Shipping

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Posted 27th May
Seeing items on eBay with free shipping even tho the shipping would cover the profit gained - how are they profiting from selling things free shipping without charging ??
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nothing is free, shipping be included in the price.
Can you show examples
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There selling that for £24.99
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£18 from Yankee bundles it weighs around 1.2kg so postage for instance by yodel is £4.20 how are then even making money haha
AMaky27/05/2020 11:05

nothing is free, shipping be included in the price.


Shown
liamcupra27/05/2020 11:15

£18 from Yankee bundles it weighs around 1.2kg so postage for instance by …£18 from Yankee bundles it weighs around 1.2kg so postage for instance by yodel is £4.20 how are then even making money haha


you think they are not making profit by selling these at 38p a bar? You overestimate the cost of produce. Even if they sold barsat 5p a piece they would be making a profit. You do not know how much bulk food produce costs.

You should look into how much the supermarkets pay for your eggs and milk from the farmers.
MadeDixonsCry27/05/2020 11:25

you think they are not making profit by selling these at 38p a bar? You …you think they are not making profit by selling these at 38p a bar? You overestimate the cost of produce. Even if they sold barsat 5p a piece they would be making a profit. You do not know how much bulk food produce costs.You should look into how much the supermarkets pay for your eggs and milk from the farmers.


Thanks for the advice I’m looking at resellers on eBay that’s selling the items they make around £2 a box on each item - would you say that is good?
liamcupra27/05/2020 11:15

£18 from Yankee bundles it weighs around 1.2kg so postage for instance by …£18 from Yankee bundles it weighs around 1.2kg so postage for instance by yodel is £4.20 how are then even making money haha


48 40g items are 1.92kg on their own.

The Yankee bundles price includes shipping so if they buy from cadbury or the distributor at a similar price to Yankee bundles and get similar rates from the shipping company then they're making £7 above whatever yankee bundles are.
EndlessWaves27/05/2020 11:32

48 40g items are 1.92kg on their own.The Yankee bundles price includes …48 40g items are 1.92kg on their own.The Yankee bundles price includes shipping so if they buy from cadbury or the distributor at a similar price to Yankee bundles and get similar rates from the shipping company then they're making £7 above whatever yankee bundles are.


Yes and eBay sellers are only making like £2.39. Profit and then you have to take the PayPal fees off just wondering why they do it? Is it all about volumes?
liamcupra27/05/2020 11:15

£18 from Yankee bundles it weighs around 1.2kg so postage for instance by …£18 from Yankee bundles it weighs around 1.2kg so postage for instance by yodel is £4.20 how are then even making money haha


They probably buy the product for half the price they sell it for
BalooCrimson27/05/2020 11:38

They probably buy the product for half the price they sell it for


I’m talking about eBay resellers who buy off Yankee bundles
liamcupra27/05/2020 11:18

Shown


You do realise that most supermarkets take 40-70% of the price item is sold for? Manufacturers will take another cut, depending on their target gross margin. The cost of an actual item is very small %.
AMaky27/05/2020 11:42

You do realise that most supermarkets take 40-70% of the price item is …You do realise that most supermarkets take 40-70% of the price item is sold for? Manufacturers will take another cut, depending on their target gross margin. The cost of an actual item is very small %.


So for eBay the sellers to resell them from
Yankee bundles is a waste of time?
MadeDixonsCry27/05/2020 11:25

you think they are not making profit by selling these at 38p a bar? You …you think they are not making profit by selling these at 38p a bar? You overestimate the cost of produce. Even if they sold barsat 5p a piece they would be making a profit. You do not know how much bulk food produce costs.You should look into how much the supermarkets pay for your eggs and milk from the farmers.


Supermarkets work on extremely high volume with tiny margins averaging less than 2%.
AMaky27/05/2020 11:42

You do realise that most supermarkets take 40-70% of the price item is …You do realise that most supermarkets take 40-70% of the price item is sold for? Manufacturers will take another cut, depending on their target gross margin. The cost of an actual item is very small %.


You know nothing of how supermarkets operate, margins are tiny.
Azwipe27/05/2020 11:43

Supermarkets work on extremely high volume with tiny margins averaging …Supermarkets work on extremely high volume with tiny margins averaging less than 2%.


I’m on about the eBay sellers selling on from Yankee bundles making £2.39 profit margins and then from that £2.39 after PayPal takes it cut I was just wondering why they bother to do it?
liamcupra27/05/2020 11:43

So for eBay the sellers to resell them fromYankee bundles is a waste of …So for eBay the sellers to resell them fromYankee bundles is a waste of time?


not necessarily.
i sell on ebay, i could make bigger margin if i waited. if i want quick turnaround qnd keep my cash flow going, then i set myself an acceptable margin and sell it faster.
AMaky27/05/2020 11:45

not necessarily.i sell on ebay, i could make bigger margin if i waited. …not necessarily.i sell on ebay, i could make bigger margin if i waited. if i want quick turnaround qnd keep my cash flow going, then i set myself an acceptable margin and sell it faster.


What on average profit wise should you be aiming for, so say if I bought a a fragrance at £37 and it’s £61 not on sale what profit margin would you want from that? Sorry for all the questions I’m just educating myself
Azwipe27/05/2020 11:44

You know nothing of how supermarkets operate, margins are tiny.


sure I don't, I know exactly how much we had to add to our p&l costs and allow for retailers.
you need to take into consideration varies other expenses they need, then bottom line is 5-15%, but that is down to their processes and staff and store costs, not to how much they buy manufacturers for.
liamcupra27/05/2020 11:45

I’m on about the eBay sellers selling on from Yankee bundles making £2.39 p …I’m on about the eBay sellers selling on from Yankee bundles making £2.39 profit margins and then from that £2.39 after PayPal takes it cut I was just wondering why they bother to do it?


I understand what you are talking about but i was correcting a few people on the supermarket model of high volume - low margin.
Yankee candles are extremely expensive, therefore the margin is likely high. Also large outfits do not pay retail for shipping, they negotiate a price per parcel with the couriers. Same with Paypal/Ebay, fees are lower for high volume sellers.
Edited by: "Azwipe" 27th May
liamcupra27/05/2020 11:48

What on average profit wise should you be aiming for, so say if I bought a …What on average profit wise should you be aiming for, so say if I bought a a fragrance at £37 and it’s £61 not on sale what profit margin would you want from that? Sorry for all the questions I’m just educating myself


that is up to you.
work out all your costs involved from packaging to your time, petrol to post office etc then add it all up.
include the risk, losing or being scammed out of 20£ item vs 300£ item. can you afford the loss?
liamcupra27/05/2020 11:43

So for eBay the sellers to resell them fromYankee bundles is a waste of …So for eBay the sellers to resell them fromYankee bundles is a waste of time?


So you expect to buy something from yankee bundles at £50 (for example) then sell it on ebay for £60? Why would one buy it from ebay when they could just buy it from yankee bundles?
MadeDixonsCry27/05/2020 11:51

So you expect to buy something from yankee bundles at £50 (for example) …So you expect to buy something from yankee bundles at £50 (for example) then sell it on ebay for £60? Why would one buy it from ebay when they could just buy it from yankee bundles?


because not everyone does their research or automatically think ebay is cheaper.
MadeDixonsCry27/05/2020 11:51

So you expect to buy something from yankee bundles at £50 (for example) …So you expect to buy something from yankee bundles at £50 (for example) then sell it on ebay for £60? Why would one buy it from ebay when they could just buy it from yankee bundles?


Exactly but people do, do that.. and that’s what I’m trying to research
AMaky27/05/2020 11:52

because not everyone does their research or automatically think ebay is …because not everyone does their research or automatically think ebay is cheaper.


Agree they don’t!
AMaky27/05/2020 11:52

because not everyone does their research or automatically think ebay is …because not everyone does their research or automatically think ebay is cheaper.


Good luck with that bro. Think of me when you make your millions.
Azwipe27/05/2020 11:50

I understand what you are talking about but i was correcting a few people …I understand what you are talking about but i was correcting a few people on the supermarket model of high volume - low margin.Yankee candles are extremely expensive, therefore the margin is likely high. Also large outfits do not pay retail for shipping, they negotiate a price per parcel with the couriers. Same with Paypal/Ebay, fees are lower for high volume sellers.


of course.
I sell on ebay as a hobby, it's not my income, i just like it.
MadeDixonsCry27/05/2020 11:53

Good luck with that bro. Think of me when you make your millions.


as i said above, i sell on ebay as a hobby, mainly around xmas, but you would be surprised what people buy and how much for.
MadeDixonsCry27/05/2020 11:51

So you expect to buy something from yankee bundles at £50 (for example) …So you expect to buy something from yankee bundles at £50 (for example) then sell it on ebay for £60? Why would one buy it from ebay when they could just buy it from yankee bundles?


People often view eBay as a 'bargain' site. Also, its like Amazon in that people 'just go there'. So lots of people will just go to eBay and Amazon and assume the prices are good especially if they find the same thing a tad higher in price on the same site. Your assumption is around the fact people know (and importantly!) trust a competitor like Yankee Bundles.
AMaky27/05/2020 11:52

because not everyone does their research or automatically think ebay is …because not everyone does their research or automatically think ebay is cheaper.


The proof of this is a few individuals have made a fortune on ebay doing nothing more than running scripts that link to Amazon. Ebay listings take data from Amazon and add on a percentage, the ebay buyer purchases the item and the order is fulfilled by Amazon. They've been doing this for more than 5 years. Every single item could have been purchased cheaper if the buyer had just looked on Amazon.
Edited by: "Azwipe" 27th May
It’s probably a drop shipper.
I have been to the Cadbury's employee store in Bournville. They mostly sell short dated items at silly prices with generous quantity limits, like "only 24" at a time per product. I remember the 800g bar for £2 when I was last there in January with the 200g bar for 60p. For slightly longer dated items, the latter would be £1.
So I’ve bought a product for 26.99 plus I’ve added £3 postage which makes it 29.99 and I’m selling it for £35.99 so I’m £6 in profit would that be a good profit margin?
bozo00727/05/2020 12:52

I have been to the Cadbury's employee store in Bournville. They mostly …I have been to the Cadbury's employee store in Bournville. They mostly sell short dated items at silly prices with generous quantity limits, like "only 24" at a time per product. I remember the 800g bar for £2 when I was last there in January with the 200g bar for 60p. For slightly longer dated items, the latter would be £1.


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