Wednesday, July 26, 2006

How to beat the eBay Drop-off Stores

Many Trading Assistants get nervous when they see a new retail eBay Drop-off store come into the area. The typical TA mindset is that all of their potential customers will go to drop-off store instead. Well, I can tell you for sure that this is not the case. There will be the occasional client who will use the store for the convenience factor. But more likely, people are going to shop around especially when they see the store's commission rates (typically between 30-40%).

There are many ways to beat these guys at their own game. Many new storeowners must advertise heavily to bring in customers. Their advertising will help create a general awareness to the community about the eBay Trading Assistant business. This would be a good time to advertise your TA business with flyers, business cards and more.

Here are a few more things a Trading Assistant can exploit:
  • Personal service: Stress to your clients your eBay skills and motivation as the owner of the business (not just some employee).
  • Sell items that they Don't: Furniture and other large items are a niche area that most drop-off stores do no want to deal with. These items can be very profitable and usually leads to other items after they become your client.
  • Lower Commission Rates: Drop-off stores have to spend a lot of money to keep their doors open. Their rates are usually higher due to the increased overhead. Any TA can charge a lower amount and still make a decent profit margin.
The success rate of eBay Drop off stores is dismal at best. Most are closed within their first year of operation. So don’t get nervous about competition…take advantage of it!

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