Product Resell Rights

Resell rights offer an inexpensive way to capture Internet sales.

Online marketers who want to cash in on booming Internet sales, but have no inventory, can team with ebook manufacturers, software sellers and others looking for more outlets for their products. Obtaining or purchasing product resell rights is a way to make money without a garage full of expensive inventory. Understanding product resell rights and how to get them is not complicated.

Resell Rights

Resellers promote and sell a product developed by someone else, writes Lynn Terry, marketer and owner of clicknewz.com. Resellers usually receive 100 percent of the profits on each item sold. Retailers can either purchase the rights to the product, or some creators of products offer the rights free so they can sell more products in more places.

Types

Resale rights come in four types. Resell Rights come automatically on some products, while for others you must purchase the rights. Getting the resale rights usually means you also get the order and download page of the product to sell the item on your website. Terry says some resell rights costs as little as $1.

Master Rights work like resell rights, except that you can also sell the rights to a third party. The purchase price of master rights depends on the product and what the owner wants for the rights.

Private Label Rights apply to articles, reports and ebooks, and allow you to alter the product. Many product originators offer these resell rights for free.

Public Domain Content includes content published from 1923 to 1963 and not renewed by the author or his estate. A public domain product no longer holds a copyright. The product can be rewritten, repackaged or sold as-is without the reseller purchasing any resell rights.

Warnings

Product resell rights are hot because of their profitability, according to Terry. Put your "buyer beware" hat on when researching products. For every legitimate product, there are hundreds of advertisers and fly-by-nighters look to cash in on the uninformed. Do your research.

Benefits

Reselling products offers you the ability to start your Internet or retail business without creating your inventory. It also makes adding products easy. And, it frees you up to market, advertise and focus on building your website or retail traffic.

Potential

Obtaining resell rights to popular software or other products doesn't offer an effortless way to riches. A new Internet site won't sell much if no one visits the site. Internet sites thrive on marketing and increased traffic.

Results

In 2000, the Internet started growing at a rate of about 40 to 50 percent annually, according to data from the Internet Domain Survey, the longest-running survey of Internet hosts, which is used for reporting to Congress. Internet profits abound. A reseller who builds her website traffic using sound marketing techniques places herself in a good position for building a profitable business.

References

• ClickNewz: Understanding Resale Rights
• CRS Report for Congress: Internet and E-Commerce Statistics