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which postal service do power sellers use ?

I'm asking as I'm selling some bits and pieces, mostly small items like make up and aromatherapy oils, but to just break even, postage is pushing up the cost of selling. When I look at similar items from other sellers, they are selling so cheaply with 'free ' postage. They can't be using royal mail or they wouldn't be able to make a profit. It's not proving very fruitful for me as a casual seller as if I was to match their prices, I either don't break even, or I sell at a loss.
Many thanks to all who contribute on MSE :)

Comments

  • RFW
    RFW Posts: 10,432 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    I'm asking as I'm selling some bits and pieces, mostly small items like make up and aromatherapy oils, but to just break even, postage is pushing up the cost of selling. When I look at similar items from other sellers, they are selling so cheaply with 'free ' postage. They can't be using royal mail or they wouldn't be able to make a profit. It's not proving very fruitful for me as a casual seller as if I was to match their prices, I either don't break even, or I sell at a loss.
    It depends on the weights. Up to 1kg Royal Mail options are about the best. Pro sellers can get discounts via Royal Mail, although not massive amounts. There's also TNT who have volume rates for high post users.
    Some high volume sellers will work on smaller profits and rely on high turnover. There are also some who don't earn a profit and haven't worked it out yet.

    If you can't get an item to be sold for a profit, try selling it another way. If it would work putting two together, would that help? There's also the possibility that it just isn't possible. I've been selling for more than 25 years and know certain things aren't worth touching no matter how many good deals I can get.
    .
  • soolin
    soolin Posts: 74,472 Ambassador
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    I agree with RFW entirely, some of the larger sellers might be using the items as loss leaders- or not realising that they are merely breaking even. I had several,lines I had to stop selling all those years ago when RM introduced the size limits. Even now I make mistakes, I recently ordered in a trial (small number luckily) of an item I knew would sell, unfortunately although it is a very cheap item it just won't squeeze into a large letter, and no one is going to pay £2.80 postage on it. I put the stock up in small lots on eBay instead as 'stock' for other sellers and have sold a couple of lots so far at just a tiny profit. Certainly better than dumping it. I have also had interest on Facebook for it, but as yet no one has actually turned up to collect.

    Business sellers can get RM accounts, however, for me even as a TRS with a shop the discounts wouldn't save me much so I use 2nd class RM for most things and MyHermes for the rest.
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • mrcol1000
    mrcol1000 Posts: 4,797 Forumite
    Part of the Furniture 1,000 Posts
    I use Royal Mail for anything that is large letter and low value and under 1kg. I also use them for international post. I use My Hermes for everything else. I do offer the option of paying extra for Royal Mail options including Special Delivery but people rarely want to pay more. I always make clear that anything going My Hermes will take around 5 days (it normally doesn't) and rarely get an issue.
  • They're probably using Royal Mail's business bulk discounts, or DSA mail.

    Both services the average joe doesn't have access to.
  • martindow
    martindow Posts: 10,628 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    If they are selling a lot they are probably also buying at much lower prices than you could get for purchasing small quantities.
  • faerielight
    faerielight Posts: 1,955 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker I've been Money Tipped!
    some good points and tips.. thanks so much :)
    Many thanks to all who contribute on MSE :)
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