Silk Road forums

Discussion => Silk Road discussion => Topic started by: alternativeme on August 15, 2013, 12:01 am

Title: Cost of vending
Post by: alternativeme on August 15, 2013, 12:01 am
I looking into becoming a vender and am considering pricing,

I want to get 8GPB per gram for my weed, after costs. How much do I need to charge, taking into account the SR charges and the cost of hedging? I also need to consider that I'll need to sell the coins on localbitcoins.com to take my profit and pay my suppliers.

I really don't want to be making a loss!

Title: Re: Cost of vending
Post by: ananas_xpress on August 15, 2013, 12:31 am
Probably about 10GBP assuming you add the cost of shipping expenses separately
Title: Re: Cost of vending
Post by: MendoHashMan on August 15, 2013, 12:43 am
consider cost of MBB's, packages, postage, seller fees, the risk of BTC dropping, the risk of losing packages, cost of tracking, travel expenses to and from the PO, and of course what your stress and risk is worth to you. There is a reason drugs are expensive on here, overhead can get kinda crazy and the risk and stress of running a business like this will cause you to lose sleep, at least I do!
Title: Re: Cost of vending
Post by: CaliforniaCannibas on August 15, 2013, 12:48 am
Part of being a vendor is figuring out all that stuff.......of course you could always google it... :)

I looking into becoming a vender and am considering pricing,

I want to get 8GPB per gram for my weed, after costs. How much do I need to charge, taking into account the SR charges and the cost of hedging? I also need to consider that I'll need to sell the coins on localbitcoins.com to take my profit and pay my suppliers.

I really don't want to be making a loss!
Title: Re: Cost of vending
Post by: monesty on August 15, 2013, 01:38 am
No matter how much you plan ahead there will always be some unexpected ghouls popping up. Expect to take a loss in the first month until you get the glitches worked out. Good thing to keep in mind is that for every profit there is a loss of profit.
Title: Re: Cost of vending
Post by: NoQuarter_merchant on August 15, 2013, 02:41 am
You just have to try it for yourself and see if it's worth it to you.

There are lots and lots of factors when it comes to doing business here.... just like any other business.   Postage, packaging, lost packages, bitcoin exchange, people not FE'ing...
Title: Re: Cost of vending
Post by: Pharmington Rex on August 15, 2013, 05:21 am
Part of being a vendor is figuring out all that stuff.......of course you could always google it... :)

Haha, Brilliant mate. +1 for the much needed laugh.
Title: Re: Cost of vending
Post by: Pharmington Rex on August 15, 2013, 05:27 am
alternativeme,

After you factor in most of your fixed costs, set aside 500 GBP. What for? Feedback blackmail, buyer scams, samples, and well... bullshit.

You can't put a price on bullshit. Some of it is literally priceless and will cost you its weight it bullion.
Title: Re: Cost of vending
Post by: PepperidgeFarm on August 24, 2013, 09:17 am
You can choose to have the SR commission added to the listing so you do not pay that the buyer does. Hedging is roughly 4% "I suggest you hedge" Charge the buyer for shipping. Not sure of your shipping rates out there but make a small profit on your cheapest shipping. In the states it would be "first class mail" then on your next shipping option "priority here" make a little money "I mark that up $10 US" and then we have next day "express" I mark that up too $10 US" That covers your shipping. Now you have to worry about scammers. And there are a ton of them that will try to extort a new seller. I really suggest you sell small quantities and build a good reputation for selling a quality product and shipping hella fast. Thats the secret to repeat loyal customers. If you get them the product faster than anyone else you can sell for a premium. People are more than willing to pay extra for the security of knowing its coming and its coming fast. Selling your coins, that the tough part. That can really hold up your business. You really need to have 1 months worth of product on hand if your serious about being a vendor. It can take 3 weeks to get paid by some customers and then you have to convert that btc to cash which could be a difficult venture. Sorry I did not organize that better for you, but I think I hit all your points. You have any questions about anything contact me on SR PepperidgeFarm. Ill be happy to help you out a little. Remember the real secret is LOGISTICS.

-PF
Title: Re: Cost of vending
Post by: james23456 on August 24, 2013, 10:17 am
alternativeme,

After you factor in most of your fixed costs, set aside 500 GBP. What for? Feedback blackmail, buyer scams, samples, and well... bullshit.

You can't put a price on bullshit. Some of it is literally priceless and will cost you its weight it bullion.

That's some good advice right there. Thanks for that mate :) (+1)
Title: Re: Cost of vending
Post by: james23456 on August 24, 2013, 10:21 am
You can choose to have the SR commission added to the listing so you do not pay that the buyer does. Hedging is roughly 4% "I suggest you hedge" Charge the buyer for shipping. Not sure of your shipping rates out there but make a small profit on your cheapest shipping. In the states it would be "first class mail" then on your next shipping option "priority here" make a little money "I mark that up $10 US" and then we have next day "express" I mark that up too $10 US" That covers your shipping. Now you have to worry about scammers. And there are a ton of them that will try to extort a new seller. I really suggest you sell small quantities and build a good reputation for selling a quality product and shipping hella fast. Thats the secret to repeat loyal customers. If you get them the product faster than anyone else you can sell for a premium. People are more than willing to pay extra for the security of knowing its coming and its coming fast. Selling your coins, that the tough part. That can really hold up your business. You really need to have 1 months worth of product on hand if your serious about being a vendor. It can take 3 weeks to get paid by some customers and then you have to convert that btc to cash which could be a difficult venture. Sorry I did not organize that better for you, but I think I hit all your points. You have any questions about anything contact me on SR PepperidgeFarm. Ill be happy to help you out a little. Remember the real secret is LOGISTICS.

-PF

+1 for that mate :) Thanks