Guide Winning Bidder, The Insiders Guide to eBay Selling Strategies That Work!

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Internet Entrepreneur Club. Secrets To Their Success. Blogging For Dollars. Mailloop 7. AssocTRAC 4. Desktop Marketer Pro. Warp Speed Wealth. It'd leave resellers who bought on credit hoping to make a quick buck in a massive lurch. In a way, that already happened last year when Adidas released Yeezy football cleats.


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  4. They were massively hyped at first, and then the price dropped to the ground because, well, they're football cleats. After the shoes didn't move, people started using the upper material for custom pieces just so they could make some money back. Tran said that most of the time, buying something with Kanye's name on it is a good gamble, but as with any investment, you have to take a calculated risk. While the audience was enthusiastic about the news, when I asked Luber about it after the room cleared, he didn't seem excited by the prospect.

    After all, StockX distinguishes itself from other resellers through an unwavering commitment to the buyers and sellers. That alone has built an incredibly loyal customer base. StockX will do practically anything to keep its customers happy, whether that's sending discount codes in case a pair of shoes ships without a verification tag or guaranteeing that every shoe sold through the site is percent authentic.

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    Sure, you can argue that you shouldn't invest money you can't afford to lose, but year-olds aren't necessarily going to be the ones buying shares in Apple or GE. They will drop serious coin on sneakers or a high-end T-shirt though. They're gonna mess their credit up for the rest of their life. Luber said he feels a responsibility to make sure kids aren't going into crippling amounts of debt over sneakers. As he spoke, his face took on a pensive look, playing out in real time the classic startup conundrum of making decisions that are good for business rather than those that make you feel good.

    Winning Bidder, The Insiders Guide to eBay Selling Strategies That Work!

    After a pause, he added that at the end of the day, StockX isn't a financial adviser. We can't not have the same features that our competitors have. The market for counterfeit and pirated goods amounts to half a trillion dollars per year. Counterfeiters, however, aren't just selling fake Coach purses and Rolexes in an alley anymore. The internet makes for a quick way to sell unauthorized reproductions of just about anything you can think of, including rare sneakers and streetwear.

    Knock-offs aren't easy to spot. The fake makers have gotten so good that reproductions are said to be 95 percent accurate. There are minor variations in materials, screen printing, sole pattern and stitching, but to the untrained eye they'll pass for the real deal. Knowingly buying a clone is totally up to you.


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    The problem comes when unscrupulous sellers try passing off fakes as the real thing. Every pair of Jordans, every Louis Vuitton handbag, every Rolex watch and every thread of Supreme gear that comes through its doors goes through a rigorous inspection process to ensure that your purchase is percent real. This is a service StockX has provided since opening its doors.

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    Since the site has sold and authenticated "multiple hundreds of thousands" of shoes, Luber said. In January, the auction site started taking a 20 percent commission for its Authenticate service. Comparatively, StockX takes a 9. There's also a flat 3 percent payment-processing fee applied to all orders, regardless of how much you sell. A tour of the 3, square-foot operations room at StockX reveals just how expedient the process is.

    The entire room smells like walking into a shoe store, and no photos are allowed. To the right is a floor-to-ceiling stack of shoe boxes roughly 20 feet high and 30 feet across. The authenticators each have their own station to work from think of it like a narrow standing cubicle , and above them hangs an oversize version of StockX's green "verified authentic" tags. A team of around 15 authenticators unboxes 4, to 6, pairs of shoes every day, slicing open UPS bags from sellers and poring over Jordans and Yeezys looking for telltale signs of counterfeit. Common issues are a Swoosh logo that points too high, a Jumpman that's just a little too big or a Boost sole that doesn't quite have the right pill pattern.

    Sometimes it's not visual -- maybe the glue holding the kicks together doesn't pass a literal sniff test. Shoes come in cycles. There are a few standards that always pass through, but for the most part, what the authenticators see mirrors what's been released in the past month or so. Then the cycle repeats. After a pair of shoes undergoes its inspection process, it's tagged and put back in its original box; then it makes its way to a conveyor system run by two people. They're then put into a shipping box, pushed through an automatic taping machine, rolled down a plank of casters and put onto a pallet for shipping.

    That happens roughly six times per minute. The whole system was designed by a guy who worked logistics at Delta, which is probably why it feels a bit like running your carry-on items through security at the airport.

    Experienced Buyers Court Many Business Sellers

    At the end of the verification process, each product gets an "authentic" tag, StockX's guarantee that goods aren't counterfeit. When StockX started, the company had two authenticators working out of a closet. That was fine for the first six or seven months, when only 10 or 20 pair of shoes were coming through each day. It doesn't stop there. Remember the letter of intent that was written with wiggle room in the buyer's favor? Now the experts put a large net working capital requirement for the date of closing. The scalping has just begun. The original offer, however,was a low-ball offer to begin with.

    The Seller Gives In The other alternative is that the seller walks away from the deal after investing six months of time into the process. The buyer is counting on the seller protecting his investment in the process and settling for a deeply discounted transaction value. The business has likely suffered during the process because the owner devoted much of his time to selling the business and spent less time running the business. The damage will likely continue on for some time due to the loss of momentum. Remember that the buyer was engaged in the same process with 2 or 3 other prospective acquisitions and is counting on at least one of them trying to salvage what has now become a a bargain sale.

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