How do people manage to sell so cheap or why?

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Seller_eMkAyhq2RjdJW

How do people manage to sell so cheap or why?

I have been looking at tote shopper bags, cheap promotional ones being sold for £1.49. Taking in to account these would be large letter at £1.28 and then Amazon fees, they would be at a loss even if the got the bags free

Would these be loss leaders to get people to buy other stuff or engineered to create reviews?

Any ideas

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Seller_lljyzgTxr5fgI
Most helpful replyThis reply was marked most helpful by the original poster.

They could still be making 30% mark up even with all of those processes. Even on £1.49 a bag, it’s still possible. We have just bought 25 vinyl LPs. They cost us £2. Not each, the lot. Most of them are now listed on Amazon and other platforms for between £10 and £20 each and they are the lowest prices on all platforms. There, are huge profits to be made if you can buy at the right price.

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Seller_lljyzgTxr5fgI

Possibly both. However, the LL fee of £1.28 may not necessarily apply as it depends what sort of contract the seller has with what delivery company? It is possible to get LL sized items a lot lower than £1.28. Also, on £1.49, the Amazon fee would be around 25p. The seller could have bought a bulk load of these bags for next to nothing and still make a profit or they could be part of a job lot of something else and they just want rid. Even selling things for a few pennies profit adds up if you sell lots of them (ask Poundland) :slightly_smiling_face:

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Seller_amUAzjvL5uIzu

My lad sells on Ebay & gets LL 100g 2nd class for 66p

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Seller_PtSZDCRO4f7e5

My cost for 2nd class large letter up to 250g is £0.86 & I have only been in business since 2011 :stuck_out_tongue:

Plus they might be selling at a loss to keep metric defects low.

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Seller_DTufFoxJuMU0M

My large letters are 75p easily make a profit on £1.50 depending on cost of item. I sell some items at £1 free post and still make a profit - granted its not much, but theres little work involved and they cost me next to nothing to make.

Also if people buy doubles you’re flying, on the other place we offer a discount for multi purchases as it saves us the postage, but here they would get £3 and postage would probably go up to just over £1 or depending on the weight not at all

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Seller_x1xMSBwZsJrTE

They might not be aware how much they’re being charged in Amazon fees. There’s loads of sellers making a loss without even realising it.

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Seller_saK5Ah2SaNYjL

We sell our cotton tote bags for £5.99 on FBA.

We used to sell them on S&L but Amazon fudged that up. 28 wrong items sent and the fallout was too much for me. S&L saw buyers getting garage door remotes, golf tees, playing cards, you name it. TONS of negative seller reviews. NO thanks.

Now all our bags are sold standard FBA.

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Seller_PtSZDCRO4f7e5

It would be a good idea to have a small cheap item which you sell quite a lot of just to keep the metric defects down.

I have had to do that due to the increasing number of INR messages

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Seller_0wTxwqWmX6wBE

We do this all the time on several selling platforms to clear off competition mushrooms that pop up and also use specific products as ‘spinners’ that are sold at a loss to generate feedback and attract attention… or maybe the O.P has just got their sums wrong?

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Seller_ot1yoI6xVSF8j

I pay 70p for upto 100grams
99p for up to 250grams
£1.10 for upto 500grams

It’s about volume… Simples!

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Seller_DTufFoxJuMU0M

It could also be that the company just wants rid, maybe only keeps stock for a limited time, made money on the rest and just wants to not make a loss on whats left to free up space for something else.

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