Anyone Feel Up To Tackling Ad Rate % With A Simple and Concise Explanation?

[bickler33]

What is a good, cost effective rule to use when setting the percentage? If i drop the percentage down, how much does it effect the promotion. Finally, and Bottom line… “Is The Juice Worth The Squeeze, so to speak?” We have never really promoted that much, but for the first time in 4 or 5 years our sales are down. We have more in our store now, than ever, but since October sales have been very slow. Wondering, and considering, if “promoted listings” might be smart move for our store.

Thanks in advance to anyone that tackles this post, and all who join in the conversation. Have a great weekend everyone!

Sincerely,
@bickler33

[chariot_badges]

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@bashort wrote:

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@openbowarehous_0 wrote:

Hi, I promote all of my items 2% it is the lowest and I have to say that for me works just fine and it does help out. My sales were down as well awhile back and that is why I started doing. It pays out in a long run. 

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yes, until everyone does 2%, then it will take 4%, then 6% then ..........

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And, really, it doesn't matter.

My average sale is about $10.  

I used to do the 2% thing, got bad results.

Raised my prices by $1 across the board, increased shipping charges by $1 

AND

Did a 10% promotion.  

Sales lit up.   Traffic, sell thru, all of it.  UP.

And it didn't cost me a penny

I passed the costs on to the buyer ... and ya'll should do the same.

Expenses aren't paid by you.   They're paid by the buyer.

[zamo-zuan]

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@chariot_badges wrote:

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@bashort wrote:

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@openbowarehous_0 wrote:

Hi, I promote all of my items 2% it is the lowest and I have to say that for me works just fine and it does help out. My sales were down as well awhile back and that is why I started doing. It pays out in a long run. 

---

yes, until everyone does 2%, then it will take 4%, then 6% then ..........

---

And, really, it doesn't matter.

My average sale is about $10.  

I used to do the 2% thing, got bad results.

Raised my prices by $1 across the board, increased shipping charges by $1 

AND

Did a 10% promotion.  

Sales lit up.   Traffic, sell thru, all of it.  UP.

And it didn't cost me a penny

I passed the costs on to the buyer ... and ya'll should do the same.

Expenses aren't paid by you.   They're paid by the buyer.

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That's what everyone is forced to do.

Problem is, this isn't sustainable, it drives traffic from eBay to other sites. 

Bigger problem is there's a ceiling on how far you could grow, and it ends up equalizing you against others in the category - you aren't able to get an advantage as a top seller anymore. The top 10 sellers of our category have ALL dropped by more than 50%. If everyone is forced to do the same thing, all those sellers are "normalized" and competition no longer exists. 

And then once the dust settles, you're paying eBay that much more, for LESS traffic than you started with. in 2018.