How Does Newegg Get Their Products?

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JeremyLall

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Jun 11, 2013
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Hi, I was wondering how does Newegg get all of their products. I would really like to start buying and selling computer parts like Newegg does. I thought that maybe I'd start off by selling graphics cards on ebay to make a profit. Then I'd move on to also selling other parts, eventually starting an online store much like Newegg's. The problem is, where do I get the supplies of graphics cards at a cheaper price to make a profit? Another thing is, how do I get the latest models of technology such as the GTX 780? Please help, I have no idea how this whole system works. Thanks in advance.
 
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hubbardt
Big companies can bring down the price of their goods by buying in bulk and lowering their costs for stuff like shipping, where they pay tax (e.g. Starbucks) and using accountants.

I honestly don't think you will be able to compete with the big companies on the day-to-day stuff so you need to find a niche or something that the others don't offer. You need to give a buyer a reason to chose to buy from you instead of the other sites. On price alone that will be hard to achieve.

Take a look at this guide to get you started: http://pages.ebay.co.uk/help/sell/sell-getstarted.html

I would just say to start small and test the water. If things go well you can slowly start becoming bigger but don't invest money that you can't afford to lose.
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JeremyLall

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Jun 11, 2013
44
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10,530

Thanks I'll look into that. One question though, if a graphics card like the GTX 780 is sold on Newegg for about $660, then does that mean Newegg bought them at a discount because it was bought in a bulk? If so, I've found that most suppliers or wholesalers sell them at the same price. I've been searching around and I know that aliexpress is not really recommended, but I found that if I were to buy a bunch of GTX 780s, it would come out to be about $350 per card. You can check it out here: http://www.aliexpress.com/item/Wholesale-NVIDIA-GeForce-GTX-780-GV-N780OC-3GD/985228119.html
Do you think this is trustable? If not, is it possible to get these cards in a bulk for a price like that per card?
 
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hubbardt

hubbardt

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Nov 19, 2004
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Big companies can bring down the price of their goods by buying in bulk and lowering their costs for stuff like shipping, where they pay tax (e.g. Starbucks) and using accountants.

I honestly don't think you will be able to compete with the big companies on the day-to-day stuff so you need to find a niche or something that the others don't offer. You need to give a buyer a reason to chose to buy from you instead of the other sites. On price alone that will be hard to achieve.

Take a look at this guide to get you started: http://pages.ebay.co.uk/help/sell/sell-getstarted.html

I would just say to start small and test the water. If things go well you can slowly start becoming bigger but don't invest money that you can't afford to lose.
 
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