posted on July 18, 2001 07:00:35 AM
For those that think $1 NR - DON'T WORK!
I came into a particular line of dishes pretty reasonable. I was going to save them for my xmas sales.
But after not listing for nearly 2 weeks the withdrawals were to much.
I had been doing some extensive searches on this line of dishes and quit frankly the results were disappointing.
Since I have enough to run about 3 different times I decided to list 1 run of them, of course with my usual $1 NR.
They have been on for about 2½ days and the results are TRIPLE what other auctions are going for of the SAME thing.
EXAMPLE:
I have a set of 4 plates at a $1.00 NR start, already they are at $31.00(9 bids) with 7½ days to go.
Another seller(2600+ feedback) has the very same 4 plates starting bid $24.99 with 5 days to go...NO BIDS.
Thats just ONE example.
The rests of my dishes of the same pattern are doing equally well while other sellers dishes of the same are lanquishing at NO BIDS or maybe 1 bid.
You nay=sayers can argue all you want that $1.00 NR doesn't work.
BUT......I'm here to tell you that it does!
I've been doing it STEADY without deviation for exactly 1 year now, and the results have been profound!
I keep my e-bay fees very low by doing it this way, and sell through is 99.9%. So I don't have any relist to worry about.
I use the eBay Gallery and have my own personal Gallery(thanks to preacher4u). Now with eBays search default to include the Gallery pics I think sales are even better.
If your tired of the way your sales are going, give it a try.
A year ago I was so fed up with paying fees with no sales or if I was lucky 1 bid and barely covering costs, thats when I decided it was time for a change or QUIT.
posted on July 18, 2001 07:06:13 AM
Actually, I was always doing $1.00 no reserve (well reserved on ONE thing), and had good results. Had very few things stay at $1.00.
My latest round I was setting $4 and $5 opening bids and had my first auction close without a bid
posted on July 18, 2001 07:13:33 AM
Yes, sometimes that will happen, and sometimes not. As far as the $24.99 auction, until both auctions are completed, those stats don't really amount to much.
I've had auctions sit all week with no bids [at $24.99] & then go bonkers in the final day.
I'm not saying $1 NR don't work, [I've ran numerous $1 NR auctions] but in todays fickle market it's certainly not always the best way to go for higher priced antiques & collectibles.
High sell through rates are wonderful, but high ending prices are more what I'm looking for.
And for every example that you have for how wonderful $1 NR auction items have finished, I most likley have one showing the same results without opening at $1 NR.
I advertise in all my auctions that ALL AUCTIONS START AT $1.00 NR. It gets them to look at what else I have to offer.
I get alot of multiple buyers that way.
I've worked very hard at establishing the $1 NR reputation, even though there are things I certainly would like to start out at more or maybe put a reserve on, I DON'T. It always works out much better then I figure it will.
Its SCARY at times, but the rush and thrill is back compared to a year ago.
posted on July 18, 2001 07:18:26 AM
Well, most of what I pickup is from yard sales and I don't usually go over $2 on a single item. I've been listing some new computer games that I've had laying around -- so on those I didn't care as much.
On these other items, on the one hand, if I make back more than I paid (plus listing fees, etc), then I'm good. However I know I'd be kicking myself to find my item that went for $20 was really worth $50.
posted on July 18, 2001 07:30:24 AM
ebay makes more money from final value fee than listing fee.
think what ebay would do if more and more items start at 1 no reserve and end at 6.49??
what is the sense of hosting a site with fancy tools and high paid technical staff?
will you lease prime commerical real estate and decorate and pay your workers well to allow street hawkers come and sell 1.00 item??
posted on July 18, 2001 07:30:43 AM
Here's a classic example of what I was just saying.
I recently listed a rare [yes, I said rare] item that I expected to fetch approx. $125-$150.
I used a reserve, and the auction ended at $40+. I chalked it up to the "right" buyers not being on eBay on that week. Two bidders contacted me after the auction & didn't like the reserve amount.
I waited 2 weeks, opened the item at over $100, with a BIN of close to $150.
In less than 8 hours it was sold via the BIN to a very happy buyer.
I don't purchase all of my items at yard sales, I know my merchandise well, I know what they should fetch on eBay, and I refuse to let $100+ items sell for under $50. Which does indeed happen with $1 NR auctions. I suppose if you don't know what the fair market value of an item is, and only paid a quarter for it, then $50 seems like a pretty good sale.
The higher the value, and the more $ I have invested, the less inclined I am to run the item at $1 NR.
FYI - I looked at your auctions a few months back, and I saw items that sold for $1, items that had no bids,and items that were fetching the same amount as auctions with higher opening amounts. I also noticed that most of your items [at least in that 30 day stretch] were under $50 items.
Once again, it really depends what kind of merchandise you sell.
Thats right, some do only sell for $1, I'm not saying that every auction "ROCKS". But enough "ROCKS" to well make up for that item that went for a buck.
Less then 1% of my auctions close without a bid.
I look at my over all outlay.
If I go to auction and spend $200 and I can end up making $700 off the whole mess I'VE DONE GOOD!
Don't matter if I make $1 or $50 per item I've DONE GOOD!!
packer
p.s. FYI, I've sold many, many items well over $50. Thanks for the info.
posted on July 18, 2001 09:14:51 AM
Who ever said it doesn't work?
I've said it doesn't work unless you have a good item. Don't try it with a $3 hunk of junk and it should work fine.
One of my best auctions ever was an item I thought was worth about $800, according to what most sold for. I started it at .01 cent, no reserve. It closed at over $1400 and had about 29 bids.
It works because a potential bidder can't bear to let the next guy get it for dirt cheap. Then after it gets several bids, everyone wants it even more because it's so desirable.
posted on July 18, 2001 09:23:26 AM
That was my theory as well. Even if the first guy had no interest in the item, he gets the ball rolling. The next guy decides he'd rather have it for a little more, then a little more, then a little more... WHAMMO!
posted on July 18, 2001 09:25:35 AM
My observences:
FLD /week was horrible. Poor sell-thru (40%), Poor closing bids (most at opening), Poor hits (50% lower than normal)
BIN = Good, no...GREAT. I used up 200 "relists" on the stuff that didn't sell from FLD on two separate occasions after the FLD stuff didn't sell.
I placed the opening bids at the low end of the curve of closed auctions (e.g. if sold for $1, $2, $3, $4, $6, $10, I would open at $1.50). And placed a BIN in the middle-high of the curve (e.g. $6.50).
On the second batch of 100 items, 80% of them closed, 60% of them with BIN!!!! (I didn't use BIN on the first batch but had pretty equal starting bids (+/- 25 cents)
On the third batch of 100 items, 20% of them have already been BIN'd and they've only been listed 12 hours so far... I'm expecting 60% BIN rate on these too.
I LOVE BIN... I have played with moving the price up and down and they still BIN.
(BTW--I'm selling old videogame cartridges, with opening bids averaging $1.25, BIN's averaging $2.50, shipping = $2 each, scaled at near-cost to as low as $7 for 15 or more together. The average sell price without BIN has been $2.25)
Dunno if these metrics would work on other items, especially those with higher shipping, less likelyhood of being bought/shipped together, etc.. (Especially since my BIN is 2x my opening for the most part)
But food for thought.. BIN = GOOD for me.
Overall I'm sure I'm loosing money by putting to low of a BIN on some titles that would get bid much higher, but then again, might end up with tons of non-sales on those without BIN for the impusle buyers or if made too high and they just decide to bid anyway.
Anyone else see a pickup in sales AFTER free listing week, or a significant increase if BIN is used correctly?
posted on July 18, 2001 09:37:18 AM
Also, I have some on-line friends (husband and wife) who are ebay sellers in another state. They sometimes sell the same type of items that I'm interested in.
They had a very good item and wanted my advice what to do with it. I talked them into doing the $1 no reserve thing (don't worry, all will be just fine in the end!). It brought $2350 in bids, if I remember right, which was way higher than I ever thought it would go. They made me very jealous! Beat my personal high $$ auction by a wide margin.
[ edited by loosecannon on Jul 18, 2001 09:49 AM ]
posted on July 18, 2001 09:41:07 AM
I haven't had good luck with $1.00 auctions.
I had 2 items that didn't sell, so I relisted with BIN, and they have already sold. I'm starting to think that BIN is the way to go for ordinary things. More unusuals things may do better with traditional bids.
posted on July 18, 2001 09:44:08 AM
I always stick a BIN on there, even for $1 NR auctions. There is a CHANCE that the first person to see the auction will want to just get it without playing any games...
posted on July 18, 2001 09:56:38 AM
My experience is that low prices bring out the lowest bids. I really don't expect a lot of bidding on most items, so I just start higher now and get my profit on the first bid or a Buy It Now.
posted on July 18, 2001 10:25:07 AM
Amen packer and loosecannon...
I am a devotee of the dollar start,and I have no qualms or adrenaline anymore after seeing it work.
For the items that DON'T get what I think they might,someone got a good deal.I wonder how many remember where they got it from and bookmark my page?
I too,look at the big picture.The ones I lose on,I learn from.The ones I win on,I usually win big!
This week? I picked up half a garage full of stuff.Listed many diverse items,some that I had no clue to their value,all at a buck.I'll make it up overall,not by individually pricing and starting items with different amounts.
The bidders seem to know though.A screen door push with advertising has cracked 300 with a few days to go.I would have guessed half that!The bidding has been
competetive,much like a live auction.
The other items all have over 5 bids,
And,were listed for 5 days.
Sellers gripe about lack of bidders,but I think it has to do with a lack of diverse and unique items during the summer months.
Could you scoot over a bit?I'd like to jump on this bandwagon.
posted on July 18, 2001 10:35:23 AM
Thank you Bob,
For verifying my feelings.
I've been selling 3+ years on eBay, the first year was a BLAST, the second year was a bummer(they started advertising).
The third year the BLAST is back.
I diversified.
You said it as well as anybody could.
You need to look at the big picture. I realize that this would not work for all eBay sellers.
You know like the retailors, and those selling new.
eBay was founded on US sellers that sold OLD & USED Vintage.
I have found a way to survive, and still LOVE what I'm doing.
FYI - I've been selling on eBay for going on 4 years, and have never had a slow down in bids on my items. I also run this as a business, 'cause that's what it is. Correct me if I'm wrong, but I believe you have a full time job, and do eBay for extra income.
For myself this isn't extra pin money, and I can't afford to gamble with my inventory.
I have NO problem listing GARAGE/YARD sale items for $1 NR, but when there's more serious coin involved, I'm not going to bet the farm that the bidders for every last item wil be there on my items week after week.
IMO to do so on eBay is foolish.
Bidders come, and bidders go.
Anyone can take a heavily sought after collectible, start it at $1 NR, and do well.
There's no science behind that, and that's what Loosecannon is talking about. I doubt he'll tell you that he lists ALL of his items at $1 NR, because I know for a fact he does not. I've checked his listings out in the past as well.
I think it takes a seasoned seller to know when NOT to gamble on a $1 NR when you know there may very well only be 1 buyer out there looking for that particular piece, and willing to pay top $ to get it.
It really all comes down to knowing your merchandise. I sell in one area where I see sellers listing their items for next to nothing, and often times that's what they get in the end. I can take the same item [and I do] and list it for $99.00, and I may only get that one bid, but I've ended up with 2-3 the final price that they've received. And on a good week, that item that opened at $99.00, will end at $200+.
Yet the sellers that started pretty much the same identical piece at $5, will end up with $25-$50.
I used to pump some items through a major auction house down east that held specialty auctions. The auctioneer would NEVER take a $500 piece and start it $10 & let it fly.
Why?
Because he KNEW that when the right buyers were buying, he'd get $400-500 for that piece, and he didn't want to ruin the market by dumping quality items for next to nothing.
Each sale held sets a precedent for the next sale.
In the long run he was simply protecting his & my business, and in the end everything always sold, even if some items got held back until the next sale when the right buyers showed up.
I'm not going to attempt to convert you from the way you run your auctions, I'm simply trying to explain that for SOME items starting low & praying for bids is not a wise business decision.
I'm glad you're doing well with your sales, and I wish you all the best.
posted on July 18, 2001 12:10:56 PM
Sorry, I forgot to add something to that last post.
I too love to give buyers great deals, because I believe that's one of the main drawing cards to eBay. I have numerous repeat customers, many who watch my listings each & every week. My items ALWAYS start WAY below the "fair market value".
Some of these repeat buyers have B&M antique stores, and turn around & double or triple the amount they spent on my item, when they place them in their shop. These are specialty items, and the dealers have a good location for tourists who are looking for these items, so in the end we both win.
I like giving customers good deals, but I never like to give things away.
You've checked my auctions out? Have we done business before? Well, get to bidding!
No, of course I don't start all of my auctions out at $1 no reserve. You're correct, that would not be wise. But, the vast majority of my auctions are started at 9.99 or less. And, to tell the truth, most are 9.99 or less simply to keep listing fees as low as possible. I'll take the gamble that they will end at a fair price. The $1 auctions are a rush with the right piece though. I love to get 20--30--35 bids on one item. Doesn't happen all the time, for sure.
One recent exception is an item that I estimated might be worth as much as $300, or more. I started it at 49.99 to cover my initial investment and ebay costs. If it only brought the opening bid (fat chance) then I wouldn't lose a nickel.
posted on July 18, 2001 12:27:36 PM
It works better when you expect multiple bids. I sell many items that obtain one bid consistantly, whether it's a $1 start or $5 start.
I had an item with a $2 start. The end prices varied from $6.00 to $16.00. It doesn't take a genius to figure a BIN at $11.00 achieves the same results but faster turnover. That's what I started doing.
posted on July 18, 2001 12:40:57 PM
My example of where it does not work is videos. If you start at a low figure,$1 or whatever and there is very many listings at all for the title you are running, you are lucky if you even get a bid at the low figure.Of course if this is a new video and you paid more than that...you lose money every time you run your videos for ANY figure below what you have to have to make a profit.I basically sell new items, and in alot of the catagories I sell in, you would have to be a moron to start them at a dollar...For me $1 NR-IT DON'T WORK.And also I see alot of the sellers that did try this...don't sell for those prices anymore,they quit listing.The Touch By An Angel Videos listings have went way down,I guess they got tired of giving them away.
