My Retail Arbitrage Strategy - How Much I SPEND, How I PRICE, & Reselling on Poshmark 

One of the must practical/useful videos on reselling out there! So much great info and the profit formula will make sourcing (thrift and retail arbitrage) so much more productive for me. Thank you!!

as someone who loves all of your vids, this is your best yet! *mind blown emoji*

"Guys, there will always be more sales. There will always be more retail arbitrage opportunities. There will always be more things you can buy and flip and sell." Great reminder to just take a breath and know the universe has your back. Great videos. You are great at presenting and are very genuine. Thank you for such detailed and great videos.

Thank you for your video! I just recently started watching you and have found your videos so helpful! I have made the same mistakes and don’t feel so alone now..haha!

Thank you so much for all the information....

This was brilliant! Thank you!

I went into a few retail stores and I really had no idea what brands to look out for, how much to spend, what’s in style, kinda bummed out because I drove a little while for this, it seems a little difficult, the worse thing was that my phone has no service so I couldn’t search up anything

thank you for the honesty when it comes to your margins :) I think if I had the capital I would be interested in RA but for now I spend $2 -$4 per item but most of my items sell for $15-$20 I'm so bad with math but I shoot for $5-$10 profit per piece. Great video :)

I went into a few retail stores and I really had no idea what brands to look out for, how much to spend, what’s in style, kinda bummed out because I drove a little while for this, it seems a little difficult, the worse thing was that my phone has no service so I couldn’t search up anything

You should do a tour of your office! I'd love to see your lighting setup, storage ideas, and anything else!

Best ROI was a pair of vintage shoes I paid $3 at GW that sold for $300 on Posh! 2nd was a wedding dress I paid $60 at GW that sold on eBay for $600. Fees on eBay/PP took that down a bit but still good. Woohoo

Thanks for the math! I was actually wanted that equation! Just sold a Goodwill Outlet piece for 62.5% markup, after all the fees/shipping. I'll take that all day, every day!

Love this. You sound like you have a accounting or finance background. Did you used to work in anything else before reselling full time?

Thank you for sharing. Paying forward is the secret sauce in business and life success..

I'm enjoying your videos but your mark up terms are completely wrong. A 75% mark up on a $20 item is only $15. That makes your selling price $35. 100% of 20 is 20. So a 100% markup on a $20 cost would give you a retail of $40. Getting $80 on that same item is a 400% markup. $100 is a 500% markup. There is no other way to say it. I'm curious to whom told you that formula?

yessss this was so helpful! thank you so much for sharing all this! can't wait to learn more :) you're awesome.

What do you do with things that don’t sell at all, like stuff from nordstrom rack and you can’t return them anymore. Also stuff that you thrift that you can’t return do you just give them away? Like that’s why I’m scared to gamble on stuff especially that I can’t return anymore and can’t sell because I’m like what am I supposed to do with these clothes that aren’t my style or size.

Best video yet! 🙌🏻

Omg...... I know this video is 5 months old but I am SO glad I found you. I have never found a video that explained margins the way you did. Thank you so much! Absolutely love this video! I’m a new Subscriber and now I’m going to bing watch your videos. Lol

Kinda obsessed with this video! Has been quite a long time since I've seen fresh reselling info🙌🏻🙌🏻

This was excellent. I saved this video. Completely makes sense. I will be using this method for sure!! Thank you

Thank you, thank you, thank you. I have slowly started diving into retail arbitrage after watching your videos and following you on Instagram, and all this information is extremely helpful. Agree always look up comps in the store, the stragglers are key. I have learned at TJ Maxx and Marshalls my best finds are not in the clearance section. It is a straggler item mixed in with everything else. My favorite has been J. Crew Jackets which has been selling in a week for me. So thank you again so much for sharing your knowledge, look forward to more videos.

Thank you so much for this!! I learned so much, and I actually found out I know more than I thought I did! 😂 Love your videos so much. ♥️♥️

Busted out pen and notepad on this 😀

Thank you for the video! You can tell you put a lot of thought into it. Btw, what is your opinion of outlets for retail abitrage? Thanks again!

Love your video. When you talk about the Profit margin at around 17:23 in your video, and you divide by .8 (for poshmark fees) what would I use for ebay/paypal fees at around 13% if I am trying to get a 50% profit margin? I'm not too good with math, and this is something I've been trying to figure out for a while! Thank you for your time.

It would be even better if you find a blouse on sale in your margins and it's in several sizes! That way you only need 1 listing for several items! Save yourself some work and sharing. What freaks me out with boutique items, is all the questions. Have you ever clicked on a boutique item in someone's closet and there's 109 questions? Like: I wear a size 6, would this fit me? Are you going to get this in black? Do u have any more larges? 😜 I would go crazy trying to answer them all! Great video, thank you!

Hi, I just wanna let you know I took your advice from this video and tested my luck at anthro (we have a big one here!) and I found a straggler, a sequin tank top for $8!! Originally 98! Heck yah baby! Thanks for sharing your knowledge!!

Hi! I was wondering in what video(s) you focus and/or speak on mid range designers and why they are such a new concept and up and coming? Thanks!

great video - thanks! What is your unique situation that you mention towards the beginning when you are saying that people shouldn't just blindly copy you when they see you doing high volume RA?

This is the best video I’ve seen on reselling and Retail Arbitrage hands down! I wish I watched this before I blindly bought a bunch of stuff from Nordstrom Rack last year which is still sitting in my closet now!! 🤦🏽‍♀️but now I know better!

Thank you for taking the time to teach on this topic. This was very informative, awesome!

Yes! Your math makes sense. I think it would be very hard to make a 75% profit margin on clothing without a lot of time being invested. I am fairly new to reselling only been dabbling in it but ready to step up my game. Being retired I have time to resource but i find I get very bored researching every little article of clothing! I shoot for a profit of 50%. Sometimes I must go a bit lower. I mainly do Mercari and their fees are 10% right now. I have watched everything about Poshmark but for some reason I just can’t get the selling page down! Being older my learning curve is dwindling! I had no problem with Mercari but Posh and eBay are very hard for me. I do buy on both sites. My grandson goes to Columbia University in NYC and will be home for Christmas break so am planning on him helping me! He is majoring in computer science and is all into finance as well. He really likes it and says he may go into financial end with software. He says they get a lot of recruitment from Wall Street on their campus. Glad I found your channel and you have another new subscriber! You are a very impressive and savvy young lady!

Super detailed and extremely helpful information here!! THANK YOU sooooo much!! I've been wondering about all of this and just couldn't wrap my head around it. This makes so much more sense!

Sales tax is automatically collected and remitted by Poshmark for a lot of states, so they made not be a price concern for poshers in sales tax states.

VERY helpful! Thanks so much for being thorough, as usual!! 🙌🏼

Great video - thanks for all the tips. I haven’t tried retail arbitrage - because I have never been able to figure out what might sell. I guess maybe I don’t like investing a bunch of $$$ - and making a costly mistake. But - my sales are slow this December - because I sell mostly pre-loved - and that’s tough to sell during gift-giving season. I am learning about it and might try it for Q4 2020. Thanks for the helpful advice👍

Can you (or someone who knows) please explain the 50% profit margin? I don't have a business background and i'm the worst at math lol. I love your channel btw, thank you for this video!

Excellent video! Great information and I will definitely be making some changes. Thank you for putting so much into your videos- you are readily good at what you do! Just wanted to let you know you are appreciated! Thanks!!!

it is a great ...thank you , I have some questions 1 question - how do you do product research on Poshmark before making a purchase? just random search according to your item available in the store 2. question - customers are smart, how you put price while customers are aware of all prices nowadays (i.e. you pick 1 deal items in a store but when you list customers also know this item is on sale...) 3. if not sold well , you could return to the store? 4. how long do you wait to see an item on sitting poshmark before clearance sale there? sorry too many questions ,,and thank you !

Hi, Mogibeth. Thanks so much for this awesome video. Learned so much today. And, I'm so happy that you validated what I discovered about product availability recently. So, I bought an Affliction sweater from Savers this Mon 12/9/19. Looked it up online for photo stock. I didn't realize that this item was currently sold at Buckles online. But, size XL wasn't available, and that's what I have. I was thrilled about that. So in my product description, I included this info. I sold the item within 2 days, last night. Listed price was $45, got an offer $35. Took it. I consider it a homerun because I only paid $3.50 + tax for the item. This is just me, style wise and business model, I think you and Jenna (emptyhanger) are the best in the business. I modeled my closet with a combo of your style and Jenna's style with a twist from me. Honestly, you should have more subscribers and viewers. Keep on doing what you're doing because we're here supporting you. Have a great night!!! 🥰

The only thing I really do after quarter 4 retail arbitrage is jeans. The jeans SUCK at all the thrift stores around me & when they are good they are marked up to $34.99 (Yea crazy) so I pop in to TJ Maxx & usually find Madewell, Levi’s Jeans for $12.99.

If you buy something for $10 and you sell it for $20 isn’t that 100% mark up? It sounds like you’re saying that is 50% mark up?

This video was super helpful and informative. The only other question I have and I’m not sure if I just missed it - how often do you send offers to likers? I have heard everywhere from as soon as someone likes it because I want to make a fast flip to I only offer once a month like a sale & everywhere in between. Thank you so much. Hope you are enjoying your holiday season.

Based off the acronyms, words, and phrasing you use I was just wondering if you worked in the corporate retail industry before becoming a reseller.

My experience. I've gotten so burned with retail arbitrage, this is how I handle it. If I buy from TJM/Ross, etc. I hold onto the item for 30 days and if it doesn't have traffic, I return it. I only buy 70-75% discounted clothing and hard goods. We have a grocery store that puts out 75% discounted things. However, not everything gets traffic and sales. For example, some beauty products are so saturated it's not worth it to list.

So to simplify, if I want a 75% profit margin, can I just multiply the cost of the item by 5 to figure out how much I need to sell it for?

How can I figure out what's on high demand on Poshmark? Thank you for all of your valuable information.

Thanks so much for your helpful videos! I’m confused on the math. To get 75% profit on a $20 item I thought I would sell it for $40 which would give me 100% - 25% for fees leaves me with 75%. I might list for $45-50 to make room for offers. But when I do your equation I keep getting 400%🤦🏾‍♀️Tfs🙏🏾💕

Finally got to finish watching! Started yesterday. I am a numbers person but I’ve got 4 kids- three In diapers- last one is 3 weeks old- so numbers get jumbled these days lol. So it was great to hear someone talk about it and I really benefited. Thank you.

Very helpful video! Where did you get those pant hangers? So cute!

my question is that when people like an item which means they might want us to give them 10%~30% off + discounted shipping, so how should I really price my item. this is so hard. please help

Excellent video! Very valuable information!!! The calculations are very helpful!

Thank you so much for this video!! My local thrift stores have great prices but the selections just aren't that great so I'm trying to switch up my sourcing strategy. This was super helpful and full of useful info! Also, as a retail math nerd, I really appreciated the profit margin math.

I’m very curious. You said your situation was unique and to not compare. But what is your situation? And how did you get there?

Thanks so much for this video! Such helpful information! I love how you share your home runs and mistakes, that was very thorough and encouraging!

I love hearing the numbers. It s always great to curate your closet and meet people but first and foremost this is a business. I've done some arbitrage myself and it has it's ups and downs.

I've been watching ALL your videos while I'm working on my PM business. I can't say thank you enough for sharing all your valuable information! It has been helping me so much.

What a great video! Thank you so much for sharing! You’re amazing!🙏👌

Love all your videos especially when you mention the margins. I've only been re-selling a couple of months and running the numbers makes sourcing easier. I shop the bins and my focus has shifted from scoring pounds to calculating a realistic ROI.

Thank you for sharing the information -- I did the same last NY sale at Norstrom and the items are still sitting but going to recalculate profit to get rid of the items

If you have to pay sales tax on clothing in your state many states have reseller certificates so you don't have to pay sales tax.

Love your video and the "How to Price" calculations. I needed this! Thank you!

Amazing video! You did an amazing job

This is a must see video! Thank you! I love watching haul videos but there aren't that many out there for the bookkeeping part!

Do you keep the price on the original price tag or do you trim it off prior to shipping?

Very helpful!! Thank you for sharing!!

Thank you so much for such wonderful video.

Very good information. Thanks for sharing.

Thank you sooo much for your honesty. You are amazing!

So if i buy a pair of cargo pants for 40 i have to sell it for 80?

Thank you, this was super informative!

You had me at time stamps ❤️

I’m terrible at math, is their an app for this? 😅

Do you shop at the bins at all

Thank you so much for posting this video! I recently purchased a bunch of clearance items from various retailers, mostly online. I know I paid too much and purchased items I probably wouldn't have picked up because of the brand name only, yet I wanted to put brands in my closet, especially new with tags, to curate my closet and just ... yeah ... I already regret it. So, this was very helpful. Thank you so much.

Thank you, I have so much to learn!

This was very helpful!!

Excellent video. Thank you.

I 2nd that! Awesome video!

I am also in Oklahoma, would you be up for a meet up so I could pick your brains or just hang out, maybe a thrift haul?

I’d like to see how you inventory

i just found you and i am SO happy!

This was such a big help! Thank you!

Thank you so much for this video! Still learning!

Great tips. Thanks!

Where do you get your hangers

YOU are literally changing my life girl!!🙏 Many many thanks to you for ALL of your "legwork" sharing!! 🐆 I would like to know (sorry if I missed it) how you calculate your expected price for an item that you've purchased for a super low price but the comps are super high in comparison to your COG *For Example: Brand x dress cost $3.99, NWT, high end, comps are averaging $40 and are selling often. Hope I've made sense. Thank you

New subscriber! Thanks for all the great info :)

HI, I'm new to this...I wanted to know if you have a video where you go over the terms you use like "retail arbitrage", "sourcing", and "comps". Sorry if I sound dumb, just want to learn as much as possible. Thank you!

I’m just a little bit confused between a profit margin and just upping the price on something you got for a pretty cheap or a good price. Like for example if I buy a lululemon jacket for $79 and I sell it on poshmark for $200 if I just subtract the 20% fee I would be making $160. But if I use the profit margin model and say I want to have a 50% profit margin, then to make double my money I would have to sell the jacket for $197 about, according to my calculations. I’m just confused why doing a profit margin is better especially for retail arbitrage finds more than just subtracting whatever poshmark takes away through fees and seeing the profit you made from what you bought the item for and what you sold it for and then subtracting those two numbers to see the profit. I also had another question about limited edition lululemon items. I have two limited edition lululemon tops and 1 limited edition jacket, that I bought brand new but I’m not sure if these are going to sell because I heard mixed things about lululemon as a brand selling for a lot more than you paid for. I’ve heard it’s harder to make a profit from them. Thanks for all of the tips in this video it was so helpful!

Excellent video on how to manage the financial aspects of e-retail! Very impressive! This was EXACTLY what I was looking for. Thank you for making this video!

If you buy stuff from Nordstrom rack do you always cut the tags off before selling? Like do you just say NWOT? I’m assuming NWT sells more

Nichols Hills, Oklahoma....smart place to shop! I just made out like a bandit at the Goodwill in that area. I live in Edmond so it’s close by.

Hi I am a fan of your videos and knowledge, can you maybe think of making a video on how to research trends and styles. I love all your content. Your amazing

I only do retail arbitrage. I find the thrill of the hunt so fun. I only do online shopping, but I love Nordstrom Rack. They have the best sales! I don’t do the crazy math that you do, I just only purchase something if it’s at least 70% off retail and has good comps.

I love your content. You videos are incredible helpful. Thanks for taking the time to post them!.

Thank you for sharing all these wonder golden nuggets!

Awesome video. You really explained your strategy. The only thing I was still wondering was things like what's your sell through rate which would help to determine what type of total inventory cost we would be looking at. Also, you used reward credit cards and such to gain extra?

Great video! This was very helpful.