Q: Selling on Ebay

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I saw a discussion on making money on Ebay. I wanted to share my experience with you on this one transaction because it is a good example of how much fees and shipping can eat into your profits.

Item selling price (including shipping) $12
Ebay Final value fees - .75
Paypal fees -.77
Shipping - $3.78
Cost of product - $3.50
Profit $3.20

I hope this helps.

selling-on-ebay ebay-fees

lilywow (rep: 7.39k) posted Jan 07, 2013

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7 Answers

For lower value items (below $20), I think it is best to charge for shipping and do media mail when possible. Otherwise it really cuts into your margins. Check out Amazon FBA, it is a lot better for small items of big quantities.

kffight3r (rep: 702) posted Jan 07, 2013

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This fee calculator would really make it easy to put things in perspective:
http://www.newlifeauctions.com/calc.html

arsiel (rep: 12.9k) posted Jan 07, 2013

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I would use craigslist for lower priced items. Anything over $20-30, I put on ebay and am happy with doing. On low priced items, fees and shipping can kill you.

bbattag (rep: 6.09k) posted Jan 08, 2013

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@kffight3r is right. But keep in mind media mail is only for select items, such as books. And they do check packages to ensure they meet the "media mail" rules. I got caught one of the first times I sent something different.

bbattag (rep: 6.09k) posted Jan 08, 2013

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Before I sell an item on ebay, I make sure to weigh it and charge shipping by their location as that can vary significantly. I only have free shipping when it is under 4 ozs like a ds game or dvd. I learned my lesson one time when I lost money on an item when I had free shipping and the shipping charges for the location of the buyer were super high.

helloamy1977 (rep: 2.26k) posted Jan 08, 2013

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