websites vs. cost of sites

DADDIO · #1 02-01-2007, 10:59 AM

i am looking into setting up a website or having one set up to sell some carvings and other items that i make through.i have visited several of the members here websites and like going and looking at them but was wondering if some could comment on how much they sell through just their site traffic,and whether it is cost effective?

Colin_Partridge · #2 02-01-2007, 11:48 AM

Cost effective absolutly not. I have had a web site for about 5 years and I have never sold a single carving thru my site. It is a good conversation piece and it gives people an idea of what you do but for sales I would say a big NO.
This is just my finding maybe it works great for someone else. I find that I am busy enough just by word of mouth.
Colin

mwilleson · #3 02-01-2007, 11:49 AM

Daddio,

I can't comment on cost vs benefit, but if you decide to try it I can suggest two no cost (probably) options:

1) Your current internet service provider (ISP). Often times when you sign up with a company for an internet account they allow you to use a certain amount of space on their server to host a website. You won't have a personal domain name such as daddio.com, but if you advertise the site, people will find it.

2) Option 2 is to set up a personal Blog somewhere (i.e. blogspot.com). Again, these are free and probably easier to set up than a website. You pretty much follow their setup options, choose from templates how you want it to look, and then add content. You can add pictures easily as well. Again, it won't be daddio.com, but could be daddio.blogspot.com if that name is not taken.

Anyway, just a couple ideas.

Irish · #4 02-01-2007, 12:07 PM

Making sales on the net through a website often depends on if you have a way that the customer can make the purchase on-line using a credit card.

In our experience, this is our tenth year on the net with two commerical websites, people will not bother to make out a check and send it in the mail. They either want to order and pay on-line or by credit card over the phone.

So my first suggestion to anyone that wants to make sales on the net either get a credit card account through your bank or if you are just starting out get a PayPal account.

Most credit card accounts run between 2.5% to 4% of the amount charged against the credit card so you would need to take that into account.

That small step will make a dramatic difference in whether you do or don't make the sell.

Webspace is cheap as dirt!!!!! I would suggest that you check out 1 and 1 as we use them as one of our web hosts. They have several plans and there are bennies that come with the different plans they offer.

Now .... having a website for wood carving might never make you an on-line sale. But the advertising is priceless. On our dog site we feature over 60 dog print artists. Some are very large studios and some of very new and small. Some of our small artsits seldom make sales through our site yet the benefits of having their art posted to the web where they can use it as an instant catalog for marketing is worth their time and investment.

Just having a nicely done site can improve the 'image' of your business and your reputation.

I believe, and this is only my opinion so worth about as much as a cup of coffee at MacDonalds, a website will pay for itself in so many ways beyond just making online sales.

Susan

GeorgiaCarver · #5 02-01-2007, 06:53 PM

I agree with all so far. I have started making sales with my PayPal buttons and shopping cart. But I will never get rich.

Credit card is the way to go but you need to generate enough in sales to pay the monthly fee.

Susan, please confirm, credit card abilities requires a monthly fee, right???? If not I need to learn how to do it without the charges :>)

Greg

Irish · #6 02-01-2007, 07:12 PM

Hey Greg,

Either way it costs you, the store owner, to accept credit cards! You are buying their service to create and transfer the money from your customer's account to yours. There' no way around that percentage that I know of ...

You can either get a Merchant's Account through your local bank or a PayPal type account.

We have a merchant's account. We sent it up through our bank and had to purchase the terminal to process the cards ... about $500. Then there is a monthly fee that they charge, it's a percentage of the total charge including taxes and shipping. That fee can run anywhere from about 2.5% up to 5% depending on how long you have been with the merchant's account, how many chargebacks you have placed against you and your industry.

A service station will usually pay a smaller fee than a repair garage ... I guess because people have more fights over their bills with mechanics than with gas pumpers ?!? A chargeback is a dispute between the customer and the store often from stollen card numbers here on the net.

Where a merchant's account hurts the new business is in the monthly minimum rates. If you don't do so many dollars in sales they stick you with a surcharge. That can really be expessive. Way back when our merchant's account expected us to do at least $1500 each month or else .... AHHHH!

With a PayPal type of account you might be paying higher percentage rates .... BUT! ... as a new business or a new to credit card business you won't have that initial terminal fee or monthly minimum fees.

Plus if your customers are going to pay you using PayPal they have to have already been approved by PayPal. That does help in protecting you against false card charges.

Today, if I were starting out and selling finished carvings over the web I would probably start with a PayPal type set up. Then when the business was well proven move onto the merchant's account.

This is just my experience ... take what you and and trash the rest

Susan

OOOPS ... One more thought here. The net is about Instant Gratification. It has brought so many wonderful new and exciting things that we never knew existed within our reach. They see it, they want it and they want it NOW ... or at least i do

So that's why being able to take credit cards ... instant cash/instant payments ... is important.

Again, just my opinion.

GeorgiaCarver · #7 02-01-2007, 07:17 PM

Susan, once again you have taken the time to educate me on processes that I wondered about but did not understand!

I thank you very much for taking your time to help me. I know your time is valuable.

Greg

Irish · #8 02-01-2007, 07:21 PM

Hey Greg ... This is OFF DUTY time and where I come to have fun, chat and just hang out with everyone else

And, YES, time here on the forum is Priceless ... LOL

Susan

Ashbys · #9 02-01-2007, 07:22 PM

Susan ,
Thanks , we have never sold over the net , but it is something that will be a part of the new company. We do have merchants that have ask to use them as outlets , but the difference between wholesale and retail is hugh.
But so is the work setting up the store , but boy is it fun.

Just getting the retail permits has been a real joy . The difference between selling business to business and to joe public is in itself crazy.

Irish · #10 02-01-2007, 07:26 PM

Garry ... Just wait

The government paper work is coming in the mail to a desk near you soooon!

We have had the Revenuers knock on our door to check our retail liscense and you know what .... it's right there hanging on the corkboard over our computer with the other nine years of liscenses.

Jeeez ... what a shock and Jeez ... did Mike pat me on the back for insisting on thumb tacking those things in plain sight.

Susan

After thought ... these are just my experiences, take what you want and trash the rest ...

Standard Disclaimer Stuff.