Giving Etsy Ads a Try

Last fall my grandmother asked me to sell some of the mittens she was knitting. She is in her 80s and doesn't have much concept of how the Internet works. She assumed that I'd be selling them to friends or co-workers. I knew I'd be trying a site like Etsy.

Getting set up with Etsy is easy. Driving people to the Etsy site is not. Just about the only "free" publicity to be had on Etsy is when you list new items because they appear in a feed. (Once you're a popular seller Etsy may profile you, which is also free, but that's kind of tough to get at the beginning.)

From the beginning I created a Facebook group and also sold mittens on eBay to gain brand awareness. I sold a pair of mittens on eBay for about 60% off the regular sale price. The buyer was so happy with them that she came back and purchased 8 more pairs at the regular price. I'll call that a good investment!

More eyes needed to view the mittens on the Etsy page in order to turn into sales. Etsy has its own ad program that is similar to Google's, but is for the Etsy site only. In a familiar model you can set a weekly budget and choose keywords.

I picked some keywords and set a modest budget of $7 per week, the price of a pair of mittens at that time. The ad wound up costing me around 50 cents a day. Views increased by a factor of 7 and sales increased by about 75%!

Some pros of Etsy ads:

• Setup is simple.
• It's cheap.
• It improves traffic and sales, at least it did in my case.
• The ads can be turned on or off at any time.

Some cons of Etsy ads:

• You cannot segment by audience.
• The ads only display on Etsy.
• Not much information is provided about people who click on the ads although you can plug Etsy into Google Analytics.

I carefully calculated the cost of the Facebook ads I experimented with and found I lost money. Because I hate math I'm not going to do that here, but I know that the Etsy ads were a great investment. They cost just cents a day and were more than paid for as long as I made just one sale per week (or even one sale per two weeks).

Of course, in some cases it may be "okay" to lose money in this way. Say exposure, for example, is more important to you than being profitable right now. Then an ad scenario like this may work for you.

Check out my last blog entry to read more about the Facebook ad experiment!

Are Facebook Ads Worth the Money?

I'm sure there are a million articles out there that discuss Facebook advertising.  Many will probably tell you what I'm about to tell you.  But I'd like to share my personal experience with advertising on Facebook.

I recently read (and cannot find the link to) an article about how proportionately, smaller businesses are actually more successful on Facebook ads than larger businesses.  This makes some sense to me.  If I see an ad from P&G I think yeah, whatever, I can find the same coupons somewhere else.  But if it's a small, unique-looking store, I'll click because I may never find it again.

My journey with Facebook advertising started when I received a $50 credit.  Score!  I'm never one to turn down something that's free...

I dove in and began to use the credit for Marion's Mittens, the business I run for my grandma.  (If you are looking for quality, handmade mittens, I suggest you check it out!)

Some pros of Facebook ads:

• Setup is straightforward and relatively easy.
• It's really easy to choose an audience.  You can select from many demographics including things you may not have thought of, like new parents or people who recently moved.
• You can set a time frame for the ad based on budget (until the money runs out) or dates.  
• The ad can be tied to a Facebook fan page or an external website. I chose to direct my audience to the Marion's Mittens Etsy page.

Some cons of Facebook ads:

• It was expensive (for me).  Based on the demographics I chose, my ad cost about $1.08 per click.  (Back in April, the average was also around $1.08.)
• I had a low click-thru rate (CTR) of 0.008%, the average being 0.04%.  In plain English - my ad was displayed 396,025 times and clicked on 33 times.

These 33 clicks turned into three sales.  Here's how much the ad "really" cost:

Advertising:  $39.04

Mittens Bought:  $30

Etsy & PayPal Fees:  $2.30 (approx.)

So I lost $11.34.

I'm glad the ad didn't cost me anything, and I won't be doing this again! 

Of course, in some cases it may be "okay" to lose money in this way. Say exposure, for example, is more important to you than being profitable right now.  Then an ad scenario like this may work for you.

That's not the direction I want to take this business where profit margins are already incredibly small.

Next time I'll look at using ads through Etsy.  It seemed to be more cost effective but I'll have to do some calculations to see if that's actually true!

Cyber Monday Shopping Experiences

I realize that many of my recent posts have covered shopping and selling, but 'tis the season. The majority of my holiday shopping was completed well in advance of Thanksgiving but I couldn't help purchasing a few things for myself on Cyber Monday.

Ah, Cyber Monday. It was the day with the most spending in 2010. I can totally see why. There are sales galore anywhere without free shipping is laughable. But are online stores equipped to handle huge increases in traffic? hothardware.com said that Cyber Monday 2012 was the heaviest online shopping day - ever - with nearly $1.5 billion in sales.

My experience was mixed...

J.Crew Factory

via funnyscreenshots.com

When, what to my wondering eyes should appear, 50% off everything plus free shipping this year! I absolutely couldn't pass up this offer from J.Crew, even if it is the factory store, because my husband will never notice the difference when he receives the $9.99 t-shirts as gifts. (Never mind my small pile of jewelry and apparel.)

I filled my cart, only mildly disappointed that a pair of crystal earrings was sold out, and hit submit. It took a few seconds - okay, this is a busy day. Then the page kept defaulting to a 404 error. Not to worry - I can do it the old-fashioned way and call! After a reasonable hold period a sales person took my order. Slowly. And then the system crashed. "Would you like to start over?" he asked? No... I'm at work and can't be at this all day! Fortunately the website became responsive again and I placed my order.

As of the Saturday after Cyber Monday I have not yet received my order.  Scores a B.

Macys.com

Macy's was offering boots at buy 1 get 1 free and I just happened to need a pair (or two).  After scouring the selection and carefully reading the reviews I ordered two pairs - heeled-yet-rugged booties and black riding boots.

The positive side is the riding boots arrived within three days.  The negative side is that despite being Nine West and leather they are cheaply made and the heel is hard as a rock and uncomfortable.  The reviews said they run large; I found them too small.  Back they will go.

via businessweek.com

The super-negative side is that the other pair was sold out, despite my successful order, and will not be shipped.  Boo.

The really-super-negative side is that a customer service rep told me that it will take three days to email a return authorization slip (none was included in the package).  What???  This seems a little bit ridiculous to me...

Macys.com scores a C on this one.

Bluefly.com

Bluefly is one of those sites that I want to love.  Whenever I shop, though, I can't find a thing.  I had a $35 merchandise credit kicking around that I wanted to use up so I placed an order for two tops and a necklace.  Despite advertising an 80% off sale none of the items I selected were marked down to that extent.  One was final sale; no returns (and I hate that).

I also dislike Bluefly's practice of displaying all of the items that they are sold out of.  If I can't have it, I don't want to see it!

As of Saturday my order has not yet arrived.  Scores a B.

Express.com

40% off my husband's favorite jeans plus free shipping?  Sold!  This was an easy transaction to round out my Cyber Monday shopping.  They still haven't been delivered, but they score an A- for being easy-peasy.

Final Thoughts

Yes, I only shopped clothing for Cyber Monday, but the deals were worth the hassle in the end, I suppose.  

• Too many places advertised unimpressive sales.  I also disliked Amazon's quick-decision model with deals expiring every few minutes.  I don't want to play games - I want to purchase what I need (or maybe want) at the best price.  That's it.
• Few places listed the best deals - at least for clothing.  I tweeted and emailed my favorites to share with friends.
• I enjoyed the fact that J.Crew applied the discounts right on the web and I didn't have to search for a coupon code.
• Shopping via mobile device has really upped the opportunities for days like Cyber Monday.  I like that I could've taken advantage if that if I needed to.

Until next year...

3 More Tips for Selling Effectively on eBay

If you have a lot of stuff to get rid of, why not try eBay?  It's easy and you can reach a much larger pool of potential buyers than in your neighborhood yard sale.

Before you dive into this blog entry I recommend that you read my 4 Effective eBay Strategies.

Don't Bite off More than You Can Chew

It might seem like a good idea to list everything at once.  Voila!  Your clutter will be gone in a week!  Think about when it comes time to ship all of that.  Do you really want to bring dozens of packages to the Post Office and stand in line with them?  Not so much...

Listing 5-10 items per week seems safe.  If there's a larger item make it a lighter week.  If things are smaller, like clothing, it's okay to it's more items.  Remember that eBay allows you to list 50 items for free each month.  (You still pay seller fees but not the listing fee.)  Ten items per month fits nicely with this plan.

Another time saver is to box items up for shipping as you list them.  This way you have accurate measurements and weight of the package so the buyer can pay actual shipping charges.  There will be no delays in shipping the item after it's purchased because there are no excuses for waiting around to get it ready to go.  I recommend using post-it notes to label the boxes so you know what's inside.  That way, if the item doesn't sell this week, you won't forget what it is and have to rip it open!

Cross-Promote so More Eyes See Your Item

Do some research to see if there is another website where you can list your items for sale.  ModelHorseSalesPages.com, for example, is a website that's exclusively for model horse sales.  There is an option to link up eBay auctions to the listing so people can see what you've got for sale but know they must go to eBay to bid.

Consider Selling on Other Sites, Instead

• Craigslist - Craigslist is great for large items or anything that would be difficult or expensive to ship.  For example, I sold a toddler bed (not mine!) and a Pilates machine via Craigslist.  Pros - there are no fees and you can just make the listing and forget about it for awhile.  Cons - people are unreliable and you've absolutely got to meet in a public place to avoid bad things happening!
  
• Amazon - I prefer to sell my books here.  Old textbooks are just bestsellers - you can get rid of anything.  Be sure to price competitively - within a few dollars of the lowest price will ensure you sell your item.  Pro - large audience.  Con - prices are sometimes too low.
  
• Etsy - This is a site I've just begun using and I will certainly be blogging about it more in the future.  Pros - reach people looking for your items, easy to use, and lots of tools built in.  Cons - lots of fees (although they are not overly expensive) and there's no "ending" time so orders could come at any time.

Effective eBay Strategies

I've been an eBay user since 1997.  Back then I was seeking out rare model horses that I could snag for a steal.  Today I'm mostly a seller, culling model horses that I no longer want or selling "stuff" that's sitting around our house and would otherwise be donated or trashed.

This year I've offloaded a VCR, media player, lots of clothes, Christmas ornaments, miscellaneous electronics (mostly outdated), and some other stuff.  My tally so far is $800 so I must be doing something right!

eBay is easy to use and there are lots of sites out there that teach you how to get the most out of it.  Here are my tips:

Know what you have and whether or not others want it.

1. Search for the item you want to sell on eBay.  On the right, scroll down, and there's a toggle called 

2. 

   
   

    Completed Listings.  This enables you to see not how many are on the market right now, but what people actually paid for those items.  Setting a realistic price will ensure that your item sells.
3. If your item didn't come up in search, consider why.  Is it super-rare?  If so, good for you!  Maybe, though, it's out of season or just not popular right now.  Example:  I don't bother trying to sell model horses online during July or August because so many collectors are visiting BreyerFest. 
4. Maybe there's a better venue to sell your item.  I sold an unopened Pilates machine via Craigslist because I didn't want to deal with shipping.  I could've used the local pickup option on eBay, but I thought Craigslist would reach a larger local audience.  It worked - and I avoided fees!

Use the listing form to its full advantage.

1. Use every character that's available to you in the title field.  Rather than springing a few cents for a  ub-header, pack a punch with the free title field.  For example, instead of saying "Blue Gap Sweater", blow it out with "GAP Ladies Light Blue/Teal/White Argyle Sweater Size Small".  The more descriptors you add, the more likely your item is to come up in search.
2. It's in the photograph!  eBay allows lots of free pictures for many categories.  Add as many as possible - full length front and back, close ups of patterns or details, bottom view, whatever.  If the pictures are not free try to add at least two of different angles.  eBay allows users to zoom in on the photos so make sure they are high-resolution so that the viewer can see details.
3. Be descriptive.  Describe that item as best as possible.  Measure EVERYTHING.  Let eBay do the work for you in some cases, like electronics.  I sold a VCR and when I typed in the brand and model number into search, eBay offered to add dozens of specs to the listing.  Do this!  Users can search by specification and if you aren't including them then you're already out of the race.  Just make sure that everything eBay enters is accurate. Remember to test your item and be sure that it works.  If it doesn't, be honest about that in the listing.

Price to sell and ship cost-effectively.

1. Way back up in #1 of the first section I told you how to price your item.  If you don't need to sell it right away, price it at or a little above what you think it will sell for.  If you just want to get rid of it, try $5-10 below the regular auction price.
2. Shipping is tricky.  Apart from re-using packaging and offering the cheapest option (usually Parcel Post) there's not much you can do to cut costs and bidders shy away from high shipping costs.  Be mindful of your packaging because it can increase costs.  I put clothing into plastic bags and then ship it in manila envelopes because they weigh considerably less than cardboard boxes.  Using newspaper as padding is a great way to recycle but it also adds weight.  Consider re-using the inflated air pockets you receive in other shipments - no matter how satisfying it is to pop them.
3. I've had more success since I've started using "buyer pays actual shipping costs".  This feature inserts a little calculator into the listing and the actual price is determined based on where the bidder lives.  When you list the item, just enter the measurements of the package and the weight and boom, you're done!  Bonus:  your item is boxed up and ready to go!

Communicate and keep your promises.

1. Bidder has a question?  Answer it ASAP and consider posting the answer for all to see on the listing to avoid repetition.
2. If you said you'd ship next-day, do it!  It's just a matter of getting to the Post Office if you've got things packaged up according to #3 in the previous section.  If you can't keep your promise, let the buyer know and give him/her the opportunity to back out.  Hey, they might need that Joker Halloween costume for a party this weekend!
3. Follow-up by promptly marking items as shipped and leaving feedback.

Those are my tips for eBay success!  I've got lots more including don't bite off more than you can chew, cross-promotion, and selling on other sites like Craigslist, Amazon, and Etsy that I'll share in a future entry.

iPhone vs. Android and Social Media

When I last wrote about the iPhone coming to Verizon and its links to an increase in social media activity almost two years ago, I was on the right track!  Social media via smartphone is increasingly popular.  Most platforms (Android and iOS) now build social media right into the phone.

For example, on the iPhone 5 (yes, I went over to the dark side, and I'll tell you why in another blog entry), a set-up option includes logging into your Facebook account and having all of the information integrate with your contacts.  My Android also did this, but as the technology has improved it's even more seamless this time around.

It's no secret that mobile phone use is increasing.  Just check out this graph from marketingcharts.com:

While social media isn't one of the largest use areas, keep in mind that this chart covers all mobile phones, so it makes sense that texting would score higher.  (Some phones don't have the ability to access social media.)

Despite Apple opening up to more carriers, Android still has the largest share of the market, according to this chart from macobserver.com:

Apple continues to grow.  Whether or not a user ultimately goes with iOS or Android depends on a number of factors.  I'll give you a sneak peak into why I made the switch:  usability.  I don't care so much about customization; consistent performance is more important to me.  As more people from the older generation begin using smartphones they will likely be interested in finding a device that's easy to use and does what they ask of it.

Back to the original question of how smartphones have changed social media.  Just look at your Facebook timeline.  About half of the posts by my friends come from some sort of mobile device.  What about yours?

Catching Up

It's crazy to see that my last post was almost two years ago!  It's been a busy two years:

Finished my master's degree:

Attended my husband's college graduation:

Had surgery

Got married:

3-week honeymoon to southern Europe:

Traveled to Los Angeles (Blog World), North Carolina, the Caribbean, Lake Placid, Florida (Lean Institute training), Niagara Falls, Pennsylvania, Connecticut, and New York City several times:

Attended the Belmont race for the first time!

Lost a beagle and gained an English Setter puppy:

Started an online business:

  

It makes me tired just to look at that list!  Next blog entry I'll pick up where I left off (Verizon as a carrier for the iPhone) because a lot has happened since then, including the release of the iPhone 5.