| jaddow said: Bought a Xbox one from Walmart for $529 solely on eBay for $680 with free shipping. I paid eBay $68 thats 10 percent off the sale. paid PayPal $19.84 thats 3% transaction charge. The Xbox one weighs 17 pounds in the box it cost me $44 for shipping and handling. I made less than $6 on the transaction so how is it people are selling them for $570 on average sale on eBay today and making money? http://www.ebay.com/sch/i.html?_sacat=0&_from=R40&_nkw=xbox+one+console&_sop=1
EBay is making more money than Microsoft or Sony on Xbox one or even PlayStation 4 sales |
Yup. People who aren't familiar with ebay dont realize ebay+paypal takes 13% off the top. As you note, shipping can also be a profit killer, depending.
Plus you have to pay taxes and possibly shipping on the X1/PS4 as well when you buy them to resell. The "real" price of an X1 is more like $540, not the 499 people assume.
I roughly calculated the break even price for PS4 on ebay is ~$500, and for X1 ~$620. You need to sell it for that just to break even. And I think I assumed you charged enough for shipping to cover the actual cost of shipping as well (sometimes I will charge less).
As for how people make a profit, well if people can get the consoles without sales tax (say, living in a state where Amazon doesn't charge, or perhaps lucking out with an etailer that doesn't charge tax), or if they work at a a major retailer and can get an employee discount, can be a big leg up in making a ebay sale profitable.
I canceled 6 PS4 and 10 X1 preorders, simply because as D-Day drew near I realized they would not fetch much profit at the prices they were selling for. Not enough to be worth all the hassle and risk, anyway.
I currently have 1 Xbox one that I was able to secure at a discounted price ($462 after tax). Been casually looking to sell that, may throw it on craigslist. But I know a guy who has a PS4 around here on craigslist for 550 and said he isn't getting bites, so I'm reticent, especially with X1 seemingly often available at Amazon.
