Compared to the majority of people on the board, I would assume that I am still a "newbie" but I've made some observations that I wonder if anyone else has noticed also.
I have attended an number of auctions in my area and have noticed that there is a big difference in economies between the local auctions and the world of ebay. For example : I have seen time and time again people biding say $30.00 on item "xyz" at a local auction and when I find that same exact item on ebay, it may only pull $5.00-$10.00. If this is the case, how are ebay sellers pulling a profit ??? I believe in order to compete in a certain economy, the playing fields between buying price and selling price have to be on fairly equal terms. This does not seem to be the case when you campare ebay auctions to "real world" auctions. Any thoughts???
posted on May 11, 2001 11:42:29 AM new
I have noticed the same thing as you. I believe it depends on where you live. I am in a rural area and "estate" auctions are few and far between in our area. Mostly farm equipment. If you do happen upon a good estate sale and find items not readily available in our area, the prices are high. I have purchased for my "private" collection, but would not be able to make a profit on an auction site, if I attempted to sell them.
I learned early on, you have to spend quite a bit of time searching eBay (live & closed) auctions to get an idea of what you might hope to bring on an item. Yes, there are always exceptions but for the most part you can get a pretty good idea. Then, when I go to an auction I know whether or not I should bid or pass on an item if I am looking to auction it. I still will purchase an item regardless of price if I want it, but since finding eBay, I find I can add to my collection cheaper than locally.
I have dealt with an eBay seller who auctions at prices that are so far below what I would have to pay locally it amazes me. We have talked on the phone and she told me that they have been "dealers" so long (25+ years) they have cultivated a strong circle of lawyers and estate liquidators in a 4 state radius that call them when an estate needs to be liquidated fast. They just go in make an offer and walk away with everything. It means a large cash layout up front, but they have never lost money.
My hat is off to all eBay sellers who have suceeded in this venue!
I am a "hobby seller" and a "power buyer"! When I retired from my B&M, I intended to become a wheeler/dealer on the web! Hasn't happened yet, and until I learn a whole lot more, it won't!
[ edited by sulyn1950 on May 11, 2001 11:46 AM ]
posted on May 11, 2001 12:08:05 PM new
I've noticed the same thing. I've been doing this for about three years and until last summer all of the local auctions were mostly dealers and a few antiquers. Then eBay really hit the news! Prices sky rocketed over night.
I started relying on yard and garage sales.
Last month I dropped in on a favorite auction and lo and behold prices had gotten back to normal. One of the regulars told me that all of the eBay newbies had departed when they finally realized they couldn't buy high and sell higher. Now when the auctioneer says something sells for a price on-line we all just snicker and tell him to start the bidding at $2!
This is not to disparage newbies. We were all there once, too. So hopefully things will get back to normal in your area, too, when the get rich quick on eBay crowd figures out it takes work and smarts. Do your homework on eBay prices. Pick one area and get really knowledgeable. Stick to a reasonable profit projection and only pay retail for personal stuff.
Welcome to eBay.
[ edited by jensmome on May 11, 2001 12:12 PM ]
When I retired from my B&M, I intended to become a wheeler/dealer on the web! Hasn't happened yet, and until I learn a whole lot more, it won't!