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ebay profit margins


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Hello, i been trying to source a wholesaler who can supply the latest DSLR cameras on the market or any digital camera for that matter. I have had a little bit of luck but not much.

I was just curious on how ebay businesses like DigitalRev , T-Dimension 3 and Asia Electronics Boutique earn profit from there sales.

For example T-Dimension 3 are selling the latest Canon DSLR for roughly £4200 they have to pay on top that import/vat fees plus ebay listing fees which would be like £150 on a sale that large. So how can they sell it for that price and still make a profit they must have to get the camera for a very cheep price to make it worth there while. And if that is the case how come companies like Jessops charge us £6000 to purchase the camera. They must make a killing ?

sorry of that sounds confusing

anyone explain
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Reply With Quote Old 26-12-2007, 04:29 PM



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They buy in bulk by the hundreds id say if they can get them cheap enough for profit.
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Reply With Quote Old 26-12-2007, 05:06 PM



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Moving to eBay Discussion. Please ensure you post threads in the most relevant category.
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Reply With Quote Old 26-12-2007, 06:10 PM



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This website has a Photographic wholesale trade directory

http://www.swpp.co.uk/trade/Wholesaler%20UK.htm

Scott
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Reply With Quote Old 26-12-2007, 09:53 PM



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Like mentioned, eBay power sellers have a lot of buying power, when we think were making profits on items that we buy in bulk (10/20/50), thats nothing compared to the discounts they get on 100+ items.
I mean, look at memory cards for example, i know an ebay power seller who buys around 500+ a week, now he gets them considerably cheaper than some one buying 10 of those memory cards.
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Reply With Quote Old 26-12-2007, 10:06 PM



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ok thats a fair point, but how come Jessops and London Camera Exchange have such a high price. They have plenty of stores and probably by in the thousands. So surely they will have to lower their prices to compete with the ebay powersellers or is that they are such a minority there is no need.
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Reply With Quote Old 26-12-2007, 10:59 PM



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It's called wanting to make more money than really needed to. Their big companies with one main objective profit no matter what it does to the little guy.
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Reply With Quote Old 26-12-2007, 11:08 PM



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First I would say that as the value goes up the eBay sales go down. I could be wrong there, but I'd think that most people buying cameras are "tire kickers" and would like to hold them in their hands and have a place to return to if there are problems.

Second, the high street stores in general do not pay a lot of attention to eBay. You may see it as a real battleground, but there are still way more people who buy in person or from trusted brand websites than do on eBay. And most real retailers hold their prices the same in-store or on the net.

I was years in business in a regional mall and never sold below suggested retail and often bumped it up a bit over. There was not a week go by I didn't hear a comment about "Oh, you can find that cheaper on ebay." But they kept buying and I kept my prices just where they were.

If someone wanted to haggle, I'd just tell them "Don't buy it. Whether you buy it or not I know for a fact that by 6 PM on Christmas Eve it's going to be sold at the price it's marked. I can tell you right now that by the time we close on Christmas Eve you will be able to count the remaining items on your fingers. If you don't buy it someone else will."

With so many hoping to make their fortune on eBay, I hate to say that it's not the only place to make money. In fact, it's falling off, not growing at all like it used to be.

Smart retailers pay it absolutely no mind whatsoever.
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Reply With Quote Old 26-12-2007, 11:14 PM



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So you reckon these ebay powersellers go straight to the manufactures e.g. canon, nikon etc. Obviously Jessops and other high street chains will but just curious on the ebay stores.

I generally thought you needed concrete (i.e. a shop) to deal directly with Canon and Nikon.
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Reply With Quote Old 26-12-2007, 11:25 PM



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You do they get their stuff my other means
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Reply With Quote Old 26-12-2007, 11:51 PM

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