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The Truth About Reselling Sneakers

Contrary to popular belief, reselling sneakers is not for everyone. We welcome competition, but do not at all recommend taking up reselling sneakers as a way to either get some extra cash or as a full-time job and here’s why…

Reselling is expensive, period. If you are serious about selling sneakers and want it to turn into a bigger opportunity for yourself in the future (opening a store, online shop, etc.), it continuously requires money to be pumped into inventory and connects (suppliers). This can cause you to have thousands of dollars in inventory sitting in your possession waiting to be sold. Having a lot of inventory can be a great thing if it is a popular style, but what if the hype around the sneaker plummets and you are stuck with 10 pairs ($1,800) that cannot be sold?

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Can you afford to take these kinds of losses or have $1,800 of inventory that takes a year to sell? Chances are the answer is no. One bad investment can put you out of business and into debt.

Most resellers in the sneaker community are those who “camp out” at releases to get 1 or 2 pairs that they can sell for profit. While this may be a way to get quick cash, what is the opportunity cost of this “camp out?”

Opportunity cost is the cost of any activity measured in terms of the value of the next best alternative forgone.

In other words, opportunity cost is the option(s) you are missing out on by choosing a different option. In this case opportunity costs include but are not limited to; spending time with family, picking up more hours at your job, actually getting a job, and our favorite option of creating your own hustle.

In addition to costs and opportunity costs, there is a huge time commitment involved in reselling sneakers. This time commitment goes for those that resell in bigger quantities as well as those that resell in smaller quantities. Camping out for a couple pairs or going to pick up larger quantities after the launch can easily take up many hours in a day. After pick up, you have to list them or add them to your shop, as soon as possible before the other shops do the same at competitive prices.

If you’re pickup up larger quantities after the launch, chances are you have a connect. How long and how much money did it take you to establish this connect? How much time and how much money does it take you to maintain this relationship with your connect? These things bring the question, if time is money, how much am I wasting?

Our suggestion is to come up with a unique product that creates a niche for you in the sneaker community. There are thousands of ideas and products that have not yet been created or made readily available. Camping out to make a $400 profit does not guarantee you any future sales, and does not build any clientele. Using that time and effort to create a product can bring you $400/week instead of $400 once every 6 months. A real hustle is what we just said, finding a way to bring in a constant cash flow, not one-time sales.

(Laced Loosely)

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Like we said earlier we welcome competition, but don’t recommend trying to break into this market as it is already over saturated. Do with this article what you will, but we hope to see some of you take our opinions and ideas to heart to create a hustle that will be much more valuable in profit and experience.

– Brad aka @MidwestSole

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About nicoatienza

http://www.about.me/nicoatienza

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