Hello everyone I’ll give you the short version a little bit of my background, some of you might have heard of Gorilla marketing or Gorilla group before, that’s me, I stopped doing that many years ago when I was making too much money for other people and not enough for myself so I concentrated more on Property Development in the last 5 years and continued to do Property Development fulltime. Last year I sensed a further downturn coming for the industry including myself and also for some of my projects that I was involved in. At the end of February last year I had 7 units sitting up in the northern part of Queensland that either weren’t selling or weren’t renting, someone told me about eBay and said Why don’t you whack them on eBay”, I’d never really, I mean I’d heard of it and looked at it but never really bothered too much about it all seemed to hard, I put a pride of the development finish, I went and whacked a plunge pool in one of the units just to make it suitable for holiday letting. I whacked it on eBay and I thought I’ll see what happens, I’ll auction off some holiday accommodation and it went berserk, it went absolutely berserk. I have a background of copywriting and marketing so eBay seemed to be a fairly good glove for me to put on and have a go at.
Within about a month of putting our property on there, that’s still on there now that just auctions day in and day out, we have nearly 100% occupancy in the holiday letting market up there, Within about a month of letting I just sat there and just watched and watched what eBay was doing and I analyzed and I scored and I check and I sticky beaked and I learnt more and more about it.
Within a month I was on a plane and I went to China and filled up a container and came back to Australia and whacked it all on eBay and it sold, so I went back to China and filled up another container and it sold and the process just continued on and the third trip back there, I headhunted a person who was working at the bicycle factory where I was getting sporting goods from, he now works fulltime for me in my own office over there in China coordinating all the process.
And today’s presentation is just about that. What can a person who’s got business skills, a bit of an entrepreneurial flair, understands money and risk and understands customer service and what can they and can’t they do with eBay and now it’s like, it’s certainly not it’s probably about just that much of my business, but it’s a $25,000 a month cash flow that I never had before, you know we’re starting to take it a bit more seriously today. Our first container arrived last August and we have another container that arrives, well it’s here Saturday, But I’ll be down there being the laborer unfortunately unpacking that on Tuesday or Wednesday and there’s some of the downsides with bringing in containers but if you don’t unpack it yourself you don’t know what’s there like what you think you’re going to get, you ask for red, you get blue, So you’ve just got to learn in business to tolerate a lot of those sorts of things.
This is this morning, this is before I came here, this is factual information, today between 8.48am and 8.54am 200 items passed through the eBay machine and in that 6 minute interval 69 of them sold, so they’ve got a 34% conversion rate before 9.00am this morning so while everybody is still driving to work the eBay machine is up and running fast out of those 69 sales they turned over $2,600 for an average of $38 per item sold across the board, I don’t know who the seller’s where, I didn’t bother to look at what the products where, I just tallied it for you just to show what’s going on every second of the day, it’s the most amazing, dynamic market I’ve ever seen.
eBay’ s fees, just for putting it on there, out of the 200 items, 31 didn’t sell, eBay still got paid, the seller still pays to put there advertisement on eBay, beyond that the eBay fees, the commission that they charged on what sold this morning, eBay made $133 profit or fees in that 6 minute interval, if we times that by 10, like an hour, an hour on eBay, they’re turning over $3,330 an hour in fees, based on a before 9.00am sales pattern, And I would reckon that that would be one of the worst parts of the week, certainly Monday night Tuesday night the ticket items will clearly go higher, so I’ll try and give you some bad figures just to paint a bit of a picture for those of you who are out here, who have currently got a business and have never considered putting your existing products on eBay just to see what happens. It’s the world’s biggest data base of buyer’s. If we continue to go along with this figure here the $3,330 times it by 24 hours, $80,000 a day, anybody happy with that sort of revenue?
For good or for bad, eBay makes all of their information about absolutely every single seller on there, public information.
So if you want to go on there tonight and see what I am doing you can do it, If you want to see what my conversion rate is you can check it, if you want to see what I sold and for how much, everything on there is checkable, whether you agree with it or you disagree with it, it’s there and everyone can do it to each other so we’re all on a level playing field at least. But that’s the size of the eBay machine this month as a cash cow just in fees for Australia.
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