On the low end, my margin can slide below 15%. On the high, it's more like 70%. The lowest margins tend to be for books, which I sell more of than anything else but the markets are so flooded you can't really expect to get rich on them. I ship for free just so I can get an automatic five star rating for fees but sometimes it can be a challenge. I tried to establish a quarterly average margin for everything but without a store,
eBay deletes the broader sales data within 90 days. That makes it difficult to keep anything but a running tally in a separate spreadsheet. I just haven't reached the point, yet, where my volume justifies that much more work.
To be clear, when we say "margin," I like to think everyone understands it refers to the amount of money, expressed as a percentage, representing the actual profit from each sale, but that consensus may not be the case. It's not a dollar amount; if you say you have a $1 margin, that doesn't tell much. If you are making $1 on every $3 sale, that's pretty good (33% - a 50% markup) but making a $1 on a $50 sale is not a good sign, unless you sell hundreds per month and they come prepacked for mailing.
Low margins are not a terrible thing with high turnover in play. Wal-Mart, for example, tends to have small profit margins, item to item. But they are banking on massive turnover rates to work in their favor. If one store spends $350K on inventory at the beginning of the month, and they sell it all at a 10% margin inside that month, they clear $35,000 after all overhead, labor, and shrink is accounted. Not too shabby. Few of us could manage Wal-Mart's inventory levels but even at lower levels, the model holds water. I have the same attitude about books. As long as they sell quick and I can pack them out easily and swiftly (and the Media Rates stay easy to remember), I will keep doing it. At least, they add up to a few more dollars per month than I would have seen, otherwise. But once you start getting into things which don't fit into Flat Rate boxes or ship cheaply as Media or First Class, you have to have more insulation in the margin.
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