It’s a paradox, but what is good for the seller is often bad for the buyer. This is the principle of trading – buy low, sell high. However, even here there are nuances that the seller is better to know than to ignore. Not all products can make your trading company a priori successful. Among the thousands of names of all kinds of products, there are those that in the modern world hold the lead in terms of the highest margin. Everyone who is thinking of opening their own profitable business in the field of trade is obliged to know them “by sight”. Sometimes this is not even a specific product, but a separate group or an entire industry, where the final price of a product or product can be dozens of times higher than the cost. It is with such super-profitable goods that we will conduct an analytical acquaintance.
Let’s go, as they say, immediately with trump cards. Did you know that bottled drinking water in our stores can cost you 40 times more than your tap water! The cost of such water can give up to 2000% of the profit, which the manufacturer divides between himself and resellers, and there can be more than one or two of them on the way to the counter and the buyer.
Purified water is a real treasure for trade. If the manufacturer manages to negotiate with a branded trademark, then such “artificial” water becomes more expensive than gold and gasoline combined. You will not believe it, but there are brands that sell bottled water with a markup exceeding 200,000% ! But we will return to the role of brands in the margin mechanism.
Considering that movie theaters buy popcorn in bulk, the average markup for popcorn in movie theaters is a whopping 1275% by some estimates!
Bakery and confectionery
Mini-bakeries allow you to increase the cost of baking up to 100% . Selling quality bread at retail can also bring substantial profits if you have already acquired your regular circle of customers.
Given the minimal cost of raw materials and production, baking your own bread and buns can become quite a profitable family business. If you expand your culinary business to the production of traditional and original confectionery, then profits can increase significantly. Selling a favorite cake or branded cakes to regular customers covers expenses 10-15 times.
Oddly enough, flower shops do not close even in times of crisis. It would seem that such a troublesome and costly business as the supply, storage and sale of flowers and indoor plants should repel enterprising people from this business as much as possible, but flowers all over the world retain their position as goods with huge margins.
Weddings and other family celebrations, holidays and memorable dates, interior decoration and fashion – people’s life is not complete without flowers, and even a small flower shop fully provides for its owner. Seasonal or short-term profits associated with Valentine’s Day or March 8 can exceed expenses by several times. Prices for some varieties of flowers do not decrease at any time. In the world’s flower boutiques, you can buy an orchid for $25, which, you see, very clearly characterizes this trading area.
Greeting cards and gift accessories
Anything that has an attachment to festive occasions and events usually always has a trade value. A simple greeting card can generate up to 300% profit in sales . And such “papers” will always be in demand, because they are an invariable part of the accepted rituals and way of life.
The same applies to various festive, congratulatory accessories, which are always in demand, especially among women and children. The same valentines, laid out on time on the counter, can significantly increase weekly revenue.
Vodka, wine, beer
Retail and wholesale trade in alcohol everywhere brings sufficient profit to its distributors. The difference between the factory and store price can vary between 100-150% . Much will depend on the popularity of the manufacturer and the quality of the drink. If you open a restaurant business, then the profit from the sale of vodka or champagne can reach 400-500% .
By itself, the price of vodka is not always “high” already from the manufacturer, since, taking into account the excise tax, the wholesale cost of vodka is 175 rubles, and the profit per bottle is only about 10 rubles, but this applies to cheap vodkas. To increase profitability, the manufacturer connects competent marketers, designers and sometimes technologists, thanks to which it turns out to ask the price for a bottle of vodka equal to a bottle of whiskey, for which much more labor and time was spent than for vodka.
The pharmaceutical industry has always been a very lucrative business. Today it is almost impossible to find cheap quality medicines.
Profit in this area can range from 200 to 3000 percent . But she will always be. Especially when it comes to modern painkillers and prescription drugs. Even with a strict tax system, owning a pharmacy is one of the most profitable trading enterprises.
You will be surprised how profitable paid text messages are for cellular operators. Familiar to all sms still brings companies up to 6000% profit in relation to technical costs. If you manage to build a business by selling services and goods to customers through paid SMS, then you will clearly remain in the “plus”.
Practice shows that the jewelry market is not afraid of either crises or currency collapses. Diamonds, as part of this market, firmly hold the place of goods with a large margin. Profit from the retail sale of diamond products can exceed 400% . But even a profit of 50% makes this business extremely profitable.
Tea and coffee
Even if you focus your efforts on trading only these drinks, then you may well develop your business into a city trading network. There are so many varieties of these drinks, and the constant demand for them always keeps at the same level, that the specialized trade in coffee and tea can bring up to 200-300% profit. Your own coffee shop and tea shop will require more investment, but the profit from the sale of ready-made drinks will be many times greater.
Branded jeans, t-shirts and shirts bring incredible profits to their sellers. With an initially high price, designer clothes can easily be sold at double and triple mark-ups. For example, branded jeans with a wholesale price of $150 can be successfully sold in a specialty boutique for $350 or more.
This item is a separate item. Stylish women’s handbags can easily be charged at 2 times the original cost. And there is no limit, since the issue of demand is regulated by seasonal and fashion factors, the impact of which is difficult to predict. However, there is always a steady demand for women’s bags in big cities.
Caps and dresses
These items from everyday wardrobe can reach a markup of 1000% . The low wholesale price of simple but high-quality clothing allows sales representatives to widely vary their pricing policy, setting prices for products depending on demand and the characteristics of each model.
An interesting study was once conducted in the United States, where a number of stores exhibited identical white dresses, but in one case the dress was sold as ordinary clothes, and in the second it was put up for sale marked “wedding”. It turned out that under such a sign, buyers are willing to pay a much larger amount for a dress. On average, women’s wedding dresses can be charged 3-4 times .
The global popularity of cosmetics makes them a profitable commodity on all continents. The trade margin for high-quality cosmetics can reach 300% . The level of markup depends on the type of cosmetic product, its purpose and manufacturer.
Pizza production and delivery should be considered as a separate business within the catering industry. The economical use of many products and ingredients for the production of pizza gives a profitability of 500-600%. At the same time, consumer demand for pizza delivery is not decreasing in all segments of the population.
The sale of ready-made furniture and its individual production allow you to receive a margin of up to 80-100% . Moreover, despite the difficult economic situation in the furniture trade market, consumer excitement is not decreasing. People even try to spend their last means on comfort and coziness in the house. This also explains the consumer interest in building materials, sales of which do not decrease even with rising prices.
Toner and ink for printer
Such a specific area of trade as office equipment components, it turns out, gives quite tangible profits. Paint and ink for printers can add up to 300% to the cost . This is explained by a narrow circle of interested buyers, the importance of timely refilling of printers for the work of many institutions, and the fact that some printer models require additional service without regular ink refilling.
Packaged and processed foods
The essentials themselves have little room for large markups, as food pricing policy is periodically under close government scrutiny. However, trading companies and manufacturers go for certain tricks that allow you to make a margin of 100% or more . It has long been a fact that additional processing, cleaning and packaging of products allows you to sell packaged food much more profitable than in its natural form.
Spices, spices, seasonings
The relatively low cost of packages with seasonings and spices allows the seller to significantly increase the purchase price tag. Therefore, in this group of goods, one can often see a margin of 5-6 times the nominal value.