posted on February 16, 2003 09:18:51 AM new
I have had several people approach me recently asking if I would sell some items for them. I haven't given any of them an answer as I don't have a clue as to what to charge. If you sell on consignment can you give me an idea what percentage you use or do you have them pay the fees and you just take a flat percentage? I don't want to rob them but my time is worth something considering I have a LOT of inventory of my own to list. These people are friends and family and don't want to have hard feelings. Thank you for all your help.
posted on February 16, 2003 09:56:44 AM new
25% of net...have complete control of the item through the sale and do not pay out the money until the buyer has received the item and the sale is complete.
posted on February 16, 2003 10:37:12 AM new
Yes besure you have complete control of the auction. I personally don't think 25% is enough especially for the hassle you might encounter. I would charge 40% on high ticket items and 25% on lower ticket items. Remember you have to do the packaging and that might encounter more handling on your part. Then you have to remember that you also sell so then you will need more time to put your auctions on. If your making yourself a good sum with your auctions you need to keep them up also and if you don't then their percentage has to equal your sales. Good Luck
posted on February 16, 2003 12:42:04 PM new
If you charge too big a percentage then they might as well go to a brick and mortar auction. By charging a smaller percentage, you are making money and not having to shop for the merchandise. You do good with the first few items and they tend to hand the higher ticket items for you to handle. I was doing consignments and a person gave, yes gave me 4 model planes for my trouble. I netted almost $400 for them. Definitely worth any amount of time I spent on their other items.
posted on February 16, 2003 12:51:42 PM new
Whatever you charge, I believe you should have some sort of contract drawn up beforehand for them to sign, this will protect you later if there is a dispute. You should have control of the item, and you should be the one who handles the shipping. I would charge more (percentage wise) for a lower ticket item, less for higher ticket items. I would incorporate ebay fees in your percentages, less confusing for the consignee, and they probably don't understand all fees involved anyway. I would set a minimum too, to discourage listing $5 items. That will just keep you working without making any profit...Good luck!
posted on February 16, 2003 01:59:31 PM new
it is also a good way to turn frineds into enemy.with paypal revised buyer can remorse policy,you better explain well and reject all JUNKS.
believe me,there are many items not worth your time
posted on February 16, 2003 02:27:52 PM new
Thank you very much for all the feedback. I may just offer to show them how to sell their own items which would make more money for them and probably less headaches for me. The AW community is always great!!
posted on February 16, 2003 02:47:30 PM new
Don't forget to charge them for your service. Not a lot but your knowledge about selling is worth something. With your knowledge and their product they will make money....
posted on February 16, 2003 04:33:59 PM new
Currently I'm charging 30%, even to family members. I've sold some high-end things for people and done well. I'm also in the process of selling 70 collectible magazines for a family member, one at a time; sometimes they bring $30 - $90, sometimes $2.95 minimum. Those small-end items take AS LONG AS the high-end ones, and just think what my profit is from them, after fees. All that hassle for a buck.
I think some sort of minimum is a good idea--like $10 as a REASONABLE starting bid.
Another thing you can do is to make a list (keep it around, too!)of all the steps involved in listing an item (including researching, photos and editing, etc.), then mother-henning it through the auction process (answering buyer questions, making changes, etc.), then handling the sale, with ALL the paperwork and detail work involved there. Consignors need to SEE that list to understand the fees you'll need from them!
posted on February 16, 2003 07:28:37 PM new
Parkman, here is the location of ebays
"tading assistant" board http://forums.ebay.com/db0/forum.jsp?forum=106 Even if you are not a registered T.A, all of your consignment questions can be answered here. Post a question asking for a good contract... I forget the users name, but someone had a very thorough, legal contract to use for your
consignees. They are really helpful people, they will gladly share their good advice and tangibles too, like the contract. I started selling on consignment approximately 1 year ago. I had alot of trial and error time, to be sure, but have finally settled on this arrangement:
I charge 40% of the gross sale PLUS ALL FEES for items which sell under $200.00. After $200.00, the commission goes DOWN by 5% per $100.00 increase in sale, until you hit $500.00, where I charge %25 and my commission remains
at %25 for all sales of $500.00 and above.
The higher commission for lower priced items works out well, because you still make your money, and it discourages lower end items.
I have had such a good experience with consignment sales. I actually had to turn some people away before Christmas, because it keeps me so busy. What is advantageous about consigning is that you don't have to put any money out for inventory.
Here are a couple of words of advice:
Know your source and
be selective when asked to sell, don't just sell anything, only sell items which you would normally stock. Don't sell anything that can be "faked" , like concert & sports tickets, again, unless you know your source.
Also NEVER SELL ANYTHING UNLESS YOU HAVE PHYSICAL POSESSION OF THE ITEM...NEVER!
You'll read lots of great advice and tips on the T.A board. Good Luck!!
posted on February 18, 2003 11:16:19 PM new
i charge between 30 to 50%...just depends on what kind of item and who the person is. i charge 10% for items that i know will bring in $1000+...like cars. ive sold several cars for people and car trailers. had one go for $20,000 last summer...guy used Buy It Now on day two of the auction...drove 700 miles to pick it up and paid cash on the spot...yes...that was a nice pay day for me for less than 30 minutes of work,,,but what made me sick was the person offered the item to me for $10,000 before the auction started...and i declined...cause i didnt think it would sell...also had several people email me after the auction closed offering $23,000 to $25,000 for it if the deal fell through...i still get sick thinkin about it.
