A Key eBay Strategy for Any eBay Seller
There are many sellers who are working full time at selling on eBay but lack any eBay strategy whatsoever. In fact, it is their primary source of income and yet they have no idea how much they are making on each and every auction. I mean, they really have no idea how much they are clearing for any of their sales from eBay auctions to their eBay store!
It’s easy to get carried away. You start having some success selling and you get caught up in the excitement and the work. The long nights, after you get home from work, answering emails, watching with excitement as your auctions end and the bids go up. The adrenalin kicks in and before you know it, you have a steady supply of product and are flying by the seat of your pants. Cash in. Cash out. You never get a handle on your profits, if there are any! And why, because no one taught you how to do it! This is your own eBay business here and the money does not grow on trees, you know?
Knowing your bottom line isn’t just an eBay Strategy, it is the whole point of being in business, right?
I think John Wooden once said, “Never confuse activity with actual achievement”. And just because you are flying by the seat of your pants does not mean that you are actually getting anywhere. You have to an eBay strategy mapped out from the beginning, a solid plan of action. Your financial success and your businesses future depends on execution of solid strategies.
So how do you know really know how much you are making on eBay? You need to take a long hard look at their fees. I took all of the fees and built some formulas into a spreadsheet that allowed me to plugin what I paid for an item, what the winning bid was and all of my expenses associated with that auction. You need to consider if it was relisted several times too. You know, you get one free relist if your auction does not sell but you pay for anything more than that. If you are not a math and Excel whiz, I suggest you get someone to help you. The eBay fee structure is not the simplest thing. Or, email me through this website and I can help you out.
Remember, you don’t buy something for $5 dollars, sell it on eBay for $10 and make $5 profit. You have to take out your fees for listing the item, your final value fees and any fees associated with shipping the item. Then you have a better look at your profit. Not to mention the cost of any auctions you did not sell and relisted and did not sell. You eat that so that cost has to come from somewhere. Not so easy anymore is it?
A must have eBay Strategy is having as detailed process to determine your profits at the end of each week.!
If you really want to understand where are you end up each week, you need to start with a clear sight of where you are going. What are your earning goals for eBay? Do you have a number for the year? Month? Week? If you do, you need to begin doing some back of the napkin math to see if the items you are selling can get you to your objectives.
What is your eBay strategy for selling? One staple product? A lot of different products? You need to get an understanding of what you are going to be selling. Then you need to determine your profit potential for each item across all of your buyers, minus ALL costs associated with your sales. Then you need to determine how much you need to sell each week to reach your objectives. Did you come up with a scenario that you can live with? Can you do this with less time invested than you originally thought or do you need to reconsider what products you are selling?
There is a lot to consider when you begin putting it all down on paper. Did you consider needing some help to reach your objectives? Will you have to hire someone? Knowing your eBay strategy in advance is going to help you make decisions all along the way.
Now, I am not trying to rattle you here. I am just trying to give you a clear understanding of what to expect if you want to pursue the opportunity to sell on eBay as a full time or part time gig. I suggest finding a dozen niche items that you can sell dozens of each month. You need to be in the $40 plus range to make decent profits. These items exist. You just need to research and find them. You need to decide what your time is worth and if you even want to begin tackling this project. So sit back, think about your eBay strategy and contact me if you have any questions as you get this thing under way!
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