99c Buy It Now & Free Postage - how is that profitable to any seller, especially one in Asia? I'm puzzled...

[sethari]

s it through an abundance of sales, i.e. they have so many items coming into the country at the same time? Do they have deals with postage/delivery companies? Or are the items profit-sacrifices, that act as 'marketing lures', attracting buyers to their other stock?

I just don't get it. I could post a DVD to my neighbour (literally) and it will cost me $6.60, if sent in a protective bubble-wrap slip - NO REGISTERED POST, EITHER! The option below that is $1.20 for just a envelope and a greater risk of damage whilst in transit (but it is under the required 20mm thickness).

Does anyone have any economical tips for the posting of items (whilst not compromising service, obviously). Is a courier service or Australia Post cheaper? Is one cheaper than the other, depending on the item, or depending on the frequency of custom?

I'd love to hear some advice. Thanks  🙂

[straybooksoz · Accepted solution]

They could be loss-leaders, or the seller could be happy with a very small profit per sale. I believe eBay China's fees are very low, as is postage.

With the cheap postage for those countries, Australia Post gets to deliver the stuff for very little, which is why they charge us such high rates. Economies of scale come into it too.

You will never be able to compete on price. You need to provide a better service than them and hope that will win you customers.

A 99c DVD from anywhere, but especially Asia, has a very low (like no) chance of being legitimate.

You can buy DVD mailers from AP, which I believe will post as a letter and if you pad the DVD inside the case so it stays on the spindle, they should work for you.