Reselling – how I did on those Amazon Fire HD tablets

Introduction

Mark, one of my readers, wrote about how he did on those Amazon Fire HD tablets on MTM 3 months ago.  I had also bought 32 (16 of the HD7 and 16 of the HD8.)  Instead of flipping immediately, I knew the market would be flooded, so I waited until holiday time to list them on Ebay.  It was a gamble because if Amazon had come out with a newer version, I would have lost a lot of money.  Luckily, nothing changed.

 

The math

I listed the Fire7 for $50 and the Fire8 for $60.  They actually sold fairly quickly and I probably underpriced them.  I have an Ebay store, so my fees are lower than Mark’s.  My Ebay fee is 4% for tablets and 3% for Paypal ($3.50 fee total.)  I also realized the Fire 7 is about 16 oz, so I paid for first class shipping which was $4.16, so total fees were $7.66.

  • Gross – $50
  • Fees – $3.50
  • Shipping – $4.16
  • Net – $42.34
  • Tablet cost – $16.50
  • Profit = ~$26  (157% ROI)

The Fire8 numbers were a bit similar.  Shipping was in a padded flat rate envelope, so the profit was only ~$22 for each of them (80% ROI).

All 32 tablets netted me a profit of $768.

 

Issues

One person wanted to return because they needed more memory.  Sorry, no returns!  One wanted to return a Fire 7 because they wanted the bigger Fire 8 instead.  Sorry, no returns!  I had one Paypal chargeback, which it still pending, but I should win since I proved I shipped it out.

 

Conclusion

I took a gamble by waiting for Christmas versus unloading them immediately.  If you are presented with a similar opportunity, you should Google product release timelines.  For instance, if Best Buy has an iPad sale and it’s been a year since the last iPad launch, you should Google if it’s near a launch event.  If it is, you should pass.  If it has only been 6 months or so since the launch, then it’d be a good flip opportunity.

  • Joe

    by the way how’s the harry potter resell market going?

    • Miles per Day

      Haven’t sold any yet

  • Joe

    Smart waiting to sell them. I have an issue with space living in NYC when you’re paying $$$$ per square foot and kids, can’t have the apartment becoming a warehouse. I sold them for about 44 and 54 each. On the bright side, they were all gone under 24 hours sitting with my doorman to be picked up by USPS.

  • Justin

    Nice job, Vinh. I resold a few when they came out but chicken-ed out and returned the rest.

  • Mark Ostermann

    Awesome write up – now I am really kicking myself! Getting hit with 15% in fees killed me some on top of that. I did love that the 7’s came in right at 16 oz shipped.

  • J. Grant

    I profited about 20-27 per tablet, not taking into account any CC cash back or points. I sold many through eBay and three in person through FB – the guy actually paid me $60 in cash for three of them AND met me across the street from my house in West Seattle. That was a good run! Wish I had bought many many more, but I’m still learning about reselling.