Store Listing translation to ROI

[Shortcut]

I remember one of the first podcast I listened to you guys mentioned to get to 500 listing as fast as you can and that should translate to how much in cash per week? And once, you are at 1000 listings, how much does that average out to again? I can’t seem to find the original podcast or forum post.

Thanks for the podcast, so much, I listen to it weekly and I am using it to pay off debt and stay out of debt for my family.

[s]

I would think there’s far too many variables to come up with a dollar per week amount based just on having a certain number of listings. I sell primarily mens clothes and averages about a 5-7 X ROI after expenses on most things that I sell. But I’m very particular about what I buy, how much I’ll pay for things, and how quickly I can expect them to sell.

• This reply was modified 7 years, 9 months ago by s.

[Jay]

When we first stated the podcast, people asked for a metric so I threw one out there based on our rough experience.

When we had 500 items listed, we were making $1000/month pretty consistently.
When we had 1000 items listed, we were making $2000/month pretty consistently.

As Shayward23 says, the variables are enormous. I see some sellers with 1000 items not make much money, but then again I see sellers with under 1000 items make much more than $2k a month.

My point was simply that you wont make money if you dont list. We like goals is 500 items is a good goal for anew seller.

Gets you past the idea that you can list 30 things, wait till they sell, then list another 30 items.

[T-Satt]

Shortcut: It will all depend on what you are normally finding and selling. The only real way you can predict your store is to track your numbers.

Keep track of how many items you sell each week, the number of listings you had at the end of that week, and the Average Selling Price of your items. Divide your weekly sales amount by your total number of listings to get your Sell Thru Rate for the week.

After a few weeks, you will start to see the range that your STR and ASP trend within. This will give you a basis for predicting how your store will do when you grow. I would caution to trend your STR down as you get larger, as we always see a degradation in STR as stores get bigger (more long tail items).

[Shortcut]

I’m sorry to ask this, but instead of trying to figure it for hours myself. Does the team have a spreadsheet example I can download and start using? This will help our anxiety a little. Thank-you very much again …

[T-Satt]

Use the link below. This is a scaled down version of the file that I use, and you can see my numbers for 2018 as a guide. Let me know if you have any questions.

https://docs.google.com/spreadsheets/d/1Wy1YmE3D2st-Oq9PFhHj-v43ZN59WSRjdmnvOWunHc8/edit?usp=sharing

[T-Satt]

PS – You can ignore the “Weekly Listings” column. That is the number of new listings we do each week.

[Shortcut]

Thank, a bunch! T-Satt … I mean it sincerely too.

[T-Satt]

No problem. Numbers are my thing. Some artists use oils or clay…I use spreadsheets. 🙂

Let me know if you have any questions, and you can hit me up directly. TSATTERF@YAHOO.COM

[Tiger289]

T-Satt, To help me better understand this, could you (as an example) give me the formula that you use behind cell E6 in your spreadsheet? Thanks much for all your postings. They are very helpful.

[T-Satt]

This formula is for your STR, but on a monthly basis. I like to keep both the Weekly STR and the Monthly STR on the same basis, so I put the weekly sales on a monthly rate.

So in this case, take the 80 sales for the week, divide by 7 (to get the rate of sales by day) then multiply by 30 to get a month’s worth of sales. Then divide by the inventory level at the beginning of the week (which is the ending inventory of last week).

The IF statement is just so that my tab shows a blank cell if I haven’t entered any information for the week.

[Tiger289]

Thanks so much, T-Satt. Much appreciated!

[Author]

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