In my last post I complained a little about the slowness of getting things to Amazon. So let me take a moment to discuss what I love about Fulfilled by Amazon. When you have the right product listed with FBA it sells quick. Like same day quick.
The last two items I sold on FBA were a PS4 Arkham Knight Bundle and an iPad Air 2 64 GB. It took about a week to send each to their respective FBA warehouses and fortunately no additional rerouting was necessary. Both became available for purchase pretty quickly after checking in at the warehouse. Both also sold within a matter of hours.
I purchased the PS4 for $322.19. The item sold for $422.50. Unfortunately, the fees were pretty darn high for this item. The fees came out to $45.29 and it cost me $7.91 to ship. My total costs for the transaction were $53.20. That sucked up 53% of my profit. Ouch. I wish I knew why the Amazon fee was so high. So, although the PS4 sells for more than the MSRP of $399 I am unlikely to do that again given the fees.
The iPad I purchased for $423.13. I took advantage of a sale at Target for $100 off and combined that with a registry discount (15%) and the RedCard discount (5%). Again, it took a week for Amazon to receive the iPad. The iPad was checked in yesterday morning at 10:00 AM. It sold 5.5 hours later for $448.99. The Amazon fee was $33.93 and my shipping cost was $5.72. That is a profit of $86.21. Not to shabby!
For now, I think I will be sticking with iPads. I have had great luck selling them and I like the profit margins.