Only the TRUTH about ECommerce

Chris Malta talks about Retail Arbitrage

Retail Arbitrage

Let's talk about this little gem that the bad guys like to call "Retail Arbitrage".

If you think it's a good idea to waste all your time, gas, and energy running around to retail stores all week long looking for individual bargain products that you then have to package and ship to Amazon to hopefully get resold on FBA for an artificially jacked-up price (cheating your own customers) before Amazon figures you out and suspends your account, please raise your hand.

If you raised your hand, please start this podcast over again and listen more carefully. I'm betting that you didn't raise your hand, though. When you hear it in plain english like that, the ridiculousness is unavoidable.

I KNOW there are a lot of people who TELL you that this is a good idea. The absolute morons who tell you that either don't know the first thing about the retail business, or are lying to you with a big, fake grin on their faces. Personally, I believe it's the second choice, but it is true that there is no lack of morons in the internet "guru" space. So it could be either one.

No matter which one it is, don't let them suck you in.

"Retail Arbitrage" is a phrase that was simply invented by an unscrupulous online marketer several years ago to make it sound like it's a thing. It isn't a thing. It's a lie.

Look, the word "Arbitrage" is a term that's used in the financial world, and generally refers to people who buy and sell on the world securities, currency and commodity markets.

Here's the actual dictionary definition of Arbitrage:

The simultaneous buying and selling of securities, currency, or commodities in different markets or in derivative forms in order to take advantage of differing prices for the same asset.

Notice there's nothing there about "retail". Yes, the word "commodities" could be loosely interpreted to mean physical retail products, but only by someone who doesn't understand commodities.

Gold is a commodity. Grain, precious metals, electricity, oil, beef, and natural gas are all commodities.

An Easy Bake Oven that you have to chase all over town to find on sale and then overcharge for on Amazon is NOT a commodity.

By definition, "Retail Arbitrage" doesn't exist. It's a fake con-artist buzzword, it's a waste of your time, money and energy, and it has a "glass ceiling". That means that you only have so much time in a given year to schlep around retail stores pointing your iPhone app at stuff on sale, and when you use up that time, that's all the money you're ever going to make at this.

Glass ceiling.

Any by the way, don't let any of this blithering ninnies tell you that it works better if you buy liquidation lots either. Here's another definition for you...most products that are "liquidated, and "liquidated" because nobody else could sell them!

Just don't do it. You'll be way better off.


I've been teaching the most comprehensive ECommerce Education and Mentoring Program on the planet for over a decade. I have more than 30 years of actual experience IN this business.

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Possibly the only person left who'll tell you the entire truth about ECommerce, whether you like it or not.

Most ECommerce Marketers are actually just part-time salespeople who push whatever pays them the highest commissions, no matter how bad it is, as long as they get paid. You CANNOT listen to those people.

I've spent over 30 years actually running successful business in this market, and really HAVE made millions in it. I'm one of just a very few people who can answer ANY question you have about ECommerce.

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