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Lowering Shipping Cost

I want to sell items with dimensions 13*12*8 and weight of 10lb (non-perishable) on eBay. Upon checking the shipping prices I realized that shipping costs a lot and therefore lowering my ROI %. How do some people have their item with free shipping while making a profit?


1) Can someone tell me how can lower my shipping fees?
2) Which carriers should I use?
3) Do I have to make any monthly contract with the carriers?

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Lowering Shipping Cost

How do some people have their item with free shipping while making a profit?

 

They buy is more cheaply......

 

To get great rates on shipping you have to be able ship pretty big quantities to negotiate a contract and the terms would probably be different for each.  

 

Frankly, if you haven't sold on ebay before, I suggest you start small and recognize that you are going to have to do alot of learning and research in order to be successful.  Ebay does offer all sellers the USPS bulk rate on shipping and a bit more if you are TRS......here's the shipping calculator

 

http://www.ebay.com/shp/Calculator?_trkparms=clkid%3D2521745375397262459

 

But your basic question has to be answered by recognizing that your profits are "made" when you buy.......in other words, you need to check out items before you purchase them to find out what they will sell for basically...knowing/figuring all the costs ....fees etc.  and your shipping cost should be paid by the buyer.......either adding it into the item sale price with free shipping or letting the cost be calculated for the buyer when he buys and added onto the item price......

 

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Lowering Shipping Cost

Totally agree.  You make a profit when you BUY.  Figure out your business model and BUY and price based on that.  Check sold listings.  Sometimes you have to wait out the bottom feeders if there are just a few. Retail, whether online or B &M is a game.  You have to learn the game.  Don't always be the lowest.  

Message 3 of 5
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Lowering Shipping Cost

The dimensions you posted are too big for any USPS Flat Rate options (which would have been nice at that 10lb weight).

FedEx Home Delivery or may be an option at 10lb - at least for more distant destinations, while USPS might be same or cheaper for closer. (FedEx Smartpost is off the table at 10lb - it costs more than FedEx Home Delivery, is a couple days slower, has essentially no insurance coverage avail or included)

Offer multiple calculated options on listings and let buyers choose their poison. All those options are available through eBay shipping labels and require no FedEx or USPS accounts or setup. (UPS is also avail for eBay shipping through PayPal labels but requires a UPS account and has calculator issues that make it almost unusable for some)

If talking larger sales volumes (10/day or more?) you might talk to FedEx or UPS and try to negotiate better volume discounts on a FedEx or UPS account.

At that size and and 10lbs there is no cheap shipping. Use the eBay estimating calculator in post 2 and work out some numbers yourself.
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Lowering Shipping Cost

12 in x 12 in x 5-1/2 in. The Priority Mail® Large Flat Rate Box

If you can somehow get your dims down, this is your new best friend...$16.55 anywhere.

Otherwise, depending on your ZIP, you're looking at $18-$20+ via Fedex, for example.
Better deal...if you can obtain the buyer's business address, Fedex gives you a decent discount.
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