NeedToUseYou
Posts: 2297
Joined: 12/24/2005 From: None of your business Status: offline
|
I sell about 90 percent of my inventory through ebay among a few IDs depending on what I'm selling. Ebay and any commerce really is all about finding a good source of product and running your operation more efficiently than others. We started off buying stuff at government surplus, auctions, etc... scouted for sources found better sources, looked more found better sources, until we had better sources than most for the items we sell.Then scaled up to buying truckloads, for additional saving on product and shipping. I really don't understand how people can't make money on ebay, my average cost per item for low end stuff is 3.50 ,(overstocks, liquidations, etc..). 3.50 cost, average bid price of all items sold is 16.00 dollars, average shipping overage, is 2.50. So, the 2.50ish overage takes care of costs of supplies(buying huge amounts at a time reduces this cost dramaticly), listing fees, and part of the FVF. So, from the 16.00 you subtract 3.50 cost of item leaves 12.50 minus a dollar for misc fees left after shipping overage. 11.50 profit minus a dollar I pay my helpers for processing the item equals 10.50 profit / item on the lowes tier products we sell. So, it ends up being you invest 3.50 in a item and get back 14.00 after all expenses. That beats selling retail, which we could do in our location but it really doesn't seem worth it. I track all of the costs in the program it's right on accurate. We are in a rural area so warehouse costs are relatively low. It might be a different story trying to do this in a city. It couldn't be easier anyway. It took me a while to automate the selling to the level I have, took about 9 months to get my integrated shipping/inventory management/listing/tracking program made,myself . You could pay a company to lease a similiar product but they charge obsurd prices and you need a program to sell en masse. But now, I don't really have to do anything but work on new sources of product, help check-in and ship(don't have to but it helps keep things smooth), and listing takes about 10 minutes a day now, whereas listing used to take an hour a day to do, shipping time has been cut down to. So, It's not easy to start but it gets easier the better sources you find and when you get better methods for doing the redundant tasks which tend to eat your time up. I was doing everything between myself and my partner, but now since we are hiring people to do the common tasks, I might get a life again. LOL. About 3 years time invested, but I have a solid niche and my time is not scheduled and my free time is beginning to emerge again. LMAO, don't know what to do with it. Alot of upfront time investment is what people don't understand is involved to make any business worthwhile. Ebay, retail, E-commerce site,service industry, anything. But it's starting to pay off more and more now. 3 years isn't that much time in the scope of things, I wasted that doing jobs I absolutely hated before. People that think they can just hop on ebay and use any old drop shipper or any wholesaler are due to lose alot of money. I know my products inside and out, I know my market inside and out, I know my program that controls it inside and out. I'm not worried about not selling and making money on ebay, just concerned with finding more good niches. But isn't that all commerce. As far as getting ripped off as a seller on ebay, it's never happened to me. I ship with delivery confirmation or tracking, and that's the only proof I've ever had to provide. So, not sure how people get ripped as sellers so often. As a buyer one seller attempted to rip me off but since they never shipped and couldn't provide tracking/delivery confirmation, automatic charge reversal. So, I'm not sure how people get ripped off. I've fought it from both ends and won.
|