How Much Inventory Do You Need as a Jewelry Reseller? - Episode #42

[00:00:00] Welcome to the Jewelry Resellers Podcast, your go-to source for all things shiny, sparkly,

[00:00:06] and of course profitable.

[00:00:07] I'm your host Desiree and I'll be your guide on this dazzling journey through the world

[00:00:13] of reselling jewelry.

[00:00:15] We'll be diving deep into the art and science of reselling, uncovering valuable tips, insider

[00:00:21] secrets and sharing stories from successful Jewelry Resellers.

[00:00:26] We'll explore market trends, industry news and even discuss how to find those hidden gems

[00:00:32] just waiting to be discovered in thrift stores, estate sales and beyond.

[00:00:37] So if you're dreaming of turning your hobby into a hustle or if you're a season pro looking

[00:00:42] to stay at the top of your Jewelry reselling game, join me each week for insights, stories

[00:00:49] and more on the Jewelry Resellers Podcast.

[00:00:55] So how much inventory do you need as a Jewelry reseller?

[00:01:01] Well that's the topic we are going to cover today because a lot of us are still trying

[00:01:08] to figure this out and I really was challenged with this when I first started selling.

[00:01:16] And you know what, in some ways I may still be challenged with this because when you're

[00:01:22] trying to figure out how much you should buy or how much money you want to make or how much

[00:01:28] you want to sell or whatever you're thinking about, you really have to decide what's going

[00:01:38] to work for you and what you can maintain in order to grow your business or make the

[00:01:46] money you want to make.

[00:01:48] So we're going to talk about all of that today.

[00:01:52] But before we get started, I do want to say hello and welcome.

[00:01:55] My name is Desiree.

[00:01:57] I am a full-time Jewelry reseller although I do a lot of other things as many of you

[00:02:03] have noticed because I'm kind of like that.

[00:02:07] I really need to have a lot of things going just so I don't get bored and so I don't

[00:02:12] feel like I'm stuck in any way.

[00:02:15] And I know that's probably a whole nother topic for a different day.

[00:02:20] But I just wanted to let you know that if you see me online doing something else, that's

[00:02:25] probably why.

[00:02:27] And I always like to remind you if you are not part of our newsletter family, now would

[00:02:33] be an excellent time for you to join because when you do, I'm going to help you learn

[00:02:39] some of the best-selling vintage jewelry brands that I think are bringing in the

[00:02:43] most money right now.

[00:02:45] I will give you access to a list that I have personally created that tells you what the best-selling

[00:02:53] vintage jewelry brands are because I know a lot of us are vintage jewelry resellers or

[00:02:58] that is the niche or category we like to focus on.

[00:03:03] So if you're interested in getting a copy of that list, all you got to do is head

[00:03:07] on over to the website and that is JewelryResellersPodcast.com.

[00:03:12] Again, that's JewelryResellersPodcast.com.

[00:03:16] I will also have a link for you in the show notes as well as the description of this video

[00:03:21] if you are listening on YouTube.

[00:03:25] Okay so let's get back into what we're going to really break down today.

[00:03:31] At least I'm going to try my best to break this down because it's going to look different

[00:03:36] for all of us because not all of us are in the same place.

[00:03:40] We all don't have the same budget so there's a lot of things to consider when you're trying

[00:03:45] to figure out how much inventory you need in order to grow your business or to make

[00:03:50] the money you want to make.

[00:03:52] So determining the right amount of inventory for a jewelry reselling business, it involves

[00:04:00] a balance between having enough variety and selection to attract buyers and also not overextending

[00:04:10] yourself financially or ending up with excessive unsold stock.

[00:04:16] Now this is something I have experience with.

[00:04:19] I made some mistakes early on when I started doing this and I think when you are first

[00:04:29] getting into jewelry reselling it's really exciting and so everything just kind of looks good.

[00:04:34] So you buy this, you buy that and then there's also the thrill of the hunt where you think

[00:04:41] oh wow I'm going to buy this and I'm going to find something amazing that's going to

[00:04:45] pay for the entire lot or it's going to pay for the entire bulk buy.

[00:04:49] While that can be fun that's probably not the best way to approach this because we

[00:04:55] want to be very strategic, we want to be very focused and disciplined when it comes to

[00:05:02] figuring out how much inventory we need to have on hand as well as how much inventory

[00:05:07] we either know or we can project that we are going to be able to move in a certain amount

[00:05:15] of time.

[00:05:16] Okay so let's talk about some of these strategies and I'm going to do my best to help you

[00:05:20] figure out the optimal inventory levels for your particular business.

[00:05:29] Alright so the first thing I want you to think about is really get a clear picture of what

[00:05:35] your budget is, what your income goals are, you know how much money do you want to make

[00:05:42] and how often or how frequently do you want to make that and also think about what

[00:05:49] can you reasonably process on a consistent basis because I'm sure we've all heard stories

[00:05:55] or we've even maybe seen videos of people who just have bins and bins and boxes and bags

[00:06:01] full of jewelry that they can't even process because it's just too much and you don't

[00:06:07] want to get yourself in that position.

[00:06:10] Okay because in the reselling world there is a thing that people call death piles

[00:06:17] and of course it applies to jewelry as well but I'm going to do my best to encourage you

[00:06:24] to not fall into that trap of having a death pile.

[00:06:27] I know some people like to call it a money pile but having so much inventory that you

[00:06:35] can't even process or if you just keep buying and buying and buying and you're not listing

[00:06:39] and you're not selling, that's not sustainable long term and not only do you get overwhelmed

[00:06:47] with the increase of inventory but it starts to take a toll on your mental health as well

[00:06:56] as your energy.

[00:06:58] Alright so really think about this, I'm not saying don't buy a big bulk buy you know

[00:07:06] because sometimes that will come up and then that'll be enough to meet your inventory or

[00:07:12] listing goals let's say for a month, two months, three months whatever but don't get in the

[00:07:17] habit of buying just to buy.

[00:07:20] So I guess that's probably what I want to emphasize the most.

[00:07:25] So the next thing I want you to think about is really understanding your market and your

[00:07:29] target buyer.

[00:07:31] Now I have talked about this many times, I'm pretty clear about who my ideal customers

[00:07:38] are.

[00:07:40] Now this could vary for you like it does for me depending on the platform that you're selling

[00:07:45] on, depending on what type of jewelry you are selling and depending on what price point

[00:07:53] you're selling these pieces.

[00:07:56] So you really want to know your target buyer because that way you'll know okay I have

[00:08:04] so many people who are looking for this so I need to have this much amount of those

[00:08:09] types of pieces on hand for me to either list or like in my case to run a jewelry show or

[00:08:16] however you're selling okay and this will help you get clear on the type of jewelry and the

[00:08:22] quantity like I said of the jewelry pieces that are most likely to sell.

[00:08:28] Now the other thing you also want to look at it may be even steady is the demand for

[00:08:34] the type of jewelry that you have on hand or that you are looking to sell.

[00:08:39] You really want to analyze past sales data and if you're on eBay this is really easy

[00:08:44] to do all you have to do is search solds for the type of jewelry that you are selling

[00:08:51] or thinking about selling.

[00:08:54] And also get some customer or buyer feedback what are they asking you for?

[00:09:00] What are they looking for?

[00:09:02] What are they requesting that you carry that maybe you don't have right now?

[00:09:07] Alright and what are the trends?

[00:09:09] What's really popular right now as it relates to jewelry and again this is something you

[00:09:13] can research on your own on websites like eBay and maybe even Etsy you know or just

[00:09:22] your own experience because a lot of a lot of this information for me comes from my

[00:09:26] own experience.

[00:09:27] I have learned over the years what sells really well and what doesn't.

[00:09:32] Okay and you will have a clear idea of that for you too.

[00:09:36] Alright so paying attention to what's in demand and again what people are just not

[00:09:41] interested in right now.

[00:09:44] Alright the next thing I want you to think about is starting small.

[00:09:50] You know if you're just getting into this you want to you know you don't have

[00:09:56] to have a thousand pieces right away and I know jewelry sellers who do really well

[00:10:02] who maybe only have 40, 50 listings at a time on eBay.

[00:10:10] So you really could make this work with whatever amount you can manage and you

[00:10:16] can handle.

[00:10:18] Alright so start small and scale gradually.

[00:10:22] If you are just starting it is wise to begin with a smaller manageable inventory

[00:10:27] that really caters to your identified target buyers because this is going

[00:10:35] it's gonna allow you to test the market without taking a huge financial risk

[00:10:40] because I don't want you to drop a ton of money in buying all kinds of jewelry

[00:10:45] inventory and you're stuck with it or you can't sell it.

[00:10:50] And again you want to monitor what sells and what doesn't and adjust your

[00:10:55] inventory based on what people are buying.

[00:10:59] You know when you think about reselling it's really not that difficult

[00:11:06] it's a simple concept basically we want to sell things that people are looking

[00:11:13] for but sometimes even though it's a simple concept it doesn't necessarily

[00:11:20] mean that it's easy.

[00:11:23] Okay and I'm not saying this is easy by any means but we can always remember

[00:11:28] that if we just have the pieces that people are looking for have the things

[00:11:33] that people want to buy we will make sales.

[00:11:36] It really breaks down to that basic idea.

[00:11:41] Okay so the next thing to think about is your inventory turnover rate also

[00:11:47] known as your sell-through rate also known as how quickly does your stock or your

[00:11:53] inventory convert to sales.

[00:11:56] Now if you're brand new you may not know this yet and that's fine don't stress

[00:12:03] about it and don't even worry about it until you get some sales and you get

[00:12:07] some experience and you start to learn the market and you start to learn your

[00:12:11] buyers but the thing you want to keep in mind is that a high turnover rate or a

[00:12:17] high sell-through rate indicates a really healthy and robust demand for the jewelry

[00:12:24] that you're selling and if things are selling a little bit slower then you

[00:12:30] want to pay attention to that too because maybe you're overstocked or

[00:12:35] maybe you need to adjust what you're sourcing and what you're listing.

[00:12:42] Okay so think about that think about how quickly can you sell these pieces and

[00:12:46] you also want to take that into account as it relates to how much money you want

[00:12:51] to make because let's say on average a piece you have takes about six months

[00:12:57] to sell well are you in a position to wait six months in order to make

[00:13:00] that money. Now if you're constantly listing which is something I do suggest

[00:13:07] and encourage because that way something will always be selling if you're

[00:13:14] if you're consistently listing then and you're listing the correct items or

[00:13:20] the items that people want then you will be consistently selling as well

[00:13:24] all right because it's not about listing and then having something sit in

[00:13:30] your store for several years now because we are selling jewelry there will be

[00:13:36] pieces that you will have to wait maybe a year or two because maybe it's something

[00:13:41] so unique or rare and you need a very specific buyer so depending on what type

[00:13:47] of business you have set up what your income goals are and what you can

[00:13:51] afford to store and manage that will determine how quickly certain items sell

[00:14:00] for you or maybe don't sell for you. All right the next thing we want to look

[00:14:08] at is seasonal and trends or I should say seasonal fluctuations and popular

[00:14:16] trends because that always seems to impact jewelry now I've talked about

[00:14:20] before how certain trends in fashion will influence jewelry sometimes celebrities

[00:14:25] sometimes things that happen in news or pop culture those things can all

[00:14:32] have an impact on the demand for certain types of jewelry so you want to pay

[00:14:36] attention to that and like I've said before you don't need to be someone

[00:14:41] who is super trendy or someone who is super into news or anything like that

[00:14:46] but you just want to be aware okay and especially seasonal stuff now jewelry

[00:14:51] sales can be seasonal and we have all noticed that jewelry jewelry sales tend

[00:14:57] to peak around certain holidays or special occasions you know things like

[00:15:03] Valentine's Day Mother's Day Christmas and so forth so adjust your inventory

[00:15:10] to meet these seasonal demands now we also may know that as resellers a very

[00:15:16] popular I guess downtime for a lot of us which some of us know as the summer

[00:15:23] slowdown where people are just not shopping as much during the summertime

[00:15:28] so you want to make sure that you are I guess planning your inventory what

[00:15:39] you're listing and what you're sourcing to accommodate these changes as it

[00:15:44] relates to the demands of what people are buying and when they are buying it now

[00:15:50] so there's certain jewelry that I have learned that just kind of sells well

[00:15:54] no matter what like there's some vintage brands that just seem to do well all

[00:16:00] the time because there are a lot of people who collect those brands or or

[00:16:04] who collect those styles of jewelry and so when they see them it doesn't matter

[00:16:09] when they'll buy it and then there's there's other times where you know maybe

[00:16:15] you have a fantastic piece but maybe it's it's something that people aren't

[00:16:21] necessarily looking for right now and it will probably sell maybe at a different

[00:16:25] time during the year so this is something you'll learn with experience

[00:16:29] and this is something you'll learn as you go and as you grow so but just pay

[00:16:34] attention to seasons and trends because it will affect what you sell and maybe

[00:16:40] even how much of a particular type of jewelry you sell

[00:16:47] all right I also wrote on my notes trends and I think I already covered that

[00:16:51] you want to stay informed about current jewelry trends and then incorporate

[00:16:55] these trending items into your inventory but one thing I want to caution you

[00:17:01] about is don't overinvest in fad or super trendy type items and and I've seen

[00:17:11] this with what I like to call fast jewelry because you know how they have

[00:17:16] fast fashion there's also fast jewelry as well and this is usually the knockoff

[00:17:22] stuff you see you know maybe on Timu or Forever 21 stuff like that where it's

[00:17:31] like cheaper low quality jewelry that's made to look like higher expensive brands

[00:17:36] or maybe something that's just super trendy right now so they mass produce

[00:17:40] it so you want to be careful about buying those types of things because

[00:17:44] those are those they tend to not be good investments as it relates to having

[00:17:51] good quality in demand jewelry inventory okay so the next thing we're going to

[00:18:01] talk about is your cash flow and budget constraints if you have if you have

[00:18:07] them I do believe that all of us should have a a budget for sourcing and for

[00:18:13] how much inventory we want to have on hand so ensure that your inventory

[00:18:20] purchasing aligns with your budget and your cash flow now remember I've said a

[00:18:27] couple times today that overstocking can tie up your money or your capital and

[00:18:33] you know that could be used for other aspects of your business you know like

[00:18:37] marketing or maybe building a website or maybe buying some tools that you may

[00:18:42] need in order to do your job better so you know we don't want to have too much

[00:18:47] money tied up however due to the nature of the business and what we're doing of

[00:18:52] course some money will be tied up in inventory so you're going to have to

[00:18:57] figure out what can you afford to keep tied up in inventory and what what do

[00:19:02] you need in order to consistently purchase new inventory and this is

[00:19:09] tricky like I said I'm still trying to figure this out for myself because what

[00:19:14] I like to do is when I sell something I like to use that money to reinvest and

[00:19:19] buy newer better inventory now sometimes it works out flawlessly and a lot of

[00:19:27] times it does not because you don't always sell the exact amount you need

[00:19:34] in order to buy more you know sometimes you'll sell more sometimes

[00:19:38] you'll sell less you know less so you want to make sure that you pay attention

[00:19:43] to that because you're gonna have to figure out how much can you spend

[00:19:47] weekly how much can you spend monthly or whatever and just get clear on that

[00:19:53] you know and and don't be afraid to make adjustments along the way because

[00:19:58] things will change as your business grows and as your knowledge develops and

[00:20:04] you figure out what works for you and what you can do as an individual

[00:20:09] as an individual okay so these are all things to think about and I wish I could

[00:20:16] give a blanket answer that's gonna work for everyone but unfortunately I can't

[00:20:23] because I don't know what type of budget you're working with I don't know how

[00:20:29] big of a store or how big of a business you're trying to create I don't know how

[00:20:35] much money you want to make so you'll have to really sit down with a notepad

[00:20:41] and a pen and really write all of this out so you get a clear picture and so

[00:20:45] you know so you know how much inventory you realistic realistically need and

[00:20:58] sometimes you can do this without an upfront investment I've briefly talked

[00:21:04] about consignment in some ways and we do have a podcast episode with Matt Harris

[00:21:09] and he talks about that so basically you don't have to pay anything but you

[00:21:14] just split the cost or you split the sale with the person you're consigning

[00:21:19] for so that could even be something you you work into your business in some

[00:21:25] way as well all right let's move on to the next point and that is your sourcing

[00:21:33] time understand that sourcing sometimes the timing of finding what you need

[00:21:44] doesn't always coincide with how quickly you're selling or not selling your

[00:21:50] inventory and sometimes it won't even match up in any way shape or form right

[00:21:58] like sometimes you'll come across a really good bulk buy but you haven't sold

[00:22:03] anything yet but you know that wow this is something I really want to I really

[00:22:06] want to buy because these are some fantastic pieces the price is right

[00:22:10] everything is giving me the sign to buy it but you still have just as many

[00:22:16] if not more pieces sitting unsold in your eBay store or wherever now so that's

[00:22:25] something you're going to have to figure out what can you tolerate and and are

[00:22:28] you comfortable with that okay because as we know it's not it's not really

[00:22:35] quote-unquote easy to find the type of jewelry pieces we want to sell now

[00:22:40] they're out there and we we will find them and we can find them but it

[00:22:45] doesn't mean that we always find them in accordance to how much we're selling

[00:22:49] okay and that's okay that's okay because you may find a huge lot of jewelry that

[00:22:56] will cover your sourcing and listing like I said earlier for months and you

[00:23:02] won't have to worry about it and you have a good supply of new inventory

[00:23:06] that you can consistently list so you can hit your income goals and you

[00:23:12] can hit your money-making goals whatever but now the other thing you want to think

[00:23:18] about too is keeping a a buffer stock of maybe some best-selling pieces because

[00:23:27] if you have customers who really like something specific you may not want to

[00:23:31] list it all right away you know you may want to keep some you know keep

[00:23:35] some in your inventory and then slowly drip that's what we call it we

[00:23:41] drip those pieces out you know maybe one a week maybe one every two weeks whatever

[00:23:45] so that way you're not selling all of your best stuff right away and then you're

[00:23:50] sitting on a bunch of stuff that maybe doesn't sell as quickly or maybe not be

[00:23:56] as much in demand all right and also be mindful of your storage and how how

[00:24:04] that's gonna work for you do you are you paying for storage are you storing

[00:24:09] all of your jewelry inventory in your home so you don't have any additional

[00:24:13] expense as it relates to that or do you have to figure out a storage solution

[00:24:20] especially for those of you who have thousands and thousands of jewelry pieces

[00:24:25] you want to make sure that you keep it safe as well as organized so you can

[00:24:31] find it when it sells

[00:24:36] all right so my next point is to really think about diversification and

[00:24:41] specialization now I've always been team team find a niche because I have

[00:24:53] learned that's really what works for me and so many other jewelry resellers say

[00:25:00] the same thing although you don't have to do that you don't have to have a

[00:25:04] niche you can still do this but I want you to think about really specializing in

[00:25:08] something all right because even though offering a wide range of jewelry can

[00:25:14] attract a broader buyer base it can also dilute your brand identity in some

[00:25:21] ways and it can increase your inventory management making it more complex

[00:25:28] making it more complicated in some ways now because it's jewelry it's small

[00:25:34] so it's not like we have to worry about you know it taking up a lot of space but

[00:25:40] we really have to think about what do we want to be known for because if we

[00:25:48] want buyers to find us then we have to make sure we have what they want and

[00:25:55] if you're selling everything in anything even though it's just jewelry you

[00:26:01] may not necessarily develop as loyal of a customer base I'm not saying you can't

[00:26:10] but it might take a little longer or maybe it's not as strong as as it could be

[00:26:16] now the other nice thing is when you specialize in a certain type of jewelry

[00:26:20] it can really streamline your inventory but on the flip side it may limit your

[00:26:25] market right so there's pros and cons pluses and minuses as it relates to

[00:26:31] this so you will just have to find a balance that works for your business

[00:26:34] model and your target buyer and again this is something that has been ongoing for

[00:26:42] me this is something I'm still trying to figure out but for the most part like I

[00:26:47] said I really I really do know and understand what my buyers are looking

[00:26:52] for but that's not to say it will be that way forever and who knows maybe

[00:26:57] if I found some spectacular jewelry pieces while I was outsourcing that may

[00:27:02] attract a different buyer okay so you're gonna have to figure that out for yourself

[00:27:10] alright so I've mentioned this briefly in a few of the earlier points and that

[00:27:16] is storage and inventory management what do you have room for how much do you

[00:27:23] want to have to manage okay how much can you store like I said we don't all have

[00:27:30] to have thousands and thousands of jewelry pieces some of us are gonna be fine

[00:27:33] with a hundred some of us are gonna want five thousand now when I had at my I

[00:27:42] guess peak I had about three thousand jewelry pieces in my eBay store and

[00:27:48] not all of them were great you know I just but I did have that much and I

[00:27:52] had a really good organization and inventory storage system so it wasn't

[00:28:00] that difficult for me to to maintain that amount of jewelry because I had them in

[00:28:06] boxes and then in or I should say little bins and then I had each piece in its

[00:28:12] own individual bag and then each little bag had a number and so it was like a skew

[00:28:17] number and so every time I listed listed a piece it had its own skew

[00:28:22] number so it was really easy to find and then everything was stored in numerical

[00:28:25] order now that worked for me right now I don't have that many jewelry pieces but

[00:28:35] I wouldn't have a problem growing to that many again if I found exactly what I

[00:28:40] was looking for when I was outsourcing alright so again you're gonna have to

[00:28:46] figure out what you can physically manage because you're gonna be the one

[00:28:49] probably not only sourcing it but listing it photographing it and then

[00:28:53] storing it and organizing it and then packing and shipping it as well alright

[00:28:58] and when you I want to throw this out there too because when you are when you

[00:29:03] are figuring out your storage space and your inventory management you want to

[00:29:09] include shipping and packing supplies as well because that will take up a lot

[00:29:14] of space alright especially if you are selling well if you ship your jewelry

[00:29:19] in little jewelry boxes you're gonna need to have a supply on hand of those

[00:29:26] little jewelry boxes also bubble mailers bubble wrap tape whatever whatever you

[00:29:35] need as it relates to shipping and packing your jewelry items so make sure

[00:29:39] you take into account the space to store that in addition to the jewelry itself

[00:29:47] alright because I think a lot of people forget about that and then they

[00:29:51] realize oh wow I actually need more space than what I know what I had

[00:29:56] thought initially alright so my last point is pay attention to feedback and

[00:30:04] engagement so this is always fun for me and because I do live selling a lot of

[00:30:12] times I will get feedback instantly when I'm doing a sale you know with my

[00:30:20] customers and my buyers they will say oh yes do you have any more of that

[00:30:24] particular piece or I'm looking for X Y and Z do you have any in your show

[00:30:29] today whatever and so I get instant feedback just from being you know engaged

[00:30:40] in showing up for my buyers now I like to do this via social media however you

[00:30:47] can do it however you want you can do an email newsletter you can even talk

[00:30:51] with people in person if you do any type of in-person jewelry shows or or

[00:30:58] anything but I like to do that via social media now you can do like what I do

[00:31:05] live sales or you can just post on maybe your Facebook page maybe your

[00:31:11] Instagram or maybe on YouTube and just ask people what do you think about this

[00:31:16] or can you leave a comment and tell me what type of jewelry you're looking for

[00:31:22] or do you have any ideas of what you might like I don't know in the future or

[00:31:31] what what you think would be a good idea for me to have on hand as it relates

[00:31:37] to stock or as it relates to the jewelry pieces that you want to buy you

[00:31:41] know however you want to phrase it because buyer insights can give you a

[00:31:48] really good indicator or guide of of your inventory decisions what you want to

[00:31:54] source and how much of that you want to source you know and and just talking

[00:32:00] with your buyers you'll you'll know okay what should I restock what should I

[00:32:05] look for more of or what should I discontinue what should I not buy

[00:32:09] anymore or maybe what should I introduce because sometimes you can you know

[00:32:15] it's not only a piece by piece thing but sometimes people like to buy sets

[00:32:19] sometimes people like to buy lots you know there's just so many ways you can

[00:32:24] serve your buyer doing this all right and that'll be something that you will

[00:32:30] get a lot of like I said inside about just by asking for feedback and

[00:32:36] engaging in whatever way you feel comfortable or whatever way you can

[00:32:42] show up consistently for the people who could be your potential customers

[00:32:47] all right so let's go back and review everything because remember we're

[00:32:54] talking about how to decide how much inventory you need in order to make your

[00:33:00] jewelry reselling business work so the first thing we said was you

[00:33:04] understand your market and your buyer what are they looking for what are

[00:33:09] their preferences and so forth number two was to start small and to scale

[00:33:15] gradually all right it's always smarter to start small so you don't get too caught

[00:33:23] up in spending a lot of money and then not being able to you know turn that

[00:33:28] over into profit very quickly so start small especially if you're beginning

[00:33:33] number three we talked about the sell-through rate how fast or how quickly

[00:33:38] can you sell the jewelry inventory that you have now this is going to vary from

[00:33:43] business to business and even in some cases depending on the type of jewelry

[00:33:47] you have okay but that is something you need to consider number four was seasonal

[00:33:53] and trend or seasonal considerations and current trends so we want to make

[00:33:59] sure that we are paying attention to when certain types of jewelry could be

[00:34:04] in demand we talked about that number five was what is your cash flow and what

[00:34:10] is your budget how much money do you have to purchase inventory how much money

[00:34:16] can you spend on a consistent basis or how much money do you want to spend

[00:34:22] say every week sourcing or every month okay you need to know those numbers

[00:34:27] number six is your sourcing time how frequently can you acquire jewelry

[00:34:37] inventory all right we talked about that because that's going to affect how

[00:34:42] much inventory you have on hand and how much inventory you will have available

[00:34:46] for sale number seven is all about diversification versus specialization

[00:34:52] this is kind of the niche versus everything seller as it relates to jewelry

[00:34:58] you know you can have a specific niche or you can sell just whatever jewelry you

[00:35:03] find both both ways do work you can make money doing either one you just have

[00:35:08] to figure out what works for you number eight was storage and inventory

[00:35:14] management remember we talked about what do you have room for how much

[00:35:18] inventory do you actually want to have to manage and how will you store it in

[00:35:23] addition to your shipping and packing supplies and then point number nine my

[00:35:28] last point was all about feedback and regularly engaging with your buyers to

[00:35:33] find out what they want and what they don't all right so if you think about

[00:35:38] all of these things this will give you a very clear and solid picture about

[00:35:43] how much inventory you need in order to hit your business and income goals and

[00:35:52] like I said it's going to take some time and it will change along the way because

[00:36:00] I can pretty much almost promise you that whatever you decide today as it

[00:36:04] relates to this it may be totally different a year from now you may want

[00:36:10] to scale up or you may want to scale down you know again these are these are

[00:36:18] very individual individual things and and no two businesses are going to be

[00:36:25] exactly alike okay and you also got to think too and this is something I did

[00:36:30] not mention earlier but what about what about what you you can handle like

[00:36:38] what your personality can handle right because some people some people like me

[00:36:44] really like to be out there and like to show up and like to have fun with this

[00:36:48] and some people are not that way they don't want to go out sourcing and

[00:36:52] talking with people and in whatever you know so you got to really understand

[00:36:57] your personality style too and what works with that you know because you

[00:37:01] have to show up for yourself consistently and that again will look

[00:37:05] different you know for each of us so in conclusion deciding how much inventory

[00:37:11] you need like I said is an ongoing process that requires attention to market

[00:37:16] trends sales data buyer feedback and financial limits by starting small and

[00:37:24] analyzing your performance as it relates to your sales and adjusting

[00:37:29] based on that data you can maintain and manage an inventory that meets demand

[00:37:36] without overburdening your resources so what do you think let me know your

[00:37:44] thoughts do you already have a solid idea about how much inventory you need

[00:37:48] in order to create the business that you desire and if you have any ideas

[00:37:53] on anything else as it relates to this topic please leave a comment either on

[00:37:59] the website or if you're listening to this on YouTube leave me a comment

[00:38:03] there too all right I hope that this episode was helpful and I hope you

[00:38:09] enjoyed it I want to thank you so much for spending this time with me I'll

[00:38:13] check in with you again really soon