How do you price items?
By moonchild1au
@moonchild1au (6237)
Australia
July 17, 2011 5:20am CST
As many of you know, I have started my own ebay business...it is slowly but surely taking off as I get more positive feedback *YAY* Anyway, I have alot of things up for auction which I have started off at $0.99 & don't care what they sell for but I have also bought brand new phone cases for the iphone 4 & Samsung Galaxy Ace...I have been pricing them by including ebay listing & selling fees, postage (so I can offer free postage), the price it cost me per case then I add about $2 ontop so I come out with a $2 profit...is this how you would price something like that? I guess I have been doing this because I am having to compete with people in Hong Kong & China who can sell them for $0.20 more than what I pay each per lot I get!
I also have my knitting & crochet listed there (& through craft only sites) & I'm not sure I am pricing them right as they always seem cheaper than my competitors but yet I'm the one with minimal sales...I have always been taught to sell craft, to approximate how much it cost you to make the item then double it...
Would appreciate your thoughts & suggestions :)
1 person likes this
4 responses
@beingwell (3625)
• Thailand
21 Jul 11
Hi moonchild! Looks like you're having fun with your online business. I'm happy for you!
What you're doing is already correct. Sell your original products at the lowest possible cost, even if it gives you minimal return. Then work on selling those items in bulk to increase your profits. It's the Chinese way of doing business. They make loads of money by selling big quantities.
What you're doing is already correct. Sell your original products at the lowest possible cost, even if it gives you minimal return. Then work on selling those items in bulk to increase your profits. It's the Chinese way of doing business. They make loads of money by selling big quantities.@moonchild1au (6237)
• Australia
21 Jul 11
I am glad I am doing the right thing...now only if they would actually sell lol..I will get there I guess plus everyone seems to be interested in my second hand items I have up for auction! Do you think I should try putting one of the cases up for auction to see what happens or leave them as is?
@moonchild1au (6237)
• Australia
22 Jul 11
You are absolutely right! I will try one & see how it goes...now...which one to choose...hmmm 
@beingwell (3625)
• Thailand
21 Jul 11
Try putting one up for auction moonchild. There's no harm in doing so, right? At least you'd have a feel of which strategy would do best for you.
@Suzieqmom (2755)
• United States
19 Jul 11
As a new business, you want to price things attractively and competitively, but DON'T undervalue your shipping costs until you have built up your clientele because otherwise you will lose a ton of money. Nowadays people expect everyone on ebay to ship for free (and of course ebay is promoting this) but for a small or beginner seller, it can really eat into your "profits." So my advice is to keep track of your shipping costs--including packaging--and price things accordingly. Best of luck to you!
@moonchild1au (6237)
• Australia
19 Jul 11
Thanks for the tips...with the new phone cases, I am offering "free" shipping but I have factored in the shipping cost to the price I am selling the cases for & I think I have kinda overpriced the shipping as I am guesstimating the price.
@moonchild1au (6237)
• Australia
21 Jul 11
This is very true & I have done this before & had a great response
@Suzieqmom (2755)
• United States
19 Jul 11
That's ok--if you really overcharge on shipping, you can give 'em a partial refund and then you'll REALLY get good ratings!
@gdesjardin (1918)
• United States
21 Jul 11
Hi! I really have no earthly idea what to charge on ebay. I have from time to time toyed with the idea of selling the kids clothes on ebay, however I would have no idea what to charge either. I guess you have to charge what you are comfortable with and still get a profit for the work you put in. i would say stuff that is handmade I would charge more as that takes a lot of time and effort. I think some people on ebay charge ridiculously high. You think you are getting a good deal until you see how much they charge for shipping. I think the pricing aspect would be difficult for me, maybe that is why I have never actually sold on ebay.
@moonchild1au (6237)
• Australia
22 Jul 11
With the kids clothes, I would just start them out on at $0.99 for a 10 day auction...this is what I do with my daughter's old clothes which are sellable (mine too)...I have seen some charge a really high price on postage...I guesstimate postage using the guideline book the post office gave me...if I charge too much, I can refund some of the money back to the customer.
@CJscott (4187)
• Portage La Prairie, Manitoba
18 Jul 11
That I think is a good way of doing it. Decide what profit you want to make, and price things accordingly.
The question I have, is what is it about your competitors that is different from you? Perhaps you could borrow some of their ideas to help increase your sales.
@moonchild1au (6237)
• Australia
18 Jul 11
I guess what's making me different fro my competitors is that they can probably buy the items cheaper because they live in the countries where I am getting my products from (however, I always go for the items with FREE postage) the bonus is for the Aussies, they don't have to wait as long to get the product but if they are all like me, they will pay less & wait for the items.
1 person likes this
@CJscott (4187)
• Portage La Prairie, Manitoba
18 Jul 11
Well, that's good for the resale items for sure then. The crafts don't make much sense, if yours are cheaper, they should sell as well of course if price were most peoples biggest concern, most people would drive Yugo's.
It is most likely just because they have been doing it longer. Keep at it, the better your rep gets, the more sales that will come your way. At least, that is what seems reasonable to me.
@moonchild1au (6237)
• Australia
21 Jul 11
Thanks for your vote of confidence :) I will keep trying...I do have 100% positive feedback on ebay so I am not deterred yet.
