Making Buyers Nervous

[tarotfindsandmore]

I just had one of the oddest exchanges with a really nice buyer.  I sold her a designer toy that I made a nice little profit on despite it being under retail with my current promo.  She sent me a message to confirm that it was legit with a link to the same toy listed for five times the amount from an established seller (though definitely NOT an established toy seller).  I was at a bit of a loss.  I confirmed that it was the exact same item and let her know that I do offer free returns if she wasn't fully satisfied.

What's a little odd about this is that my listing wasn't even the lowest one (though pretty close), and I cannot for the life of me figure out how the other seller determined his/her price.  I've been selling toys here on eBay since 1997 and I've never had anyone question a toy price because it was too low.  I've gotten a zillion lowball offers, but never had someone worry because another seller was so much higher.  It's a very strange thing.

What do you all make of this? What do you say to buyers or potential buyers when sellers with the same items have such outlandish prices that your prices suddenly seem too good to be true?

[robbie31415]

Even AI gets 😅🤣

a toy is not considered an essential item like food, water, medical supplies, or fuel. Therefore, selling a toy for 5x its price, even during a high-demand period, generally would not qualify as price gouging under most laws.

Why It’s Not Price Gouging:

1. Essentials vs. Non-Essentials:

   • Price gouging laws typically focus on essential goods and services that people need to survive or maintain basic safety during emergencies (e.g., groceries, medicines, shelter).
   • Toys are considered non-essential, even during holidays or other high-demand periods.

2. Market Dynamics:

   • For non-essential items, prices are often determined by supply and demand. If a toy is rare, collectible, or in high demand (e.g., a popular holiday item), sellers might charge a premium.
   • This pricing reflects market conditions rather than exploitation of need.

3. Legal and Ethical Context:

   • Selling a toy at a high markup may raise questions about fairness or transparency, especially if consumers feel misled or manipulated. However, it does not usually violate price gouging laws unless extraordinary circumstances apply (e.g., toys used for educational purposes during a crisis like remote schooling).

Summary:

Raising the price of a toy by 5x might frustrate buyers or seem unfair, but it’s not legally considered price gouging in most cases because toys are not essential for survival or well-being. Instead, it’s a business decision influenced by supply, demand, and perceived value.

Someone resulting to threats. Haha. 😂

[isaiah53-57]

Here is one thing going on nowadays I guarantee ...

Say many sellers have a certain item listed for $30 to $50...

But then here's a guy with that same item listed for $120

This guy could WELL be utilizing promoted listings at 50% - Good chance it sells, and if it does, he still sold it for more money than the others...

Why is there a good chance it sells? Do a google search for that item and since it is HEAVILY promoted, it may be one of the only ones you see, if not the only one initially - Also, it will likely be the 1st one you see in an organic search -  MANY people are not shoppers and buy one of the 1st things they see... And many others are unwilling to go through the scammy, tiring, time consuming process the internet drags you through these days with all the pay-to-play carp you have to deal with when you search for items - Those buyers also buy quickly rather than be dragged through the mud...

[gurlcat]

I think I understand your question as you intended it.  But here's the thing -normally I think it's a good idea to be somewhat vague when asking for this kind of advice because a specific example could get people to focus too much on that, and give advice that would only apply to that, when you need a broader approach. But for this particular question, I hate to say it but it's really a "it depends" thing. 

Is it a vintage item or not?  Is it new/unused?  Is it still for sale in stores/websites, or sold out or discontinued sometime in the recent past?  The answer to these questions, for any given item, would be pivotal for how you could address a buyer's concern about its' authenticity based on your pricing compared to others'. 

[mustang707]

Let's not over think this. I have read several comments on these boards that if you price an item too low, the buyer may perceive a lack of quality or authenticity.  Obviously, this is what your buyer is thinking and was outwardly concerned about it compared to other buyers you had. 

[pickapaper · Accepted solution]

@tarotfindsandmore 

Sometimes I think sellers put ridiculous prices on things because of greed, wishful thinking, hoping that someone will actually come along and pay it, or any number of other reasons.  

If you feel like you have to respond to this buyer in some way, just tell her that you were able to buy it for a good price and therefore are able to sell it for a good price.  As far as the seller trying to sell hers for five times as much, you have no idea of the circumstances of how or why that seller priced hers the way she did, just that you priced yours according to what worked best for you. 

Your buyer has already authenticated the item and you have told her that if she isn't happy with it, she can return it.  That's about all you can do.  

[chapeau-noir]

There are sellers who just use aspirational pricing - maybe they saw something that made them think this was realistic, maybe they're drunk or maybe they made a typo - look at the beanie baby prices!

But your buyer being unsure - put on your buyer hat and think about - wandering onto a site that, frankly, has had problems with counterfeits, etc., is large and complicated. You see widget A for 5000, widget B for 1000...and it's the same widget? You take a chance on widget B but then get cold feet...and write the seller.

That's all I think it is.

[my-cottage-books-and-antiques]

@tarotfindsandmore I have had situations where I raised the price of an item way beyond its value in order to hold the item for a particular buyer, who had been instructed to make an offer of x dollars and I would accept it. This prevents another buyer from jumping in and buying it before the chosen buyer gets a chance. Side note: it would be nice if eBay provided a way to put up listings that could only be sold to a certain individual. But I doubt we will see that anytime soon. 

So, I have been guilty of the way overpriced listing on occasion. That could be what the seller is doing in this case, or something similar, or he really does think it's worth a lot more than it is. 

I have never had a buyer suspect my item was not authentic because it was price too low, however, I think you handled it as well as can be handled.

[tobaccocardyahoo]

Retail arb is probably more prevalent on Ebay than any other internet marketplace.

Some buyers who distrust Ebay sellers are afraid of the counterfeits and stolen goods which they read articles about.

As we all know, when Ebay cracks down, sellers come to this forum to announce their departure. And Ebay does not reverse course but tends to defer the next necessary crackdown until there are more headlines on the news.

[theteamsetguy]

@isaiah53-57 ,

If that works great for the seller for being smart.

Advertising works. I’m sure you have heard of Rocket Mortgage. They spend billions of dollars on advertising and marketing. They went from a very small mortgage company to the top retail mortgage originator in the country in a short time. Have you noticed they don’t advertise they have the lowest rates or fees? According to Fannie Mae Rocket Mortgage the highest gain on sale per loan. In other words they make the most per loan when it is sold to them. You don’t have the highest gain on sale if you have the lowest rates. The CEO and founder of Rocket Mortgage Dan Gilbert who is a billionaire said his goal wasn’t to become the Walmart of the mortgage business.