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Doing all of this and still making profit?
 

While I've been browsing on ebay to gain knowledge on what others sell, how they price their items, etc. I found this user:

http://www.ebay.co.uk/sch/bessky_sta...?_trksid=p3692


Can anyone please explain me how he's really making money out of all this?

I browser and he has 42900 listings that would cost at least 1-2k a month to have listed and most of his sales range in the 0.99 with free shipping from China. And I am sure about the fact that he's not doing all of it for free or for a loss.

I really don't understand how can this setup bring profit ( I know I won't get specific answers about how he does it but I'd appreciate any hint for my mental sanity:) )

Any opinion is appreciated

Re: Doing all of this and still making profit?
 

I guess he is making money from quadcopers and all the other electronic stuff he is selling:

*** WARNING EBAY LINK ***

http://www.ebay.co.uk/sch/m.html?_ss...y_star&_sop=16

Look at shipping prices for those.

Re: Doing all of this and still making profit?
 

thanks for your advice ilcarletto but what would be the logic behind selling all those $1 free shipping items? He already got plenty of feedback and why shouldn't he just cut his losses and keep only the profits flowing?

Re: Doing all of this and still making profit?
 

What many big sellers do is setup their stores to sell what they want, i.e. Drones etc., which they sell at their chosen price.

Things like Drones and other consumer electronic products have a high rate of faults. Its not really the sellers fault, all electronic products are prone to faults despite how much testing goes into them.

So big sellers will then sell items for 99p alongside their drones etc. which they have no intention of making profit, but rather they sell these to a) gain feedback, and b) dilute the % of negative ratings, which in turn keeps their seller metrics in good shape.

Hope that answers your question ;)

Re: Doing all of this and still making profit?
 

Yes, now everything it's clear. I really appreciate your input on the matter.
Got a lot to learn and probably more newbie questions will come soon:)

Re: Doing all of this and still making profit?
 

So these guys are just drop-shipping the 0.99 stuff off like AliExpress typically I would think?

Re: Doing all of this and still making profit?
 

Pretty much, or they have a supplier that will ship the items at break-even cost or they are willing to take a loss.

Re: Doing all of this and still making profit?
 

Sorry but there's no f-in way the seller mentioned in this thread is a dropshipper. The seller has over 13,000 feedback in the past month so they're filling at least 50k orders monthly. I can say with confidence this company is fulfilling their own orders.

This is just the typical Chinese trading company with an Ebay store. They're probably manufacturing a lot of the stuff they sell themselves, then sourcing the rest from nearby factories in China. Even in China you aren't going to find a company to dropship with who's willing to fill your orders for 0% profit.

Shipping costs are government subsidized in China so the Chinese are able to ship an item for pennies where in any other country you'd pay a couple dollars (or the equivalent). I took a quick look at the seller's store and they are charging fairly high postage costs on the majority of their cheap auction listings. The differential between the postage cost they are charging on their listings and the actual subsidized E-packet postage cost they are paying is where their profit is coming from.