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Another Ebay and reserves thread
Barry
Posts: 10,100 ✭✭✭
Let's say you have an item you want to sell for $1000 as a minimum (aka, reserve)
If you start the listing at $1000, you pay a $4.80 insertion fee and a $30.56 FVF fee if it sells.
If it doesn't sell you pay only the $4.80.
If you start the same item at 99 cents with a reserve of $1000, you still pay the $4.80 insertion fee and a $30.56 FVF fee if it sells.
If it doesn't sell you pay a $10.00 reserve fee, too (the fee being 1% of the reserve), for a total of $14.80 for the listing.
If it's a $5000 item started at $5000, you still pay $4.80 if it doesn't sell. However, if it's an auction with a $5000 reserve, you pay $54.80 if it doesn't sell.
So, if you won't sell for less than a certain price, doesn't it make more sense to start the item at that minimum rather than play the reserve game? Does a realistic starting price drive away more than a reserve? Or am I missing something?
If you start the listing at $1000, you pay a $4.80 insertion fee and a $30.56 FVF fee if it sells.
If it doesn't sell you pay only the $4.80.
If you start the same item at 99 cents with a reserve of $1000, you still pay the $4.80 insertion fee and a $30.56 FVF fee if it sells.
If it doesn't sell you pay a $10.00 reserve fee, too (the fee being 1% of the reserve), for a total of $14.80 for the listing.
If it's a $5000 item started at $5000, you still pay $4.80 if it doesn't sell. However, if it's an auction with a $5000 reserve, you pay $54.80 if it doesn't sell.
So, if you won't sell for less than a certain price, doesn't it make more sense to start the item at that minimum rather than play the reserve game? Does a realistic starting price drive away more than a reserve? Or am I missing something?
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The name is LEE!
& the sellers rep, and refunds policy too.
I don't mind paying eBay listing and selling fees, nor do I begrudge Paypal their fees.
Where else am I going to get this kind of system with checkout, billing, and reminders for approx. 15% of selling price.
Now if you lose money on the sale of a certain coin I can understand the concern with the cost of selling, otherwise, still the best deal in town.
is that you end up being governed by inferiors. – Plato
If it is something that is thinly traded where I might only have one bidder, I use BIN/best offer.
If it is something that I expect plenty of interest in, I list it with no reserve and start the auction low.
I don't have a problem with reserves as a bidder. I know what I want to bid and it either meets the reserve or doesn't and then I move on. As a seller I know many people don't even look at them and I never use them. A BIN is basicly a revealed reserve if you only expect one bidder.
--Jerry
The owner started it at $.99. PCGS lists it for $7500.
<< <i>Wednesday January 24, 2007 10:17 PM
Why are there reserve auctions? Why don't they just set the minimum bid at the reserve amount? >>
And you have now proven that mathematically, this minimizes the seller's fees, whether the item sells or not.
An authorized PCGS dealer, and a contributor to the Red Book.
<< <i>There is NO WAY IN HELL I would give PayPal 3% on a $7500 coin. >>
And a lot of bidders will refuse to bid on your coin if you don't.
Russ, NCNE
to start the item at that minimum rather than play the reserve game?"
/////////////////////////////////
Yes it does.
Doing otherwise is just too risky on today's EBAY. Auctions
simply do not work as well as they used to, unless your
item is very sought after.
I am not interested in paying EBAY and PayPal to "help me"
give stuff away to sharpshooters and bargain-hunters. If
bidders do not like my opening bid or BIN, they can simply
move-on to a different listing.
If I cannot get what I want for an item, why should I sell it?
Better to keep it and try again later.
<< <i>If it was mine it would not be for sale.
The owner started it at $.99. PCGS lists it for $7500. >>
Dealers and high end collectors will have interest in this ..but it takes cajones