How Do Sellers Make It?!

[minousbijoux]

Like many, I often check out new sellers on ebay. Usually, its the same old sellers and stuff, but every once in a while there are new, seemingly high quality sellers whose business models I just don't understand. There are a few new ones I've been watching for a while (low number counts) and how they can be breaking even is beyond me. The only one that has items for sale right now is one called pigeonrock262, http://www.ebay.com/sch/pigeonrock262/m.html?ssPageName=STRK%3AMEFSXS%3AMESOI&_trksid=p2053788.m1543.l2654

He/she appears to have good quality and very well cut stones - I *think* this seller must be a lapidary? Anyway, what I don't understand is what profit is in it for the seller when his/her starting bids are so low and the items sell dirt cheap? Is the seller doing at as a loss leader? Are these stones his/her rejects in his/her quest to become a better cutter so he/she doesn't mind selling them for next to nothing? Anybody have any brilliant ideas? I wish I understood...

In the meantime, enjoy dirt cheap prices on some very well cut stones!

 

[katharath]

Well, I definitely appreciate the info about this ebay seller. His gems look pretty nice to me, and the last round sold at very low prices IMO. I thought one of the gems looked familiar - and sure enough, it (along with the other gem he recently sold) are currently being re-sold on another site at auction right now, with current bids at 2-3 times what they sold for on eBay. This tells me that I definitely need to be keeping an eye on this ebayer's auctions, lol!!

So my question to you is, do you know of any other eBay seller's like this?!? I need to be watching eBay more closely...some great deals to be had there for sure. I honestly have no idea how or why these sellers have things priced SO low. Obviously people are willing to pay higher prices for the exact same gems (based on the two that are at auction right now), so I'm guessing that much of that must lie with the seller's rep - bidders will pay more if they're familiar with the seller.

ETA: this was not intended as a criticism on the re-seller of the two gems. I actually think the gems are priced appropriately now and will sell for what they "should" have sold for earlier. It's too bad that the original ebayer isn't seeing these prices on his gems though...I really don't understand it. I guess it all comes down to familiarity with the seller, as I mentioned earlier.

 

[minousbijoux]

Yes, Katharath, there are other sellers like this one on ebay. I was going to post the others as well, but right now, they don't have anything to post, and I don't know if that means their time on ebay was just selling off old stuff and they're done, or whether they'll be back, so I thought I should wait on the others. There are also multiple sellers of longstanding on ebay whose goods people buy and resell because the prices are that good! But as I mentioned in another thread, I'm sure these resellers devote a good deal of time to searching for appropriate stones, so its probably not as easy as we might think (not that you're thinking this way, but others might )

Maybe its time for another thread to discuss our favorite ebay vendors? That said, I can't remember the last time I bought a stone off ebay, lol!

 

[T L]

Maybe he/she is a new vendor, and trying to make a name for her/himself by getting good feedback with some losses. Then, after a while, the prices jump up. Some vendors are also closer to their gem source as well, and the savings get passed on to the customer.

 

[minousbijoux]

Maybe he/she is a new vendor, and trying to make a name for her/himself by getting good feedback with some losses. Then, after a while, the prices jump up. Some vendors are also closer to their gem source as well, and the savings get passed on to the customer.

Exactly what I was thinking when I suggested a loss leader!

 

[corundum_conundrum]

fwiw, I bought an Brazilian chrysoberyl from this ebay seller on the cheap. It was nicer than pictured (color is more even) and I think its worthy of setting.

Also if he's a hobbyist lapidary, he may not be so concerned about big profits.

 

[chrono]

I'm guessing this is done in the beginning to get his name out there. Once he is established, pricing will creep up to a normal range.

 

[katharath]

Yes, Katharath, there are other sellers like this one on ebay. I was going to post the others as well, but right now, they don't have anything to post, and I don't know if that means their time on ebay was just selling off old stuff and they're done, or whether they'll be back, so I thought I should wait on the others. There are also multiple sellers of longstanding on ebay whose goods people buy and resell because the prices are that good! But as I mentioned in another thread, I'm sure these resellers devote a good deal of time to searching for appropriate stones, so its probably not as easy as we might think (not that you're thinking this way, but others might )

Maybe its time for another thread to discuss our favorite ebay vendors? That said, I can't remember the last time I bought a stone off ebay, lol!

I think an updated eBay thread would be great! I buy my gems from just about everywhere. (In the last month alone I've bought gems from my favorite seller, Yvonne Raley; a couple of sellers via Facebook gems and cabs auction and market sites; Gary Braun; and also a couple from Litnon's eBay auctions. I go all over the place looking for my gem fix, lol. In fact, I've bought so much that I might need to sell a couple of things just to keep even. I went a bit crazy this month! In my defense, several gems that I bought were at or less than $50, so not too pricey - I think only 3 purchases were larger than the $50 mark. I'm so addicted, what can I say?)

So, I'm (obviously) very open to potential eBay sellers, and I really do appreciate the info on the one you posted, I'm adding him to my favorites to keep an eye on

 

[colorchange]

I don’t think the goal of this seller is to make money on those listings. He’d make more (by the hour) by taking a Mac job.

Since he seems to be cutting (well) for almost free, too bad I'm not in the US, I have stacks of "native" cut Burmese spinels waiting for a good cut.

 

[cm366]

I've generally assumed that folks with as few listings as this guy weren't in it as professionals, but were more likely collectors selling off, not unlike the LT/DB posters. I know Jeff Davies built a 'name' through eBay and now sells primarily through other venues, but I can't see building a brand with 3 stones unless he's got a really, really low budget - surely any interest he gets from those loss leaders will drop off as the page sits empty?

 

[chrono]

Lapidary-in-training, hence the low volume?

 

[movie zombie]

Lapidary-in-training, hence the low volume?

I agree.

 

[minousbijoux]

Thanks for all the input. I would definitely be watching his page and jumping on his great cutting and pretty stones for a song! Both the spess and the zircon look like amazing deals. He seems to add them once a week maybe.

If anyone buys any of his stones, as always, we'd love to see them

 

[kenny]

Maybe they have 'day jobs'.

 

[pregcurious]

I wouldn't know how to tell if the stones were natural.

 

[bangna63]

It is possible a 'bid sniper' is being used. For those unfamiliar with this, it is an ipad/iphone application that effectively bids for the seller under another name just at the last fraction of a second, and literally that, thus ensuring he does not have to sell at an unacceptable price. i don't know too much about this but my brother sells antique books online and uses such a tool.

 

[minousbijoux]

It is possible a 'bid sniper' is being used. For those unfamiliar with this, it is an ipad/iphone application that effectively bids for the seller under another name just at the last fraction of a second, and literally that, thus ensuring he does not have to sell at an unacceptable price. i don't know too much about this but my brother sells antique books online and uses such a tool.

Nope. Not unless he sells to himself under about 10 ebay user names, lol!

 

[corundum_conundrum]

I bought from him, and I'm no sniper--glad I didn't get assassinated!

 

[minousbijoux]

Smart move, corundum! Some day perhaps you can tell us about the stone/transaction and whether you think it was a good deal.

 

[innerkitten]

Second job probably.

 

[Lady_Disdain]

It is possible a 'bid sniper' is being used. For those unfamiliar with this, it is an ipad/iphone application that effectively bids for the seller under another name just at the last fraction of a second, and literally that, thus ensuring he does not have to sell at an unacceptable price. i don't know too much about this but my brother sells antique books online and uses such a tool.

A lot of real buyers also use snipers on eBay, in a legit way. It is not legit for a seller to bid on his own items, though, and I would not buy from someone who does this on their own auctions.

 

[Barrett]

I found that when i was mining crystals a mile up the road from my house and selling them for what my "expert" buddies were selling them for at shows across the country I didn't make squat. I finally had more crystals than a basement and garage could hold so i dropped my prices down to below wholesale....way below wholesale...stupidly below wholesale then I made $15,000 and had my basement back.
I wasn't making it, until I made it so everyone else couldn't not(double negative) pass up my stones.
When I sold on ebay I bought in bulk oversea's, sold what people wanted, and most importantly told the truth and built rapport with buyers. I remember many a times posting some piece of sh*t stone and telling in the title and description...
"This stone is subpar.....it lacks so on and so forth....I wouldn't bid more than $10 for it...etc"
Sounds counterintuitive but it worked in my favor because the folks who bought from me felt confident and secure I wasn't trying to hoodwink them. The key to ebay is the return customer...and ....the lack of internet access from wherever you import your stones from! [Thanks Peshawar and your damned jump into the 21st century....Democratic republic of Congo here i come...]