What makes an eBay PowerSeller tick... and is it really for you?
Ever wonder if you could become an eBay PowerSeller - listing things for sale that people from all over the country or all over the world can buy? I did...
So let me tell you a little story, and along the way, I'll help you understand a bit more about selling on eBay, becoming a regular seller on eBay, and becoming a PowerSeller on eBay. A lot of folks make it sound so easy... just click, click, click and you're there! I'm here to give you the real scoop, the real deal, the details of how I got started, how I grew, and how I plan to keep growing.
Can you do it? That depends... on YOU!
Table of Contents
- Starting Out.
- Considerations for full-time eBay sales
- eBay books on Amazon
- Where Can I Find Stuff To Sell?
- So what am I listing now?
- So What Can I Do To Sell More Stuff?
- My Stuff Isn't Selling! Now What!!
- Exit Strategies
- Great Stuff on CafePress
- Reader Feedback
- Check Out A Few Of My Other eBay-Related Lenses!
Starting Out.
(or How I Learned To Profit From My eBay Addiction)
I started on eBay much like everyone else, just looking. Then I found it! A cute little long-haired reminder of my youth! A Wish Nik! And it was only 50 cents!! Soon there were boxes arriving weekly... sometimes several times a week! I was hooked!! Hot Wheels cars... Wish Niks... Pepsi items... just all kinds of 'stuff' that I really really NEEDED!
But selling... well... that took a bit longer. It wasn't until my buying got a bit more expensive than it should have that I started looking at selling. After all, buying is FUN... selling was WORK! Or so I thought...
Don't kid yourself - eBay is addicting! All those -things- you can buy!! It's a pack rat... er... collector's dream site! But sometimes it's not about the buying...
Early on (1997), my wife and I agreed that I would not spend any of the family income on eBay. If I wanted to buy things, I would have to first sell things I didn't need/want to earn the money. My wife felt this would be a good way to clear a lot of clutter from the house... after all, I'd have to sell 3... 4... maybe even 10 things to get enough free cash to pay for even one of the new 'toys' I was looking at.
That was her first mistake.
I had been buying and selling on the local BBS networks for a while, buying new parts for the family PCs and selling off the older parts. When I moved to eBay, the market was so large that I found I needed more stuff to sell... and that's when I found out about consignment selling.
Selling stuff for other people means never having to spend your own money on stuff to sell! Now, this was back in 1999, mind you. eBay was just catching on, and while it had some name recognition, it still wasn't the behemoth we all know and love today. Categories were fewer, listings were fewer, options were fewer, and while there were people doing consignment selling, there was no Trading Assistant moniker. We were doing it on our own.
Now, many years later, I actually make pretty decent money working full time as an eBay Trading Assistant, selling excess inventory for local businesses. Enough that I can finally rent storage space and start cleaning the rest of my 'stuff' out of the house! My wife is so pleased... at last! The journey's not complete - not by a long shot - but the worst of it is over.
They say a journey begins with a single step. In my case, my online business began with a single client - but not the clients I have today. Becoming a Power Seller was never really to goal - it was a welcome recognition of achievement, but I had bigger plans. :)
Considerations for full-time eBay sales
(or Can I Really Do This Every Day?)
When considering whether to make eBay sales your full time profession, there are a few thing you need to consider... carefully consider. And I'm not talking about the easy stuff, like what to spend your money on (the IRS, your local and state governments, and your spouse and children will take care of that for you!)... I'm talking about things like how far you plan to take this 'eBay selling' thing... can you afford it (and I'm not talkin' just money)... the "little things" that keep you up at night and distracted during the day. :)
So read on... there's some tough questions you'll be needing to answer...
So read on... there's some tough questions you'll be needing to answer...
- What are my goals for my eBay Sales? Do I really want to make a full time job of this, or am I really just looking to supplement my partner's income, set aside funds for that long-awaited family vacation, or just earning some 'casino money'?
(My goal initially was just extra spending money. But goals can change over time - now my goal is to keep my bills paid and food on the table!) - How much time do I really have available? Your ability to commit time and effort will determine the degree of success in meeting your goals. If you only have an hour or so a day, perhaps full time income is not the correct goal for you.
(When I first started, eBay was strictly a hobby - maybe an hour a night and only a few nights a week. Today, as a full time seller, I can spend several hours a day online, and twice that working offline.) - How much room do I have to commit to this project? While not directly influencing your decision to sell or not, available space will have an impact on what you decide to sell, and that decision will have an impact on your expected profits. Be honest, be fair, and plan for growth, if growth is what you want.
(I started out fitting easily into our dining room... which soon overflowed into the livingroom... and from there into the garage... and then into a series of rental spaces. Currently I occupy an upstairs bedroom, the garage (2 car) and 1000sq ft of rental space... and still growing!) - Do you have the startup capital necessary? Don't bet the rent on being able to generate instant wealth on eBay. Be realistic about what you can bring to the startup table - perhaps a part-time-to-start strategy would be more feasible?
(My business is fully self-funded and self-funding. But it also took years to get to the point where I could make the leap to full-time. Don't over estimate your earnings potential -- there's nothing wrong with part time sales... extra cash is still cash!!) - Can your relationship handle the strain? Don't kid yourself - starting ANY small business is a strain on a relationship - marriage, dating, or otherwise. Trying to split your time, attention, and commitment between work, kids, spouse, and a new business is cutting it very thin.... perhaps too thin. If your significant other is dead set against this new endeavor, perhaps starting as just a casual seller is a better plan, until you can show a proven record of success. You will need all the support you can muster, so don't just in head first before checking out the lifelines!
My wife has the patience of a saint! This is a rare trait, and I've worked hard not to let her down. Having the support of your significant other can make all the difference in the world, especially at the very beginning. You'll need that support when things get rough, and they willget rough!
eBay books on Amazon
The Basics of Selling on eBay: Student Guide (Version 3.0-0306)
Amazon Price: (as of 10/13/2008)
eBay Secrets: How to create Internet auction listings that make 30% more money while selling every item you list
Amazon Price: $7.77 (as of 10/13/2008)
eBay Business All-in-One Desk Reference For Dummies (For Dummies (Business & Personal Finance))
Amazon Price: $19.79 (as of 10/13/2008)
The Ebay little black book of secrets
Amazon Price: $2.39 (as of 10/13/2008)
Tips and Tricks to Start your Ebay Business (With $200 Bonus!)
Amazon Price: (as of 10/13/2008)
Where Can I Find Stuff To Sell?
(or: How To Look At Things A Little Bit Differently)
Inventory (that stuff you sell on eBay) can be found in many places...
- Around The House. #1 suggestion for new sellers is to sell what you have laying around the house (and no, ladies, that does NOT include your spouse!). Reason being - it's paid for, you know all about it, and it's likely not being used (or it wouldn't be laying around). Great stuff to 'learn' about selling!
- Yard Sales/Garage Sales. Great source for inexpensive items. Some sellers will tell you to get their early and get the 'best stuff', others say wait and make an offer on everything that's left. You're the one with the cash and desire -- YOU decide which sounds best to you!
- Current Employer. This is not for everyone, but if you work for a small company (where you know the owner, his wife, kids, and dog), you might be able to help them out with clearing out excess inventory on eBay. Do your research first and keep the boss appraised, but this can work well as a source.
- Storage Unit Auctions. Know what happens to your 'stuff' in that self-lock storage unit if you don't pay your rent long enough? They auction it off to the highest bidder! And while I wouldn't recommend bidding on your own abandoned stuff, Storage Unit auctions can be an interesting way to get a lot of 'stuff' cheap.
- Buy bulk lots on eBay and resell individually. If you know what you are doing, this can work. If you are just guessing, you can lose your shirt. Watch your total incoming cost (purchase price, shipping, etc) and make sure you can reasonably resell. This doesn't always work, but it's always interesting! :)
- Use the eBay Discussion boards to learn more!
eBay has many discussion boards, each focused on a particular topic. If you're interested in selling widgets, you could read more about it on the widget category board, or try the Building An eBay Business board (my favorite!), or just join some of the general discussion boards. There's even one for Part Time Sellers! I highly recommend reading first and jumping in after you get a feel for the board. Most are very friendly and inviting, but some can feel a bit like a private social club. Read, learn, then choose which boards are for you. :)
So what am I listing now?
(or: shamelessly plugging my eBay listings!)
Check out a few of my current listings and see if you can tell how I make eBay work for me... then come on back and check this next section for some of the more easily implemented sales-building tips. And don't worry - there are enough buyers out there for everyone!! :)
Fetching new data from eBay now... please stand by
So What Can I Do To Sell More Stuff?
(or: A Few Secrets That Aren't Really Secrets, Just Under-Used!)
There's really no big 'secret' to selling on eBay - it's the same as selling anywhere. You need to have what someone wants, at a price they are willing to pay, at the time they realize they want it and can pay for it! Simple, right? Not so fast....
eBay's a big place - and there are a lot of other sellers out there. So let's look at a few basic guidelines for getting the most from our listings....
eBay's a big place - and there are a lot of other sellers out there. So let's look at a few basic guidelines for getting the most from our listings....
- Keep It Clean! No, I'm not talking about 'cuss words', altho that's a good point. What I'm talking about is getting rid of all the distractions that draw the buyer's attention away from what you are selling! Things like flashy graphics, super large text in bright, glaring colors, music that starts blaring the moment the listing page is loaded... anything that distracts the buyer. You want them focused on your product, not on whether or not anyone else in the office knows they're surfing eBay!
- Images. The best images are ones you take yourself of the exact item being sold. They should be clear and in-focus, with minimal distractions in the background, and of 'reasonable' size. I personally take the biggest images my camera will capture and then crop and resize them as needed. Did you notice the neutral background on my images? Nothing else to see back there... just my product.
- Promote YourSelf! Did you notice the several places where I'm promoting my other listings? Mostly I do this thru my eBay Store, with the "Store Header" option eBay offers, but also thru the use of image and text links back to my Store home page. Let those shoppers know that you have other items available! You don't want to be 'in their face' about it... but a couple of well placed references to your Store or other listings won't hurt.
- Which brings up: Do I need a Store? "Conventional Wisdom" says a Store is best when you have 100 or more items to keep listed in it at all times. And selection does indeed make for the best Stores. But that shouldn't mean waiting for the product to pile up... if you know you can reach that level in 1-2 weeks, then I'd say go for it!
- Simplify Your Terms, And Keep It Positive! You don't want buyers to have to wade thru pages and pages of terms... because they won't. So keep it simply, easy to read, and upbeat.
""Know what you sell, sell what you know"
-Bob."
My Stuff Isn't Selling! Now What!!
(or: We All Have Those Days, And How To Survive Them!)
You found a great bunch of stuff. You bought it for a ridiculously low price. You've dusted it off and took some amazing images. You created the world's best listing template. You researched and found exactly the right posting time.
And it's still not selling!!
It's something we all have to face. There are going to be times when sales are slow (or non-existent!), and you need to be ready to face, and deal, with them.
Here's a quick list of a few things I try (note I say TRY) to do:
And it's still not selling!!
It's something we all have to face. There are going to be times when sales are slow (or non-existent!), and you need to be ready to face, and deal, with them.
Here's a quick list of a few things I try (note I say TRY) to do:
- Don't get too upset too fast! First and foremost, these downturns are quite probably just temporary. It's not a guarantee, but with time comes experience and with experience comes the ability to look back and realize that there were other slow times as well. "This too shall pass" is the phrase that pays - so first and foremost, just don't panic.
- How old is your research? I had a great product that I got very comfortable to selling for a decent profit on a regular basis. Until a new seller entered the market and undercut my prices. When sales of that item started slowing, it only took about 15 minutes of research to find out why... and to determine how to deal with it. So check/recheck your research - how current are your numbers. Over three months... might want to rerun them. Over six months... probably a good idea to update. Over a year... you are way past time to get back in touch!
- Is your item seasonal? Maybe, maybe not. I do a decent business in sandals even in the 'winter' months... cuz it's never winter in Hawaii, and most of the southern states do pretty well all year round as well. Bus I do have slow periods for various products. Time is the only way to tell when those are on eBay, but use a little common sense as well. Snowmobiles will have limited sales in July. :)
- Be On The Lookout For New Competition. This could be a new seller who's undercutting your prices, or it could be that there's a new model widget out and yours in last year's model. While this is really part of research in general, it bears repeating as a separate focus for your research. And don't sweat a new seller who's "making a killing" with 99 cent listings. Unless his selling price covers his costs, he probably can't afford to sell too cheap for too long. :)
- Has Your Niche Played Out? Again, another focus for your research. Over time, buyers just become disinterested in some products and quit buying them altogether. Think "hot fashion designers" and how often they go in and out of style -- when they are hot, you can't get enough of their product. When they are not, you can't give it away.
- Maybe It's Time To Start Advertising! As your niche matures on eBay, perhaps it's time to start advertising your products to generate a bit of traffic. This is a double-edged sword, since bringing buyers to eBay means bringing them to your competition as well.
- eBay Affiliate Program - Secondary Cash Stream? If you are going to be bringing shoppers to eBay, why not make the most of it? Sign up for eBay's Affiliate program and be sure to make use of it when creating your advertising or off-eBay websites. Sure, your advertising may not generate a sale for you... but if your affiliate link data is in place, maybe you can generate some cash from the sale anyway!
- Are You Sure You're Posting Enough, And In The Proper Mix? A recent slump of mine was found to be caused by a rather simple change in my business activities. In an effort to ensure my family life did not suffer, I stopped working weekends, which meant fewer postings over the weekends, which meant a lower level of listings overall. Once I noted this, I was able to arrange for scheduled listings to be posted thru the weekends (I love my automation!!), restoring my overall listing levels... and my sales returned to more acceptable levels. If it's not listed, they can't buy it... or know that you are selling!
- Watch Your Listing Type Mix! As mentioned above, my listings got out of whack for a while... meaning I had a lot of stock in my Store, but not enough core (auction and fixed price) listings running. "Not Enough" in that I wasn't generating the exposure and bringing the same number of shoppers into my Store, where the bulk of my merchandise can list for long periods of time for very low fees. Restoring my core listing count restored that exposure... and restored my sales.
Exit Strategies
(or: What Do I Do Now!?!)
Some of you may have noticed that I haven't posted any new listings on eBay since 09/01/2008 - and you'd be right!
Am I just taking some time off to enjoy the fruits of my labors? Not exactly.
Have I bailed out on eBay and plan to start my own site and make gazillions? Not hardly.
Am I off visiting a tropical nation, basking in the glow of the afternoon sun, with lovely ladies to tend to my every need? Not likely!
So what's up? In short - the jig. As in "the jig is up".
Over the Labor Day weekend, my primary (and only) client determined to discontinue selling on eBay. They requested, under the terms of our contract, that I return their inventory to them. And with the exception of those items sold, awaiting payment, or waiting to ship, I did.
How can this happen? Quite easily, actually. No contract is 100% binding and permanent. All contracts will have exit clauses for both parties, and in this case, my client used their exit clause, as in their right.
What does this mean? Well... for a more established seller, likely nothing. By having multiple clients, you generate multiple sources of inventory. I, however, while well established, was still growing my business and had not invested the time needed in expanding beyond this single client. So when they pulled their inventory, my business was effectively closed.
I would have preferred to have merged my operation into my client's company, becoming a sales department within their larger sales structure. And this may indeed happen at some point. But not right now. Not yet.
I would have also preferred to have renegotiated my contract with this client, to seek better terms that would allow both of us to continue the business relationship while meeting our financial goals. And this too may yet happen.
But for now, I am 'compressing' my business from 1200 sq ft of rented storage down to 200 sq ft and perhaps even less (none = no rent). I am selling off unused and unneeded equipment and liquidating stockpiles of inventory from long ago... inventory I had planned to sell 'someday'. Well... some day is here. :)
And I'm looking back at what went right and what went wrong - trying to find the lessons that I may have missed along the way. I'm still in communications with my client, and may still yet pull a different rabbit out of this same worn hat... but I'm also looking at alternate career opportunities, including returning to my IT career.
Losing one's business hurts. But it need not be fatal. I don't intend to let this setback deter me from doing what I really enjoy - spending time with my family (my wife, my kids, my grandkids). I have a wedding (Oct 19th) to host (my youngest daughter) and a life to enjoy. My business has been one chapter in a ever-expanding book of many many chapters.
And it won't be the last. :)
Am I just taking some time off to enjoy the fruits of my labors? Not exactly.
Have I bailed out on eBay and plan to start my own site and make gazillions? Not hardly.
Am I off visiting a tropical nation, basking in the glow of the afternoon sun, with lovely ladies to tend to my every need? Not likely!
So what's up? In short - the jig. As in "the jig is up".
Over the Labor Day weekend, my primary (and only) client determined to discontinue selling on eBay. They requested, under the terms of our contract, that I return their inventory to them. And with the exception of those items sold, awaiting payment, or waiting to ship, I did.
How can this happen? Quite easily, actually. No contract is 100% binding and permanent. All contracts will have exit clauses for both parties, and in this case, my client used their exit clause, as in their right.
What does this mean? Well... for a more established seller, likely nothing. By having multiple clients, you generate multiple sources of inventory. I, however, while well established, was still growing my business and had not invested the time needed in expanding beyond this single client. So when they pulled their inventory, my business was effectively closed.
I would have preferred to have merged my operation into my client's company, becoming a sales department within their larger sales structure. And this may indeed happen at some point. But not right now. Not yet.
I would have also preferred to have renegotiated my contract with this client, to seek better terms that would allow both of us to continue the business relationship while meeting our financial goals. And this too may yet happen.
But for now, I am 'compressing' my business from 1200 sq ft of rented storage down to 200 sq ft and perhaps even less (none = no rent). I am selling off unused and unneeded equipment and liquidating stockpiles of inventory from long ago... inventory I had planned to sell 'someday'. Well... some day is here. :)
And I'm looking back at what went right and what went wrong - trying to find the lessons that I may have missed along the way. I'm still in communications with my client, and may still yet pull a different rabbit out of this same worn hat... but I'm also looking at alternate career opportunities, including returning to my IT career.
Losing one's business hurts. But it need not be fatal. I don't intend to let this setback deter me from doing what I really enjoy - spending time with my family (my wife, my kids, my grandkids). I have a wedding (Oct 19th) to host (my youngest daughter) and a life to enjoy. My business has been one chapter in a ever-expanding book of many many chapters.
And it won't be the last. :)
Great Stuff on CafePress
(or: Sometimes Working In A Plain White T-Shirt Just Won't Cut It!)
Sometimes you just want to say it Loud And Proud.... and there's nothing like a custom designed T-shirt or hat to let people know what you're up to these days. :) Don't be afraid to let your addiction show!!
Reader Feedback
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Junyuan
I must say that eBay is one of the fastest proven source for anyone to start generating a good income online. You have a very good lens that contains really good tips on how one can use eBay to generate good money online. I've given you 5-stars for your lens. I have a lens on how to sell digital products on eBay using eBay classified ads. Perhaps you may want to drop by and let me have your comments. :) You may also want to add your lens to my Internet Marketing Directory to get more traffic to your lens... :) Posted September 24, 2008 |
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EvieJewelry
Thanks for the great info - saw you on the EB boards Posted April 09, 2008 |
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Aika
I love looking some stuff and eBay..and I really like this lens..so helpful..especially the dummies books.. Posted April 08, 2008 |
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Silver_Lotus
Lots of good information - 5 stars! Posted March 28, 2008 |
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Silver_Lotus
Lots of good information - 5 stars! Posted March 28, 2008 |
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