« June 2006 | Main | August 2006 »
July 29, 2006
eBay Selling: eBay Store Fee Increases, Part 5
eBay Seller Reaction
Whenever eBay increases fees or makes significant changes of any kind, there is an outrage from eBay users and this time is no exception. There are screams of pain and vows to boycott and never use eBay again. Here is one seller's post on the eBay store forum:
Post title: "What eBay University Doesn't Tell You: Store Owner/Mom Forced onto Welfare
The effect of eBay's fee hike:"Post content: "eBay Store Owner/widowed mother of 2 who must work from home in order to care for a disabled child will be put out of business and forced onto the welfare rolls as a result of eBay's fee hike."
My heart truly goes out to this woman. She is clearly in a bad spot and desperately worried. But the bottom line is that eBay owes only its stockholders. It is not eBay's responsiblity that this woman might be on welfare. A substantial part of my income comes from Google AdSense and Google has recently made dramatic changes to its AdWords program. Any change to AdWords will inevitably change AdSense revenues. Just as with the eBay changes, Google forums have been inflamed with Google bashing.
But the bottom line is that every job and every business has problems. Years ago I came to the realization that when these problems and changes arose I had two choices:
Choice A: wallow in rage and self-pity, loudly proclaiming about how unfair it all was
Choice B: accept that this is the way it is and get on with finding a solution.
The fact is that it's eBay's site, eBay's game, eBay's rules. If I want to continue to profit from either eBay or Google, then I have to accept their rules. If I don't want to play that game, I can leave. That is the choice that all business people face, like it or not. Yes, I know this is an unpopular observation, but it's still the truth. It's tempting to blame Big Bad eBay or Big Bad Google, and that's especially the case when we see a situation like the sad lady above. But years of choices brought her to her current situation - not eBay.
Am I Defending eBay?
No, not at all. I'm simply being as objective as possible. In fact, I think eBay has made some poor decisions and some choices that I don't understand at all.
First, at eBay Live in June, eBay promised no fee increases in 2006. Yet, one month later they announce what amounts to a 6% increase in store fees. Bad joss, eBay.
Meg Whitman, eBay's CEO, said the store inventory format has "diluted the magic of eBay," and that, "We are trying to get back to the essence of eBay." Oh, please, Meg! If she would say that eBay has made a financial error in heavily promoting stores and it's not economically viable to continue down that path, I could respect that.
This is similar to a recent eBay ruling that they wouldn't allow eBay sellers to use the new "Google Checkout" payment system. Google Checkout is a payment system similar to PayPal, which is owned by eBay, of course. Google Checkout has been dangling economic incentives to lure e-commerce sellers to its payment system. eBay expressed concerns for "safety" as the basis for its refusal. This is hogwash! eBay is protecting its turf and has a perfect right to do so. I am not going to sell my competitors products on my web properties and neither would you. I can respect that reasoning, so just admit it. Don't assume we're stupid and gullible.
In addition, the entire purpose of eBay Express (EE) seems to be compromised. EE is supposed to be a shopping system that will allow buyers to purchase from multiple eBay Express merchants yet pay for everything — including shipping—in a single, secure payment using PayPal or a credit card. If auction listings are going to appear in EE - and above store listings - how is this going to be different from regular eBay? At this time, it's only auction listings that include Buy It Now, but if they're pressuring sellers to get "the magic" back, will regular auctions soon be included? Only time will tell.
Posted by SydneyJohnston at 3:17 PM | Comments (2) | TrackBack
July 27, 2006
Timed Offer: FREE $297 Secret eBay Interviews Course
A few months ago, we ordered 2,000 sets of our eBay Secret Interview CDs & manual. They include interviews with six eBay sellers:
* Armand Morin
* Chris Malta of Worldwide Brands
* Jim Cockrum of 'Silent Sales Machine'
* Dale Calvert
* Todd Taylor, million dollar eBay seller
* And me, Sydney Johnston
And 9 other Internet & mail order millionaires, including Robert Imbriale, T. J. Rohleder and Alan Bechtold. You can read the details here:
The program costs $297 but you can get it for FREE! Everyone who purchases the Auction Genius Course CDs beginning today gets:
1. A copy of our eBay Secret Interview CDs at no cost
2. We will pay for shipping
Here's the deal, though - out of our original order of 2,000 sets, there are only 67 left. So when they're gone, this offer is withdrawn. First come, first served.
Why are we doing this? Because we have a new CD coming out this fall and are making a lot of changes in our business. Also, since we're going to England in September for Yanik Silver's "Underground Seminar", and will be gone for 2-3 weeks, we need to get a lot of work accomplished now.
So, if you've been thinking about the Auction Genius Course CDs, there will never be a better time than now. Just remember that this offer can be withdrawn at any time. We will remove it when the last copies of eBay Secret Interviews are sold.
Go here to read about the CDs:
{Your free copy of Secret eBay Interviews will appear after ordering}
Posted by SydneyJohnston at 12:08 PM | TrackBack
July 26, 2006
eBay Selling: eBay Store Fee Increases, Part 4
There are two major changes coming in August that will affect store visibility - and thus profits.
1. In August, eBay will include an unlimited number of Store Inventory listings after all matching core listings, when the buyer clicks the Buy It Now listings tab at the top of every search results page. When the buyer hasn't selected this option, eBay.com will continue to display store listings along with core listings in the way we've already described above.
2. Up until now, only store listings have appeared on the new eBay Express, but eBay vows to add auction-style listings with Buy It Now - and those non-store listings will show up higher on eBay Express search results than store inventory listings.
Clearly, eBay is attempting to force its sellers back into the auction mode.
Posted by SydneyJohnston at 3:16 PM | Comments (1) | TrackBack
July 23, 2006
eBay Selling: eBay Store Fee Increases, Part 3
We've been talking about eBay selling with eBay stores and the uproar over the fee increases and other changes. So, how are the fees going to increase, really? We've put this in chart form to make it clearer ...
Fee Increases
Selling Price |
New Insertion Fee |
Current Insertion Fee |
1 cent - $24.99 |
5 cents |
2 cents |
$25 - up |
10 cents |
2 cents |
Selling Price |
New Final Value Fee |
Current Fee |
1 cent - $25 |
10% |
8% |
$25.01 - $100 |
7% |
5% |
$100.01 - $1,000 |
5% (no change) |
5% |
$1000.01 - up |
3% (no change) |
3% |
More on fee increases: http://pages.ebay.com/sell/announcement200607/overview/fees.html?ssPageName=CMDV:AB
How do these numbers compare?
Let's work out some scenarios assuming the list price and sale price are the same:
Item price: $24 Currently: Future: |
Item price: $100 Currently: Future: |
Item price: $1000 Currently: Future: |
According to Cobb, these increases are justified. He states that store listings take more than 40 times longer to sell than core listings. What this means is that eBay's cost to host a Store Inventory listing is more than 50% higher than for a core listing. In fact, current Store Inventory insertion fees don't cover eBay's costs for hosting them, he claims.
Posted by SydneyJohnston at 2:53 PM | TrackBack
July 21, 2006
eBay Selling: eBay Store Fee Increases, Part 2
In our current attempt to bring a balanced perspective to eBay selling and the new changes in eBay stores, it's fair to say that since eBay introduced the store format in 2001, they've been pushing sellers hard to adopt this format. To do that, they've offered all kinds of incentives over what regular auction sellers receive.
1. Lower fees
Currently listing fees are 2ยข for every 30 days per listing, regardless of quantity. Of course, this isn't the only cost because there are monthly fees of $15.95, $49.95 or $499.95 based on various store options.
- - -
2. Store listings have a longer duration
If they're a fixed price format: 30 days or Good 'Til Cancelled (Good 'Til Cancelled (GTC) is a store's fixed price listing duration that allows the seller to list an item and have that listing automatically renew every 30 days as long as there is quantity available. This listing will recur each 30-day period until the owner chooses to end this listing and will maintain the same listing number for the entire life of the listing. eBay does not end this listing for the store owner - meaning if you forget to end the listing when everything is sold, you will be charged anyway.)
- - -
3. Store listings appear in multiple spots
* In your own store, naturally
* In regular searches when eBay's main search returns 30 or fewer Auction-style and Fixed Price results.
An example: I recently published an article on the super expensive "Cartier Love bracelet". Typing in that keyword phrase, there are only 16 regular auction items today so at the bottom there are listings for two more bracelets from eBay stores.
* When using a tremendously popular keyword like "ipod" (80,738 listings), we can spot a small box at the bottom of the page mentioning eBay listings
* In "Search Options" that appear on every single search page on eBay, there is an opportunity to include store listings in your search
* Beneath every "Search Options" is a small paragraph listing selected stores that offer the keyword merchandise and "all matching stores"
- - -
4. Search engine promotion
eBay suggests that store owners use basic SEO (search engine optimization) techniques to promote stores in the search engines. Every eBay Store comes with its own personalized website address so the owner can drive buyers directly to her store.
For example, owners can customize their keywords on every store page and eBay uses these pages to create meta tags for the page. If done properly, this might result in some search engine results. This is obviously an advantage over regular auction-style listings which have zero control over the pages on which they appear.
- - -
5. Final Value Fee kickbacks
Store owners can get up to 75% of their Final Value Fees back when they drive traffic to their eBay stores from off-eBay, which is defined as other Web sites, emails to buyers, print advertisements, and so forth."
For details: http://pages.ebay.com/help/specialtysites/referral-credit-faq.html
- - -
6. Cross promote other merchandise
eBay stores can "cross promote" other merchandise. Cross-promotions appear when a buyer bids on a store item, a buyer wins the item or a buyer views the store listing. Cross-promotions can appear in listings with any selling format except "Live Auctions" and in any category except "Mature Audiences".
http://pages.ebay.com/help/sell/cp-overview.html
- - -
7. The eBay Store icon
A. All listings contain an eBay store icon that links buyers back to the owner's eBay Store
B. The eBay store icon also appears next to user IDs for extra visibility
- - -
8. eBay Store Directory
The eBay Store Directory drives buyers back to a store. The eBay Store Directory is a directory that lists all eBay Stores. A store will automatically appear in every Category Directory where appropriate items are listed. Stores are sorted based on item count within each category.
http://stores.ebay.com
- - -
9. Inclusion in eBay Express
And, of course, store offers have been the only merchandise listed on the new eBay Express.
Posted by SydneyJohnston at 2:33 PM | TrackBack
July 19, 2006
eBay Selling: eBay Store Fee Increases, Part 1
Wow, the you-know-what has really hit the fan at eBay! The cause of all the furor is changes eBay has announced in its store fees and policies. In the uproar, it's hard to sort out what's actually going on and I admit to being at a disadvantage in that I don't know eBay stores very well. When I would have loved them, they didn't exist. By the time they were introduced in 2001, I already owned multiple off-eBay stores and had no interest.
As usual with eBay changes, there is a lot of hysteria, so we are offering this series of posts in an attempt to give some rational perspective to these changes. It's not easy to stay objective when your money is at stake, but we're doing our best. So, let's begin with the comments of Bill Cobb, President of eBay North America, who states that there are two kinds of listings on eBay ...
1. What Cobb calls "core listings"
* Auction-style
* Auction-style with Buy It Now
* Fixed price listings
2. eBay store listings
According to Cobb, these store listings were "intended as a low-risk way for sellers to display large amounts of product in their eBay Store. This format employs low insertion fees and higher final value fees to encourage an abundance of inventory on the site."
Posted by SydneyJohnston at 2:23 PM | TrackBack
July 17, 2006
What To Sell Om eBay: Refurbished Exercise Equipment
Recently, I read a fascinating article on refurbished Precor ellipticals. There is a huge business on eBay around refurb equipment. It is especially concentrated in electronics and exercise equipment.
I had assumed this stuff was mostly junk, although I do know that IBM certifies their refurbished products. But I was astonished to learn the 8 thorough steps that Precor goes through when refurbishing their elliptical machines. I won't list them here because you can read it for yourself. All I need to say is that my attitude is quite different and this opens a new line of product-thinking for me.
Note to sellers: explain, explain, explain the care taken with these products. When looking over eBay listings I find that most sellers do not do that. They definitely should.
Posted by SydneyJohnston at 10:48 AM | TrackBack
July 14, 2006
Finding Products To Sell On eBay
It's simply absurd! I am constantly assaulted by people complaining that that finding products to sell on eBay is impossible.
NOT!
I just attended a gift show here in Atlanta. Here is just a brief summary of this event:
* Three full buildings filled with products
* 17 floors in each building
* The catalog for the event was 700+ pages
There were - literally - hundreds of thousands of products for sale. Considering that an eBay seller only needs about a half dozen product lines - or less - the notion that we can't find something to sell simply isn't rational.
Posted by SydneyJohnston at 10:34 AM | TrackBack
July 11, 2006
What Kind Of Tree Are You?
What kind of tree are you? What? Huh?
This is one of those amusing personality-traits tests that was sent to me. I don't take them seriously, but they're certainly fun to read. Find your birthday and let the tree tell you all about yourself. :-)
Dec 23 to Jan 01 - Apple Tree
Jan 01 to Jan 11 - Fir Tree
Jan 12 to Jan 24 - Elm Tree
Jan 25 to Feb 03 - Cypress Tree
Feb 04 to Feb 08 - Poplar Tree
Feb 09 to Feb 18 - Cedar Tree
Feb 19 to Feb 28 - Pine Tree
Mar 01 to Mar 10 - Weeping Willow Tree
Mar 11 to Mar 20 - Lime Tree
Mar 21 (only) - Oak Tree
Mar 22 to Mar 31 - Hazelnut Tree
Apr 01 to Apr 10 - Rowan Tree
Apr 11 to Apr 20 - Maple Tree
Apr 21 to Apr 30 - Walnut Tree
May 01 to May 14 - Poplar Tree
May 15 to May 24 - Chestnut Tree
May 25 to Jun 03 - Ash Tree
Jun 04 to Jun 13 - Hornbeam Tree
Jun 14 to Jun 23 - Fig Tree
Jun 24 (only) - Birch Tree
Jun 25 to Jul 04 - Apple Tree
Jul 05 to Jul 14 - Fir Tree
Jul 15 to Jul 25 - Elm Tree
Jul 26 to Aug 04 - Cypress Tree
Aug 05 to Aug 13 - Poplar Tree
Aug 14 to Aug 23 - Cedar Tree
Aug 24 to Sep 02 - Pine Tree
Sep 03 to Sep 12 - Weeping Willow Tree
Sep 13 to Sep 22 - Lime Tree
Sep 23 (only) - Olive Tree
Sep 24 to Oct 03 - Hazelnut Tree
Oct 04 to Oct 13 - Rowan Tree
Oct 14 to Oct 23 - Maple Tree
Oct 24 to Nov 11 - Walnut Tree
Nov 12 to Nov 21 - Chestnut Tree
Nov 22 to Dec 01 - Ash Tree
Dec 02 to Dec 11 - Hornbeam Tree
Dec 12 to Dec 21 - Fig Tree
Dec 22 (only) - Beech Tree
= = =
YOUR TREE (in alphabetical order)
Apple Tree (the Love) -- quiet and shy at times, lots of charm, appeal, and attraction, pleasant attitude, flirtatious smile, adventurous, sensitive, loyal in love, wants to love and be loved, faithful and tender partner, very generous, many talents, loves children, needs affectionate partner.
Ash Tree (the Ambition) -- extremely attractive, vivacious, impulsive, demanding, does not care for criticism, ambitious, intelligent, talented, likes to play with fate, can be very egotistic, reliable, restless lover, sometimes money rules over the heart, demands attention, needs love and much
emotional support.
Beech Tree (the Creative) -- has good taste, concerned about its looks, materialistic, good organization of life and career, economical, good leader, takes no unnecessary risks, reasonable, splendid lifetime companion, keen on keeping fit (diets, sports, etc.).
Birch Tree (the inspiration) -- vivacious, attractive, elegant, friendly, unpretentious, modest, does not like anything in excess, abhors the vulgar, loves life in nature and in calm, not very passionate, full of imagination, little ambition, creates a calm and content atmosphere.
Cedar Tree (the Confidence) -- of rare strength, knows how to adapt, likes unexpected presents, of good health, not in the least shy, tends to look down on others, self-confident, a great speaker, determined, often impatient, likes to impress others, has many talents, industrious, healthy
optimism, waits for the one true love, able to make quick decisions.
Chestnut Tree (the Honesty) -- of unusual stature, impressive, well-developed sense of justice, fun to be around, a planner, born diplomat, can be irritated easily, sensitive of others feelings, hard worker, sometimes acts superior, feels not understood at times, fiercely family oriented, very loyal in love, physically fit.
Cypress Tree (the Faithfulness) -- strong, muscular, adaptable, takes what life has to give but doesn't necessarily like it, strives to be content, optimistic, wants to be financially independent, wants love and affection, hates loneliness, passionate lover which cannot be satisfied, faithful, quick-tempered at times, can be unruly and careless, loves to gain knowledge, needs to be needed.
Elm Tree (the Noble-mindedness) -- pleasant shape, tasteful clothes, modest demands, tends not to forgive stakes, cheerful, likes to lead but not to obey, honest and faithful partner, likes making decisions for others, noble-minded, generous, good sense of humor, practical.
Fig Tree (the Sensibility) -- very strong minded, a bit self-willed, honest, loyal, independent, hates contradiction or arguments, hard worker when wants to be, loves life and friends, enjoys children and animals, few sexual relationships, great sense of humor, h as artistic talent and great intelligence.
Fir tree (the Mysterious) -- extraordinary taste, handles stress well, loves anything beautiful, stubborn, tends to care for those close to them, hard to trust others, yet a social butterfly, likes idleness and laziness after long demanding hours at work, rather modest, talented, unselfish, many friends, very reliable.
Hazelnut Tree (the Extraordinary) -- charming, sense of humor, very demanding but can also be very understanding, knows how to make a lasting impression, active fighter for social causes and politics, popular, quite moody, sexually oriented, honest, a perfectionist, has a precise sense of judgment and expects complete fairness.
Hornbeam Tree (the Good Taste) -- of cool beauty, cares for its looks and condition, good taste, is not egoistic, makes life as comfortable as possible, leads a reasonable and disciplined life, looks for kindness and acknowledgment in an emotional partner, dreams of unusual lovers, is seldom happy with its feelings, mistrusts most people, is never sure of its decisions, very conscientious.
Lime Tree (the Doubt) - intelligent, hard working, accepts what life dishes out, but not before trying to change bad circumstances into good ones, hates fighting and stress, enjoys getaway vacations, may appear tough, but is actually soft and relenting, always willing to make sacrifices for family and friends, has many talents but not always enough time to use them, can become a complainer, great leadership qualities, is jealous at times but extremely loyal.
Maple Tree (Independence of Mind) -- no ordinary person, full of imagination and originality, shy and reserved, ambitious, proud, self-confident, hungers for new experiences, s sometimes nervous, has many complexities, good memory, learns easily, complicated love life, wants to impress.
Oak Tree (the Brave) -- robust nature, courageous, strong, unrelenting, independent, sensible, does not like change, keeps its feet on the ground, person of action.
Olive Tree (the Wisdom) -- loves sun, warmth and kind feelings, reasonable, balanced, avoids aggression and violence, tolerant, cheerful, calm, well-developed sense of justice, sensitive, empathetic, free of jealousy, loves to read and the company of sophisticated people.
Pine Tree (the Peacemaker) -- loves agreeable company, craves peace and harmony, loves to help others, active imagination, likes to write poetry, not fashion conscious, great compassion, friendly to all, falls strongly in love but will leave if betrayed or lied to, emotionally soft, low self esteem, needs affection and reassurance.
Poplar Tree (the Uncertainty) -- looks very decorative, talented, not very self-confident, extremely courageous if necessary, needs goodwill and pleasant surroundings, very choosy, often lonely, great animosity, great artistic nature, good organizer, tends to lean toward philosophy, reliable in any situation, takes partnership seriously.
Rowan Tree (the Sensitivity) -- full of charm, cheerful, gifted without egoism, likes to draw attention, loves life, motion, unrest, and even complications, is both dependent and independent, good taste, artistic, passionate, emotional, good company, does not forgive.
Walnut Tree (the Passion) -- unrelenting, strange and full of contrasts, often egotistic, aggressive, noble, broad horizon, unexpected reactions, spontaneous, unlimited ambition, no flexibility, difficult and uncommon partner, not always liked but often admired, ingenious strategist, very jealous and passionate, no compromise.
Weeping Willow (the Melancholy) - likes to be stress free, loves family life, full of hopes and dreams, attractive, very empathetic, loves anything beautiful, musically inclined, loves to travel to exotic places, restless, capricious, honest, can be influenced but is not easy to live with when pressured, sometimes demanding, good intuition, suffers in love until they find that one loyal, steadfast partner; loves to make others laugh.
Posted by SydneyJohnston at 12:21 PM | TrackBack
July 10, 2006
Problems With eBay Selling
This morning I received five emails from five separate people and they all had a theme: the authors were suffering over their problems with eBay selling.
This weekend I found a passage written by a very cool guy named Bob Cooley. What he said sums up my entire attitude toward problems:
"Who would imagine that your particular problems could be the very guides to your success? That your problems literally light the way, like lampposts along a walkway, and that without this light you wouldn't be able to find your unique way. All of the people I've met who are unbelievably successful also used their unique personal problems to develop themselves more fully, to repair and reinvent themselves, to become much more accomplished, vibrant and alive."
We all have a choice when faced with inevitable problems ... become more determined - or quit. It's entirely up to us.
Posted by SydneyJohnston at 3:36 PM | TrackBack
July 8, 2006
"How To Clean Wood Floors" = Smart eBay Sales Tactic
A frequently overlooked tactic for eBay selling is to offer information that is appropriate for your product. For instance, don't just sell a floor cleaning product - offer buyers information on how to clean wood floors.
Instead of focusing on keywords like 'wood floor cleaners' - in other words, product-focused keywords - try informational ones. Yes, it's true that most folks don't think of eBay as an informational site. Instead, it's perceived as a buying site. That very fact gives an informational-seller an advantage.
At this time, mpire is showing the average price of 'wood floor cleaner' to be $67.61. Surely that is worth the cost of some time spent to teach your customers?
Posted by SydneyJohnston at 12:51 PM | TrackBack
July 5, 2006
Concrete Floor Finishes Viable eBay Sales
There are some really amazing items that sell on eBay. For instance, did you know that concrete floor finishes are quite popular?
Yes, really. I think of concrete as quite ugly and only suitable for my garage floor, but apparently some really amazing finishes and designs are being created these days. Even though it's hard for me to believe, there are home owners who actually choose to have concrete floors in the living areas of their homes and some of them are decorated quite fancifully.
But is this a viable market for eBay sellers? Apparently, the answer is yes because the concrete floor covering market is a low competition one.
Yes, I'm thinking too ...
Posted by SydneyJohnston at 1:23 PM | TrackBack
July 3, 2006
eBay & PayPal versus Google & Google Checkout
Recently, eBay posted a self-serving notice that it wouldn't allow sellers to use Google's new checkout system:
http://checkout.google.com/sell?promo=sssawc
eBay claims that it's for the protection of its users, but in truth it's protective of eBay's lucrative PayPal system.
I have no criticism of eBay for protecting its turf. Most of us would do likewise. But still, as E-commerce people, it's great to have choices. And when the giants square off, the rest of us can chuckle and rub our hands in glee.
Fortunately, online stores are not limited by eBay's restrictions and many of them are offering both choices to their customers. A case in point is shopsite which offers both payment systems:
http://www.shopsite.com/cc_101.html
Posted by SydneyJohnston at 1:06 PM | Comments (1) | TrackBack
