Selling for 4.95 with free postage, but postage alone is $7.20!!!!

[aussie.grazing.boards]

Can someone please answer this, because I must be missing something.

I've been a seller since 2006, but have only just returned after travelling Asia for 5 years. Anyway, I've been selling off my Antique 1980's Table Top games (Pacman, Space Invaders)  to cash up and buy GoPro accessories in bulk from China, to start selling again.

For these vintage electronic games I've been using 500gm & 3kg Red Aus Post satchels  $8.20/ $13.00 ish and am totally out of touch with todays postage price on fiddly stuff (until now)

Anyway, while I was at the post office the other day I thought I would get a quote on postage of an orange float (about the size of a Zippo lighter, but a bit thicker) which sticks to the back of a GoPro. I'm thinking it would be about a $1.80 - $2.20 and I almost hit the floor when he told me $7.20 I politely asked for a senior staffer who confirmed, anything thicker that 15 pages or so of folded A4 paper is classed as a parcel, and their start rate is $7.20  (yes, I've even gone to their website price calculator and triple checked)

How the hell could my opposition sell this for $4.95? Including postage

$1.50 Listing fee/final value

$7.20 Postage

$0.50 Padded envelope

$1.00 Wholesale price of product

$10.20  Actual cost

That's a total loss of $5.25

How can sellers sell stuff under $8.00 including shipping, yet still make a profit?  If you can shed light on this I would love to hear from you

Regards

David

[cherry*135]

What country is that seller in?

If China, they get heavily subsidised postage from their Govt to encourage exports (?).. it takes quite awhile for a parcel to get to Aust from there a lot of the time though.

[es1989]

Place two stamps on the paaded envelope. It will go through fine, post in a street red post box. Once every blue moon you might get an underpaid notice, but once a year would be about it. When underpaid notices are issued the recipient still gets their item, you pay the difference plus an admin fee. Only way to be competitive!

[cherry*135]

get a quote on postage of an orange float (about the size of a Zippo lighter, but a bit thicker) & padded mailer bag

Doubt that would get through at letter rate. If it doesn't seller will be paying $7.20 -$8.40 plus admin fee $1.50 for under paid postage (minus the value of stamps on the bag sent).

Small letters go through a sorting maching too don't they? Supposed to be flexible.

[aussie.grazing.boards]

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@es1989 wrote:
Place two stamps on the paaded envelope. It will go through fine, post in a street red post box. Once every blue moon you might get an underpaid notice, but once a year would be about it. When underpaid notices are issued the recipient still gets their item, you pay the difference plus an admin fee. Only way to be competitive!

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Thanks, I will give that a go, but I would prefer to do it legit if I could, got no choice really.

[aussie.grazing.boards]

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Small letters go through a sorting maching too don't they? Supposed to be flexible.

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I was told it could be no thicker than 20mm

cheers

[horizon1907]

Also, I would be on the look out for Free Listings. Every cent counts. Often mentioned on the boards here, so keep checking in.

[aussie.grazing.boards]

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@am*3 wrote:

What country is that seller in?

If China, they get heavily subsidised postage from their Govt to encourage exports (?).. it takes quite awhile for a parcel to get to Aust from there a lot of the time though.

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Nah, these sellers I'm referring to are AU sellers

[justajunk]

Exactly how thick is the item? I'm only wondering because if it's 19-20mm thick, it's possible that those sellers are posting the item in a plain envelope. Without padding, you save about 3mm, and at 20mm thick, it would qualify as a letter. Whether what they send arrives broken without the padding is another question altogether though...

[cherry*135]

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@aussie.grazing.boards wrote:

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@am*3 wrote:

What country is that seller in?

If China, they get heavily subsidised postage from their Govt to encourage exports (?).. it takes quite awhile for a parcel to get to Aust from there a lot of the time though.

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Nah, these sellers I'm referring to are AU sellers

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Some sellers located in China, put Sydney or some other city in Aus as their location.