eBay: Plan B?

[Clippy]

Not sure where you get those margins??

Tescos average margin on food is 3%. furniture I'd 60 and gifts 50. When it comes to Ebay everyone wants a bargain, hence the lower margins. 10-20% is the norm on Ebay

Sorry, post was referring to clothing with those margins.

Food (takeaway) also has high margins - not sure on figures.

[EternalOptimist]

Not in clothing (or food) - margins are about 40% I believe.

absolutely. The area I am working in at the moment is looking at 60%. Its all high volume niche stuff as well
I am building the reporting suite for them

[MarillionFan]

absolutely. The area I am working in at the moment is looking at 60%. Its all high volume niche stuff as well
I am building the reporting suite for them

In retail yes & especially if you have economies of scale & have your own produced. Someone like Tescos make nowhere near that on their clothing lines.

Online no(unless youre someone like Boden or a niche internet retailer).

Coffee is the highest margin, running in the 90%+ bracket.

[EternalOptimist]

In retail yes & especially if you have economies of scale & have your own produced. Someone like Tescos make nowhere near that on their clothing lines.

Online no(unless youre someone like Boden or a niche internet retailer).

Coffee is the highest margin, running in the 90%+ bracket.

so what do you produce yourself in high volume ?

[MarillionFan]

I used to achieve margins of 90% when I bought in containers from Asia.

Now I only managed that on cards & some jewellery. I do not generate enough volume with one shop to get economies of scale.

I could easily rack up business by opening more shops. I'm very good at generating turnover. Profit though is another issue all together.

Before contracting, I was a supply chain/retail consultant and worked with all the big retailers & suppliers selling in software solutions & business modelling for category management. It's why I landed up with a shop in the end. Sometimes think it would be more interesting to go back into it.

The best business model I have ever seen is Situp TV which do the price drop TV channels. There margin is tiny (1-3%) and in fact on a lot of items they sell for less than they buy for!!!! They make there money on postage and telephone calls from sheer volume. Genius.

[AtW]

Before contracting, I was a supply chain/retail consultant and worked with all the big retailers & suppliers selling in software solutions & business modelling for category management. It's why I landed up with a shop in the end. Sometimes think it would be more interesting to go back into it.

[d000hg]

You might not get 10% after Ebays margins are factored in - the real success is them.

When you run a business your profit margin is the margin after costs, you dolt.

[northernladuk]

I bought a 5m jack to phono cable yesterday for 2 pound including P&P at a buy it now price.

Who actually makes money off that?

There is the fact that alot of the people selling this type of stuff (that are not shops) are most likely being propped up by the benefits system and I am sure don't have to factor tax on whatever slim pickings they make.

There is the question about how much of the stuff they sell is bought or 'aquired' as well.

Being paid to sit on your arse and make a couple of quid here and there starts to look a lot more attractive.

[Bunk]

Shut it. BBC are around later to film me in a white lab jacket & dodgy perm while I stroke my moustache and stand in a 1970s style server room.

I always picture this guy when I think about AtW slaving away in his server room

[northernladuk]

I always picture this guy when I think about AtW slaving away in his server room

Well thats better than mine. I have this picture of him hard at work in my mind.