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Wednesday, February 17, 2010

The Really Good Deals

Several friends that are entrepreneurs have commented over the years that marketing is the hardest part about launching a business. How do you let interested people know about your product or service?

How do you get people to win-win with you on your business offering? The Really Good Deal?

We've talked about this problem and how all the avenues for reaching people have been over-used and abused.  Consider the following channels of communication and the resulting status:

  1. Television ads. We automatically tune them out, or change the channel. Some use the Internet to download commercial-free shows and get no ads at all.
  2. Radio ads. Same for television, but even worse. For music, many would rather pay 99 cents rather than listen to ads.
  3. Web browsing. Pop-ups, pop-unders, wiggly animations, “Hello, you've been automatically selected to receive a Walmart gift card” coming over your speaker. All very annoying. People who click on these things usually do it by accident. Google did us all a big favor by making ads text based and relevant to the content on the page being viewed.
  4. Mail. The Post Office type. Junk Mail. Now-a-days they are scanned for coupons and then tossed. Very little is even seen.
  5. Email. Spam. Want to make people angry? Just send them an unsolicited email. So many of these unsolicited emails have been sent that are scams that use of this channel for legitimate offers that are really wanted cannot get through. There is a whole industry of companies that manage email and block Spam. Now even mail from friends gets marked as Spam.
  6. Social networking. Facebook opened a new channel of communication that piggy-backs on email. Who would mark a “poke” from a friend as Spam? Want to play Pirates and Ninjas? If I am any indication of how this is going, I've turned off all notifications and rarely visit Facebook now. I currently have 180 “requests” in my inbox to try this app, join this group, indicate my relationship to someone. Ugh.
  7. Billboards. Unsightly clutter on the sides of the highways. Even if there is something interesting, by the time you're back home where you can do something about it, it has been forgotten and replaced by some other attention-getting distraction.
  8. Flyers. A paper delivered to your door or stuck under your windshield wiper. The problem with these is similar in that it is a shotgun blast where a single BB would do. 1 out of 10,000 find the offer interesting. Now all flyers are tossed without being read.

Where does that leave us? The last and greatest two methods of communication, with the greatest trust are the following:
  • Web Search. People, knowing what they want, use Google or some other search engine to search for that item and then research to see customer reviews, etc. These searches are divided into categories as for where the best place to look is.
Books – Amazon,
Music – Walmart online,
Antiques or novelties – Ebay,
Apartments or stuff in metropolitan areas – Craigslist.
You get the idea.
  • Word-of-Mouth. Personal relationship recommendations mean more than all of them put together. Something has to be a pretty good if friends talk about it with friends.

Speaking to these last two points, how does a person buy or sell used items within a locality like a neighborhood or city? That's where localized classified ads come in. That's where NearbyItems.com (Free Classified Ads) provides a service using these last two points of web search and word-of-mouth and helps people buy and sell personally. It can be heavy like a couch or anvil, not worth the shipping cost. It can be items that move fast, like cell phones, coins, and jewelry. It can be items you must see in person, like dogs, cars, or guns. It can be free items.

For the really good deals, you have to go and find them. They are the deals that most do not know about. They are close by. This is the market served by NearbyItems.com.

People cannot easily make use of all the marketing methods of the big sellers, so they need something local and findable. That's how you find the really good deals.

Happy Posting...

Wednesday, February 3, 2010

Two for One Special

The innovative folks at NearbyItems.com are focused on providing a valuable classified ad experience. They just introduced a new feature where you can post an ad on their website and then autopost it to Ksl.com.

I played around with it and it currently only supports general items, not Vehicles or Real Estate. But, man, is that sweet. Not only is it super simple and easy to post items, but now I can manage my Ksl ads from there. When sold or deleted, just one click and it handles both sites.

Features like this make me wonder what's next? Or is that the pinnacle of what can be done? They are very mum about future features.

Really Happy Posting...

Monday, January 18, 2010

Classified Ads Becoming Wildly Popular

Classified Ads Becoming Wildly Popular

A website record was broken on Saturday, Jan 16, 2010. Normally, the new classified ads posted in a day is around 1,500 (for the Utah state area), but on Saturday it was 8,256. That's over 5 times the normal.

What's going on?

A quick poll to some of the user's who posted shows the following reasons:
  1. Was too busy during Christmas to post, so catching up now.
  2. Got this for Christmas but don't want / need it.
  3. Ebay is too expensive and too much of a hassle, so I don't post there anymore. (this was from a business)
  4. I need money and want to get rid of the junk I'm not using.

I think reason #4 is the most popular reason. Got to pay off those credit cards built up during Christmas, perhaps. I didn't want to ask and get any more personal.

One person who posted 22 items that day said his wife passed away and he was selling furniture and stuff to downsize and move to a smaller place. That's a lot of items for one person in one day.

Typically Thursdays are the biggest post day of the week, probably because people try to sell stuff by the end of the weekend.

The day after, Sunday, only saw slightly more than normal posts.

I do think classified ad posting is becoming more popular in general. I'll keep watching what happens and let you know here.

The data source used for this blog entry was from http://www.nearbyitems.com/.

Happy Posting...

Tuesday, January 12, 2010

Selling Items? Why you should tell family and friends.

Selling Items? Why you should tell family and friends.

An informal poll of several friends and family members has concluded the following:
A buyer that knows the seller will pay the asking price without much bargaining, but the seller will often lower the price from what would be posted in a classified ad.

So, the most effective way to sell something is to let family, friends, and neighbors know.
  • Nearby, as in relationships, for family and friends.
  • Nearby, as in proximity, for neighbors.
How to Let Them Know
  1. Word-of-mouth: the most trusted form of marketing. Tell them about your for-sale items.
  2. Email: the most convenient since the person receiving can click a link to get to the items of interest. Send them an email with links to online pictures and details.
  3. Paper: least efficient, but needed for the super-nontechnical. Print out the pictures and details and deliver after the person has expressed interest.

Making It Easy
NearbyItems.com is designed to facilitate this type of sharing. Try using the “Send to Friend” feature which sends a formatted picture and short description with a link to learn more.

Thanks and Happy Posting.

Monday, January 4, 2010

If it's Alive, Heavy, Moves Fast, and/or Requires Inspection

What kinds of items are best served by a local, classified ad marketplace? Items that are alive, heavy, move fast, and/or require inspection are best served by a local market. Please let me explain.

Alive Items
Dogs are the third post popular selling item on www.NearbyItems.com. Animals are hard to ship so people want to pick them up locally. They have different demeanors. Prospective dog owners want to see the personality of the dog before buying.

Heavy Items
Anvils, couches, washing machines that are used are not worth the shipping costs. An anvil selling for $50 would require $72 in shipping because of postal weight limits. A couch is too bulky and would cost more than $100 just to ship. Same thing for the washing machine.

Fast Moving Items
Cell phones are listed and sold faster than any other item category. Cell phones are lightweight, so they are conducive to low shipping costs, but there are two reasons they are not: first, since it is used, people want to see the condition personally, and second, when you want a cell phone, you want it today. There are enough used cell phones all over so there is no sense in shipping one from two states over.

Requires Inspection
Would you buy a used diamond ring based on the picture alone? How about a car, clothing, a television, a rifle? Even when brand-new you want to inspect these things before buying.

That is why websites such as Ebay, Amazon, Walmart, and Craigslist don't work very well for these items. The items you buy need to be local (and that means a smaller area than a city, but bigger than a zipcode).

A person will go farther for a free item than they will for a blender.

NearbyItems.com was created to support this marketplace need.

Happy Posting.

Monday, December 28, 2009

Motherlode of Brand-New Items at Used Prices

One of the best sources for good deals is when someone is given a gift that they don't want.

An example is when a Christmas party at work has a prize that you win, an Iphone, and you and your spouse already have one. You “want” the gift in general, but you don't need it so you want the money instead.

How can you benefit from this dynamic circumstance?

Well, people with these extra items post them for sale on classified ad sites. The data source used for this analysis is taken from the http://www.nearbyitems.com website:

8,027 have the word “Christmas” in them, but this can be from ads that are indicating that they make good Christmas gifts. So to weed those out, use different combinations of terms.

2,368 have the phrase "for Christmas", as in “I got this for Christmas but I don't need it”.

The reasons given are:
419 gift from work,
60 already had one
32 gift from father/mother/buddy/brother/sister/friend
18 can't return it
17 replaced old one

When people post these items for sale, they pick a price about 10-20% below the brand-new cost. But they are willing to take MUCH less. If you are a buyer, try offering just below half the new cost, and be willing to negotiate up to just over half. High demand items may have to be closer to the new price.

If you are looking for good deals of new items at used prices, check the classified ad websites after the holidays and ...

Happy Posting.

Tuesday, December 22, 2009

Whole Product Solution

I almost moved this blog to a new website because readers want to be emailed when a new post is posted. Before moving, I'm trying out this widget on the upper right for subscribing. Please use that rather than the "Follow" feature provided before.

The need for this for me, as a customer, is expected and should be supplied by the folks at blogspot.com. Since it isn't, I had to use a 3rd party, feedburner.com, to provide it. That means that  blogspot.com doesn't provide a whole product solution. The customer must cobble together their own solution. We, as customers, long for a whole product solution in all the areas of our lives. Successful entrepreneurs do their best to make this as easy as possible in their business.

Thanks and Happy Posting.