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eBay Trends- A Current Market Perspective
It's been just a year since I completed writing the First Edition of eBay Secrets. I'm currently working on the
Third Edition of the report and all subscribers will receive a complimentary copy as soon as it's done.
A lot happens in a year- especially on the Internet. And even though I have added to eBay Secrets from time to
time throughout the year, it needed more than cosmetic surgery to keep it up to date.
One of the trends I've been keeping an eye on is the number of auctions that close successfully on eBay. When I
first started selling books and collectibles on eBay in 1998 it was fairly easy to sell unwanted gifts, household
items and 'closet stuff'.
That's no longer the case.
From February, 1998 (the date I started tracking closing ratios) to October, 2000 the closing ratio or CR's ('CR'
is the percentage of successfully closed auctions- not including reserve auctions) on eBay was approximately 80%.
What that meant was that for every 10 items you listed for sale on eBay, you would have had an excellent chance
of selling at least 8 of them successfully. Not only that, but you would have had multiple bidders! In many cases,
an average of 4-5 bidders per auction.
Of course, these are averages. If your item was rare or you were selling an expensive item at an incredible discount
just to rid yourself of it, you would have probably received many more bidders.
The higher the CR the better chances you had of selling just about anything successfully. If you wanted to start
a business on eBay, you probably found a great deal of success, without much effort. Unfortunately the market on
eBay has changed and the CR has fallen dramatically - down to 54%.
I don't want you to get the impression there aren't opportunities on eBay anymore…that's not the case. But the
opportunities change so frequently now that, for the average person, it's simply harder to make money on eBay than
it was a few years ago- even last year - as a seller.
Unless you keep close track of trends.
For example, the hottest opportunity (as I wrote about in a previous TIP) on eBay is in hip-hop jewelry. Hip-hop
stars are wearing outrageous styles of jewelry and a lot of people want that look.
CR's for hip-hop jewelry are 98% and even 100% for some sellers- at the time of this writing - and profits are
an average of 400% per item, up to 1,000% (or 10 times cost). In addition, hip-hop jewelry items are receiving
an average of 10 or more bids per item! This is a VERY HOT item on eBay right now. Just do a search on eBay now
using hip-hop keywords such as "bling-bling", "iced-out" or "hip-hop jewelry" and
you'll see what I mean.
Does that mean you will be able to capitalize on this trend? I hope so, but you'll have to check eBay to determine
if your not buying into a declining trend.
I also made a statement in the First Edition of eBay Secrets to the effect that eBay and other trading communities
or auction sites or central Internet markets (CIM's) - whatever you prefer to call them - are similar to stock
exchanges:
They are a meeting place where people communicate with each other
in a free and open market then participate in economic exchanges (they buy stocks or they sell stocks in exchange
for something of equal value, usually cash or currency).
And like stock markets, strong and active Central Internet Markets like eBay have bull and bear markets, ups and
downs, and certain items that are a strong "buy" or a strong "sell".
But unlike the NYSE or the NASDAQ there is still relatively little information about what's selling on eBay- what's
hot - what's receiving the most bids and what kind of volume each item is doing. In other words, what's in an up-trend
and what's in a down-trend, where the buying is and where the selling is.
The "7 Ways" section in eBay Secrets has been revised to include STRATEGY AND TIMING or WHEN to use each
method.
In each section you'll see when is the best time to use that particular strategy so you can stay ahead of the crowd
or, at least, not get caught with excess inventory nobody wants.
For example, because CR's are low right now, it may be the perfect time to use "The eBay Arbitrage Strangle"
(EZ Money-Maker #5) or "Turning the Tables: Buying on eBay, Selling Local" (EZ Money-Maker #6).
There are always opportunities on the Internet and on eBay. It's where you focus your attention that makes all
the difference.
I have a condensed version of the new revised eBay Secrets book that I'm offering as an incentive for people to
sign up for the free TIPS Alert email list. As I mentioned - as a subscriber you'll receive the entire book - free,
but if you'd like to see what revisions I've made so far, please download the free report at:
http://epublishingetc.com/downloads/more_secrets.pdf
If you have someone you know who would like a copy please send them to http://gobizinfo.com/ and opt-in to the
Alert list. Please don't just hand them your copy. Thanks :-)
Now, here some more TIPS:
Hot eBay + Sources This Week:
Jewelry is a hot item on eBay. Gold especially - but really any Jewelry
that is well designed and reasonably priced. Here are a few of the more reliable resources I've found that you
can use to start making money right away:
LEI MARK Industrial Co, LTD — PO BOX 32-177, Taipei, Taiwan, ROC
TEL: 886-2-7662543—Email for catalog to: melodydy@ms3.hinet.net
NOTES: Sells finished good quality 14K plated and sterling silver rings, pendants, earrings and more at incredible
prices. Example: A 24 carat grade “A” Jade & 14K set of earrings for $7. 14k rings with semi-precious stones
for $4 each. Minimum order US$100. Wholesale only– tax ID number required.
Blake Brothers- 451 E 58th Ave, STE 2487, Denver, CO 80216.
Web: http://www.blakebros.com
NOTES: Sells high quality finished sterling silver jewelry, some with semi-precious stones. Prices are great– children’s
rings for 80 cents—$2.00. Large elaborate sterling silver pendants with stones for $5 to $9.00 each. Minimum order
$100.00. Wholesale only– tax ID number required.
RioGrande– 7500 Bluewater Road NW, Albuquerque, NM 87121
Web: http://www.riogrande.com
NOTES: Sells components for jewelry making and some finished lines. Extensive catalog with thousands of items.
Findings, stones, pendants, earrings, necklaces, diamonds and semi-precious stones as well as tools and equipment
for the beginning ot advanced jewelry maker—all at wholesale prices. No minimum order. Quantity discounts. Tax
ID number required.
Double Double Your Profits
A Little Known Technique For Warding Off Competition and Increasing Profits
It happens.
You come up with great idea, a hot market on eBay and WHAMM... about ten people start doing the same thing you
are and there go your profits.
It's not a total loss...you're still making money....but not as much as you could be.
For example a couple of TIPS ago I wrote about the hot market right now for Hip-Hop Jewelry.
Here's my suggestion for maximizing your profits: If it's a market you really want to make a lot of money in, register
a few new ID's on eBay and use each one to sell Hip-Hop jewelry on.
Many companies know that if they get a hot product they will eventually get knocked-off. So before you let that
happen- knock yourself off.
- DV |
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Entire Contents © Copyright 2001 by David Vallieres. All rights reserved. |