Why total cost beats sticker price when you source

When you buy to resell, every extra dollar you pay comes straight out of your profit. Shipping is one of the easiest costs to overlook, because it is shown after the price rather than in it.

Total cost is price plus shipping

Total cost is what you will actually pay to have the item in your hands: the price, plus the shipping the store charges. It is the number to rank stores by.

These example prices are made up to show the effect.

• Store A lists it at $24.00 and charges $6.00 shipping: a total of $30.00.
• Store B lists it at $27.00 with free shipping: a total of $27.00.
• Store C lists it at $25.50 and charges $2.99 shipping: a total of $28.49.

Ranked by price tag, Store A is first and Store B is last. Ranked by total cost, Store B is first and Store A is last. The order flips.

What the total still leaves out

• Sales tax, which depends on where you and the store are.
• Membership or subscription fees that some stores require for free shipping.
• The cost of returning an item if it is not what you expected.
• Shipping speed: a slower, cheaper option can cost you time you need.

A price is only true when it was checked

Prices and shipping charges change, and stock runs out. A price you saw yesterday may not be today's price. Whenever you compare stores, note when each price was checked, and treat the result as the lowest you found among the stores you looked at, not the lowest price anywhere.

Then check the resale numbers

Once you have the lowest total you found, put it into the resale profit calculator as what you paid, so the profit it shows reflects shipping too.