Why An Ebay Seller Needs To Keep A Close Watch On Profits, Not Sales Volume
One mistake that business owners make is that they focus on overall revenue instead of profits. While this thinking is flawed in any business, it can be especially dangerous in an eBay business.
Part of the problem is that this type of thinking is promoted by eBay. For example, you need to reach a certain level of sales volume to qualify for eBay Powerseller programs.
Sellers will also frequently sell products even if theyre not making money on them just so that they can build up their feedback.
Im here to tell you that if your primary focus isnt on the amount of profit your eBay business is making then you wont have an eBay business for very long. Its not true that if you have enough gross revenue that there will be some net revenue around. Trust me; its possible to have a lot of overall sales without making any money.
I remember back when I was more active with selling on eBay that I had a lot of months where I sold tens of thousands of dollars worth of merchandise every month, but when I actually sat down and crunched the numbers, Id actually LOST money...
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