Seller profitability

Hello Guys,

 

Happy New Year! I was wondering how some eBayers are able to sell screen protectors and still turn a profit? The item in question is a iPhone 6 tempered glass screen protector for example. 

 

Most of the prices I have seen have been between $3.50-4.00 not including tax. Now I'm wondering how someone can sell something like that and make any money if shipping alone for the item is $2.05 and eBay and PayPal fees are another 13% plus $ 0.30. This doesn't even include the price of the item and any customs or shipping charges, which if you bought say 200 pieces from China would probably cost $0.75 a piece including customs and shipping. That's not even with retail packaging either. And still, we're not even going to include the envelopes, or bubble mailers that I assume these things are getting mailed out in.

 

Am I missing something here? Are people paying less than $2.05 for shipping or less in fees or something? Does the scale of selling a lot of them make it profitable? Are these items lost leaders?

 

If anyone can please advise that would be great.

 

Thank you.

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Seller profitability

I would suspect the protector is so thin it can go within Canada as Lettermail 30 gram, 5 mm thick, at $0.85 + tax postal rate.

 

PayPal has a service called MicroPayments which is $0.05 + 5% instead of $0.30 + 2.9%. Costs less for PayPal transaction amounts under $12.

 

 
  Micropayments (5% plus 5¢) | Standard Rate (2.9% plus 30¢)
Average payment$4$4
Your transaction fee$0.25$0.42

 

So on your price of $3.50-$4.00 there is profit to be made if procurement cost is $0.75 CDN even with paying eBay Final Value Fees.

 

But I see a Canadian seller selling these items at $1.99 + tax with free shipping. Low feedback seller (37) who is most likely using the item to get more feedback while selling at a very low profit.

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Seller profitability

Hmm, interesting. Thank you for that information. I suspected that they were paying the standard postage but didn't know how with most bubble mailers exceeding the maximum thickness of .5 cm for Canada Post letter mail. Guess they're using those poly ones.

I didn't know of the alternative fee structure for PayPal either, thought maybe they were paying less fees on eBay because of higher sales volumes.

Also why would someone sell at a loss to build their account? What is the benefit in that?
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Seller profitability


@damojahangir_0 wrote:

Also why would someone sell at a loss to build their account? What is the benefit in that?

A higher feedback count lends more credibility to a seller's site presence. Providing, of course, the feedback is positive. 

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Seller profitability

Understood, thanks.
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Seller profitability


@damojahangir_0 wrote:
Also why would someone sell at a loss to build their account? What is the benefit in that?

Another reason: Sellers can qualify for Top-Rated-Seller (TRS) status in Canada with 20% off Final Value Fees being one of the perks. If the seller is just under the minimum sales volume/$ value for the year, a couple of loss sales to push over the minimum level can be worthwhile.

 

-..-

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Seller profitability

Interesting. Guys, I have been looking for mailers which would pass through the 0.5 cm requirement to be accepted at standard letter mail rate but everything that I've found so far has had a 3/16" bubble lining. The screens are like .26 mm thick but obviously they wouldn't add to the thickness would they? Would these 3/16" mailers be ok because I went to the post office once before and I recall the lady telling me the envelope has to pass through the slot comfortably.

 

Here are the mailers that I am talking about: 

 

https://www.uline.ca/Product/Detail/S-5631/Bubble-Mailers/Uline-Self-Seal-White-Bubble-Mailers-000-4...

 

https://www.uline.ca/Product/Detail/S-1284/Bubble-Mailers/Jiffylite-Self-Seal-Mailers-000-4-x-8

 

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Seller profitability


@hotdealtech01 wrote:

Interesting. Guys, I have been looking for mailers which would pass through the 0.5 cm requirement to be accepted at standard letter mail rate but everything that I've found so far has had a 3/16" bubble lining. The screens are like .26 mm thick but obviously they wouldn't add to the thickness would they? Would these 3/16" mailers be ok because I went to the post office once before and I recall the lady telling me the envelope has to pass through the slot comfortably.

 

Here are the mailers that I am talking about: 

 

https://www.uline.ca/Product/Detail/S-5631/Bubble-Mailers/Uline-Self-Seal-White-Bubble-Mailers-000-4...

 

https://www.uline.ca/Product/Detail/S-1284/Bubble-Mailers/Jiffylite-Self-Seal-Mailers-000-4-x-8

 


I would ship the screen in a regular business letter envelope sandwiched between two thin pieces of cardboard making sure all was less than 5 mm thick.

 

I shipped a few thin items lettermail/letterpost 5 mm in a regular business envelope with just an 8.5 x 11 inch invoice paper folded in three with a thin cardboard for stiffener. No need for a padded envelope if the item can withstand very minor abuse. The lettermail/letterpost regular 5 mm mail system is quite safe I find.

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Seller profitability

I think most sellers are shipping these in bubble mailers due to their fragility and them being made out of glass. Would those bubble mailers pass through without any problems though? Since they technically don't go over the maximum thickness.

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Seller profitability

I'm not an expert in shipping glass panes but the fragility of a glass item would be due to bending not bumping. I'd forgo a padded mailer for a very stiff sheet of cardboard. I use padded mailers to ship LEGO. Bending isn't the issue with a LEGO minifigure, padding is needed to protect the irregular-shaped pieces. I'd ship a glass pane like I would a vintage photograph: between two sheets of something unbendable. 

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And bubble mailers don't fit the plain lettermail slot, they fit only through oversize lettermail providing they remain under 2 cm tall for $1.89 including tax domestic. 

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Seller profitability


@hotdealtech01 wrote:

I think most sellers are shipping these in bubble mailers due to their fragility and them being made out of glass. Would those bubble mailers pass through without any problems though? Since they technically don't go over the maximum thickness.


You could do what some of us have done, and cut a wide 2cm slot as precisely as possible out of a piece of sturdy cardboard, to reproduce the 2cm slot the P.O. uses.  If I'm unsure of the exact thickness of an item in a bubble envelope, I'll pass the packed item through my slot.  If it goes through easily, without having to be shoved, it will be fine.  

 

However, with a fragile or glass item, you'll need some cardboard or other stiffener as protection.  Depending on the actual size and weight, you might find it better to ship these in what are called "catalogue boxes" -- flat but rigid boxes that look like small pizza boxes -- using bubble wrap for protection inside.  I use these catalogue boxes for some of my items, but of course they can't go by Light Packet because of the thickness.  

 

Still, for items that are going to be up to 250gm parcelled, Small Packet doesn't cost much more than Light Packet.  I'm referring here to shipping to the U.S.  Within Canada, the box will push you into parcel rates, which will be a lot higher than the usual oversize lettermail rate. 

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Seller profitability

Why would they be made out of glass?

Wouldn't plastic be more practical?

If the protection was against scratching, then a sticky plastic film would also work, surely?

 

In either of those materials, fragility would not be a problem and cost might be even lower than glass?

 

Or did I miss the point again?

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Glass lasts longer, feels better and easier to put on

 

Tough way to make any money, but people doing that are buying way more then 200 and paying way way less then .75

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That makes sense. Doesn't seem like mailers are suitable for this type of item than. If I was shipping them between 2 pieces of cardboard, I guess I would put the glass inside and tape the 2 pieces of cardboard together from the outside? Anyone know of any places to source cardboard? Grocery stores?

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The glass will save your screen in case of a scratch or fall. Also feels a lot nicer on your fingers than a plastic one.

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How much you figure they're paying for the glass including retail pack? I checked DHgate and saw a couple of users selling for about $ 0.35 USD for 200 pieces, which doesn't include the pack.

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Seller profitability

You could do what some of us have done, and cut a wide 2cm slot as precisely as possible out of a piece of sturdy cardboard, to reproduce the 2cm slot the P.O. uses.  If I'm unsure of the exact thickness of an item in a bubble envelope, I'll pass the packed item through my slot.  If it goes through easily, without having to be shoved, it will be fine.  

 

Here is an example of something that you might want to make.

 

fauxpo1 (1).jpg

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Seller profitability

Canada - Lettermail / Oversize Stamp rates

 

Maximum of 0.5cm thick.
000-030g .. 0.85
031-050g .. 1.20

 

Maximum of 2cm thick.

051-100g .. 1.80
101-200g .. 2.95
201-300g .. 4.10
301-400g .. 4.70
401-500g .. 5.05

 

...

 

And for those who like doing arithmetic, there are additional savings when buying discounted stamps (on eBay, direct from a stamp dealer or other sources).

 

...

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Seller profitability


@musicyouneed wrote:

 

Here is an example of something that you might want to make. 

 


Oh, wow, yours looks so much nicer than mine, and complete with the rate tables!  I had to smile at "Property of the Faux Post Office".  

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