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I dont get how they can sell for less than postage?!?!
 

So over the last year Ive gotten pretty good with finding things to sell on ebay and amazon and what not. However whenever I go on hunts for new product I always end up running into items that people sell for $1.25 w/ free shipping. I just dont understand how people can do this without losing their butts?! After Ebay/amazon fees, postage, packaging and product cost I find they must be losing up to $1 or more/transaction even if they got the product for free!

Ive read posts before where people explain it off as a tactic to get customers into their Ebay or amazon store but I don't see how that could work at all. Whenever Ive gone and bought a $1 item from somebody on amazon, that's it im done or i just go an look for the cheapest seller of whatever else im looking for, it doesn't draw me into their store at all.

Maybe all these people are stupid and just losing their butts on these small products but so busy selling larger product they don't see it? I find that hard to believe too.

Can somebody explain? Is there a way to get SUPER cheap shipping that I dont know about? lol

Stumped.

No one seems to know the answer when this question is asked on various boards yet plenty are doing it. It's been asked here before too

Feedback and making a dodgy account look good - quite cheap really
:pop2:

its to water down the dodgy items dsr's & negatives/neutrals.

Wondered myself for a while when I was doing seller research, they usually have some very safe low priced items that they sell tons of mixed in with VeRO (usually ⊗⊗⊗⊗).

This. I have always believed it is all due to ulterior motives. Common sense that no one is making money on 99 cent items.

I myself have a particular set of items that simply break even and make no profit. It's all to build my accounts and nothing else.

Wow - I cant believe in all this time that Ive been trying to figure this out I never thought of that!

Superb idea I must say............... Hmmmmmmmmmmmmm

As stated in the Freakenomics book I just finished reading - The best answer is almost always the simplest

Thanks guys - I feel so much better now knowing im not missing out on some hidden gold mine......... well not really.......... feedback mine? maybe.

they are bumping up scores, maybe to drown negs or low dsrs , maybe to concentrate attention from other things they sell and mix them in amongst them, sometimes people post from work so they dont pay for postage, I used to do that!!

Ha yeah @oompa, use your access at work to post and bill to company - bit sketch but hey who am I to judge. That is quite possible - or you piggybank on a company that does a LOT of mailing so the cost is pennies to them.

Well weight and size of item matters, you could possibly sell small and light items and break even or make very small profit on each.

Some do take a loss to increase feedback & dsr's, drive traffic, promote store etc

When I sell cheap items like this, my biggest factor for profit is buying the envelopes in bulk. Obviously buying the actuall item in bulk plays probably the biggest factor though, but this is the norm.

I am always wonder this question too. How? So cheap, is it worth their time to make so little money? Only they Know.....

I've stopped doing this because of ebay's limits on listings/$$$ ratio. Now that i have a few accounts up to 60 items. I may mix in some cheaper stuff

http://www.amazonsellercommunity.com...07513&#2607513

:clap:

Yeah I can't imagine that works at all to try and lure them into your "store" and never understood why people always bring that up as a reason. You're probably right, though.. I think most of it (aside from corrupt government employees -- redundant much? :D) is due to a bunch of noobs who get so excited over just selling their books at all that they never stop to think whether they're actually making a profit. Unfortunately when one person like this finally realizes how dumb they're being, there are already 10 more lined up to take their place. :doh: