You can, of course, use consumer mediums like Facebook Marketplace, Ebay, and Poshmark to resell jewelry, or you can choose other, more official means of selling or auctioning your pieces. Worthy is a website that allows you to list any piece worth over $1,500, and you can auction it off between potential buyers until you reach a price you’re happy with. You can also check out CashforGoldUSA if you want quick and painless transactions, but you likely won’t get the best price with a liquidator like Cash for Gold or others.
Finally, Ruby Lane is a paid service where you can list and sell your products to a large group of visitors per month, and this website is popular among jewelry sellers because of their high visitor numbers and click-through rate.
Remember that reselling will be your business, so understanding how to budget and manage your expenses properly is fundamental for your financial success. You can find a guide on how to manage business expenses here.
The next time you’re considering picking up a new hobby or side hustle, try heading out to an auction or estate sale or visiting a wholesale jewelry site to see what deals you can find. In the future, you might turn those deals into significant profits by reselling your jewelry online.