posted on March 14, 2001 11:29:47 AM
I just found a very interesting website that is dedicated to selling consignments on EBay. Basically, they charge you a minimum fee of $5 to list your item on ebay (price goes up depending on starting price, additional fees charged for features such as $5 more for BIN, etc). Then, they charge you 35% of the final selling price if the item sells. So if the consignor offers an item that starts at $9.99 and sells for $30, they will pay fees to the service of $15.50 plus whatever it cost them to ship the item to the service. They will have a profit of $14.50 less shipping. The service pays fees to eBay of $1.68 and has a profit of $13.82. If the item doesn't sell, the consignor is out $5 plus shipping, and the service is out $.35 plus their time.
For the money, they take digital picture of item, write description, list it, correspond with winning bidder, and mail item.
What do you guys think? Is this a useful service for the neophyte who doesn't want to start selling themselves? Is this a win-win for the consignor and the consignment service?
rca001
posted on March 14, 2001 11:46:08 AM
Rca001: Your profit calculations exclude one important cost - the cost to buy the product that you wish the service to sell for you.
You are still involved with e-mail (with the service) and you are still shipping (to the service instead of to the buyer). You still have bookkeeping.
Why bother? The only thing you are saving is the time it takes to write a description and take a picture and for that you are willing to give up the bulk of the profit (if indeed the item does sell for $30)?
posted on March 14, 2001 11:51:27 AM
It certainly could be for some circumstances, however I feel that a significant level of proven expertise should be present to justify that high a commission.
posted on March 14, 2001 12:01:25 PM
Stockticker-
From the examples given, it appears that this service takes primarily used items that would otherwise be thrown away/sold at a garage sale for pennies/donated.
Just to be clear, I am not advocating the service, and I have nothing to do with them.
I'm wondering if it would be a solution for people who are asked by friends to sell things on ebay for them.
The other situation where I could see using them would be for something like used clothing (after hearing ExecutiveGirl's stories, I would never sell these on EBay). If I could UPS a box of clothing and accessories, and not have to deal with the hassles, any profit would be a plus for me. Right now, we donate them and take a tax deduction.
rca001
posted on March 14, 2001 12:42:00 PM
I have sold for others before. Asking $5.00 for posting a person's item is not alot. (IMO)
I get 50% of the closing bid for most items. On high ticketed items I get from 30% to 35%.
Most people that ask me to sell for them, have had these antiques/items sitting in their home, "collecting dust." They are happy to get money for their items!
I do homework on the item, to see what the item is worth and see if the item is selling.
Listing clothing in "lots" can sell for good money.
I feel for ExecutiveGirl's Woes. Selling clothing on eBay can be a hard sell/hard to satisfy, category.
posted on March 16, 2001 07:08:24 PM
Why on earth are they entitled to an extra $5 for simply checking off the box for "buy it now" when it's a free feature? Sounds like a rip off to me.
