Guaranteed Money

[cchardwick]

I've been watching the ball python market now for a couple years and I can tell you one thing, the prices fluctuate like crazy! I picked up some snakes for $1,200 that a year later are selling for $600. And some I bought for $500 are in high demand and low supply, I could probably sell them for $800 or more. And as snakes age, in particular females, they can triple in price as they get older.

I think the key to the ball python business or any reptile business is to diversify. Don't produce too many of one particular animal and saturate the market for that particular animal. From what I've seen the sub $500 snakes are the 'bread and butter' of the business, variety is the key. If I walk up to your table at a show and you have a bunch of snakes that are all the same I doubt I'd buy one unless I'm looking for that particular snake. Every time I buy a new breeder it has to have at least one new gene in it to diversify my collection. You can also diversify by expanding outside of ball pythons which many breeders are now doing, maybe pick up some dwarf retics or boas or king snakes.

You'll also notice that most of the high end snakes are produced in very low numbers. Once their numbers increase the prices drop like a stone in water. I've actually seen prices for a particular morph plummet over night. Then when people stop producing them the prices can actually increase again. It also seems like it's seasonal, when everyone is producing the price drops, then when the supply is low the price jumps up again.

To maintain prices I'd say you have to try your best not to undercut competitor prices, people will under cut your prices, etc. until the bottom falls out. I'd say target mid range prices and hold out for the cheap ones to sell.

I've also noticed that very consistently most prices will fall year after year. I think if you want to keep up with the high end stuff you have to invest in the new morphs coming out every year and sell off a few of your low end stuff. I'd say you probably want 10% high end snakes, 20% mid range and 70% low end (cheaper snakes) to satisfy the demands of the market.

I'd say investing in reptiles as a breeding business is almost as risky as the stock market, maybe even more risky. I've heard of people buying a $20,000 snake and by the time it's ready to breed the babies are selling for a mere $200. But if you hold out you can still make your money back, it just takes a little longer, you'd have to sell 100 babies to break even.