I would personally take out the line in the description about not being able to compete on price with Chinese sellers - you want to market the advantages of buying from you without the first point being "you can get it cheaper elsewhere", if you know what I mean. So, highlight what those advantages are, eg local stock, fast shipping, quick delivery, maybe quality control if you cull the duds. 

With a small range in the beads category, I think it's going to be difficult to really make it worthwhile, in that only a limited number of people will find you, and they will probably buy only a couple of items at best.

I buy a lot of jewellery findings and to be honest, there's a limited number that I'm prepared to pay more for to get it faster etc. If you get to the point where you're considering having a store, aside from increasing your product range to cross promote your items, I would recommend having a really good range of more unique items - there are no tensha beads currently located in Australia on eBay (except in already made products), very few unique handmade lampwork beads (take a look at the current bid price of Magma Beads ~Vintage Lace~ Handmade Lampwork Beads), and just a couple of the more unusual Czech fire polish beads. There are also some absolutely beautiful semi-precious beads out there that will cost a little more to invest in, but at the same time, that's why there's fewer of them located in Australia.