Using EBay to Create More Sales and Profits August 22, 2007Posted by David Dirks in Increasing Your Profitability, Sales Tactics.
How can I move inventory that’s tying up my cash flow? Easy. Sell it online. The Big Dogz have long learned that the best way to get cash flow moving and get rid of inventory that is sitting around collecting dust is an online auction. Ebay is one of the largest and I think the best. Given that you can sell to the world, why not?
Some small businesses have figured out that places like Ebay can become another way to distribute your product. Whether you do a fixed-price sale or you place inventory into auction, price it right and it will move.
I’ve been doing EBay as a buy and seller for many years now. I’ve learned a few things that can help you make an online auction a place to create bling.
• Always have a good, clean, and crisp close-up of each item you sell. If you couldn’t see it, you wouldn’t bid or buy it either. Best to use a digital camera and take several photos’…make sure the lighting makes the item look good. Pick the best photo and use it.
• Write description copy that sells, not bores. This is where many go wrong. You want to describe your item in ways that provides the buy with full information. Most important is your ability to fully describe the features and benefits of the item.
Want to see this in action? Go grab a recent mail order catalog or a few of them. Look at how they describe sometime the most basic things. I get the Harry and David fruit catalog and after reading any description, my mouth is watering for the fruit. The words they write are actually a better descriptor of the product than the picture itself.
• Always offer a full refund on anything you sell. You can specify a reasonable period of time for refunds. I use seven days after receipt of delivery. No questions asked. Never had anyone take me up on it.
• Be truthful and honest. Of course you would but it’s more of what you leave out of the description that can come back to bite you. Every customer that buys from you can leave feedback on how they felt the transaction for them went.
• Price to sell. If you decide to sell your items in a fixed-price sale, then price them to move and still leave you a reasonable profit after selling expenses (EBay charges, shipping/handling, etc.). In an auction sale, set the lowest minimum bid price you can. Note: use auction sales for one-of-a-kind items or large lots. Expect to make much less than you originally wanted but enough to create positive cash flow for your business. That’s the point, isn’t it?
• Make it a goal to move slow selling (or non-selling) inventory monthly. Every month, find something to get out of the back room or off the shelves.
Auction sites like EBay will not solve all of your cash-flow problems but they can serve as a key sales distribution point for your business. The Big Dogz do this to clear out inventory, create cash flow, and most importantly, create profits!