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Don't Use Shipping Costs In Your Consignment Equation

by: bidmentor( 6689Feedback score is 5,000 to 9,999) Top 1000 Reviewer
17 out of 18 people found this guide helpful.
Guide viewed: 534 times Tags: ebay | sales | direct | marketing | consignment


   If you sell for others, keep shipping out of the consignment equation.

   Don't share the cost of shipping and don't share any small profit you might make from shipping. To combine shipping with the sale makes your consignment bookkeeping more troublesome and you'll almost certainly lose money by the time you get what's left of the shipping profit. In addition, you probably don't even have a shipping profit by the time you take into account all your mailing supply costs and time to wrap and mail.

Why Shipping Isn't Part of the Consignment Equation

   Your shipping requirements is in reality a side deal made between you and your bidders. We charge enough to cover our fees plus a little extra for the packaging materials and time. The items' original owner supplies the item but you supply the shipping service. Therefore, you should get paid for that service and you get paid through whatever deal you make with the buyer (through the shipping costs you listed in the auction).

      I write a lot about computers and eBay. In addition, one of my primary strengths is teaching how to implement simple Direct Marketing techniques that maximize your eBay sales. I'm trying to share all I know about eBay, much of it learned from the 'School of Hard Knocks,' in these eBay Guides of ours. You'll soon realize that your consignment business runs much more smoothly when you require all shipping income and expenses be handled on your end and not be included as part of your agreement with your consignment clients.


Guide ID: 10000000002989077Guide created: 02/15/07 (updated 07/06/09)

 
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