topic Re: Tracking on low-value items in Selling

Tracking on low-value items

veruca_boi — Thu, 17 Oct 2019 09:13:36 GMT

Hey all,

Just wanting advice from other sellers on here. I mainly sell cd's on here, and I start my auctions at $1 because, let's face it, a lot of cd's aren't worth much more than that these days. If they go higher, then yay! A lot of times, they don't even sell for $1 though. Anyhow, my concern is that, if I send a cd overseas, and the buyer refuses to pay for tracking, I am not protected if it goes missing, and have to refund the item value and postage cost.

Let's give an example to make it a bit clearer. If I send the item without tracking, it can go as a large letter, so let's say I sell a $1 cd to USA. The postage cost is $8.30 for this. If I want to send it with tracking, it has to go as a parcel, which is $24. I have yet to find a buyer willing to pay $24 for postage on a $1 cd (and before you say to increase the starting price of the cd, read the paragraph above - it won't sell).

On top of this, there are the ebay and Paypal fees, which would be around $2.75 for untracked or $4.95 for tracked, which is more than the value of the item ... so I guess my questions are these:

If you were in my shoes, how would you protect yourself in case of an item going missing? Since eBay ONLY accepts a tracking number to be able to award in the sellers favour, would you pay the extra $16 out of your own pocket to provide tracking when the item sold for $1?
How would you cover the cost of the fees in situations where the value of the item is less than the fees?
(this is to prove a point) If you bought a CD from overseas for $1, would you spend 3 times the postage cost just to have tracking?

Leigh

Re: Tracking on low-value items

davewil1964 — Thu, 17 Oct 2019 09:34:13 GMT

If they're only selling for $1, then I wouldn't even bother offering them internationally.

I certainly wouldn't pay the postage out of my own pocket.

If your charges are as you claim, which would only be if there are listing fees, why are you selling at all?

I certainly wouldn't sell at a loss when all costs are taken into account. I'd just chuck them in the bin or give them to the Salvos. Cheaper.

Re: Tracking on low-value items

veruca_boi — Thu, 17 Oct 2019 09:40:49 GMT

Most of my regular buyers are from overseas, which is why I still offer it. To be honest, I rarely have issues with items going missing or anything, but it's happened a couple of times recently (though I suspect 1 or two lied about not receiving it, but I couldn't prove most of them. I did catch one lying though and pointed it out to him).

I stupidly bought a bulk lot of items a few years ago and have been slowly getting rid of them on here. I don't wanna sell them as a bulk lot, cos the postage would be ridiculously high, and if I just offer local pickup, it reduces the chance of selling them.

Re: Tracking on low-value items

davewil1964 — Thu, 17 Oct 2019 11:51:41 GMT

There is an option in between pickup and world-wide. It's called Australia only.

As eBay charges fees on postage, selling overseas costs you a heavy chunk.

If you have regular OS buyers, it might pay to get them to tell you what, of your stock, they want and negotiate a BIN price as a lot.

I sell books. While some of them might be hard to source outside of Australia (the Australian ones), the bulk are available in any OS buyer's country at far less than I can post for. Unless your stuff is rare, which is unlikely given your reported sale prices, then you are being suckered.

And I reiterate, there is no point selling stuff where your costs are greater than your returns. Ever.

Re: Tracking on low-value items

chameleon54 — Thu, 17 Oct 2019 12:12:25 GMT

There is another option.

You can self insure by adding an extras dollar or two to your international posts costs on every item sold. If one in twenty go missing, you will have an extra $20 in the kitty to cover the loss. Much cheaper than tracking and less stressful if you just refund whenever you get a claim. If your other buyers have already paid the " self insurance " its not really your problem.

Re: Tracking on low-value items

veruca_boi — Thu, 17 Oct 2019 12:16:54 GMT

I do a similar thing currently, but it's more to do with fees. I add the cost of fees to the postage cost. Whenever someone asks why my postage costs are higher, I'm honest about it. I even asked eBay some time ago if I'm allowed to do this, and was told I can, but I just can't advertise it in my listings, which I feel is misleading, but thems the rules, I guess. Very few people have an issue with this, and I do get repeat buyers, so I guess most buyers do seem to understand this. Since eBay said I can do this via chat, I do have it in writing as well.

Re: Tracking on low-value items

countessalmirena — Thu, 17 Oct 2019 13:32:33 GMT

@veruca_boi,

I truly don't think it's anyone's business why a seller sets a particular price for the items price or for the postage charge. I cannot imagine getting onto the phone with DJ and asking why the postage price is $xx. I certainly wouldn't expect the DJ customer service representative to tell me, or to break down the components of the cost.

If I were a seller on eBay, and a potential buyer asked me "Why are you charging $x for this item?" or "Why is your postage cost $x?" or even "Why are you charging $x for postage when [other seller username] is only charging $x?", I'd have a polite reply ready to go.

"Thank you for your enquiry. Our prices are set based upon a number of factors. You are more than welcome to purchase multiples or a variety of our items and take advantage of our combined postage discounts. Best regards, [name]."

If a potential buyer persisted, it might be indicative of that person's being a high maintenance buyer, and hence best placed on one's Blocked Buyer List.

Re: Tracking on low-value items

veruca_boi — Thu, 17 Oct 2019 13:41:13 GMT

@countessalmirena wrote:
@veruca_boi,

I truly don't think it's anyone's business why a seller sets a particular price for the items price or for the postage charge. I cannot imagine getting onto the phone with DJ and asking why the postage price is $xx. I certainly wouldn't expect the DJ customer service representative to tell me, or to break down the components of the cost.

If I were a seller on eBay, and a potential buyer asked me "Why are you charging $x for this item?" or "Why is your postage cost $x?" or even "Why are you charging $x for postage when [other seller username] is only charging $x?", I'd have a polite reply ready to go.

"Thank you for your enquiry. Our prices are set based upon a number of factors. You are more than welcome to purchase multiples or a variety of our items and take advantage of our combined postage discounts. Best regards, [name]."

If a potential buyer persisted, it might be indicative of that person's being a high maintenance buyer, and hence best placed on one's Blocked Buyer List.

That's a really good point. Thanks for that suggestion!

Re: Tracking on low-value items

digital*ghost — Thu, 17 Oct 2019 22:48:05 GMT

If you send a lot overseas and really do want tracking, look into DHL ecommerce (GM packet).

It's an economy service, so delivery timeframe is about 2-4 weeks, and it costs you $11 for each pick-up if you can't drop off, but you should be able to send a fully tracked package containing a CD to the US for about $10, depending on the contract rates you're given, which is less than half what it would cost through Aus Post.

Re: Tracking on low-value items

veruca_boi — Thu, 17 Oct 2019 23:39:12 GMT

Oh wow. Thanks for that, I'll look into it!

Re: Tracking on low-value items

purplemon18 — Fri, 18 Oct 2019 01:45:05 GMT

I use DHL ecommerce too. Works great. They have a proof of pickup service as well as a proof of delivery service. Proof of pickup is enough for paypal protection, but not ebay protection.

I mostly use the proof of pickup service for Japan, New Zealand, Europe and North America so that I could lower the price on international shipping. Then I built losses into my CODB (cost of doing busienss) model. I think that because the DHL labels look official, it keeps people pretty honest though. I only offer tracked proof of delivery service for the rest of the world. I don't think I have had a lost international package all year and I ship 10-20 per week.

Everything you are doing looks pretty good to me, except I would offer a buyer paid express option for domestic too. You might want to also put in a disclaimer about it being the buyer's responsibility to know and pay their countries customs and duties taxes. As for mentioning in your listings the reason your postage is so high, you can note it as a postage and handling charge and leave it at that.

Re: Tracking on low-value items

veruca_boi — Fri, 18 Oct 2019 01:55:56 GMT

I just looked up DHL eCommerce, and it seems this is only available to business customers, not the general public. Is this correct?

As for your suggestion about "postage and handling", that sounds like a good idea. The only issue that still remains with that is the "handling" charge will change depending on the final value of the item, so that's where the problem of buyers paying BEFORE I send an invoice becomes an issue... I guess most people wait though, so that's something.

There are times though, where the additional cost is quite high due to the fees. For example, say I sold 2 cd's for $25 each, and sent overseas without tracking for $13.50, the fees would be $10.25 extra, but I guess I can try to explain it under "handling".

Thanks for your tips guys! I really appreciate it

Re: Tracking on low-value items

digital*ghost — Fri, 18 Oct 2019 02:21:54 GMT

@veruca_boi wrote:
I just looked up DHL eCommerce, and it seems this is only available to business customers, not the general public. Is this correct?

In the sense that a member of the general public isn't able to log onto DHL and process / pay for a shipping label without applying for an account and getting their contract rates - rates are tailored to an account (based on volume), plus you sign a contract for all the T&Cs, so it does make it more suited to those who are shipping overseas on an ongoing basis, which usually means businesses (not necessarily registered businesses with ABNs and all that, but those sending packages containing merchandise, at least).

Invoices are issued weekly, then you get a final invoice at the end of the month for any other outstanding parcels, plus all the pick-up fees for that month, so they don't offer a pay-as-you-go option, (due to the charges being a flat fee per article, plus a per kg rate that is charged by the gram, meaning a 50 gram package will cost a little less than a 51 gram package).

It might be best to send them a quick email enquiry and just ask them for advice / info - I do remember I had to provide them with my ABN, but there were a lot of things their contract had fields for I couldn't provide, so they're relatively flexible. At least, the account manager I contacted was, and I only send 30-40 packages a week so definitely not a high-value contract for them where they'd be more inclined to make concessions.

Re: Tracking on low-value items

veruca_boi — Fri, 18 Oct 2019 02:23:03 GMT

Ohhhh ok. Thanks for that. I'll definitely check it out!

Re: Tracking on low-value items

dwilkins73 — Tue, 25 Feb 2020 00:09:26 GMT

Hi. If you are still looking for cheaper international freight then you could try Sendle - https://try.sendle.com/international-courier?&utm_source=sparro-adwords&utm_medium=cpc-int&utm_campaign=b-int-sendle&gclid=CjwKCAiAhc7yBRAdEiwAplGxX_ND2ZshRcxqWxvU7Wv7WR9tfH6AshXnPgyt8p14yWPmoUjJxt5kdRoCDEcQAvD_BwE. We have been using for a couple of months now and service seems reliable and cost-effective. You might only pay $13.45 for a CD to the US.

Re: Tracking on low-value items

veruca_boi — Tue, 25 Feb 2020 00:28:47 GMT

Thanks dwilkins73, I'll check it out!