How Can I Quickly Make More Money With What I Already Have?
Part 1: Where to Start
One of the #1 reasons HammerTap is such a valuable eBay market
research tool is because it shows you how you can make more money from
the products you’re already selling. There are a
lot of ways that HammerTap helps you optimize these listings, so many
in fact that it’s going to take us three
lessons just to get through them all!
really exciting stuff, so hold on to your hat, because you’re going to
be blown away by the information HammerTap puts right at your
Introducing the Findings Window
our last lesson, we worked a lot with the Category Search, which is a
great tool for looking at the market as a whole. However, today we’re
moving back to our Product Search. So, do me a favor and let’s open up
our Skullcandy earbuds report. Remember, we want the filtered one
because we’re going to start making decisions based on the results.
Your report should be named something like Filtered
Earbuds (if you need a review on opening a saved report,
check out Lesson 3).
first screen you see when you open your report is called the
Findings Window. This is the most basic
results screen, and it’s a great place to start looking for
We first want to take note of the LSR
and ASP. We talked about these a little bit in Lesson
4 (remember, LSR = Listing Success Rate and ASP
= Average Sales Price), and we’re going to use these numbers as
benchmarks as we figure out how to sell better. Always remember that
LSR and ASP are
That means there are plenty of sellers both above and below these
rates. You want to figure out how to sell above them, and that’s where
HammerTap comes in.
So, let’s look at my LSR and ASP.
For our Skullcandy
earbuds we have a LSR of 81.68% and an ASP of $12.13. We’re going to
use these numbers as a starting place.
People often ask whether X% is a good success
rate. There isn’t a simple cut off that equals a good LSR. If you can
list the product more than one time and still make a profit, the answer
is yes. If your profit margin is too narrow to list the product
multiple times, then the answer might be no. It really depends on your
situation, the price you paid for the item, and how much the research
says you can make on it.
So we can use our LSR
and ASP averages as a starting place, but we want to sell better than
that. Selling better really depends on what we want to accomplish and
our selling strategy. (Don’t freak out on me… I know selling strategy
may sounds a little intimidating, but I promise it’s actually really
simple, and you’ll probably have yours figured out before I’m even done
at HammerTap, we realize that there isn’t always one right answer. We
understand that each of you has a very unique business based on unique
backgrounds, experiences, products, and goals. And since you are each
so very different, it wouldn’t be correct if we simply interpreted the
data for you and said, “Ok, here’s the one right answer.” I mean,
except for math and science problems, how often is there really only
one right answer?
So we’ve based the answers
you’ll see on three different selling strategies. Scroll down in the
Findings Window and you’ll see a chart
that looks like this:
out all the options this chart has! It’s going to tell you exactly what
you should do for each of these choices. (Just imagine how much easier
this will make your life! Now, instead of guessing you’ll have easy
answers based on facts!)
Ok, but here’s the
catch. Notice that there are three columns, which each have different
answers. Well, which one do you follow? That’s where your selling
strategy comes in. Each of the columns represents a strategy, and the
right answer for you will be the column that represents the strategy
you’re running your business by.
LSR: Listing Success Rate
first strategy is a LSR, or Listing Success Rate, strategy. This is a
high volume, low price strategy. If I had 1,000 sets of earbuds that
I’d bought at wholesale, I would want to go with this strategy. I’m
interested in selling my product as often as I can—getting it out the
door the first time, every time, as often as I can. This is because I
don’t want to be stuck with left-over inventory, and I also don’t want
to spend the time and money it would take me to relist my items.
Because I bought in bulk, I probably got a decent discount on the
product, and I’m more likely to be willing to accept a lower
With this strategy I’m looking to maximize
my listing success rate. This column is going to give me those answers
that will help me sell my product more often, which is exactly what I
would be looking for.
ASP: Average Sales Price
next column contains answers for the ASP, or Average Sales Price,
strategy. This strategy focuses on low volume and high price. This
would be my strategy if I had a smaller number of earbuds. For example,
let’s imagine that I bought 5 pairs of earbuds on sale at Best Buy. I
got a deal, but it wasn’t amazing. In this situation, I’m going to be a
little more price-sensitive because I have a higher cost of inventory
per item, and I only have five chances to make my overall profit. I’m
willing to list my product a couple times if it means I’m going to get
a higher price, and I’m interested in those options that are going to
increase the price I receive on my earbuds.
column helps me do just that. It shows me exactly what I need to do for
my listings if I want the highest price. So, instead of spending all my
time listing five items trying to figure out what works, and ending up
with wildly varying prices, I can follow this column and know what has
the greatest chance of consistently working.
Combo (LSR x ASP): Balanced Strategy
is the final strategy, and you can probably guess that this one offers
you the best overall option. We recognize that there are often times
when you want to both sell your item quickly and
get a high price. This column makes it easy for you to find the best
You’ll notice that the numbers in the Combo
column don’t seem to make much sense. These are actually meaningless
numbers because they’re simply the LSR percentage multiplied by the
ASP. So don’t worry about what these numbers mean; look instead at the
options in this strategy’s left column.
you figured out your strategy yet? Good job! Now, let’s take
a look at some of the answers this chart gives us.
The Findings Chart
first option on our chart is Listing Type.
Simply click the green arrow next to the title and it will expand
now see graphs depicting the answers based on each strategy. First,
let’s check out the LSR column. With this strategy, we will have the
highest chance of success using an auction-type listing. This listing
type brings our LSR from 81.68% (our average) to 85.48%. Next we’ll
check the ASP column, where we can see a very clear and distinct peak
in the chart, indicating that the 109 listings that used the
Fixed-Price format had a much higher closing price (the numbers in
parentheses next to the listing types specify the number of listings
that used that format). And finally, the Combo column also indicates
that Fixed-Price is the best choice. Do you see how easy that
Now, I want you to check out the
Start Day and End
Day options on your own. What are the answers for the
Next, we have the End Hour section, which I’m going to look at with you.
Here you’ll notice
something interesting. In the LSR column, it tells you that the best
time to end is between midnight and 1 a.m., and in the Combo column, it
recommends ending between 2 and 3 a.m. That seems a little odd, doesn’t
All times within HammerTap are in Pacific Time,
because that’s how eBay records all time related data.
need more information! So, let’s go to the Summary
Window. Simply click at the
bottom of the page, and we’re going to check out the End
Hour table (either click the End Hour link at the top,
or scroll down until you see the table).
Here’s the table from my results (with a few of my own underlining edits):
the first time underlined in red (00:00 – 00:59) was the time
recommended by our LSR strategy. Notice the first yellow column
(Number of Auctions). There were only 5
listings that closed at that time. In other words, the 100% success
rate is based on only 5 listings! That
doesn’t sound very reliable or proven to me. Five listings isn’t a very
large sample size, and you can’t rely on results that haven’t been
proven. However, if I had quite a few products (remember, LSR is a high
volume strategy), I could test the ending time and see if it worked for
me. But if I wasn’t willing to take that risk, I would want to find
another, more reliable time, to end my listings.
next time underlined in red was the Combo column’s recommendation. Can
you spot the problem? Only 1 listing! That’s like flipping a coin!
Definitely not reliable.
And finally, let’s check
our ASP strategy ending time since we’ve been having problems with the
other two results (the third time underlined in red). Again, what’s the
problem? Yep, there are only 3 listings, an unreliable sample
So, what are you to do? All of your
“answers” just got blown out of the water! Does this mean that all of
the answers in that Findings Window chart
are unreliable? No, it doesn’t. The end hour results simply provide you
with the ending times that have the highest LSR, highest ASP, and the
best combination without taking sample size into account. With your
more advanced brainpower, you can quickly and easily check these
answers and find times that are proven. Check out the three times I
underlined in blue. These times have decent sample sizes, good success
rates, and respectable prices (or high prices for the last two), and
they only took me about 5 seconds to pick out. You can do it
The chart in the Findings
Window is a great place to start getting answers on how
you can make more money with the products you already have. It
sometimes does require a little double checking, but the
Summary Window makes it easy for you to
make sure the answers you’re looking at are proven and reliable (and to
find new answers when they aren’t).
Take a minute
and go through the rest of the Findings chart and see what other
answers you can find for our Skullcandy earbuds, and I’ll see you in
our next lesson where we’ll talk about other ways to increase our
Assignment #5: How can you improve your own listings?
I’m sure you’re excited to try this out for your own products. Take a
minute to conduct a Product Search on one of your own products
(remember to check your research for accuracy!), and take a look at the
chart in the Findings Window. Look at the
column that fits your strategy, and use the Summary
Window to ensure that you’re results are reliable and
What did you find out about how you can improve your listings? Pretty cool, right?
You’ve finished Lesson 5 (you’re half-way through the Power to Profit
course! Can you believe it?), and you’ve learned some great stuff about
how to increase your profits. In our next lesson we’ll talk about even
more ways you can make more money. Remember to send your questions to
Look for Lesson 6 in your
inbox in a day or two. Or, if you can't wait, move forward to Lesson
Or, return to Power
to Profit Tutorial Home