how do sellers make profit and offer free postage

[ronaldinho9612]

Hi,

Im just wondering how sellers on eBay are providing items so cheap and offering free postage?

example..an iphone charger for $6 including free postage.

A normal postage cost for a parcel under 500g is about 6.60

How would you get cheap postage rates or even make a profit on items that are <$6? regardless of dropshipping

[davewil1964]

What padi said three months ago.

Are you sure your information is correct for the time the thread was started? From memory FVF on postage was introduced after this thread was started.

[bluesrule1]

I know this is an old thread but the question still arises as to how some people can run a business on ebay and make money?  I'm selling stamps but there are people selling the same stamps for $1 delivered - and not just 1 stamp but thousands at the same price - and they are not shipping Australian stamps from China.  Even with discounted postage, you still have to take into account the cost of the package - even if it is a standard envelope plus the time to package and process and then you add the ebay and paypal fees.  They must have some lurk that I'm not aware of cos I cannot see how it can be done.

[glenbankloel]

I think if you focus on this you will send yourself a bit mad. Postage is like that movie "Never Ending Story".

It is a constant discussion that just goes around and around with no real concrete answer.

There are probably many ways that the sellers are able to set their items up this way.

You must just do what works for you - provide good customer service, be honest with your listings, good clear photos and description, and the sales will come.

Yes will take time but anything worthwhile does.

It looks like you have reasonably steady sales, so just keep working on adding new items and be consistent.

Your regular customers will always come back to you as it is obvious they are very happy and pleased with their purchases. 

Also sellers come and go, so if you are a permanent fixture they will feel confident in trading with you.

Do you sell on any other sites? That could be another stream for you.

Wish you Good Luck 

[lavielemond]

I've no idea how/why I'm the first person to leave you "kudos" for your excellent response - mot people don't even know what a "loss leader" is!!

[k1ooo-slr-sales]

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@lavielemond wrote:
I've no idea how/why I'm the first person to leave you "kudos" for your excellent response - mot people don't even know what a "loss leader" is!!

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matt, hope you weren’t expecting a reply from crikey as they haven’t posted on these boards for 4-1/2 years, and are not likely to return.

The Post you gave a kudo to is 5 years old.  In fact, almost half the posts on this thread are 5 years old.

eBay has changed a lot in 5 years.  eBay have worked hard to get members to list with “free postage” and there has been a concerted effort by eBay to get more big name stores to have an eBay presence.  This big stores have the ability to offer free or low postage rates due to the volumes they buy/sell.  Not so much to do with loss leaders as such.  They also have contracts with AP and/or the major carriers.

[leader-of-the-band]

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@lavielemond wrote:
I've no idea how/why I'm the first person to leave you "kudos" for your excellent response - mot people don't even know what a "loss leader" is!!

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Did somebody say LEADER?

[lyndal1838]

Hello leader.....long time no see.

Crikey is no longer on the ebay boards so will not see the post let alone reply to it.

[roli-3365]

I have just done online research and found this: The cost to ship a parcel of 0.8KG from China to Australia is on average RMB60 (equivalent to A$10), so the cost is about the same as Australian's domestic parcel of 500 gram. Selling in Australia and shipping from China does not have a price advantage for small parcels, although,  it saves the labour and materials of packaging, labelling....

[roli-3365]

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@Anonymous wrote:

Simple

Price included in price or item in CHINA

Chinese Governement provide free postage for small bussineses

that would be great if we have such support here in Australia

Unfortunatelly Australia Postage charges are one of the highest in the World

the only way to offer free postage here, it is to include it in price as you get FEE charged anyway by ebay

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I have just done online research and found this: The cost to ship a parcel of 0.8KG from China to Australia is on average RMB60 (equivalent to A$10), so the cost is about the same as Australian's domestic parcel of 500 gram. Selling in Australia and shipping from China does not have a price advantage for small parcels, although,  it saves the labour and materials of packaging, labelling....

[*tippy*toes*]

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@roli-3365 wrote:

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@Anonymous wrote:

Simple

Price included in price or item in CHINA

Chinese Governement provide free postage for small bussineses

that would be great if we have such support here in Australia

Unfortunatelly Australia Postage charges are one of the highest in the World

the only way to offer free postage here, it is to include it in price as you get FEE charged anyway by ebay

---

I have just done online research and found this: The cost to ship a parcel of 0.8KG from China to Australia is on average RMB60 (equivalent to A$10), so the cost is about the same as Australian's domestic parcel of 500 gram. Selling in Australia and shipping from China does not have a price advantage for small parcels, although,  it saves the labour and materials of packaging, labelling....

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You dragged up a 5yo thread to add complete rubbish. If you'd done "online research" (oh gawd, where would be be without online research?), you'd have learned that the Chinese government subsidised postage for their sellers. So, chances are if they are selling an item for $1 with free postage, the postage for them is actually free. That is because they don't have to pay it. No other country in the world can compete with that, which is why the Chinese can flood the market.