Weaken Aussie $$ - how do you cope

[gizmoclearance]

the categories where most of my items are are very competitive, the prices are $7-25, the margin is thin but profits come from volumes. 

now with Aussie $ worth about 90% of what it was 2 months ago. my margin is almost gone. 

if the $$ won't recover in a short time, I have to move to other categories.

how do you guys cope with it?

[davewil1964]

The weaker $A means that imports are more expensive.

Unless you're selling OS, your margins should have increased.

[happyinoz]

I've had a few more international sales lately.  Could be the lower Aussie dollar is making it more attractive for international shoppers to buy our goods. 

[i-once-was-bump]

With a weak Aussie dollar (around 72 cents)  I used to sell a lot overseas however I made the items with Aussie produced materials.

I have gone out of the item now (quite a few years ago) but would imagine the same would happen again with the dollar dropping

[i-once-was-bump]

Ooops, I hadn't finished.

However with so many problems on ebay at the moment you might struggle even if the dollar doesn't move.

If your items are source from within Australia you should have an increase in overseas sales but theory doesn't always transfer properly to the real world.

[davewil1964]

Sorry, I didn't explain myself very well. In fact I don't even understand what I wrote.

I meant 'Unless you're selling in OS currencies'.

But, dropshipping from OS would also have the same effect.

I buy in Australia in $A and sell in $A, so the drop just makes OS sourced competitors more expensive (or they lose their margins), and my items either more attractive or able to be sold for a little bit more.

So the drop is a plus for me, Alex. As it is for any business competing against cheap foreign imports.