Don't rush reselling
Stop rushing. Start crushing.
Just like anything in life, it feels necessary to rush to the finish line. Don't rush your reselling, it's a massive mistake.
The tendency with any business adventure is to hope or even expect results quickly. It's normal, you want to buy something, sell something, experience the profits, and maybe do it again tomorrow. I get it. You want to see success as fast as possible!
If your goal is to build a sustainable, long-term, repeatable reselling business... then it's crucial that understand that this is a LONG game.
Here are 3 reasons why rushing too fast, will prevent you from growing quickly.
#1 You skip phases.
There are steps along the journey, each one is important because it builds on the previous one. In reselling, the key phases include:
Dream Phase where you dream of what your potential reality will look like.
Survival Phase when you realize your dream is not going to be easy. You are figuring out how to just keep this afloat.
Improve Phase you are teetering in and out of survival and realizing you need to optimize processes in order to thrive.
Double-Down Phase where you start realizing certain areas that make you the most money, and you put more emphasis on those pieces.
Massive Growth Phase when things are really starting to click. You are in a groove and growing in all aspects of the business.
Total Automation Phase when you realize you can't clone yourself, but you can create processes/use systems to do more with less. You automate the low-hanging fruit.
When you rush your reselling journey, you tend to skip over important steps that teach you.... and even prepare you for the next bigger task.
#2 Margins shrink
We all want to make money and one of the easiest ways to do it is to simply increase your margins. You have the product, you have the platform, now go make more money! Not that easy, huh?
When you are rushing (or are forced to do so) you increase the risk that your margins shrink. This happens in numerous ways:
- You price incorrectly
- You don't market appropriately
- You take mediocre photos
- Your description is crap
- You don't negotiate offers well
- Your store isn't promoting cross-sells
- Your follow-ups are non-existent
All of these things can happen when you rush. And when they happen, your margins take a massive kick in the gut.
#3 Compounding Disappears!
If you want to shoot your reselling business into the next galaxy, you have to compound the things that make your business grow.
When you rush, you are usually skipping over the finer details that separate good from great operations. We mentioned some of those things in the previous two points, but what gets lost in the madness of rushing... is that you can't go back in-time and experience results. But...more importantly, you can't take advantage of COMPOUNDING results into the next milestone of growth.
It's counter-intuitive to how we think about time and results. Commonsense would say the faster you do something, the quicker you can get to the finish line. But with reselling you need to build this into a machine that works months/years from now. The quickest way to get to that point is to build equity into the phases of growth.
Let's work out a real quick math equation.
By rushing your reselling business, you get the following results.
100 sales a month @ $20 each
Customer return rate is 15%
Cross-Sell (Order size) is 1.2
Growth rate of new organic sales is 10%
In 6 months you'll go from $2,000 a month in revenue to $3,621 in revenue.
But consider how it would look if you STOPPED rushing and started crushing your details.
75 sales a month @ $25 each (margins slightly higher)
Customer return rate is 30%
Cross-Sell (Order size) is 1.4
Growth rate of new organic sales is 20%
In 6 months you'll go from $2,000 a month to $5,408 in monthly revenue.
By focusing on slowly growing, focusing on metrics, doing the right things you'll have a 50% higher revenue in 6 months.
Stop rushing. Start crushing.