July 18th, 2013
I had a nice talk with antiques and collectibles veteran Harry Rinker yesterday. Harry is 72 and lives in Michigan. He has been in the business 35 years. He is still having fun because of the changes in the industry thanks to the Internet. Here are some takeaways:
1. eBay has moved away from auctions, unfortunately, which has taken much of the fun out of shopping for antiques and collectibles online. But be careful with the Buy It Now prices. They are hardly accurate. They vary widely and you have to scroll extensively to find bargains.
2. Marketplaces like GoAntiques, TIAS.com, and Ruby Lane are doing well and have taken much of the business that eBay gave up when it abandoned the collectibles field.
3. Only a quarter to a third of antiques and collectibles sold online go to collectors. Most buy for decorative purposes. Many repurpose items and re-use them in their households.
I felt an affinity with Harry because he is making a living as a freeance writer thanks to the Internet. Our words don’t appear in print (for the most part) and it’s OK. “It’s a damn fine time to be around this business,” he said.
May 20th, 2013
I’ve just posted a 30-minute video on the Three-Part Profit Plan on YouTube. This is an interview of me that was done in Oct. 2012 prior to a public talk at Waubonsee Community College. You’ll find some background about how I became a writer and a PowerSeller on eBay. Most of the interview is about how to start an online business. I’ll provide links to specific parts of the interview in subsequent posts.
January 22nd, 2012
ECommerceBytes has an article today on Payvment and a new feature called polling. Polls enable sellers to instantly create polls about the kinds of products they’re selling. There’s also a “Want” button that shoppers can add to an item listed for sale. If a friend sees that you want the item, hopefully, that friend will end up buying it for you. It’s another way of integrating social media and selling–and that doesn’t involve setting up a website.
January 20th, 2012
My short news article on The Workshop at Macy’s is online at ECommerceBytes. You can apply for this program until Jan. 22. You need to be a female or minority designer of fashion, accessories, or other household items that can be sold in a retail environment like Macy’s.
We were hoping this would be something that mom-and-pop entrepreneurs could apply for. Winners get to go to New York for a few days of intensive business consulting and training. I was assured by Macy’s itself that it isn’t like that.
Apparently you already have to have a business of some sort, and possibly even a small boutique, to be chosen for the program. I found Nyla Simone, who was selected for the program last year. She designs custom furniture in Tempe, Arizona.
January 19th, 2012
A while back, a reader of my book Starting an Online Business for Dummies asked how much money she could expect to make online. I said there’s no good answer, but don’t expect to make a living at it, at least not off the bat. Think about your online business helping with expenses, at least initially.
I’m looking around the web for people who are “coming out” and being upfront about exactly how much they are really making. So here’s another perspective. Traffic Generation Cafe has been online for 18 months. In December, the site reports that it received 15K plus worth of visits, so it is living up to its name. The proprietor, Ana Hoffman, reports that her husband lost his job in December, so now she has to depend on her blog for real. She reports that the blog and related writing (guest blogging) and consulting generated about $3700 that month. But more than half of that came from a one-time source so she feels she really has to start working in earnest.You can read the breakdown here.
This is pretty good success in my book. It’s also a realistic picture of how to make money on the Web. She’s been at it for 18 months and now, when the pressure is on, is able to help her family big time. Good luck to her!
January 18th, 2012
I neglected to mention one more way to make money without a website. It’s something I wrote a whole book called Affiliate Millions about it with Anthony Borelli, who is the guru in this field. It’s placing very cleverly written Google AdWords ads, and other affiliate ads, that get people to click on them–a lot. With each referral, you make money.
Tony has made a lot of money this way. It’s not for the fainthearted though. It can be a little like day trading: you can lose a lot of money if people click and click on your ad and never take an action that generates an affiliate fee for you (in other words, they never make a purchase, they never take out a subscription, etc.). When it works, though, it can be very exciting. You can find out more about it on his website.
January 18th, 2012
Update: I thought of one more option for making money without a website. How could I forget that I co-wrote a whole book about this?
Amazon.com,Facebook, WordPress, storefronts, and e-commerce marketplaces: These are all potential “home bases” for you online. I used to write that you had to have a website in order to make money online. And websites are still important, don’t get me wrong. But there are a lot more options available these days. Here are some examples:
This is sort of the obvious place to start an online business. You can create an eBay Store, or you can simply list dozens, hundreds, or even thousands of products on this venerable marketplace without having a formal store. eBay is great as a starting point for anyone wanting to learn how to do business online. But more and more people, turned off by its fees and cumbersome rules for sellers, are turning to other venues to find customers.
Add on to Amazon.com
Some people–booksellers in particular–sell their books by adding them to Amazon.com marketplace listings. Their products show up here:
I wrote an article on ECommerceBytes about several sellers who, to my knowledge, don’t sell through a website, but primarily through Amazon, Alibris, and ABEBooks.
WordPress or Another Blogging Platform
A blog can take the centerpiece of your online presence. A platform as robust as WordPress can host a blog and lots of web pages. essentially, it is a website, but one that you can update by posting on a regular basis. My Buddhist meditation group, Jewel Heart, uses WordPress for all of its website content. In fact, if there is a blog on this site it’s a very minor part of the content.
A Facebook Kiosk
Facebook is good for marketing and networking and just having fun. Some people use it for e-commerce, too. You can sell on Facebook through an online kiosk. I’ve written about her before, but Kharisma Ryantori uses her Facebook page to advertise, and sell, her jewelry designs, as shown below.
Twitter: Sell Simp.ly
You can do more and more with Twitter. Some dedicated Tweeters advertise and sell products through the site in short and sweet sales listings. Read about it in this article on the site called Sell Simply.
The bottom line: you need a “home base”, but that doesn’t mean you need to create a website from scratch. You can grow into a website, but you don’t have to start there. Start by piggybacking onto someone else’s site, whether it’s eBay, eCrater, Facebook, or Twitter. Get used to creating sales listings and handling a few transactions. Then you can create a website with confidence–and link to your various marketplaces from it, so can you boost your SEO.
January 17th, 2012
Pricing merchandise is one of the key functions for anyone who sells online, whether you have a few items for sale on eBay or Amazon, or whether you operate a full-featured store with a 1000-item catalog.
Assigning the right prices and staying competitive with those prices can be a frustrating and time-consuming proposition. You want to make a profit, so your price has to be higher than what you paid for the item you’re selling (unless, of course, you’re unloading inventory that never sold in the first place). But it needs to be either the lowest available or at least very close to the lowest when compared to your competitors.
The difference is often a matter of a few cents–or even one cent. Take a look at one of my own books, which you can find on Half.com. It’s kind of painful to look at the prices being offered when you consider that the book sold for about $24.99 retail when new. But this is an old edition and out of print.
If you can’t read this, I’ll tell you that the four prices for this brand new book are (sigh) $1.89, $1.00, $0.99, and $0.97. (You wonder why I don’t write books for a living any more?) Let’s suppose that, for some reason, you wanted to buy this particular edition of this book. Would you pay $1.89 when you can pay $1.00? Would you pay $0.99 when you can pay $0.97?
That’s the problem lots of businesses face, but on a much larger scale. I just spoke to the owner of a company in Wisconsin who has hundreds of items in his product catalog and who sells on eBay. He and his employees used to scan through listings manually and adjust prices so they were the lowest. But the manual route is extremely time-consuming.
“Even if you factor only 2 minutes per product with 200 products you’re talking about over 13 hours a day of work if you do it twice a day,” says the businessperson, who asked to remain anonymous. “Never mind the fact if you tried to pay someone to do that all day every day they would be burnt out before the first week is over.”
Once you get past 100 items in your catalog, it pays to pay a little money for a pricing tool. This sort of tool can be configured to search for items similar to yours and make sure you have the prices you want. You can tell the tool you want to be the lowest, second lowest, or third lowest. You can tell the tool to make sure your items are one cent lower in price than those of your competitors. Here are two such tools:
- In ECommerceBytes recently, editor Ina Steiner wrote about a pricing tool for Amazon.com sellers, Teikametrics.
- I just interviewed the developer of a pricing product for eBay called PriceSpectre.
I’ll be writing about PriceSpectre in more detail after that article comes out. The point is, no matter how much you sell, once you put your items online, keep checking prices against the competition to make sure you’re positioned correctly–especially if you are in a super competitive field like electronics, digital media, or books. Whether you do it manually or use an automated software program, you’ll end up with more sales. Even if your profit margin is a little lower than it would be otherwise, you’ll be better in the long run because you’ll have more loyal customers and hopefully more repeat business.
January 14th, 2012
Here’s my idea of the day. You can have it for free (for what it’s worth): BookBox. It’s based on the Redbox movie rental system. I went to a Redbox last night and impressed my daughters: “Where does the movie come out of?”
So, at a time when bookstores are struggling, why not a BookBox? Put it next to the Redbox. Put in some best sellers as well as some literary award winners. Swipe your credit card, and out it comes. I walked past the old Borders on North State. All the awnings are still up but the place is totally empty…so sad.
The name “Book Box” is already being used at a wonderful place in Chicago. It’s actually one of my favorite bookstores: Shake, Rattle, and Read, on North Broadway. Here’s a good image of the store at night. They specialize in pulp fiction.
January 13th, 2012
Banks have been getting a bad rap. They’ve also (happily) been having a lot of their ability to charge excessive fees taken from them.
At least one is looking for new opportunities by getting into e-commerce. Not by opening an eBay Store, but rather, by helping other people open online stores. Chase Bank has launched an Instant Storefront Solution, and I write about it on ECommerceBytes. If you’re looking for a merchant account that enables you to accept credit cards, this is a good way to get it. It’s based on the popular Miva merchant platform. BTW, check out the killer graphic by David Steiner that accompanies this article: “Just Add Inventory”!
Maxine Durkee, owner of the Heavy Weight Collections online store, says Chase Instant Storefront gives her site’s shopping experience a sense of security.
“Our banker was visiting our retail store during our beginning months and he mentioned that they had developed a relationship with Miva Merchant and I should take a look,” she told me. “When I checked them out, I saw that I would have lots of freedom with design and a basic starting point had already been developed if needed. They gave you a choice of a free template upon signing up and didn’t lock me into some long contract if I decided the solution wasn’t what I needed. We already had a design idea so I selected a template that was close to what we wanted to start with and we gave it a try.”
As you might expect, there are fees associated with opening a Chase storefront. The $100 setup fee is sometimes waived during promotions. And there’s a $39.95 fee for hosting. Then there are transaction fees. Sounds like Chase Bank, all right!
You may also have seen commercials for Chase offering a QuickPay product in which one person can transfer money to another person. To my surprise, there’s no fee being charged for this. It also sounds a little like the InspirePay service I wrote about recently, in which artists can get paid for their work by people who want to pay them online. InspirePayj, though, lets you set up a “Pay Me” or similar button on your website, so it’s not quite the same thing.