Wholesale Business Article Competition - Submission Thread - The Wholesale Forums
 
 
 
Home  |  Register  |  Members  |  Calendar
Welcome to the The Wholesale Forums. All times are GMT +1. The time now is 07:22 PM.

The Wholesale Forums > General Business Discussion > Business Articles and Resources » Wholesale Business Article Competition - Submission Thread

Closed Thread
 
LinkBack Thread Tools Display Modes
Old 16-05-2008, 05:54 PM   #1 (permalink)
Anthony
Community Administrator
 
Anthony's Avatar
Anthony is offline

Join Date: Jul 2005
Location: UK
Posts: 10,090
iTrader: (9)
Thanks: 32
Thanked: 73 Times in 56 Posts

Arrow Wholesale Business Article Competition - Submission Thread

TWF - Wholesale Business Article Competition - May/June/July 2008. (Main Thread)

Please only use this thread to post your article(s) into the competition.

Please also remind yourself of the competition rules (briefly listed below) by visiting the full announcement thread before submitting.

Quote:
Rules

Please pay careful attention to the rules of this competition before entering.

* All entries must be submitted to this thread before the end of the competition which is: Friday 2nd May 2008. [Competiton Extended! - Closing Date: Monday 30th June!]

* There are no maximum entry limits per member, you can enter as many articles as you wish into the competition.

* The article you submit must:
  • Be your own work, must not be copied from another location, nor taken without prior permission of the owner.
  • Be a minimum of 200 words.
  • Be related to wholesale business and applicable to our community.
* You may use an article you have already published, you must however accompany this article with a unique article you have written strictly for this competition. (or an article that has yet to be published!). For example; If you are a member here who has already written a successful article, you are encouraged to submit this article for consideration, you must however submit a unique article (not already published) in combination with your submission.

* The article must be wholesale business related, examples of such content can be found in our articles section on the forum.

* The winners will be chosen by the moderating team at TWF, only one prize per individual member will be awarded.

* You formally agree to these rules and the disclaimer stated below upon entry into this competition.
Please only use this thread to submit your article(s) into the competition, for all non-submissions please use this thread.

Good Luck!
The Team @ The Wholesale Forums

Last edited by Anthony : 30-06-2008 at 12:15 PM.
Old 16-05-2008, 05:57 PM   #2 (permalink)
Anthony
Community Administrator
 
Anthony's Avatar
Anthony is offline

Join Date: Jul 2005
Location: UK
Posts: 10,090
iTrader: (9)
Thanks: 32
Thanked: 73 Times in 56 Posts

Thumbs up How to build the foundations of your online business through eBay

How to build the foundations of your online business through eBay

Your months of planning and designing of your attractive website have finally come to fruition. With thoughtfully selected inventory and perfectly composed product descriptions, your online business has many factors that will propel it to success.

However, even if you own the best website with the hottest in-demand products, without a customer base, your online business will not be profitable. With the high costs of PPC and advertising campaigns, marketing your online business can be difficult on any owner’s budget.

One of the most affordable ways for your new online business to immediately generate revenues, while simultaneously branding and marketing your website, is selling through eBay. Not only can you quickly begin generating sales, but you are also developing your client list, organisations reputation, and branding for the long-term. Building the foundation of your online business through eBay provides you with income and financial stability in the short-term, while benefiting your branding and investment in the long-term.

eBay strategies that develop a long-term client base and revenues

Like any other marketplace, in order to build your business and revenues, selling on eBay requires strategy and business fundamentals. To be successful on eBay, there are several strategies and tools that can quickly make your online business prosperous:

1. Brand your eBay store to complement your website strategy.

It is important to ensure that all of your branding and marketing efforts are complimentary, and eBay is no exception. If possible, have your sellers username on eBay match your website domain or company name.

2. Start small: trial and error process.

Selling on eBay requires the understanding of consumer psychology, which varies depending on the industry and products you are selling. Before inundating eBay with your entire collection of inventory, run small trial batches first to help understand what motivates your potential eBay customers. Change different parts of each auction and evaluate what provides you with the highest return:
  • What starting price eventually fetches you the highest ending bid?
  • What auction time frame provides you with the best income results?
  • Which product keywords and catch phrases attract buyers?
  • What title headlines generate the interest?
  • Which photos are the most successful, both in the ad and as the thumbnail in the product listing pages?
  • Do your “buy it now” auctions generate more interest?
3. Monitor your competitors.

Research your PowerSeller competitors on eBay and understand their selling strategies: pricing, auction time line, photos, page design, etc. Ascertain what they are doing that makes them successful on eBay, and how you can incorporate and build upon their strategies.

4. The customer is always right.

When you are building the foundations for your online business on eBay, client satisfaction is a critical priority. With the reputation of sellers playing a large role in income generated, make sure that your clients walk away happy from your auction. Respond promptly to questions and order enquiries, and you can quickly develop a loyal client base. Customers like to feel that they are important, and if you can respond to all of their needs, you will quickly build a successful eBay and online business.

Although there are financial uncertainties during the start-up phase of your online business, you can quickly find revenue stability through selling on eBay. Not only will you generate income promptly, but you can build the solid foundations of your online business by gaining branding and a long-term client base.

Happy eBaying!
Old 16-05-2008, 06:03 PM   #3 (permalink)
Anthony
Community Administrator
 
Anthony's Avatar
Anthony is offline

Join Date: Jul 2005
Location: UK
Posts: 10,090
iTrader: (9)
Thanks: 32
Thanked: 73 Times in 56 Posts

Default PayPal vs Merchant Account

Posted by Saajan

My article will discuss in the pros and cons of using a Merchant Account and PayPal online for processing credit / debit cards. I will point which method is suitable for sellers on eBay and business which operate online (having your own shopping website)

PayPal

Whether you’re an eBay seller or run your own online shop, you would have come across PayPal one time or another. PayPal is a simple solution for accepting credit and debit cards online. Since PayPal is owned by eBay, it is the preferred payment method on eBay as it’s integration with eBays checkout system is hassle free and straightforward.

Many people who have their own online shopping sites accept PayPal because for the same reason. Many shopping cart scripts such as CubeCart, osCommerce and ZenCart have PayPal payment modules already setup for you, and all you have to do is enter simple details such as your email and default currency that you use and from their, you can start processing credit / debit card payments instantly.

The main reason why sellers accept PayPal is due to the fact that it is used mostly everywhere online and buyers seem to favour PayPal alot plus the low cost fee’s which PayPal offer are suited to most businesses budgets. There are no monthly fees, no setup fees and no gateway fees.

Websites which have large client bases offer PayPal as a payment method.

Some examples are:
  • Dell
  • eBuyer
  • Dabs
  • GoDaddy
What is required when signing up to PayPal?
  • To sign up to PayPal all you need is:
  • A business or home address
  • A credit / debit card
  • Bank account
  • eBay account (optional)
Merchant Account

A merchant account is a special account that is setup for a business to accept and process credit cards. After processing a customer’s credit card the transaction goes through a series of complex stages. The money transferred through the merchant account is then deposited into the business's checking account within 2 to 3 business days.

A business often upgrades to a merchant account when they realize their company is ready to grow, and then they begin to consider the advantages of an e-commerce Internet merchant account. But to apply for a merchant account isn’t so easy. The process is very complicated and there are a lot of requirements.

Here's what you may or may not (depending on the provider) need in order to obtain your merchant account:
  • Business checking account (some providers set you up with one).
  • A copy of a voided check (if you use your own business checking account for funds to be deposited in).
  • Articles of incorporation, business license or reseller license. (A 'Certificate of Assumed Name' from your county Register of Deeds office may be all that is required. These only cost around £8.) The purpose of this is to prove you are a legitimate business.
  • Pictures of business office and location (this extra step can save you money in credit card processing costs).
  • Photocopy of your return policy information
  • Provide trade references
  • Photocopy of recent tax returns (may or may not be needed depending on monthly sales volume you expect through your merchant account)
  • Site inspection (have a photographer come in and take pictures of your inventory). Only a handful of providers still require this.
  • A photocopy of your drivers license
In order to process credit and debit cards through your merchant account, you need to decide which processing solution is right for you:

Retail Swipe Terminal

This particular solution is for retail and storefront merchants who see their customers face-to-face.

Real-Time Processing

This is the solution for businesses on the Internet. Real-Time allows you to automatically process credit card orders through your merchant account with no assistance needed on your end.

Virtual Terminal

If you are a merchant on the Internet and expect to receive orders via phone, fax or mail then getting a Virtual Terminal solution (along with a Real-Time processing solution) is the best route to go.

For the purpose of this article I am going to talk about real-time processing which is done over the Internet. Real-time processing is preferred due to its speed and agility. The credit / debit card is automatically processed as soon as the order is submitted and an immediate notification is then received by the customer regarding the acceptance of order and fund transfer.

Real-time processing is the best for high volume sales and the servers used are generally encrypted and secure. With real-time payment processing you not only get to save time but it also eliminates any manual processing needs, reducing the risk of potential fraud and offers greater protection.

With a merchant account you get a more flexible real-time payment processing options.

Merchant Account Fees

These are the typical fees you will see associated with a merchant account. Rates will vary from one provider to the other.

Application/Setup: £0 - £100+ (one time fee)

Most providers have an application fee. Some charge it right out at the beginning, while others add it into the solution purchase/lease costs. Some providers do not have an application fee at all.

Hardware/Software Costs: £99 and up or Lease: £20/month and up.

One important note worth mentioning here, though leases are sometimes beneficial to you because they keep you from paying up front for a terminal, it's usually much better to purchase from the beginning than pay a lease for the next 12, 24, 36 or 48 months. Why? With a lease you'll end up paying sometimes 3 times or more then if you would of just purchased the solution outright from the beginning. While a £29.95 monthly lease for 48 months sounds good in reality it isn't. Leases are very hard to get out of once started. If your business goes under before the 48 months are up, you still have to pay on the hardware/software costs until the last penny has been received by the leasing company.

Transaction: £0.20 - £0.50 per transaction

A transaction fee is also deducted from the purchase cost. Transaction fees are lower for retail businesses while slightly higher amounts are charged for Internet based businesses.

Gateway Access: £0 - £25+ per month

Since in most cases, the secure payment gateway provider (e.g. Authorize.Net, VeriSign etc.) is a separate company from the Merchant Processor, they charge extra fees. For every month that you are on their system, you usually pay an access fee.

Statement: £0 - £15 per month

The statement fee is charged because at the end of each month you will receive a statement from your processing bank that will list all the transactions that went through for that particular month. It's very much like your telephone bills.

Chargeback: £5 - £35 per instance

A chargeback occurs when the cardholder disputes a charge that they found on their monthly credit card statement. A large number of charge backs can cause your merchant account to be dropped totally and leave you in a mess when trying to get another merchant account for your business. If this is the case you may not be able to get another merchant account for several years. As a merchant it is important that you take the necessary steps to reduce and potentially eliminate the risks of charge backs.

Annual Fee: £0 to £100 per year

Some credit card processors will charge this fee just as additional way to pay for maintenance and system upgrades.

Calculating the costs of one sale

Example A = A website which sells electrical items and only offers PayPal
Example B = A website which also sells electrical items but the business has a online merchant account.

Both of the websites have monthly sales of £1500 or lower.

If a customer bought an item from Example A which cost £100 including shipping then PayPal would charge:
100.00 GBP
- 3.40 GBP (3.4% PayPal transaction fee)
- 0.20 GBP (PayPal fixed fee)
= 3.60 GBP (PayPal Fees)

The final sale price after fee's would be: £96.40
If another customer bought the same item from Example B, the fee's would be:
100.00 GBP
100.00 GBP = 100.00 GBP (1 GBP = 1.00000 GBP)
- 0.00 GBP (2.5% Currency Conversion Fee)
- 0.50 GBP (0.50p transaction fee)
= 0.50 GBP (Merchant Account Fee)
The final sale price after fee's would be: £99.50

BUT

You have to remember the other monthly fee's in which you have to pay:
Gateway Access: £25 per month
Statement: £10 per month
Annual Fee: £100 per year (spilt it into monthly fees which would equal £8.33)

Last edited by Anthony : 17-07-2008 at 02:36 PM.
Old 16-05-2008, 06:04 PM   #4 (permalink)
Anthony
Community Administrator
 
Anthony's Avatar
Anthony is offline

Join Date: Jul 2005
Location: UK
Posts: 10,090
iTrader: (9)
Thanks: 32
Thanked: 73 Times in 56 Posts

Default Deciding out of the two?

Posted by Saajan

Deciding out of the two?

From my personal experience I have only used PayPal to accept payments online. I run a webhosting business and that too uses PayPal as a primary payment method due to the fact that PayPal offers a subscription service, which would automatically bill the client on a specific date.

But there are quite a few downsides to PayPal and many people will tell you about PayPals habit of freezing or unexpectedly closing accounts. There is also the issue of chargebacks and unconfirmed addresses which leads to the loss of money.

I highly suggest that people who are thinking of having a online shop should start off with PayPal. It will be easier than a merchant account and much more efficient due to the fact that you won't get much sales at the beginning.

Once you build up your client base and when the number of orders increase, it might be a good time to see if a merchant account would be beneficial to your business. It would even be good if you had a merchant account and offered PayPal as well.

But the thing is, a merchant account would be useless on eBay which is why you need to offer PayPal as well. By not accepting PayPal on eBay, you will not have as much customers then you could potentially have.
So in conclusion, offering PayPal at the beginning is the way to go and once you build your business, sign up for a merchant account but don't stop accepting PayPal.

Thank you.
Old 16-05-2008, 06:07 PM   #5 (permalink)
Anthony
Community Administrator
 
Anthony's Avatar
Anthony is offline

Join Date: Jul 2005
Location: UK
Posts: 10,090
iTrader: (9)
Thanks: 32
Thanked: 73 Times in 56 Posts

Default How to enter the world of retail

Posted by Xplosion

How to enter the world of retail:

This article will be based on personal experience and will provide guidelines and tips for newbie’s on how to start setting up a business that is successful and sustainable.

So how did I start?

My first foray into the world of retailing was like most of us through Ebay, at that time, it was the year when PS2's were highly popular and I was a student at university. I was originally looking for games for my own PS2 however found them relatively expensive and by chance I came across a listing for "Magic Swap"

At that point, I had no idea what "Magic Swap" was and had to do my own research through Google and other forums. Magic Swap was a system that let you play pirated games on your Playstation 2 without having to chip them. I went through the purchase and tested the product, at that point I noticed that the instructions with the product were absolutely rubbish, the seller was not willing to help me use it and I basically had to fiddle around with it for 30 mins or so before it got working.

Once it started working, thats when the idea came to my head, the issue was not the product but the additional information that was provided with it,
A.) I had never heard of Magic Swap and I was pretty clued up about Playstation 2's
B.) I had no clue how to use it, neither did the seller help
and that is where I spotted the niche as per say, you see, a "niche" isn't necessary a product that other people don't sell, it could be a method of selling, what you provide with that sale, how you explain the item and its uses etc so all I did was make my own manual using a digital camera and a word document, explained on the eBay page in detail what the product was and how it worked and how it could help you save money and provided customers my number so I could explain the process should they get stuck. Obviously I stated that it is illegal to use pirated games and it was the buyer’s choice as to what to do with the item.

My first "wholesale" purchase was off another Ebay seller who offered me a discount for buying in bulk and I also saved P&P as I went to collect the items. They flew out like hot cakes because people who didn't know what it was (Like me and teenagers parents) suddenly saw an opportunity to save money and the ability to call me to enquire about any issues resulted in great feedback. I made around £600 in two weeks because I could price my product higher then competitors even though it was the same item. However their were lessons to be learned:

A.) I was involved in a product that was borderline legal
B.) I got into selling the product near the end of the PS2's life cycle
Then, came the day Ebay decided to ban listings for Magic Swap and my income went down the pot. Hence, its just as important choosing a relatively sustainable product and is clearly legal although profit margins will seem lower, you can at least grow your business.

What do you as a newbie?

This has been stated many times on the forum "Do not fall for ridiculous prices", it amazes me how many people think wholesaling/retailing or any business is easy and fun hence if it sounds too good to be true, it usually is.
If you're not prepared for hours of trawling on the internet, emailing 100's of potential suppliers, spending hard earned money, dealing with customers or putting some sweat into what you do, then it will never be sustainable and profitable. However, the fact that you are reading this article already shows an eagerness and willingness to do research so keep going strong.
I learnt the hard way when I dealt with a product that was borderline legal as when Ebay banned it, I was left with stock that I couldn't shift. So here are a few tips on what steps a newbie should take before even spending a pence.

1. Choose carefully what you wish to deal in, ideally if you have specialist knowledge of the item, you are already at an advantage. Alot of us sell ourselves short but each of us are experts at one particular topic, its just a matter of realising this. When do your friends always come to you to ask about something? What do you naturally advice people on? Make a list of what you believe you have good knowledge off or better still, ask your closest friends and relatives.

2. Research the list
- Who else sells them?
- Who would buy them? and Why would they buy it?
- Where can you get it from? (think of the local vicinity first if you're starting out)
- How much do others sell it for?
Then the most important thing is to crunch your numbers, do this for every single item you think is viable, as it always throws up surprises, a great tool for those who wish to sell on eBay is www.qicture.com

3. Spend a few pounds on registering a domain. It doesn't matter if you haven’t got a website, the greatest benefit will be having a email address associated to the domain instead of having a free one, i.e. if you wish to sell pet food Untitled Document then you can set up an email account such as
info@feedme.com , sales@feedme.com , whatever you wish basically however even though you are just one individual, it will give your potential suppliers an image of an organised firm and will make them more willing to deal with you.

4. Register a business name - this can be done for around £30 and through the internet and it will be registered with the companies’ house so you will have a company number that you can state during correspondence. You don't need a fancy office address or a £100,000 in stock before you open a company; use your home address if you wish. If you are not sure about which product you wish to deal in, simply choose a generic name ABC Trading etc.

5. Most IMPORTANTLY be prepared to put in HARD work, you only get out what you put in, - Its that simple, otherwise everyone would be a millionaire.

Good luck with your future ventures and I hope you enjoyed the read
Old 18-05-2008, 07:10 PM   #6 (permalink)
Pete
Community Advertiser
 
Pete's Avatar
Pete is offline

Join Date: May 2005
Location: US PayPal Verified Since 2001
Posts: 2,480
iTrader: (1)
Thanks: 0
Thanked: 86 Times in 73 Posts

Default It normally takes around 5 to 7 exposures to a product

I thought I'd follow up on my Award Winning article from the
last competition.

It was entitled "Legal SPAM" and related how it is perfectly
within the confines of the CAN-SPAM Act and similar
regulations to have a series of "Transactional or
Relationship" messages. It discussed using order
acknowledgements, shipping notices and follow-ups to not
only maintain customer contact, but to develop additional
sales.

I am going to build on that previous article and disclose
ways you can maintain continuing customer contact by email.
There is nothing sinister in what I'll discuss and you can
use it all to help grow your business with email, while
remaining a good guy in the eyes of your customers (or
prospects) and regulators.

I can actually define the entire article with one word -
"autoresponder". Most of you are familiar with it. Many have
one available as part of their email package. You know,
where you can go in and say "I'm out of the office today,
but will return on Monday the 27th" or some similar message.
Then everyone who emails you during the period before the
27th automatically receives the message soon after sending
theirs.

If you don't have one, or never used one, I'm sure you have
received a reply from one somewhere along the line.

Well, that's not the type of autoresponder I'm going to be
discussing. Sorry, there is actually another type of
autoresponder, one that is properly called a "Sequential
Autoresponder". It also sends out "pre-recorded messages",
but it doesn't send just one. It sends an entire series of
them, on a schedule that is pre-determined by the sender.
And an autoresponder (I'm going to use that term for the
sequential type, as that is what they are generally called)
of this type is as essential to anyone selling online as
their delete key.

Most of those messages I mentioned in the previous article
can be sent automatically by an autoresponder. Here's a bit
of an overview. You get a new order in and it's run through
the payment process. At that point your payment provider
(PayPal, etc.) is going to send an email to your customer,
acknowledging the purchase. Great! But, that same purchase
process can trigger your first "thank you" message to your
customer. It will add their name and email address to your
autoresponder and the spaced messages will follow.

Three days after purchase a "follow up" message may go.
"Thanks again for the order, just want you to know we are
actively working on it and it will ship in a few days. By
the way .........." A week later a "hope you've received
your order" message, with a new sales item. Then a week or
so later another "Is your order satisfactory, we want to
make sure you are happy" message with another suggestion of
items happy customers buy.

Now there is something common to all of these, that was
discussed in the earlier article. They all are clearly
marked as being from your company. There is nothing
misleading about the return address, in the Subject or From
areas and there is full contact information for your
company. All required by CAN-SPAM. Full disclosure, no
deception.

And, there is one more thing included. At the tail end of
each is an "Opt-Out" link for them to use to remove
themselves from your mail list. You make it clear that they
can leave any time they choose. This "keeps you legal".
Since they came to you and bought, you do not have to have
them "Opt-In", they did that when they bought. But you are
offering them the chance to leave with every message, so
staying is their choice.

Since they've chosen to stay, you can continue with your
"Permission Based Marketing." It is important to do this
because it normally takes around 5 to 7 exposures to a
product or service before most people will buy! That means
that a single message now and again will not do the trick.

A well planned, continuing marketing plan geared not only
to sell a single product, but to keep your "brand" in front
of a willing audience can result in significant sales
increases for your business.

This applies also to others who ask to be included. If you
are not presently capturing at least the first name and
email addresses of your visitors, you should begin today.
The best way to do this is a free offer of some sort. If
you are selling games, a free book on cheats.

Selling clothing, a course on color blending or seasons.
Computers, how to childproof your Internet connection,
etc. There any number of ebooks, texts, newsletters and
more that you can offer as an incentive to simply give
their name and email.

All autoresponders come with a "form maker" that will let
you make the sign up block. There are a number of templates
for adding the form to your page, or you can simply have
a block with the form inside. Sign up for our free
newsletter and you can instantly download the entire plays
of William Shakespeare.

As mentioned above, this type of sign-up will require the
Double Opt-In method where they are sent an "I agree" email,
and once they click the I agree link they are then sent to
the download site and added to your autoresponder list.

Is this complicated? Not really. You will not set up your
first series in five minutes. And, you'll stumble a bit and
end up sending yourself a dozen or so test messages before
you get it straightened out in your mind. But, once you have
an understanding of the process, the next set will come much
easier.

And there is always help available. Online help is just a
click away and helpdesk or email help is usually quickly
handled.

Quite frankly, the main task will be putting together some
good sales messages. You can have simple text messages, like
many emails are now, you can use HTML to have messages that
look like web pages and with some autoresponders you can
even have audio and / or video messages.

Quality copy writing is a must. If you are going to be
sending out messages with poor grammar, improper spelling
and bland content you will not get much in the way of
results.

However, with properly done messages you can definitely
expect an almost instant increase in sales. As mentioned
above, it normally takes 5 to 7 contacts, but you have had
some already with current customers. They are familiar with
your site and your services, so just a few well designed
messages should begin to show results.

Autoresponder services are available for as little as $ 5.00
per month. Copy writing is also inexpensive. And for those
who are intimidated by any thought of setting up an
autoresponder, the entire process can be hired out for a
very reasonable fee.

For more information on autoresponders and your business,
here is a link. You can even arrange a free 30 day trial
account, with no obligation on your part to continue.

http://www.affordableresponder.com
Old 19-05-2008, 12:31 AM   #7 (permalink)
Beneddie1112
Community Member
 
Beneddie1112's Avatar
Beneddie1112 is online now

Join Date: Dec 2006
Location: Norfolk, UK
Posts: 1,985
iTrader: (2)
Thanks: 4
Thanked: 17 Times in 17 Posts

Default

Hello,

Welcome to my article about getting started with your own website, and a guide on how to go about it. For a successful e-commerce site there are 5 essential steps you should always take to make the most of it, these 5 steps are research, purchasing, setting up, advertising and customer service. A lack in any of these fields and your business WILL be at a disadvantage from the off set. I shall now highlight ways that you can complete these sectors and make the most of your website.

Number 1, Research:
Research is vital when beginning a business, it will determine if the items you want to sell are a good investment and whether you can make a nice profit on your investment, It will also help you determine your target market and where you should advertise to reach these markets. If you fail to do the correct research, you may be lumbered with goods that are unsaleable and result in you losing money.

There are several types of research that should be completed when beginning a business, although the 2 key ones are market research and product research. Without wither of those you will not know where is the best place to market your goods or the best goods you can buy to help you make the best profit you can.

Number 2, Buying:

Buying is a hugely important part of any business within the retail industry. It is also one of the largest potential minefields faced by new businesses, this is due to the large quantity of scams that are circulating. However these can be easily avoided with a few simple steps:
The first step you can do to try and protect yourself from scammers is checking prices and general common sense, if you don't allow yourself to be blinded by greed you shall be able to spot a lot of scams on first sight
The second step you can complete is to check the payment methods listed on the website. However, do not discount a supplier simply becuase they only T/T. Bank transfers are regarded as the standard of international trade. The safest methods of payment are Escrow and CC, the CC allows you a chance for a chargeback if something does go wrong
As the penulptomate point, you can check the information on the website with the relative whois articles and see how the information compares, then complete a few Google searches with the company names to see what you can find. If a person gets scammed, they are likely to post it somewhere on the internet. This should be churned up in a google result.
Finally, if you can not come to a conclusion, post a thread up on these forums and everybody will try to help you come to a conclusion.

Follow these steps and you should be able to avoid a lot of the scams on the internet.

Another thing to consider when buying is not only the price but the customer service, A supplier with the best price may have the worst customer service and take a long while to provide your order, however suppliers with a price a pound higher can get your order to you next day. This is only an example but is the key point why price isn't king.

Number 3, Setting up:

Now you're up to the point where you're about to set up your website, you have to look around for a web host and domain provider. Depending on where you are, the best options for domains are different, In the UK, www.123-reg.co.uk are the lowest priced for .co.uk domains and www.godaddy.com are cheapest for .com domains, and when you have your domain, you need to find your hosting provider. For this I recommend Pete, a member here, His hosting is going to be fine for any start up e-commerce shop and he will also provide a cart for you for free.

Now, you have your website, you need to fill it with something. Your products should have been determined through both the research and buying fields and should be entered into your cart, things like this are completed very easily through the admin panel on your cart software.

One of the key parts of your products being successful is the pictures you choose to put up, Lots of people get turned away from sales when they see a picture that doesn't fully show off the product or distorts it in anyway. Some of the best photos I have seen where done by Studio1one, a member on here also. I believe he also started a thread regarding it.

You now have your products on your website, and now need to be able to get paid. As a start up, you have 2 choices. These 2 choices are Paypal and Protx, they are ideal for start ups and both install trust in the buyer. It is also vital to get a SSL certificate to show that there sensitive information is being kept secure, after all, the customer is king .

Another stage of your e-commerce store is to get it designed, the standard carts aren't very appealing and there a huge range of templates available, both free and costing. There is also the option to get a professional designer to complete your website for you, these may charge a lot more than you would pay for a template but you are guaranteed it will be original and look good, they are often completed to the buyers specifications.

So now you have a fully stocked up and designed store, payments set up and are ready to start trading, but now comes the step where lots of small businesses slip up, Advertising.

Number 4, Advertising:

Advertising is one of the most overlooked parts of business in small business owners, they fail to account for it in their start up costs. Depending on your industry it can take up the largest part of your budget, There are many methods that you could use to advertise a website and the 3 I shall be highlighting in this point are the 3 mot used,[list][*]Number 1 is leaflets, these are very affordable and if handed out correctly to the correct demographic, something that can warrant a substantial return. An example of good leaflet distribution is quite simple, If you have a website selling games, you can hand out the leaflets in spots where there are likely to be lots of teenagers go, these people are most likely to be interested in that line of product and therefore most likely to visit your site and purchase something, A good deal on leaflets is to contact Ray at www.ALocalPrinter.com, they offer some good pricing on leaflets and are very quick at getting them to you.

I believe that if you are going to do the leaflet advertising, you should always get a professional designer to design the leaflet. They are going to be able to create something that can keep the viewer encapsulated and intrigued by your offer,[*]Number 2 is business cards, I believe that these should be aimed more for B2B sales and to be sent out with products that you sell, However, your business cards should have something that is very memorable or a creative design. Some very good examples of business cards can be found here http://creativebits.org/cool_business_card_designs,
These designs are very original and are likely to be remembered by the person who receives the card.

The site I posted earlier for leaflets are also ideal for business cards although I am unsure whether they could produce something in the style of the ones on the second link. [*] Number 3 is SEO work, this is vital for any online business as this is what your rank in the search engines is dependent on. Most SEO work can be completed yourself but it will take much longer than if completed by a professional. However, you can complete a lot of basic work in a few days,

Meta descriptions http://www.highrankings.com/metadescription
Keyword selection http://inventory.overture.com/
SEO friendly page structures http://ekstreme.com/seo/page-structure.php
Keyword density http://www.seochat.com/seo-tools/keyword-density/
SEO friendly directories http://info.vilesilencer.com/
Page rank http://www.webworkshop.net/pagerank.html
Backlinks http://www.webconfs.com/backlink-builder.php
Deep links http://www.zyra.org.uk/deeplinq.htm
Anchor text http://www.webpronews.com/insiderrep...-your-rankings
Ranking factors http://www.seomoz.org/article/search-ranking-factors

These sites should help to get you started with your SEO work, and make a big difference in the time it takes you to progress in the SERP's.

If you manage to implement these methods all correctly, you should have a huge advantage over small business owners who fail to advertise correctly.

Number 5, Customer service:

Finally, I believe customer service is the most important part of your business. If you need customer service, that means you have sales and have implemented all the other points of this guide correctly. But now you've got them, you can't afford to let them leave. Your customer service should be as quick as you can do it and make sure they remember you when your transaction is over.

In the package you send you should include, the order (Obviously!), A leaflet or business card, a free gift (This is likely to encourage repeat orders and can cost just a couple of pence per order) and a thank you note. This adds a bit of a personal touch to your business and makes people feel good about your service.

Also, you should never keep your customer waiting. If you can not provide your customer with their order within the specified timeframe, you should either offer them a full refund or ask if they mind waiting. They should also be kept up to date with their order and be told when it is dispatched.

If you put all of these steps into place your customers should be coming back again and again to order from you,

Thank you for taking time to read this article and I hope it helps you in some way, shape or form and can benefit your business,

Thank you very much,
Ben
__________________

Old 21-05-2008, 06:00 PM   #8 (permalink)
Tango34uk
Community Member
 
Tango34uk's Avatar
Tango34uk is offline

Join Date: Oct 2007
Location: UK
Posts: 552
iTrader: (0)
Thanks: 0
Thanked: 2 Times in 2 Posts

Default

Tango34’s Guide for new traders on eBay…….

We tend to get a lot of new traders on this forum, all looking at eBay and they keep asking the same questions, tend to want to sell the same items, and don’t understand where their money went when they sent £1000 to China for Ipods at only £50.00 each J

So I have decided to list here, some hints to get you started, along with some links that may or may not help!

Now I am not going to give away all my Trade contacts, but I will point you towards some of the places I used to trade with, before I started to move onwards and upwards, because we all have to start somewhere.

First let’s start at the start, with what you need to do:-

1. Open an eBay account (Business Account)
2. Open a PayPal Account (Business Account) – Now I understand that PayPal is not liked, but they are a business like any other and have to make their %, and they do this via fees. You have to remember that PayPal is trusted by 99% of your buyers on eBay, so to not accept it would be a very silly thing to do!
3. Now you have your new account, you need to be trading for a month, and get as much feedback as possible. – Again eBay is all about FEEDBACK, good FB means that you are trusted. Remember you can’t keep all the people happy all the time, so you will receive at some point bad FB, don’t worry that is life.
4. Look round your house, find 20 – 30 items that you can sell, get rid of them at VERY good prices, and start to build your FB ratings on eBay.



So you now have an eBay account, it has good FB and its time to push your business, and I would suggest you now look at the market place, and what you have knowledge about, because if you understand the product, then it’s going to be a lot easier to sell that product.

Wholesale Suppliers

I make good money on eBay, and I have never purchased from China! That’s not to say I won’t in the future, but at this time all my suppliers are based in Europe, this means that yes I pay a little bit more per item, but I get them quicker, don’t have to spend as much, and for me its less risk! If you want to deal with China / HK then go for it, but you need to do lots of reading and checking up……

Right so you have an idea, now look at other companies selling the same items, find out how much they sell for, as this will give you a good idea, about what you could make, but be careful – just because another seller sells X at £20.00 doesn’t mean that they are either making a profit, or you could make a profit, a lot of sellers sell items on eBay at a slight loss, because it’s a good way of getting rid of old stock, and driving more sales towards there profitable items.

So you need to find a good supplier, well there are lots of ways to do this, but as I’m sure 99% of the other traders of here will agree with me, it takes time, you have to find the good suppliers and over time build a good rep with them, but we all have to start somewhere, so fire up eBay and look at other sellers, look at their pictures and see if there are any giveaways? As in trade marks or company names. Fire up Google do a search, send off emails, write letters, sign up with as many suppliers in your area as possible, ask questions, trade suppliers with other eBay sellers. I am not going to help you find a good supplier (well at the end of this article – I will give you some good hints).

eBay Fees and start prices (eBay Auctions)
When I’m working out if I can afford to sell an item on eBay I do the following:-
Item price + VAT + £1.00 + 15% and use that as my COST PRICE unless this new price is either under or very close to what other sellers happen to be selling these items for on eBay, then I stop trying to sell this item on eBay, and instead add a further % and sell it via my shop.

The other way to look at it, is to take an average of say 10 other sellers of the product you want to sell, and see if you can sell at 10% less then the average and still make a good profit?

Added Value
What is your selling point that makes you different from the rest? To give you an idea, if you happen to be selling Wii’s maybe you could point all your customers towards the following link once they have purchased the Wii from you…… http://www.orb.com/ this will then allow your customers to use their Wii as a Media Centre linked from their PC? It is an extra service that other sellers don’t even think about. You could even market the Wii, or 360 or PS3 as a media centre its not a route that other sellers use.

You may decide to offer FREE post to all customers, just remember to put your prices up by say 10% and offer free post worldwide, now you may loose on US sales, but you will gain on UK sales.

You could offer amazing Customer Service and support, with a fixed Telephone Number, how do you do this…. Well have a look at http://www.tesco.com/internetphone/ they allow you to have a VOIP phone number that is linked to a normal phone number, this you can have voice mail on, and when it’s phoned you can either answer or pick up the calls later.

You could offer all sales a 10% voucher off future sales, from say your mail order price list (included with all sales) or webshop?

Remember you are a business so you have to have a return policy, but this information in your eBay advert, others don’t and this alone can give you the edge?

Online Shops and more
So you have your eBay account running, you are making sales, but you want more – what do you do? Well you need to get people back to your site, how? Well I have put some ideas below:-

eBay Shop – go for the basic version, and list all your items, and remember to put a link in your auction listings to your eBay shop, and back again.

Webpage – get a web name, in your company name – get a basic one page company information webpage on the web, that points customers towards your eBay auctions and shop, but allow allows them to sign up for your mailing list! – More customers, more information = more sales in the future.

Web Shop – Read up on the net about different free webshops and go for it, it isn’t that hard (I will leave this for another guide).

Some links for you…….

Trade suppliers in the UK:-

http://www.thatchreed.co.uk/
http://www.highlander1.com/
http://www.arktisltd.co.uk/

Well that’s it for today, I understand this has told you all you need, and some other users might not agree with all (or any) of my methods, but they work for me, so id they also work for you well done………..

Last edited by Anthony : 08-10-2008 at 03:34 AM.