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Start a CD Sales Business
What you will be doing. Music is a big part of our
culture. Compact discs have taken the place of records as a
way to present music to the public. The sound is cleaner and
more engaging. Compact discs have not stopped there.
CD-ROM’s are used for educational materials and games for
children and adults.
If you do a buy back business for people that want to
exchange CD’s you will need to listen and inspect the
merchandise for scratches. Deciding ahead of time what you
will pay and/or the exchange rate for CD’s will keep you
from having to do spur of the moment calculations that could
slight you on a profit.
How to start. Now that you have decided to sell CD’s
you need to decide what you will offer. Higher prices will
be paid for music CD’s that are harder to find. Finding a
reputable music dealer who will discount when buying in
quantity will ensure that your product is good.
If you offer educational CD’s, choose ones that are in
demand. Visit bookstore websites to see what types of
educational tools are currently being sought after.
Educational CD’s can be marketed to home schooling programs,
colleges, and tutorial programs. Students may be looking for
a way to get extra help without paying a lot of money for
the materials.
Keep a separate inventory of CD’s that you exchange or buy
from customers. Operation of this part of the business can
be done at flea markets or fairs. The CD’s that you exchange
can then be sold on eBay as previously used.
Start up costs. You will need inventory to start this
business. Including advertising, you could start your
business around $500. This number reflects the cost of
advertising, website set up, and cost of CD’s.
Starting with a small inventory gives you a chance to see
what will sell and what takes a long time to move.
Partnering with a network of music and CD-ROM wholesalers
can cut the amount of inventory that you keep on hand and
will defer some of the shipping costs.
CD’s will need to be shipped in protective packaging so that
products don’t arrive damaged. Investing in a postal setup
for your home business will save trips to the post office
and money on shipping supplies.
Skills needed. People in any area of the music and
entertainment industry need to be knowledgeable about
trends. Trends make or break this type of business. Customer
service skills will get you just as many sales as your
product alone.
Knowledge of the products you are selling makes for
profitable conversation with potential customers. If they
buy one religious CD from you, suggest a few others that you
have in stock that are similar to the one they are buying.
This will help future sales with that customer and others.
Marketing. Educational magazines and music
publications have ads in the back. If you know that the
magazine is well read, spend the money to advertise your
business. Join music forums to get an idea of what people
are saying about the latest music. Forums may have a place
for members to advertise their websites and business
ventures. Take advantage of the free advertising to get your
name out there.
With a CD sales business, the field is wide open as far as
areas to specialize in. You can carry a general selection of
music compact discs or you can specialize in one area.
Making your own special CD’s from tapes and records would
provide an entirely new niche to your CD business.
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