Anyone in the same boat?? Becoming more and more difficult make $$ here

[discountlabelsupplies]

1) Most Canadian PS's pegged the pricing to U.S. competition. This was great when the US dollar was towering over our dollar. Now that the U.S. dollar is not as strong as it was, we are making less $$. Very difficult to raise pricing.


2) Canada Post increases


3) Ebay Fee Increases


4) More competition not really balancing out against all the new people discovering Ebay.


5) Competition is willing to make $5.00 on a $50.00 sale . Unheard of in the B & M world.


Total buyers market now, I guess that's how free enterprise is supposed to work however its very difficult as a seller.

[shoplineca]

I started on eBay a little over 2 1/2-years ago. Before selling, I purchased heavily for 3 months to understand all the ins and outs. From there I made a business plan and when I began selling, I exceeded my forecasts.

I was a bronze Power Seller in 3 months of selling and within another 5 months made it to Silver level despite loosing 75% of my US customers due to the Iraq situation.

I have adjusted many times as a result in changes from eBay, CP and other factors including our strengthened Cdn dollar from when I started. Those changes are natural in any business.

However things have continued to change such that I have to sell at least 30% more to make the same profit and the competition selling my main product items (musical instruments) has increased dramatically (copycats) with low-end merchandise that looks like the same quality as what I sell for a fraction of my cost (let alone my selling price).

With eBay's increase in fees this January and CP increasing my special rate by at least 40% starting April 18th, selling on eBay, in the way I planned 2 1/2 years ago, no longer makes economic sense. I would only be lining the pockets of those service companies to my business (eBay, PayPal and CP).

As an example, I brought in some lowish-end instruments in direct competition with my competitors and while I moved alot of them to keep my sales high, I was working that much harder for less money, paying more money in fees to eBay and tons of shipping charges to CP.

So I will be trading in my Silver Power Seller status at the end of this month for my freedom and will ocassionaly list different items on eBay where those items are unique, or obtained at a price that is a fraction of what they will sell for, returning the larger profit to me and not those previously mentioed service companies.

There are people who sell on eBay and are almost out of pocket in doing so in order to maintain their 100% positive FB and Power Seller level.

They have become 'conditioned' and would never make it in the real B & M business world where their goal is more centered around getting a pat on the back from every customer no matter what the cost is (Positive FB) than making a profit by year-end.

My goal on eBay was to make a specific return. If I cant make that return on eBay, then eBay isnt working for me, with thos products and it makes little or no sense to continue.

The most dramatic thing I have seen as a result of the eBay phonomenen is the incredible devaluation of historic values of antiques and collectables, where items once having a collector's blue book value of $2,000 are selling on eBay for $20.

The reasons are many and include, stolen goods, copycat items, people unaware of the value and simply selling the them for whatever anyone will pay etc etc etc.

At the same time, useless items such as potato chips shaped like the Virgin Mary are selling for thousands.

This is not a venue for me to form a business plan around any longer. It will simply become a place for me to place the ocassional listing similar to the Classifieds in my local newspapers.

Malcolm

[rd1000]

Yes, my sales and final auction prices are way down from last year. If anything, after a year of making improvements and building a customer base, sales should be higher. I am not sure what has gone wrong, but I am not investing any more time or money in ebay.

I just about have an online store ready to go. Cost me $5.00 month to sell all I want. Keep in mind though that about 40% of my customers are repeat business. I will be closing my ebay store.

I will still sell in auctions when it makes sense, but it is definitely far less profitable. Especially adding on the higher fees. In August, Paypal grabs a little more too. They are the next thing to go.

Rob

[systemagic]

Basically I find that the new eBay fees render eBay untenable for me. If I wanted to serve a corporation more than myself i wouldn't be self-employed.

Unfortunately I have all kinds of invertory to liquidate and, sadly, have no alternative income happening at this time. I even bought some new inventory yesterday and, if I can process the photos and write-ups quickly enough, hope to post them on time to take advantage of the penny listing day.

I'm working on other projects, however, that I hope will bear fruit in time. The most interesting project is bringing some formidable new electric cars to market. The record high fuel prices, the Kyoto accord, the exchange rate, and other current ecconomic factors suddenly make this project look very exciting. If we're successful watch for them first in B.C. and then in Ontario.

[shoplineca]

systemagic
Have you looked into the cars using air power. It is a French design and will make electrics almost totally obsolete as soon as they come out as the electric will require too much power compared to the air powered vehicles.

While not in production yet, several models have been made and tere are a few in North America. Their anticipated delivered cost will be about $5,000 and can run far longer than a straight electric.

A friend of mine has developed a fuel cell that exceeds anything on the market today and is trying to get the capital for that to go into production.

One of his small fuel cells and a small battery in one of the air cars could probably run it for 48 hours on a single charge at 60 MPH.

Cost to recharge the car would be less than $1.

Malcolm

[discountlabelsupplies]

If the car gets hit does it fly around like an untied balloon??

[systemagic]

Malcolm,

I looked into the French air car when I did a competitor study back in 2002. It wasn't too threatening a competitor back then. If I recall correctly its range was quite limited. Sounds like they've progressed a bit in the last couple of years. The electrics in 2002 far exceded their range.

The original commuter electric vehicle that we were looking at back in 2002 cost about seventy-five cents a day in electricity to operate and its range was about 60 miles. I'm not at liberty to discuss the specifics of the new EV that we hope to represent at this time.

Your friend's fuel cell sounds compelling. It may not be for us, though, as there are a few zero emmision purists on the board.

Marty

[shoplineca]

The fuel cell sits forever dry. When you need it you throw some water into it. Can be from a tap. from the ocean or you can P into it, doesnt matter and it can be used as a battery or used to re-charge batteries.

They have one prototype the size of a "D" cell battery that can run a mechanical device, 14 times longer than the best available battery on the market today and they can produce them for the same price.

They are initially targeting cell phone market for recharging where they can recharge a cell phone in minutes. They have some interest from a US company right now.

Anyway, I was invited to run the business and have been contemplating it. I used to get about 4 or 5 opportunities for start-up businesses per year in Ottawa but I am a bit more intrigued with this one.

On the air car, I know someone here who is thinking about getting into the business of making them in a partnership.

I think that eventual answer will be perpetual motion and if someone can tap into that we are all set for life.

Malcolm

[sunward-hobbies]

January was the worst I can remember. And past experience saw january being decent.

With the all increases, I have al but given up selling books. I have a few more to list, and after that, probably won't again.

Angelo

[systemagic]

Malcolm,

The fuel cell sounds intriquing as all get-out. It'll be a little while before we can explore such options but I'd like to hear more about it. (I have a few of my own energy-based resaarch ideas to explore) Is there a web site for the fuel cell?

I met a woman named Jean Manning a couple of years ago who wrote a book (the title escapes me now) about all the recent work done on so-called zero-point energy devices. I know it defies conventional wisdom but, some time ago I drew some patent drawings for a friend's father who developed a little device that runs forever on the surface tension of water. Some serious corporations looked into it but basically found that the milliamp output was too weenie to be practical. More serious output would require an unreasonably enormous device. He built a prototype and then went and poured himself a stiff drink as he watched it run, and run, and run. Eventually the bearings wore out. According to Jean Manning there are many such, more practical, devices around the plans for which the US government aggressively terminates.

[sunward-hobbies]

systemsagic:

"According to Jean Manning there are many such, more practical, devices around the plans for which the US government aggressively terminates"

Come now. First there is no such thing as a zero-point energy device. ( laws of thermodynamics)

As for some government, with Black Helicopters, suppressing devices, how?

Angelo

[shoplineca]

systemagic
I saw a documentary on that recently and the guy powered a sizeable piece of machinery and while it ran far too slow for any practical use, he clearly proved that we have to rethink everything.

One of the problems will be the oil industry and how tightly controlled governments are to that industry and to the countries that produce oil (not to mention how close some politicians are to the leaders f those countries).

The fuel cell energy system is another example where the companies that presently control the battery market do not want anything on the market that will cost about the same as their product and run 12 times longer and can be recharged to run again with the addition of water, any water or liquid. It would make those companies and their products obsolete.

This is the problem with many inventions that can replace older technology. Just look at the dramatic changes in computers. How main frame computers was standard and IBM fought off any notion of getting into PCs.

They pushed the AS400 for business while other start-up hardware and software companies pushed PCs and server systems over a big box, dedicated staff and proprietary software.

The same thing will happen with the automobile eventually, but the fear by industry and government is a massive dumping of gas fuelled automobiles and virtual shutdown of many automobile manhufacturing plants which will not be tooled properly to build the new cars.

Perpetual Motion?: It may be created in an enclosed environment that will either be weightless or in a vaccum and that enclosed unit will be placed inside the machinery it needs to power. Or how about magnetic?

Most of the perpetual motion machines today rely on use of compressible gases which is counterproductive in my book. Anyway, food for thought.

Malcolm

[shoplineca]

Angelo
With respect to the Laws of Thermodynamics, the laws start at 0 and go to 3 and so far every device made has fallen into the category of Law 1 or Law 2 however nothing for Law 3 and the question of what is Law 0?

Law 0 deals with "thermal equilibrium", Law 3 states "...no process can reach absolute zero in a finite number of steps..."

It is possible that a perpetual motion device may work under one of the two remaining Laws of Therma Dynamics.

Regardless, let us assume that the machine is only 75% efficient as a perpetal motion device requiring other enery-assistance or perhaps repair or replacement due to wear, that machine would be a far greater improvement over anything conventional used today and I suspect that within a year of use, that efficientcy will improve to 80% and so on until it may hit 99.99% perpetual and yes never truly be perpetual.

Malcolm

[systemagic]

Angelo,

Re. government suppression

I'm not going to become an unwilling advocate for conspiracy theorists here but, if I remember correctly, in most cases, patent applications simply go unanswered. If you want to hear something more adventuresome, however, I do vaguely recall an incident cited in Jean's book where, while one agent spoke threateningly to the inventor, the other sprayed something from an aeresol can the walls. After they left the laboratory eerrupted into flames and burned down. I'd be curious to find out whether my freind's father ever received his patent for the surface tension device.

I've met three individuals in my life who were formerly involved with the US covert community. One of them was a physics specialist. Their stories get much stranger than this. Another had me followed when he found out that I knew a few things. Ecclectic as it is this stuff exists.

Re. Thermodynamics: One commonly accepted area where, I'm told, there have been about 400 patents granted is in the area of 'memory metal' allegedly discovered by naval intelligence. (Accronym is something like NITINOL) I'm told that a device can be constructed that produces a higher energy output than input. I hope to do research in this area in the context of our electric vehicles.

That's all I'm going to say on these subjects.

Malcolm: How can I find out more about the fuel cell?

[shoplineca]

I have to talk to my friend this weekend to let him know I am interested or not.

I will email you after I talk to him.

He just left Nortell after 15 years as an enginer and has been working on this technology for about 3 years and his other partner has been involved with it for about 5 years or so.

Malcolm

[systemagic]

So... are you interested? Are you going to pursue the project? Remember Kyoto is now LAW in 127 signatory countries. (I think that it may have become law on the exact date of the rate increases) One door shuts and another opens. There are lots of government incentives and market interest now appears to be pretty much mandatory.

[shoplineca]

There are plenty of packages already in existence without even looking at Kyoto. As an example, the NRC (National Research Council) will match dollar for dollar investment to build prototypes to take to market.

In addition, we can probably use their facilities, equipment and some staff to build the first commercial prototypes.

A year ago I waz offered the North American rights to sell a technology that literally evaporates waste, including biological, producing a vapour purer than today's air quality and leaving a reusable mass 1/10th the size and weight of the original waste.

The company merged 2 years ago with a Spanish refuse company and are building their first Eurpean plant to dispose of household waste.

The surprising problem are the true lefties who propagte total reuseable materials under the false belief that everything being recycled today is being converted into another product.

They dont realize (or want to admit) that the majority of recyled garbage is being transported to Chinese landfills or dumped into our own.

Anyway, I have to consider this. I have been an entreprenneur on my own since 1991 when I ventured out and purchsed a $40 million USD manufacturing company in the US, with partners.

I have started up and run several businesses since then, each sucessful in their own right and have been invited to head up at least 15 high-tech start-up ventures.

One side of me wants to continue down that road and another side of me wants to return to become a simple employee with salary, benefits, sick , vacation and a pension.

Malcolm

[systemagic]

With all the opportunities out there it kind of makes giving most of our earnings to eBay/PayPal look a little on the insane side as an occupation doesn't it?

Well... we're pretty early in our development as well. I just helped put together a PowerPoint presentation this week that has been sent to the manufacturer. Soon we'll know whether we even have a partnership.

[shoplineca]

I got into eBay at the suggestion of my son. I had been on a consulting contract which would run for 3-6 months straight and then I would have 1-3 months off. While on contract I lived in hotels in Toronto and Sudbury and when home, my son suggested eBay being a source of additional income.

Through a personal contact, I negotiated the international rights to several lines of private labled musical instruments, as well as the right to wholesale the products and franchise stores.

The problem was I had to leave my eBay sales every few months for a couple of months, but just the same with a bit of effort I could easily drive my sales up to about $15,000 per month on eBay alone (I also sell outside of eBay and even have a couple of independant people who sell for me in small Ontario communities).

Just the same, it is only a part-time thing for me to fill the voids between other things. I would have gladly invested more into it and hired staff and run this business further if I had any confidence in eBay however I feel they are making too many mistakes and running the company for the benefit of satisfying the shareholders which is the typical mistake made by many start-up ventures.

I suppose it is because I come from a manufacturing background where I love fixed assests. I dont like hanging my hat on speculation and fickle management.

What I would prefer is for a start-up venture already having their seed money, come to me with a salary, benefit and share package in their offer for me to run it and take it to the next level.

Malcolm

[discountlabelsupplies]

This is my most popular price labeler. I sell it for $39.90 US (once shipping is added), a very good price for the make, most other sellers are selling cheaper inferior models for $6.00 . I still sell plenty but look at the fees.


Insertion fees in USD



Insertion Fee $1.20

Gallery Fee $ .35

BIN fee $ .20

Subtitle $ .50

FAV fee $1.50

Paypal fee $1.18




Total fees converted into Canadian = $5.92

Add another $11.75 + .50 for shipping and packing $12.25 grand total of "extra" cost is $18.17 Canadian for non goods related cost with each transaction.

If I wasn't the direct importer from Korea, this wouldn't be viable. As it is I'm considering closing up my ebay biz. I don't want this to be a sob story, Just pointing out how crazy its getting with the fees.