Recently, there has been quite a bit of discussion on social media about whether or not resellers should pick a reselling niche. In my experience, there is no right or wrong answer when it comes to whether or not you should pick a reselling niche. It will work for some people and not for others, just like everything else reselling-related. Today, I wanted to share with you some insight into whether or not picking a niche is right for your reselling business model.
First and foremost, I am not a niche reseller; I am an aesthetic reseller. What do I mean by that? In my business, I like to make sure that my closet has a cohesive aesthetic regardless of what categories I am selling. Currently, I am selling women’s, men’s, children’s, and home items; All of the pieces that I sell have a similar aesthetic to them regardless of what they are. This model has worked very well for my business over the years, which is why I continue to use it.
However, figuring out which business model would work best for my business was not instantaneous. It took me a lot of trial-and-error to figure out what made the most sense for me. There were 2 main factors that really impacted my business model, especially in the beginning: access to inventory and personal preference.
For most of my reselling career, I lived in small town Upstate NY. I did not have access to a plethora of inventory so my business model was based on what inventory I did have available to me at that time. Instead of focusing on specific categories and brands to sell, I decided to focus on aesthetics (ie. patterns and styles) since it was easier to build my closet around that. Once I moved to Florida, my model did change slightly but for the most part aesthetics have always been the most important part of my business model.
Additionally, my business model was shaped by personal preference. When it comes to reselling-related content, I am a very active learner. In my opinion, there is so much to learn when it comes to reselling and I want to learn as much as I can. As a reseller for almost 9 years, I have learned a lot about brands and styles (especially in mid-tier and luxury women’s brands) but I’m always looking for something new to learn. Knowing my personality and personal preferences, I’ve always known that I could not limit myself to one niche; I would get bored with it and want to learn something new.
Should I Pick a Niche??
In my opinion, whether or not you should pick a niche depends on access to inventory and personal preference. There is no right or wrong answer to this and you should always do what is best for you and your business. If you need some help figuring out whether or not you should pick a niche, I’ll make a list of pros and cons which should hopefully give you some guidance:
Pros:
Easier to Stay on Top of Trends
We all know that fashion trends are constantly changing so picking a niche does makes it easier to stay up-to-date with them. Non-niche sellers may have to spend extra time learning trends in the variety of categories that they sell in which can be time consuming.
Targeted Sourcing
Niche-based resellers will usually have targeted sourcing trips. Since they only sell specific items, they only need to visit certain areas of the thrift store while sourcing. Once they are done looking in these spots, then they are done sourcing and can leave the store.
Time Efficient
As resellers, many of us don’t have a plethora of available time to source. Being a niche-based seller can be beneficial if you don’t have a lot of time to source as you use targeted sourcing and can be in and out of a thrift store quickly. A non-niche seller will usually spend more time sourcing as they will be checking our various areas of a store.
Expert in Your Niche
When you are only focusing on one niche, it is a lot easier to become an expert in that niche. This can be beneficial to you when it comes to sourcing and/or helping other resellers within your niche.
Cons:
Small Market Size
When a reseller chooses to be a niche seller, they are limiting their market size. This could potentially impact sales and profits as they are not attracting buyers from different markets.
Sourcing Difficulties
Depending on what your niche is, you may have a difficult time finding inventory. When you use targeted sourcing, there is a good chance that many of your sourcing trips will end without finding inventory. As a niche-based reseller, you may have to be willing to go to more sourcing spots in order to find the inventory that you are looking for. When you are a non-niche reseller, there are increased odds that you will find something worth selling when you go sourcing as your sourcing is not as targeted.
It Can Get Repetitive (& Boring)
If you are someone who gets bored easily, then picking a niche may not be ideal for you. Since you are constantly sourcing specific items, you may find it to be repetitive and boring after a while. This is where it is important to know yourself and what makes the most sense for you and your personality.
Limited Inventory
When you are a niche reseller, you typically have limited inventory on hand. Having limited inventory could impact your sales as your closet has less items for people to shop from. Non-niche sellers typically will have more inventory on hand and potentially have more opportunities for sales.
At the end of the day, there is no right or wrong answer to this question. Do what you feel makes the most sense for you and your business. It may take some trial-and-error but you will eventually figure out the best business model for you.
If you don’t already, be sure to check out my Instagram for more Reselling Tips at @ RecycledRosesGuide (Click HERE) and my Facebook page HERE.
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