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Be Realistic When Selling on eBay


As some of you know, I spent many years buying and selling both on and offline and several of my products are based upon my own experience in this area. I know that the vast majority of my customers and subscribers have an interest in trading whether it be on eBay or at the local market but more and more I am seeing people with completely unrealistic expectations of what they will be able to do. Most commonly these unrealistic expectations are in respect of how much it actually costs to purchase specific products and what they can then be sold on for.

I regularly get emails from people who want to know where they can purchase products such as mobile (cell) phones, new release DVDs, Playstation games and similar at, say, a 50% discount to resell on eBay. The fact is that such a thing is not available - it is a simple case of supply and demand and competition.

Take DVDs for example, most people think that these are excellent products to resell on eBay because they are very popular, not particularly expensive and easy to package and ship. Unfortunately, they could not be more wrong. The DVD market is one of the most competitive that there is - take a look for yourself and see how many auctions there are on eBay for DVDs at any one time. I have just looked and counted almost 300,000! At any one time there will only be a certain number of buyers wanting to purchase a particular DVD and if you take into account the numerous different places there are that each buyer could purchase from, it is likely that in general, there will be more copies of an individual DVD available than there are buyers to purchase them. This situation causes prices to fall. The other factor that forces prices down is the fact that one DVD is the same as another. By this I mean that from a buyers point of view, there is no difference to a new DVD purchased on eBay to one which is purchased from their local DVD store. Often the only way to differentiate is on price and of course, the only way to make the price more attractive to a buyer is to lower it.

The above reasons help to explain why the wholesale discount on a new release DVD is just £1 or £2 at most ($2 or $3 roughly in the US). When you take into account the fact that the large retail chains can purchase thousands of DVDs at a time and receive a bigger discount than individual traders, you soon see why it is very difficult for a small business to compete in such a competitive industry. You simply cannot purchase new release DVDs at 50% discount and even if you could, it wouldn't be long before prices were forced down as there is always someone willing to sell a little bit cheaper than the next man.

It isn't just DVDs that fall into this category. Take mobile (cell) phones. Here in the UK you can walk down just about any high street and get the latest phones either free or for a minimal token payment. The stores are relying on making their money from the line rental contract that you will have to sign in order to get the phone. Of course, the actual cost of the phone is not free - most new mobiles are actually worth £200 or £300 which means that if you want to buy a batch of phones at wholesale, you are going to be looking at a pretty high unit cost. As with most electrical products, the market is competitive and prices have been forced down which means that the difference between your wholesale buying price and your retail selling price is minimal.

There are numerous products that suffer from the same market conditions as DVDs and phones and new/small traders really should avoid trying to sell such items at all costs because it will usually be frustrating and ultimately not financially rewarding. When trying to decide what products to sell, you need to be thinking about the type of market that a particular product is sold in. If there are already numerous sellers and many large companies selling at considerable discounts this is far from ideal. The exception to the rule is if you are able to add value in some way to make your 'offering' more unique. I wrote about adding value last year in one of my newsletters - you can read it here: http://www.thetraderonline.com/jul2204.html

At the end of the day, it is all about research, being realistic and having an understanding of the market that you want to operate in. Whilst it would be great to be able to buy and sell new release DVDs (or whatever) all day long, doubling your money every time, I am afraid that this is just not going to happen.

Copyright 2005 Richard Grady

Richard Grady has been helping ordinary people earn online since 1998. He writes a free newsletter which is published every two weeks. To subscribe (and claim your free gifts), visit: http://www.thetraderonline.com/newsletter.html


TODAYS NEWS BY OFFICEJAX FREE ADVERTISING AND AD EXCHANGE SOLUTIONSMORE RESOURCES updated Thu. March / 28 / 2024

'Titanic' Door Prop That Saved Rose (Sorry, Jack) Sells for $718750 - The New York Times
'Titanic' Door Prop That Saved Rose (Sorry, Jack) Sells for $718750  The New York Times

‘Titanic’ Door that Saved Rose (But Not Jack) Fetches Six Figures at Auction - ARTnews
‘Titanic’ Door that Saved Rose (But Not Jack) Fetches Six Figures at Auction  ARTnews

This controversial ‘Titanic’ prop sold for more than $700,000 at a memorabilia auction - CNN
This controversial ‘Titanic’ prop sold for more than $700,000 at a memorabilia auction  CNN

The ‘Titanic’ Door That Could’ve Saved Jack Just Fetched $718,750 at Auction - Robb Report
The ‘Titanic’ Door That Could’ve Saved Jack Just Fetched $718,750 at Auction  Robb Report

Titanic 'Door' Sells Big at Auction, Reignites Major Debate | TIME - TIME
Titanic 'Door' Sells Big at Auction, Reignites Major Debate | TIME  TIME

Titanic's Floating Door Sells for Whopping $718750 at Auction, Beating Indiana Jones' Bullwhip - PEOPLE
Titanic's Floating Door Sells for Whopping $718750 at Auction, Beating Indiana Jones' Bullwhip  PEOPLE

Iconic 'Titanic' door prop that saved Kate Winslet sells at auction for over $700K - KOMO News
Iconic 'Titanic' door prop that saved Kate Winslet sells at auction for over $700K  KOMO News

‘Titanic’ Door That Rose Used After The Sinking Tops Planet Hollywood Auction - Deadline
‘Titanic’ Door That Rose Used After The Sinking Tops Planet Hollywood Auction  Deadline

Titanic door raft and Indiana Jones' whip fetch hundreds of thousands at Hollywood prop auction... but red sat - Daily Mail
Titanic door raft and Indiana Jones' whip fetch hundreds of thousands at Hollywood prop auction... but red sat  Daily Mail

NBA Star Ben Simmons' $17.5 Million Los Angeles Mansion Heads To Auction - Forbes
NBA Star Ben Simmons' $17.5 Million Los Angeles Mansion Heads To Auction  Forbes

Titanic prop that saved Rose and sparked debate fetches $700k at auction - NPR
Titanic prop that saved Rose and sparked debate fetches $700k at auction  NPR

NC auctions off abandoned safe deposit boxes - WFMYNews2.com
NC auctions off abandoned safe deposit boxes  WFMYNews2.com

Iconic 'Titanic' door prop that saved Kate Winslet sells at auction for over $700K - KEYE TV CBS Austin
Iconic 'Titanic' door prop that saved Kate Winslet sells at auction for over $700K  KEYE TV CBS Austin

Crypt near Marilyn Monroe and Hugh Hefner could fetch $400,000 at auction - CNN
Crypt near Marilyn Monroe and Hugh Hefner could fetch $400,000 at auction  CNN

Infamous 'Titanic' door sells for staggering €663000 at auction - Euronews
Infamous 'Titanic' door sells for staggering €663000 at auction  Euronews

What Happens to Fashion After It's Sold at Auction - The Business of Fashion
What Happens to Fashion After It's Sold at Auction  The Business of Fashion

Auction brings more than $7.5 million for Ponte Vedra Beach home | Jax Daily Record - Jacksonville Daily Record
Auction brings more than $7.5 million for Ponte Vedra Beach home | Jax Daily Record  Jacksonville Daily Record

Treasury Auctions Attract Better Demand. This Is What Has Changed. - Barron's
Treasury Auctions Attract Better Demand. This Is What Has Changed.  Barron's

Nigeria's central bank auctions one-year bill at high yield to draw investors - TradingView
Nigeria's central bank auctions one-year bill at high yield to draw investors  TradingView

Tilda Swinton Bedtime Story Read and Josh O’Connor Porridge-Making Lesson Among Auction Lots Raising Money for Gaza - Variety
Tilda Swinton Bedtime Story Read and Josh O’Connor Porridge-Making Lesson Among Auction Lots Raising Money for Gaza  Variety

Young auctioneer continues family legacy – The Daily Texan - The Daily Texan
Young auctioneer continues family legacy – The Daily Texan  The Daily Texan

Sotheby’s to Sell Painting by Andy Warhol and Jean-Michel Basquiat - Observer
Sotheby’s to Sell Painting by Andy Warhol and Jean-Michel Basquiat  Observer

The Now Evening Auction at Sothebys Hong Kong on artnet - Artnet
The Now Evening Auction at Sothebys Hong Kong on artnet  Artnet

‘Titanic’ driftwood ‘door’ that saved Rose sells at auction for $700K - The Washington Post
‘Titanic’ driftwood ‘door’ that saved Rose sells at auction for $700K  The Washington Post

Refiner Citgo set to open data room for bidders tied to court auction - Reuters
Refiner Citgo set to open data room for bidders tied to court auction  Reuters

Citigroup Inc. Has $256000 Stock Position in ACV Auctions Inc. (NASDAQ:ACVA) - Defense World
Citigroup Inc. Has $256000 Stock Position in ACV Auctions Inc. (NASDAQ:ACVA)  Defense World

Lady Gaga and Amy Winehouse's letters to Tony Bennett heading to auction - NME
Lady Gaga and Amy Winehouse's letters to Tony Bennett heading to auction  NME

Letters from five former presidents to Tony Bennett are going up for auction - The Hill
Letters from five former presidents to Tony Bennett are going up for auction  The Hill

Lady Gaga, Amy Winehouse, Martin Luther King Jr.’s Letters to Tony Bennett Being Offered at Auction - Variety
Lady Gaga, Amy Winehouse, Martin Luther King Jr.’s Letters to Tony Bennett Being Offered at Auction  Variety

One of Michael Jackson's iconic 'Thriller' jackets is up for auction - NME
One of Michael Jackson's iconic 'Thriller' jackets is up for auction  NME

Libby's Property in Paterson Set for Auction | Paterson, NJ News TAPinto - TAPinto.net
Libby's Property in Paterson Set for Auction | Paterson, NJ News TAPinto  TAPinto.net

Controversial ‘Titanic’ movie prop auctioned for more than $700,000 - NBC DFW
Controversial ‘Titanic’ movie prop auctioned for more than $700,000  NBC DFW

Treasury Auction Relief Rally and Month-End Support - Mortgage News Daily
Treasury Auction Relief Rally and Month-End Support  Mortgage News Daily

Sotheby's Doubles Down on Athletic Collectibles With 'Sports Week' Auctions - Investopedia
Sotheby's Doubles Down on Athletic Collectibles With 'Sports Week' Auctions  Investopedia

Behind the scenes of Pennsylvania’s Treasury vault auction - ABC27
Behind the scenes of Pennsylvania’s Treasury vault auction  ABC27

Props from ‘Titanic’ and ‘Indiana Jones’ Earn Six Figures at Auction $525,000 - Barron's
Props from ‘Titanic’ and ‘Indiana Jones’ Earn Six Figures at Auction $525,000  Barron's

Unclaimed property auction scheduled for March 27 - CBS News
Unclaimed property auction scheduled for March 27  CBS News

Tony Bennett Auction To Feature Cartier, Rolex Watches - HODINKEE
Tony Bennett Auction To Feature Cartier, Rolex Watches  HODINKEE

Winning Offshore Wind Auctions in a Changing Market - BCG
Winning Offshore Wind Auctions in a Changing Market  BCG

Titanic 'door' prop that kept Rose alive sells for $718,750 - BBC.com
Titanic 'door' prop that kept Rose alive sells for $718,750  BBC.com

This 1916 Babe Ruth Rookie Card Was a Store Giveaway. Now It Could Fetch $500,000 at Auction. - Robb Report
This 1916 Babe Ruth Rookie Card Was a Store Giveaway. Now It Could Fetch $500,000 at Auction.  Robb Report

Pickens Auctions Annual Spring 24 Equipment Sale at Payne County Expo Center - Visit Stillwater, Oklahoma
Pickens Auctions Annual Spring 24 Equipment Sale at Payne County Expo Center  Visit Stillwater, Oklahoma

JM Wood Holds Spring 2024 Auction in Montgomery, Alabama : CEG - Construction Equipment Guide
JM Wood Holds Spring 2024 Auction in Montgomery, Alabama : CEG  Construction Equipment Guide

Spotlight: Brazil's key auctions in April - BNamericas English
Spotlight: Brazil's key auctions in April  BNamericas English

Infamous 'Titanic' floating door sells for more than $700000 in Texas - Chron
Infamous 'Titanic' floating door sells for more than $700000 in Texas  Chron

CBI auctions +$254 million in forex on Thursday - Shafaq News - Shafaq News
CBI auctions +$254 million in forex on Thursday - Shafaq News  Shafaq News

American Queen Cruise Ship Fleet Heading to Auction - Cruise Industry News
American Queen Cruise Ship Fleet Heading to Auction  Cruise Industry News

‘Never let go’: ‘Titanic’ door prop sold at auction - WPXI Pittsburgh
‘Never let go’: ‘Titanic’ door prop sold at auction  WPXI Pittsburgh

New England Offshore Wind Auction Draws Multiple Bidders - MarineLink
New England Offshore Wind Auction Draws Multiple Bidders  MarineLink

How Julien’s Auctions Leads the Booming Market in Celebrity Memorabilia - The New Yorker
How Julien’s Auctions Leads the Booming Market in Celebrity Memorabilia  The New Yorker

'Titanic' floating door prop that saved Rose — but sadly not Jack — auctioned off for startling amount - New York Post
'Titanic' floating door prop that saved Rose — but sadly not Jack — auctioned off for startling amount  New York Post

New England Offshore Wind Auction Attracts Four Bidders | Offshore Wind - Offshore WIND
New England Offshore Wind Auction Attracts Four Bidders | Offshore Wind  Offshore WIND

Nebraska Awards $21M to Four Broadband Providers Via Reverse Auction - Telecompetitor
Nebraska Awards $21M to Four Broadband Providers Via Reverse Auction  Telecompetitor

Controversial 'Titanic' door sells for over $700K at auction - New York Daily News
Controversial 'Titanic' door sells for over $700K at auction  New York Daily News

2024 fantasy baseball draft sheet: Downloadable auction values and stats for 650 players - The Athletic
2024 fantasy baseball draft sheet: Downloadable auction values and stats for 650 players  The Athletic

Disney concept art, audio-animatronics available for bidding during upcoming auction - KTLA Los Angeles
Disney concept art, audio-animatronics available for bidding during upcoming auction  KTLA Los Angeles

Wood panel from Titanic fetches more than $700k at Dallas auction - The Dallas Morning News
Wood panel from Titanic fetches more than $700k at Dallas auction  The Dallas Morning News

Tilda Swinton, Brian Cox and ‘Saltburn’ Star Alison Oliver Items Up for Auction to Aid Palestinians in Gaza - Hollywood Reporter
Tilda Swinton, Brian Cox and ‘Saltburn’ Star Alison Oliver Items Up for Auction to Aid Palestinians in Gaza  Hollywood Reporter

Controversial ‘Titanic’ prop sells big at auction - KTLA Los Angeles
Controversial ‘Titanic’ prop sells big at auction  KTLA Los Angeles

Mixed Performance. Data Hurt. Auction Helped. Little Changed - Mortgage News Daily
Mixed Performance. Data Hurt. Auction Helped. Little Changed  Mortgage News Daily

Sotheby's To Hold Rough Diamonds Watch Sale In April - HODINKEE
Sotheby's To Hold Rough Diamonds Watch Sale In April  HODINKEE

Forrest Gump Nike Cortez Auction $57,000 - Complex
Forrest Gump Nike Cortez Auction $57,000  Complex

'Titanic' door sells for over $700k at auction - Entertainment Weekly News
'Titanic' door sells for over $700k at auction  Entertainment Weekly News

Allegany County Tax Foreclosure Auction Postponed - THE WELLSVILLE SUN - THE WELLSVILLE SUN
Allegany County Tax Foreclosure Auction Postponed - THE WELLSVILLE SUN  THE WELLSVILLE SUN

Tobey Maguire's Black Symbiote Suit From 'Spider-Man 3' Is Up for Auction - HYPEBEAST
Tobey Maguire's Black Symbiote Suit From 'Spider-Man 3' Is Up for Auction  HYPEBEAST

Kate Winslet's Infamous 'Titanic' Door Sells for $718K at Auction - TMZ
Kate Winslet's Infamous 'Titanic' Door Sells for $718K at Auction  TMZ

RE: Audi R8 | PH Auction Block - Page 1 - General Gassing - PistonHeads
RE: Audi R8 | PH Auction Block - Page 1 - General Gassing  PistonHeads

SOLD! 230-acre Iowa century farm brings nearly $4 million at auction - Successful Farming
SOLD! 230-acre Iowa century farm brings nearly $4 million at auction  Successful Farming

Jeff, "The Liquidator" partners with Major Partner Donors to support the Memorial Ribbon Society of Canada in this ... - 24-7 Press Release
Jeff, "The Liquidator" partners with Major Partner Donors to support the Memorial Ribbon Society of Canada in this ...  24-7 Press Release

Business Card Signed by Steve Jobs Fetches $181K USD at Auction - HYPEBEAST
Business Card Signed by Steve Jobs Fetches $181K USD at Auction  HYPEBEAST

‘Titanic’ Door That Jack Tragically Couldn’t Fit on Nabs More Than $718,000 at Auction - Rolling Stone
‘Titanic’ Door That Jack Tragically Couldn’t Fit on Nabs More Than $718,000 at Auction  Rolling Stone

Kobe Bryant's 2000 NBA championship ring gifted to his father is up for auction - Los Angeles Times
Kobe Bryant's 2000 NBA championship ring gifted to his father is up for auction  Los Angeles Times

Marilyn Monroe, Hugh Hefner-adjacent crypt in L.A. at auction - CTV News
Marilyn Monroe, Hugh Hefner-adjacent crypt in L.A. at auction  CTV News

Large Collection of St. Louis Neon Signs and Memorabilia to be Sold at Auction - nextstl.com
Large Collection of St. Louis Neon Signs and Memorabilia to be Sold at Auction  nextstl.com

Auction of Pattie Boyd's trove of treasures surpasses expectations as it nets $3.6 million - ABC News
Auction of Pattie Boyd's trove of treasures surpasses expectations as it nets $3.6 million  ABC News

This controversial 'Titanic' prop sold for more than US$700000 at a memorabilia auction - CTV News
This controversial 'Titanic' prop sold for more than US$700000 at a memorabilia auction  CTV News

Auction Calendar 3-29-24 - AgUpdate
Auction Calendar 3-29-24  AgUpdate

Steve Jobs signed Apple Computer business card achieves over $180000 at auction — about 14X more expensive ... - Tom's Hardware
Steve Jobs signed Apple Computer business card achieves over $180000 at auction — about 14X more expensive ...  Tom's Hardware

Ben Simmons's $17.5 Million Hidden Hills Mansion Is Headed to Auction - Yahoo Canada Shine On
Ben Simmons's $17.5 Million Hidden Hills Mansion Is Headed to Auction  Yahoo Canada Shine On

GM Financial Announces 2023 Auction of the Year Winners - Collision Repair Mag
GM Financial Announces 2023 Auction of the Year Winners  Collision Repair Mag

Online Pennsylvania unclaimed property auction being held this week; here's what you can bid on - Yahoo! Voices
Online Pennsylvania unclaimed property auction being held this week; here's what you can bid on  Yahoo! Voices

Kobe Bryant's father auctions off late athlete's first NBA championship ring - Page Six
Kobe Bryant's father auctions off late athlete's first NBA championship ring  Page Six

'Titanic' Prop Door Sells for $718000 at Auction - Us Weekly
'Titanic' Prop Door Sells for $718000 at Auction  Us Weekly

'Titanic' Door That Saved Kate Winslet's Character's Life Sold at Auction - Men's Journal
'Titanic' Door That Saved Kate Winslet's Character's Life Sold at Auction  Men's Journal

Francis Bacon's Portrait of a Tragic Lover Goes to Auction for the First Time - Hyperallergic
Francis Bacon's Portrait of a Tragic Lover Goes to Auction for the First Time  Hyperallergic

Wholesale Market Report: Most Notable Corvette Auction Activity [3/27/2024] - CorvSport.com
Wholesale Market Report: Most Notable Corvette Auction Activity [3/27/2024]  CorvSport.com

Britney Spears' 2012 'X Factor' chainmail halter top up for auction, could fetch five figures - Page Six
Britney Spears' 2012 'X Factor' chainmail halter top up for auction, could fetch five figures  Page Six

Tilda Swinton bedtime story among Cinema for Gaza auction lots - The Guardian
Tilda Swinton bedtime story among Cinema for Gaza auction lots  The Guardian

Dorchester Development Site Heads To Auction Following Legal Battle - Bisnow
Dorchester Development Site Heads To Auction Following Legal Battle  Bisnow

A Boom in Luxury Home Auctions Is a Boon to Buyers - Mansion Global
A Boom in Luxury Home Auctions Is a Boon to Buyers  Mansion Global

Tamil Nadu Temple Auctions 9 Sacred Lemons For Whopping ₹2.36 Lakh For THIS Reason - Curly Tales
Tamil Nadu Temple Auctions 9 Sacred Lemons For Whopping ₹2.36 Lakh For THIS Reason  Curly Tales

First Tesla Cybertruck Listed At Online Auction Fails To Meet Reserve - Forbes
First Tesla Cybertruck Listed At Online Auction Fails To Meet Reserve  Forbes

Sales at currency auction double for 1st Q in Azerbaijan - AzerNews.Az
Sales at currency auction double for 1st Q in Azerbaijan  AzerNews.Az

Here's What We Know About the Anchor Brewing Company Auction, As It Stands - SFist
Here's What We Know About the Anchor Brewing Company Auction, As It Stands  SFist

Nearly pristine copy of first-ever Superman comic expected to sell for record-breaking price at auction - New York Post
Nearly pristine copy of first-ever Superman comic expected to sell for record-breaking price at auction  New York Post

Capitals Announce MSE Foundation Cherry Blossom Jersey Auction | Washington Capitals - NHL.com
Capitals Announce MSE Foundation Cherry Blossom Jersey Auction | Washington Capitals  NHL.com

Washington State’s emissions allowance program held its first auctions in 2023 - U.S. Energy Information Administration - EIA
Washington State’s emissions allowance program held its first auctions in 2023 - U.S. Energy Information Administration  EIA

Pattie Boyd memorabilia sells for almost £3m at auction - The Guardian
Pattie Boyd memorabilia sells for almost £3m at auction  The Guardian

Cars, trucks, and jewelry: Jacksonville Sheriff’s Office to hold property auction end of March - ActionNewsJax.com
Cars, trucks, and jewelry: Jacksonville Sheriff’s Office to hold property auction end of March  ActionNewsJax.com

Disney concept art, rare memorabilia available in upcoming auction - MSN
Disney concept art, rare memorabilia available in upcoming auction  MSN

Karl Lagerfeld's Paris Apartment Sells for 10M Euros - WWD
Karl Lagerfeld's Paris Apartment Sells for 10M Euros  WWD

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