Monday, May 14, 2007

A Little eBay Stores Board Wisdom

I often read through the eBay Stores Discussion Board and often find some seeds of wisdom that I like to share with my readers. Today I found another great example of Stores Board Wisdom. Sellers should take heed to these words.

From Carl - User ID oldspartantrader: Post #32

There is NO way to plan around this mess

Right --- I think we are fortunate that eBAY is just a small "nut" in our overall basket -- as such any wave it makes -- and it makes far more than the rest combined -- is just a small ripple overall ---

I could not function as we do if eBAY was a significant factor in my business --- There is just no possible way that a company can ever reach its full potential using eBAY as anything other than an ancillary source of sales.

UNLESS a person wishes to limit themselves on purpose and with forethought to this place it should be no more than a minor piece of an overall business plan --- The venue is self limiting by cost -- exposure -- rules -- and indifference to the needs of a small business. -- AND

Should one choose to be predominately an eBAY seller their business will be in a continual state of flux till eBAY gets to where it wants to go -- THEN when IT gets there the seller may find themselves with a nose pressed to the window looking in.

There are just to many cheap methods of moving product -- especially in relatively small packets to allow a company such as eBAY be you planning manager.

With all that said -- eBAY can be a decent fit into an overall business structure --- It just gets old to have to continually make adjustments no matter how small --

We have made more small adjustments in a year to here than in the rest of our business combined --

eBAY requires more time per gross dollar than any other part of our business -- Course some part has to hold that title

eBAY requires more time per net dollar than any other part of our business -- Course some part has to hold that title

eBAY causes more frustration amoung staff than any other part of our business -- COurse some part has to wear that crown

eBAY appears to have less growth potential than any other part of our business -- and again some part must have that distinction also.

The worrisome thing is that one part hold all those titles -- The same part comprises far less than 5% of sales -- less than 3% of profits -- more than 25% of adjustment to market efforts and time -- More than 50% of the Excedrin budget -- WITH NO REAL END IN SIGHT

Our planning for the 07 Spike season began today and will be molded over the next 4 - 6 weeks -- We will be on eBAY more than likely for that period ---- BUT

eBAY is not part of the plan -- They will be the place to move leftovers and whatever else we have time to put together --- AFTER taking care of the areas that make us real money

carl

2 comments:

Sue said...

Last month I was at the eBay University in Coventry, and listened to a great talk by Channel Advisor, on eBay and moving beyond eBay. In fairness *to* eBay, they characterised using eBay to shift leftover stock as the sign of a mature business. eBay is *still* IMO a great place to get started, but as a major part of a long-term plan... probably not.

Randy Smythe said...

Glacier Bay DVD was nearly 95% eBay even to the end. We could not survive with that % of our business on eBay. Today you will see the successful business are making eBay a much smaller segment of their overall business.

Of course today there are many more options.