How are resellers? The people who do not produce their own products instead source the products from other suppliers and sell them through their platforms. Many people who own an online store opt for this method. From the beginning, they buy the product with the intent to resell it with a profit margin. Especially in countries like Pakistan, where online business is at its growing stage, and many people are still sticking to their traditional brick-and-mortar shops, its reselling business offers many advantages. From tech equipment to books and gaming consoles to curtains, all the products are sourced and sold on online platforms.
People usually opt for reselling because it saves them time and effort to make the product from scratch. So, they benefit from someone else’s hard work. All they have to do is to create an online store, source the product at a reasonable price and start reselling it. As mentioned above, countries like Pakistan are feasible for reselling because many people are unaware of the online industry. They provide the product to the online vendors at an economical price, which they later sell at a profit margin. The majority of the social media pages in Pakistan are working on this model. And they are doing quite well for themselves.
If you think that reselling is illegal, it is not. If the products are acquired through legitimate means, then the buyer is allowed to sell them at their desired price. Some of the wholesale markets in Pakistan are:
- Shah Alam Market in Lahore
- Boulton Market in Karachi
- Barech Market in Quetta
- Bara Market in Peshawar
Alibaba is another useful platform from where products can be sourced, and it is gaining a lot of recognition among online business holders in Pakistan. But with all the advantages come disadvantages as well. When it comes to reselling, you have very little control over the quality of the product. Sure, you can return the faulty products to the manufacturer or change the vendor altogether, but this is still unreliable compared to producing your products and ensuring their quality. Secondly, if you use platforms like Alibaba, you might have to wait for the product to restock, which can take a toll on your business. But in all truth, reselling is not a bad option, and almost all the online pages on Instagram and Facebook are running on this exact model.
Investment to start Reselling
One of the biggest advantages of opting for the reselling model is it requires minimum investment and has a high chance of earning profit within a short time. In the initial stages, you can utilize social media platforms to start your business. Creating a page on these platforms is free. But you are required to invest in the advertisement and promotion of your page. Boosting your ads will require some money.
The next step is fetching the products from other vendors. You should visit your local wholesale market and make a price comparison considering the quality of the product provided by those vendors. Select the best option for your business. This step also requires investment.
Update the product description along with pictures on your page and keep a quick response time. All of this will help you in promoting your online business. After some time, if you get a good response from your clients, you can create your website.
Taking everything into account, the minimum budget to start reselling in Pakistan is approximately PKR 30,000 to 50,000, depending upon the products you will resell.