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Old 12-11-2014
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Join Date: May 2011
Location: Errr Selby!
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Quote:
Originally Posted by mattr View Post
The shop is probably buying the part for about 60%-75% of list (dependent on importer, manufacturer, volume deals, special offers).

There is minimal expenditure on actually selling it (they never need to put it on display, don't need to get it out of the box, hang it up on a rack, have someone there all day etc etc) It sits in a box in the warehouse. Postage is probably less than 1/3rd of what you are paying.

Also, another important thing for shops is to keep stock moving, selling stuff with minimal profit (as long as you clear all your overheads and costs) is simply a way to keep in business. The more stuff you sell/order, the better volume rates you get. So selling something at 75% of RRP and *barely* making a profit is good, as next time, you might get another 1% off your supplier order. Which is cash out the door.

Or you might piss the supplier/manufacturer off and get in trouble..........
60-75% off list

The simple fact is that ebay shops just don't make money.

I look at the prices they offer and know what the charges are. I can assure you there is no profit left.

We rely on bringing more customers in and then selling direct.
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