Make Money on eBAY - Low Sales Prices Can Lead to Trouble!

One of the biggest mistakes that we made when we first started on eBay was to establish a thriving business that was based on low-cost products. We thought we were going to amake money on eBay with these low-cost products. Yet along with low-cost came low-profit from each sale. Yes, there was a profit. Even with high volume, that profit just wasnt enough.

Since we have two households to support, we need a fairly high monthly income. To achieve that level of sales, we had to sell MANY, MANY, MANY of these items! Talk about hard work for low income! Yes, you can amake money on eBay with low-cost products, but the amount of work required is tremendous.

We soon found options that allowed us to continue with our current regular customers and our chosen market niche. These new strategies included bundling the products that we sold. We also added higher-cost products to our offerings. Finally, we expanded the higher-ticket offerings in our eBay store.

Bundling Products

We began to bundle our products. Rather than selling only one at a time, we began to sell groups of identical products. We also found that we could successfully group like products. Finally we found that we could take complimentary products and group them together into a single auction. While we didnt get higher individual prices with this strategy, by grouping products, we greatly simplified our total time for a higher return!

Higher Ticker, Higher Profit Products

We added higher ticket and thus higher profit products. These new products were still within the same market niche. They were also very complementary to our low-cost products. Thus our existing buyers were able to make the transition and began purchasing them. This strategy again helped to provide higher profit per item sold. It also significantly reduced the time require to make that higher profit level.

eBay Store

We added a large number of higher ticket items to our eBay store. As buyers found these new items in our eBay store, more and more sale began to occur. Soon the sales of these items began to help to offset sales of the lower profit items.

Establish Minimum price level

All new products that we add to the eBay sales mix are required to have a target auction sales price-level of at least $10.00. Even this may be too low. However, by implementing the tactics outline in this article in combination with this requirement we have been able to greatly increase our average sale and our average profit per sale. We test and make sure that we can achieve that target before adding large numbers of an item to our inventory.

There are many other strategies that could be used, including totally eliminating the low-cost items from sales.

Starting our eBay business with low-cost, lower profit items impacted the speed of our business growth. Dont make the same mistake. Be sure that you amake money on eBay by never selling low-cost items. Establish a minimum target sales price level for all items that you purchase for resell.

To Your eBay Success!

(c) Bob Hamilton 2007 All Rights Reserved This article brought to you by Online Auctions Made Simple Helping you get started on eBay Visit http://www.onlineauctionsmadesimple.net for a Free Dropship Report

Insurance for Singles - Do I Really Need It?

For the single man and woman, you will still need to take good care of yourselves and probably your parents. Hence, it is essential that you still cover yourselves totally on hospitalization by purchasing the integrated shield plan offered by the insurance companies.

Since you are independent, you may also want to purchase the Disability Income Insurance so that you still have continuous stream of income even if you cannot work to support yourselves. This income is useful for you to engage some help on nursing care and to pay off daily expenses. The Long Term Care Insurance, e.g. ElderShield offered by government, will also take care of you financially in case you cannot perform some of the activities of daily living such as washing/bathing, dressing, feeding, toileting, mobility and transferring in your old age.

And dont think that you do not need a life insurance policy just because you are single. You should at least get one life policy that cover Critical Illness so that you are able to use the payout for some treatment and medicine that you need to buy while recuperating at home.

Lastly, when you reach 55, you must buy the Annuity Insurance policy so that you have a permanent stream of income given to you as long as you live.

So with sufficient insurance coverage, you will still lead a happy single enjoying life after retirement. So start planning and take action now!!!

Ginny Lim Email: ginnylim@income.com.sg Web: http://www.aboutfinancialplanning.net