Payment method for an individuals hobby?
Payment method for an individuals hobby?
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Discussion

shouldbworking

Original Poster:

4,786 posts

229 months

Thursday 8th July 2021
quotequote all
Looking for the collective PH wisdom on this.

I've recently managed to get a previously unobtainable car part remade, and have bought enough for my own needs as well as a decent stock for other people who also need it.

I'm not really interested in making a profit out of it - even though there was reasonable effort in getting it remade. I don't want to lose money, but making money isn't a priority. My dilemma is how do I get people to pay for it - purchases would be between £500 and £750 - enough that I imagine people will be cautious about bank transfer and away we go?

My initial thoughts were -

  • For people buying in person, cash or bank transfer - they'll have had the opportunity to see it and make sure they are happy with it
  • For people buying unseen, paypal goods and services and they pay a bit extra to cover the fees - giving both them and me a bit of protection.
As the seller I'd like to be protected against 'missing in transit' or 'not as described'... even though I'm comfortable the part is bang on, you never know what chancers may try

There seem to be a few other alternatives to paypal, but all in around the same ballpark fees wise.

Does this approach sound sensible? What alternatives should I consider?

Thanks

Mowges

41 posts

50 months

Thursday 8th July 2021
quotequote all
You could list it on eBay and go via PayPal. If the product is sort after people will use bank wires. I don’t use credit cards, never have and rarely get push back. Items up to 20k.

Caddyshack

12,702 posts

223 months

Thursday 8th July 2021
quotequote all
PayPal seems the obvious but my friend has had issues with £400 items where the buyer says not received, he shows them the signed for slip from the delivery and the buyer says "that’s no me" and PayPal refunds the buyer.

Simpo Two

89,464 posts

282 months

Thursday 8th July 2021
quotequote all
I'd agree that bank transfer might be unappetising to some as it's a lot of money to be sending to a stranger.

I'd hope that your buyers would be straighforward people and not professional complainers.

At that level I think it would be worth looking into taking credit/debit cards, as that helps people feel safe.

If there should be a punch-up, I'd rather debate it properly with a UK company than a customer-biased computer in America called Paypal.

Mowges

41 posts

50 months

Thursday 8th July 2021
quotequote all
If the item is unobtainable the seller holds the cards wink

Simpo Two

89,464 posts

282 months

Thursday 8th July 2021
quotequote all
Mowges said:
If the item is unobtainable the seller holds the cards wink
Not really because he hasn't got any to sell... you mean 'If the seller holds a monopoly'.

PS You type well for a cat!

Mowges

41 posts

50 months

Thursday 8th July 2021
quotequote all
Simpo Two said:
Mowges said:
If the item is unobtainable the seller holds the cards wink
Not really because he hasn't got any to sell... you mean 'If the seller holds a monopoly'.

PS You type well for a cat!
Cat?

VEX

5,257 posts

263 months

Friday 9th July 2021
quotequote all
If the product is unique and targeting a specialist or specific market focus then Bank Transfer would be acceptable to most, especially as you build feedback and confidence.

I launched a specialist Hifi webshop this time last year and although not unique in product range we have done well sell on all platforms and payment types. I have had 3 fraudulent purchase attempts, but all picked up by the site platform i use and they didnt progress. I manually (just a site button click) collect payments, the site pre-authorises them so to the customer it looks like they've made a full payment.

DSLiverpool

15,641 posts

219 months

Friday 9th July 2021
quotequote all
https://www.shopify.co.uk/buy-button

Put up a blog / explanation page with this button on to pay. Professional, simple, clean - 1 hour dev time if that or diy.

StevieBee

14,315 posts

272 months

Friday 9th July 2021
quotequote all
Have you considered buddying up with an established retailer - a company that already sells similar specialist parts and who have reputation in the market place and all the payment and shipping systems in place.

As the part is rare, I would have thought that the retail value will be a lot higher than what you paid. But as profit is not your motivation, offer them to a retailer at cost on a sale or return basis. But as they're not incurring any cost, it's something that they'd likely carry until they're gone.

I would have thought that they'd find this quite an attractive proposition and makes your life immeasurably easier and risk-free.




shouldbworking

Original Poster:

4,786 posts

229 months

Friday 9th July 2021
quotequote all
StevieBee said:
Have you considered buddying up with an established retailer - a company that already sells similar specialist parts and who have reputation in the market place and all the payment and shipping systems in place.

As the part is rare, I would have thought that the retail value will be a lot higher than what you paid. But as profit is not your motivation, offer them to a retailer at cost on a sale or return basis. But as they're not incurring any cost, it's something that they'd likely carry until they're gone.

I would have thought that they'd find this quite an attractive proposition and makes your life immeasurably easier and risk-free.
Hi, thanks for all the replies.

I am leaning towards bank transfer and just shipping via suitably insured / tracked methods to cover lost in transit scenarios.

The suggestion of buddying up with a retailer is one I plan to do - essentially, I'll sell it at my price initially to the early interested people, then sell any remainder to a retailer and let them charge what they want for it.

Why not do it at day one? couple of reasons.. firstly the retailer is a small outfit and may not have the cash on hand to buy it off me - sale or return as you suggested is a good idea. Secondly, markup... I want it to be available at a reasonable price, and I suspect that markup will be quite a bit.

shouldbworking

Original Poster:

4,786 posts

229 months

Friday 9th July 2021
quotequote all
DSLiverpool said:
https://www.shopify.co.uk/buy-button

Put up a blog / explanation page with this button on to pay. Professional, simple, clean - 1 hour dev time if that or diy.
mmm. this looks quite appealing actually.. not been on the tools daily as a web developer for a few years now (moved to architecture) but reckon I could still do that...

Mr Pointy

12,580 posts

176 months

Friday 9th July 2021
quotequote all
Just stick with Bank Transfer: it's straightforward, gives you most protection & costs you the least.

bristolbaron

5,278 posts

229 months

Friday 9th July 2021
quotequote all
Mr Pointy said:
Just stick with Bank Transfer: it's straightforward, gives you most protection & costs you the least.
Yup, keep it simple. Once you’ve sold a few buyers will be able to vouch for you, if it’s a niche market this should be sufficient.

ReverendCounter

6,087 posts

193 months

Friday 9th July 2021
quotequote all
What about using a fulfilment service? They deal with the customer order, packing and delivery so you wouldn't have to deal with fraudulent claims etc.

Mowges

41 posts

50 months

Friday 9th July 2021
quotequote all
Mr Pointy said:
Just stick with Bank Transfer: it's straightforward, gives you most protection & costs you the least.
And that is key. I’ll never allow cards. When I enquired years ago they wanted 90 days hold on funds and 2%plus. Fk that

DSLiverpool

15,641 posts

219 months

Saturday 10th July 2021
quotequote all
ReverendCounter said:
What about using a fulfilment service? They deal with the customer order, packing and delivery so you wouldn't have to deal with fraudulent claims etc.
They don’t take payment

droopsnoot

13,620 posts

259 months

Saturday 10th July 2021
quotequote all
shouldbworking said:
*For people buying unseen, paypal goods and services and they pay a bit extra to cover the fees - giving both them and me a bit of protection.
Note that the last time I checked, PayPal prohibit you from passing the service charge on to the customer. I'm not sure what the chances of them finding out are, but it used to be in their Ts and Cs.

I make some obsolete parts for classic cars, the majority of payments I get are via PayPal but sometimes I'll run into a buyer who doesn't do PP and they will send a bank transfer. It's very low-volume, though, so I haven't had to worry about massive volumes of sales and trying to streamline things - the latter because the parts are made to order as much as anything else.

Simpo Two

89,464 posts

282 months

Saturday 10th July 2021
quotequote all
droopsnoot said:
Note that the last time I checked, PayPal prohibit you from passing the service charge on to the customer. I'm not sure what the chances of them finding out are, but it used to be in their Ts and Cs.
But you can just put your price up by 3.4% + 20p (or whatever it is now), and nobody will know.

shouldbworking

Original Poster:

4,786 posts

229 months

Sunday 11th July 2021
quotequote all
Thanks again everyone..

I'm now being astounded at the cost of insured shipping!

Looking like shipping is going to be in the region of £40 for it to be insured for the full value, unless I use a third party like https://www.secursus.com/en-gb/, which makes it much cheaper - back to in the region of £12 or so... not sure whether or not I trust them.. their documentation requirements

  • Shipping label
  • Proof of value of the insured item (retail / purchase invoice or certificate of sale between 2 individuals)
  • Pictures of the item and packaging
  • Copy of the claim made to the carrier
  • Certificate of loss provided by the carrier
  • In case of damage, copy of the reservations written on the delivery note
  • In case of theft, a copy of the police complaint
Seems like it could take a long time compared to insuring directly with the carrier. Any thoughts?