What a Year 2005 is starting out to be for me! NOT!

[shoplineca]

Ended 2004 with a great month of Christmas sales pushing me back to Silver PS level. Got my enthusiasm up and was anticipating a great 2005.

At the same time eBay announces a fee increase and so does CP, still I have really good rates with CP so while I am not pleased with any of the increases, only eBay's really bothers me to the point of examining what I am doing on eBay.

Sales plummet big time in what has been my staple on eBay for the last few years (musical instruments) and last week I receive an eBay notice that I am no longer a TA due to $0.00 sales in February (despite listing products).

Next day I receive another eBay notice that I am about to loose PS status due to deplorable January and February sales. Down from Silver PS to plain old seller by the end of this month.

Today I get a CP letter telling me my special prices negotiated 3 years ago are changing and after checking them out, I find that I have an overall 40% increase in my shipping costs with CP.

Oh well, it was fun while it lasted.

Just had to let of some steam.

Malcolm

PS I hadn't listed in March as I felt it was just thowing out good money after bad.

[eserafini2]

(()HUGS))) Malcolm

[mirakbiz_inc]

I got a similar letter today, saying I'm not making my volume commitments and that I'm being downgraded

About 17% hike from what I was paying....

I'm gonna call them to see if I can negotiate something. Maybe I'll open a new account, and I'll tell them that I'll be shipping over 3000 packages a year

SUCKS!

[sunward-hobbies]

Malcom, the slow down seems to have turned. The US is heading for a recession, but sales on ebay seem to have picked up a bit.

Angelo

[recped]

Yes Angelo I'm noticing the same thing, quite a few new buyers (and they are hungry).

Picked up another country last week (Macau) so I'm only one away from 50, if the inquiry I had from Serbia Montenegro earlier in the week turns into a bid I'll pass that mini-milestone.

Still waiting to sell something to anyone from the African continent. I've never even had a hot prospect in Nigeria (all my friends there want to send me money not buy my crap).

Ben
"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915

[shoplineca]

Thanks for everyone's Hugs and encouragement.

Being a Business Consultant who has purchased and started many businesses for myself and clients, the changes occurring on eBay are out of my control yet having a detrimental affect on my business (or at least my original business plan).

My original business plan never called for me to be a Silver Power Seller with 100% FB so loosing that 'status' removes only the enjoyable part of the busines being participation with all you good people on this Discussion forum.

I will use eBay in the future similar to one listing certain items in the local classified ads. If I feel what I have is unique or purchased at such a great deal compared to its anticipated selling price, I will consider listing it on eBay, preferring to keep most of the profits myself and not put them in the hands of the suppliers to my businesses (such as eBay, PP and CP).

We will shortly be incorpoating web design and graphic services into our business as well as expanding my Business Consulting practice while keeping our exclusive lines of musical instruments as something to be marketed through our web site and not through eBay.

At the same time, we have developed many contacts to sell other items and will feature those ocassionally on eBay and other venues.

I wish we had have been part of eBay 5-6 years ago, but we have see and heard from so many people that were there from the beginning at how the company has adversly changed.

I can say our first 1 1/2 years were fun however I have not been impressed with the direction over the last year or so and all I am doing is adjusting my business to manitain a healthy level of profitability.

Unfortunately, that doesnt include eBay as a principle player or supplier to my business and that is a direct result of what they have become.

Malcolm

[jakeeangel]

Aw that sucks! I'm gonna miss you. I enjoyed reading your comments and experiences. I always learned something from your posts.

I worry about not making quota all the time too. I didn't meet it in February and have to work to cover it in the next few months. If I keep listing I will. I hope anyways. I'm paying lots in fees but I'm still getting good sales. Store sales have picked up recently which is good.

I wish you much success Malcolm. (((((((((hugs to you)))))))))

---

[ononokajibwa]

I thought I would enter the fray on this one too. I'm just a little fish bringing quality items to folks who will appreciate them. I'm quite happy to be a powerseller and work hard to do so (have a full time job too). Most of my items are just books that sell for $10-25 a pop. Fine and dandy but it takes a lot of books to meet my quota. The fee hikes have really clawed into my profits and I will likely opt for my own website in the near future. Just have to figure out where the time to do so will come from.
In any case, what really irks me about the Powerseller program is that people who sell one item a month can theoretically become a PS. For example, a guy who sells collectable items can sell a few items with little effort and maintain status. A guy like me flogging lots of books and working hard to make sure my customers are happy don't really get recognition from Ebay at all. It's frustrating to say the least. Malcolm, I don't know you but I can completely empathize with your situation. Best of luck with your endeavours.

Steve

[shoplineca]

Thanks jakeeangel and Steve
I have bought and sold businesses for companies and for myself. I have written business plans to obtain and maintain financning and to structure the business for oiperating for the next 10 years. I have started up businesses from scratch.

I must tell you that I have never seen anything like eBay in terms of structuring a business plan for long-term sucess with them as a partner.

There are many reasons and one of the principle reasons is this (which can be taken from standard business planning):
It is always good to know your competitors. Generally in business your competitors are selling like products with like problems to yours. For the most part, their costs are similar (all of us can improve efficiencies), our source of product not that much different, our marketing strategies not much different.

That whole concept changes within an eBay environment as some people selling like or identical products are not selling to make money, or they came across the product freely or with little cost to them.

Take that factor and multiply by tens of thosuands of people who may acoassionally sell what you are selling as your principle product line and it could drive your bottom line downwards right off the chart.

eBay is not a level paying field.

A quick example. I was going to sell a brand new set of electronic drums. MY landed cost directly from the manufacturer was $1,250 for a set that retails for $2,995. I did a quick search on eBay and found someone who was sell an identical set, brand new which he acquired through a bankruptcy of a music store for $500 as a BIN.

It cost the manufacturer more to make that particular set of drums.

Take 10 more of those guys, or ones who have stolen similar products to sell on eBay or have inferior performing relicas made and no matter how cheap you can purchse from your manufacturers or suppliers or cut back your operating expenses, you cannot make a business plan that you can depend on.

So eBay is no longer the venue for my original business plan.

... and Steve, I wholeheartedly agree with you about maintaining or reaching the PS level. I am planning to sell a piece of jewellery this week and if sucessful, the sale will be enough to keep my PS status despite having $0.00 sales in February and $0.00 sales in March (to date).

I am not trying to loose the PS level, I simply dont need it for my business. It is the social side of not being a PS on this board that I will miss.

Malcolm

[recped]

eBay is not a level paying field.

LIFE is not a level playing field!

Ben
"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915

[muminlaw]

Good luck on the jewellery item Malcolm! I'm leaving for a couple of weeks "on the road" - the first leg of our semi-annual show circuit - but I expect to see you still here, rejuvenated, when I get back!

We had a few nice tokens that went for prices rather higher than we had expected, so it looks like Feb & March are turning out to be OK for us. Now, if we can sell enough on the road, I'm gonna finally toss this laptop out the window and replace it with a faster one (currently 490mHz and 6Gb HD) with a CD burner/DVD drive, and a bunch of bells & whistles. Might even toss the desktop 'puter while I'm at it and just muddle along with one GOOD computer!

All of you - BEHAVE while I'm gone and I'll see you in a couple of weeks.

DON (aka firedept10) if you're lurking out there, yes - we'll be at the Wild Rose show next month. Hope to finally meet you! Glenda
To Golf or Not To Golf? What a stupid question!

[ononokajibwa]

Malcolm,

I know what you mean about the social side of things. I've found some of the discussions here very useful - I have 100 Ebay bags from Canada Post to prove it! Ha! I love some of the advice here but boy do I see a lot of gloom. I couldn't care less if I'm a PS or not - I don't think buyers really care for the most part. Nevertheless, it's great getting the advice. Best of luck with your jewelry sale!

Cheers,

Steve

[discountlabelsupplies]

I'm waiting for the "Man" to show up.



"Microsoft Auction Network"

It will be bundled with every PC running windows. Ok I was dreaming for a second but Ebay needs some competition SoooOoooOoon.

[recped]

"Microsoft Auction Network"

I suppose it's still possible, only been 6 years since the announcement, I think "longhorn" will take longer to arrive!

Ben
"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915

[mr.rockinger]

I used to to "Simply Accounting" for doing my book. Now I use "Creative Accounting" method. I keep and use one CC. This card is for buying new dresses, wine, groceries, taking gf to dinner, etc. I also use it to pay bills, buy stock for my eBay business.

At the end of the day, if I still have money left on my bank/paypal account, I know I am ahead. Even if I am a bit short, I am still doing fine since I spend most of my days looking out at the ocean and trekking the mountains.

I like my new accounting method. And I am holding my fort despite the rising dollars, increase ebay fees, fierce competitions.

Life is good.