topic Re: Postage and Profits in Selling

Postage and Profits

depotsupplys — Tue, 22 Apr 2014 07:37:23 GMT

Hi I havent sold on ebay for over 10 years, and have just started again

I am shocked by how much it costs to send a 500g satchel $8.25 in 2004 it was $4 something

I was wondering if sellers find that having to charge more for postage has affected their sales over the last years or do you find that people are willing to pay $8+ for a parcel item (which im finding is pretty much 99% of the stuff sold on ebay)

If a buyer bought a t-shirt for example at 10.00 and the postage is 8+ than there paying about 20 dollars and the incentive to buy online over a retail store has got to be comprimised?

Any tips on how to save on postage?

Look forward to your replies

depotsupplys

Re: Postage and Profits

phorum_junkie* — Tue, 22 Apr 2014 07:57:57 GMT

All sellers who use AP are paying the same rates so what makes a difference to one makes it to all. You can post a little cheaper by using the ebay branded satchels with click & send or by using the ebay service.These also give you better seller protection than a regular small parcel (also cheaper than a red satchel up to 500g) or red or express satchels.

Re: Postage and Profits

davewil1964 — Tue, 22 Apr 2014 08:35:19 GMT

Or squash the T-Shirt down to less than 2cm, which shouldn't be hard, and send as a letter.

Re: Postage and Profits

aussiefind — Tue, 22 Apr 2014 09:42:31 GMT

The pre-paid envelopes are great value...they take 500gm & suit large books (width restrictions though)....you can easily fold

cardboard piece (backing from sheet sets etc.) & post a t-shirt for around $2.35.

Re: Postage and Profits

haolove13 — Wed, 23 Apr 2014 08:59:38 GMT

The only problem with posting a large letter is lack of traceability.

You do not get tracking until you pay an extra three dollars so you run the risk of not being able to prove you posted it unless you take photos at the post office. You will also not be able to prove it was delivered safely.

With the number of scamming buyers nowadays it is not a matter of if you get a scammer but when you get one or more.

You will also need a supply of "do not safe drop" stickers.

Do not listen to the people who say it is not a problem as you will learn very quickly that Aus Post is not a perfect system any longer.

And when an item is "alledgedly lost" you will get very little protection from Paypal even if you can prove by their tricky rules that you have posted it.

There was a current affairs program on it late last year and items were being lifted before the delivery vans even left the site.

and delivery people were sometimes just leaving items sitting on top of unit letter boxes and people were deciding what they would knock off.

I have even had problems with rural areas.

One person claimed 5 times against me despite the fact I sent proof five times of registered post, tracking number, proof od delivery by signature and it was not until we obtained a copy of the drivers delivery sheet with a very clear distinctive signature and forwarded the information to the Financial industry ombudsman that we received a favourable verdict.

Yes some people have had no problems. BUT MANY are suffering regularly and lose, the money,the goods, time, and obtain bad feedback and restrictions on listing.

Re: Postage and Profits

davewil1964 — Wed, 23 Apr 2014 10:50:43 GMT

i am one of the some.

And I am happy to self-insure in the event that something doesn't arrive. I sell in a market where I really don't have the luxury of setting my own prices. Presumably because a lot of other sellers are happy to take the risk

Re: Postage and Profits

thecatspjs — Wed, 23 Apr 2014 12:18:19 GMT

@depotsupplys wrote:
Hi I havent sold on ebay for over 10 years, and have just started again

I am shocked by how much it costs to send a 500g satchel $8.25 in 2004 it was $4 something

I was wondering if sellers find that having to charge more for postage has affected their sales over the last years or do you find that people are willing to pay $8+ for a parcel item (which im finding is pretty much 99% of the stuff sold on ebay)

If a buyer bought a t-shirt for example at 10.00 and the postage is 8+ than there paying about 20 dollars and the incentive to buy online over a retail store has got to be comprimised?

Any tips on how to save on postage?

Look forward to your replies
depotsupplys

Yes I can imagine your shock if you have not sold on eBay for 10 years, how much selling and posting, including costs, have changed.

My key post tip is to always factor in that no matter how much eBay promotes otherwise, that there are many, many buyers that are happy to pay the stated post cost for goods to avoid going to a retail store.

I think this may be for a range of reasons, but includes that for many buyers their time is worth much more to them than to spend it on shopping off-line in B&M, and many are more than happy to pay a $8 post charge (or other delivery costs), as it is actually a very real saving in terms of their time.

Re: Postage and Profits

im.highest.bidder..now — Mon, 28 Apr 2014 14:06:30 GMT

Yeah tell me about it , i've just started selling again also .. I couldn't believe the price has doubled for fv fees satchels ..

just state in your listings that you don't profit from postage and the price it is what it is , it's out of yur hands mabye offer a discount for mulitple items buyers will understand and they know if they are being duped ...seen a listing the other day for postage $20 outageous and the item would of cost 15 in a pre paid satchel.. I sell clothing , i might send it in a envelope like someone mentioned on this thread ... thanks

Re: Postage and Profits

artinvestaustralia — Mon, 28 Apr 2014 22:09:28 GMT

Try the satchels of www.fastway.com.au

For NATIONAL USE, they sell (20 satchels mini) for between $6.11 (incl GST 190x x 260mm up to 1 kg) and $11.10 (incl GST 450 x 610mm and up to 5kg) and offer insurance up to $1500 + trackability and signature. You may be able to negotiate a better deal for larger quantities (used to be for 40 or more).

For LOCAL use, they sell (20 satchels mini) for $7.48 (incl GST, 325 x 440mm up to 3kg, they used to cost $4.79 in 2005!!!)

Hope the above can help some of you.

Cheers,

Pascale

Re: Postage and Profits

artinvestaustralia — Mon, 28 Apr 2014 22:22:33 GMT

.../...

I omitted , IMPORTANT:

for heavy items (up to 25kg in weight) their BROWN ZONE LABELS for LOCAL DELIV. are UNBEATABLE (as low as $4.50 with GST if purchase 100 labels!) and for country in state where you reside GREEN ARE BEST, also, up to 25 kg and $22.80 for anywhere in outback (!). All coming with signature and insurance, FASTWAY offer the best deals, the 'trick' cosists in purchasing in advance as many LABELS as possible to access the best rates.

Re: Postage and Profits

jpapas01 — Tue, 29 Apr 2014 00:37:52 GMT

... and now, starting soon, there is a new cost in posting coming into force, sellers have to decide what to do.

Ebay are charging commission on your postage fee (They will charge on the whole invoice now not just the sale of the goods). Another charge to the seller is facing now deciding what he will sell his item for.

Do you absorb that fee as well?! Each person to there on.

I receive majority (over 90%) of payments via paypal. Have calculated that the Ebay fees & Paypal fees for me to sell, cost around 12.7% of my sale price. This will now rise.

Some sellers might have higher costs in posting but they factor in the costs in packaging/travel cost at times. Its not just the AP fee to sell. (depends on what you sell if you need boxes for example) - Some have cheaper prices but higher postage or the other way around. I always look at the overall figure and if I am happy to pay it, I buy.

Re: Postage and Profits

clarry100 — Tue, 29 Apr 2014 00:56:45 GMT

We operate 2 ebay stores.

I keep very accurate records for tax purposes.

In this tax year so far the total of fees both ebay & Paypal combined are just under 16% of total sales.

Postage costs including packaging is just under 12%.

Re: Postage and Profits

artinvestaustralia — Tue, 29 Apr 2014 01:39:08 GMT

Take a sale like that of item # <removed>

can you please tell me what is in it for me (profit, etc... after reading my -yes, loooong- description)? What is the outcome, what are the implications of such a price achieved at the auction of this item?

Now many will ask me 'but why sell it in that format if you suffer a loss?' The problem is two fold:

-Auctions used to do well for me on eBay, it is now history ebay the profitable auction place and I have the stock to flog... I also listed at bargain buy it now prices, it did not work, I would have to leave it (at great cost to me) for months, as I am doing now with some of my items...

-Buyers now bid in the last seconds of an auction (3 to 10 seconds, compliments of eBay selling such 'bidding engines'!), so I cannot forecast, watchers are my only mean of 'forecasting' and in a business, if you cannot forecast, youur business is doomed, thank you eBay !

Re: Postage and Profits

artinvestaustralia — Tue, 29 Apr 2014 01:41:10 GMT

.../...

by the way, this framed (with glass) 1927 lithograph weighs 2.7kg when properly packed for shipping safely...

Re: Postage and Profits

artinvestaustralia — Tue, 29 Apr 2014 01:49:40 GMT

Since item number was removed by the mod, here is what it is I was selling two weeks ago: a framed 1927 lithograph by legendary Margaret Preston measuring 435 x 435 x 30 mm and weighing 2 kg (2.7 packed) the framing alone costs at retail $168, the value of the lithograph (fair market price) is a minimum of $150 (those sell -poorly- framed at live auctions for up to $750) and it cost me close to the $150, so if, has happened in real life, this item sells for... $18 (YES, EIGHTEEN DOLLARS) guess what? I await your comments (please read prior previous post with item number removed)...

Re: Postage and Profits

wehavethatau — Tue, 29 Apr 2014 02:11:37 GMT

I would not recommend using Fastway as you will encounter numerous problems if the buyer is not home at time of delivery.

Re: Postage and Profits

*crikey*mate* — Tue, 29 Apr 2014 02:24:31 GMT

I'm just curious why you would sell something on here for $18 when you know you can get $750 for it at a live auction.....

Re: Postage and Profits

artinvestaustralia — Tue, 29 Apr 2014 03:31:17 GMT

You cannot anymore, some reputable auction houses used to sell them for that exhorbitant amount, now we are having the recession we had to have, results at auctions, including on eBay, have turned around... It is 'quiet' everywhere except for premium products (in the tens and hundreds of thousands of $, as always premium market never budge...) ...

I refuse to pay 30 to 40% in sellers premium at live auctions, myself and have no faith at all in the auction process (as a buyer) too many 'ghost' bidders...
What I had intended to do years ago was to open a museum dedicated to our local -& famous, many around where I reside...- artists, when I checked the heritage listed building in which I was going to have the museum a quick search on the RTA website was telling me that a major road was to be built one metre away from the main entrance to the building (!)... Incredible how our heritage items in Oz are treated by the speculators and other governement bodies...

Re: Postage and Profits

artinvestaustralia — Tue, 29 Apr 2014 03:32:42 GMT

1300 hundred items later, not a single problem with Fastway...

Re: Postage and Profits

chezzy — Tue, 29 Apr 2014 03:48:47 GMT

But why would the item sell for $18....why start it so low if you want more for it? Why not start it at a price near to what you need. I think you need to be realistic, if you list it low you really do risk getting a low price for it.

For myself (as a collector) I consider 'retail price' or 'original price' irrelevant - I will pay what I can pay/afford/budget which is more often than not under original retail anyway. Something is only worth what a buyer will pay for it. Who sets these 'fair market prices' anyway.

If you want to avoid a painfully low result - or last minute snipers - or auction house fees why not just set up a listing at a fixed price and see what happens?