Transcribe of “Which products are best sellers on Ebay and Amazon in a recession?”
Hi guys, Neil Waterhouse. There’s been a lot in the media lately about a possible upcoming recession, because of that I thought I’d share with you what were our bestsellers on eBay and Amazon in the last recession. If you have an eBay or Amazon business, or both, in a recession, sales in various niches actually increase, as I’ll show you in this video.
Amazon in the last recession grew by 29%
In fact Amazon in the last recession grew by 29%. Now first of all, just so we’re on the same wavelength, the definition of a recession, in most countries, is typically recognized as two consecutive quarters, of economic decline. The last recession in the USA was in 2008. But in Australia, there’s not been a recession for 28 years, since June 1991. Now, what happens in a recession is, people stop buying expensive items like houses, cars, boats. Overseas holidays, et cetera.
Human beings though, love retail therapy
However. Human beings though, love retail therapy. So, they keep purchasing. But instead of buying expensive items like houses, boats, holidays, et cetera, they instead purchase cheap items. In the last US recession, sales of our lower-price items in the USA, $200 or less, increased. Now, with traditional bricks and mortar stores, discount, thrift and variety stores, do very well in recessions. Sales of things like lipstick and cosmetics actually increase during a recession. Now, and this is because, these sorts of items, they’re seen as affordable luxury. Other bricks and mortar businesses that do well in recessions, are home maintenance stores, as people tend to stay put in their existing houses.
They choose to maintain and renovate them rather than purchasing another one
And they choose to maintain and renovate them rather than purchasing another one. Now with eBay and Amazon, we can also sell into that same home maintenance market. And speaking of bricks, Lego in the last recession, grew by 59%. Again, Lego is an item under $200, well, the majority of it anyway. Now, in recessions, people stay home a lot more. And they look for cheap things to purchase, to make them happy. They stop going to restaurants, but they still purchase cheap takeaway food like, Dominos pizza, which is why profits for Dominos Pizza, in the last recession, doubled.
Another niche that sells well in recessions, is motor vehicle accessories
Another niche that sells well in recessions, is motor vehicle accessories. Again, people stop purchasing new cars, but instead that maintain and do up the ones that they have. Now besides all the maintenance items like air cleaners, oil filters, spark plugs, et cetera. They also purchase accessories like roof racks. Seat covers. Driving lights. Headlight covers, reversing cameras. GPSs, dent removers, et cetera et cetera. Now other niches which do well are home security. Anything to do with repairing normally does very well in recessions.
Always be driven by only what the market wants
Also, baby items, food processing items, coffee items, kitchen items, wind and solar power items, games. So bottom line, with selling on eBay and Amazon in a recession, always be driven by only what the market wants. Let the sales history dictate what you sell. Now anybody that’s been following me long enough knows what I do and teach is, let the market tell you which product to sell.
Only sell proven products, that have proven sales history
Only sell proven products, that have proven sales history. Recession or no recession, only sell what the market wants. If you do this, you’ll recession-proof your business, because you’re always selling what the market wants. It also takes out all the guesswork. And if you’re automating, if you’re outsourcing, removal, the guesswork is really really key. If you’re dropshipping, dropshipping again, helps make you recession-proof, because, you’re holding hardly any stock. And you can very quickly pivot at any time, to what the market decides are the hottest items. That’s all for this week, please scroll down, leave me a comment below. Until next week, list more sell more, this is Neil Waterhouse.