Welcome to this edition of Adam Ginsberg's "Insiders" Newsletter. Each issue is designed to provide you with insights, tips, secrets and overall strategies on how you can build your online auctions business. I'm sure you love this issue! This week will show you how to make a fortune with Second Chance Offers!

Lower eBay Fees and Increase Profits by Using Second Chance Offers!  

Did You Know...724,000 people use eBay to earn Part-Time and Full-Time Income? Will you be next?

I can remember when eBay introduced the “Second Chance Offer” – quite honestly a brilliant idea. A stroke of genius is really the only way to describe this technique, that today is still used by a small percentage of eBay sellers.

Did you know that you can use a Second Chance Offer to sell multiple quantities of the same item through one eBay listing – and when done correctly, you'll only have to pay eBay one listing fee. When implemented correctly, you can actually use the Second Chance Offer a) increase your profits and b) decrease your costs (in this case by lowering the fees you pay to eBay).

What is eBay’s “Second Chance Offer”?

The Second Chance Offer gives you the ability to sell an item to a 2nd, 3rd, 4th or even 5th high bidder to an auction. In other words, a Second Chance Offer allows you to offer items for sale to the non-winning bidders of your auctions. As you build your eBay business you will ultimately sell an item where you have multiple quantities of that item. In this case you can offer this item to 2nd, 3rd, and 4th high bidders, etc. accordingly.

When Can You Offer a Second Chance Offer?

When one of the following situations arise, you can use the Second Chance Offer strategy:

1. If you have more than one of an item and want to offer a non-winning bidder the chance to purchase the item for sale
2. If your winning bidder doesn't pay for the item you can offer a Second Chance Offer to another bidder
3. When your Reserve Price wasn't met

Let me give you an example of a Second Chance Offer in action. Let's say you're selling shoes. When you buy shoes from the manufacturer, let's say you acquire a dozen (12) pair of Prada shoes size 7. And, let's say you list one pair for sale, which sells for $249.

Now, if we examine the number of bids and the 2nd, 3rd and 4th bidders we can quickly determine if a Second Chance Offer might the appropriate action to take. In this example, we purchased the Prada shoes for $149 and sold them for $249 - most people would agree this is a great deal.

Rather than relist the item for sale and hope to get more bidders...more traffic to your listing...and a high final selling price we present and offer to buy to the 2nd high bidder of the Prada shoes. In this case, let's say the 2nd high bidder placed a bid of $239.

Consider this: if the 2nd high bidder was willing to bid $239, is it reasonable to guess that they would pay $239 for the item if given the opportunity? So, in reality the 2nd high bidder can actually get the same item as the high bidder...but for LESS money!

There are several benefits to the Second Chance Offer for you as the seller:

This strategy benefits you in several ways:

1. It saves you the time and money it takes to create a second auction for the other pairs of shoes


2. You make more money because you don't have to wait 3, 5, 7 or 10 days for another auction to end


3. You don't have to pay eBay listings fees for the additional shoes you sell


4. You keep your customers happy by offering losing bidders a chance to buy the item they wanted… just when it seemed they had lost out. Did I mention that the 2nd high bidder can actually get the item for LESS than the high bidder :)...Sshhhhh, don't tell anyone!


5. When you only list one item at a time it will create more demand for the item, resulting in a higher final selling price of that item.


6. You will to sell a lot more of your items. Remember, you're offer the bidder the chance at the HIGH BID that they were willing to pay had they actually one the auction in the first place.

To find out how to make a Second Chance Offer, click on this link:

Second Chance Offer

Use eBay’s “Second Chance Offer” as a Planned Strategy

Most sellers will implement the Second Chance Offer strategy AFTER an auction has ended. As an example, another great time to use the Second Chance Offer is when a high bidder fails to pay for an item that they have one. In this case you can simply send a Second Chance Offer to next highest bidder - as long as the price is one that you are willing to accept.

NOTE: You can use the Second Chance Offer in this situation even if you only have one of the item for sale. Since the high bidder didn't actually pay for the item you can now sell it to someone else...without going through the hassle of relisting the identicle item.

In contrast, when you know you have multiple items to sell you can utilize the Second Chance Offer as a selling strategy. My sales went up close to 7% by using this strategy.

Let's take another look at the Second Chance Offer and see the dynamics of how this strategy works:

The Second Chance Offer Strategy in Action…

Imagine you have FIVE new ipods for sale. The first strategy would be to NOT list all 5 at the same time. There's no need to compete against yourself. So we've listed the Ipod for sale...now what?

OK, let's say that you paid $179 for these Ipods and they sell on eBay for an average of $219 each. The top bids may only be a few dollars apart, with the 5th high bidder and the winning bidder separated by less than $15.

You can actually use the Second Chance Offer to sell to bidders 2, 3, 4 and 5 since you have 5 items in stock. When you give someone a Second Chance Offer, eBay creates a "private auction" just for them...and you determine how long this auction should last. My suggestion would be only 1 day. If you don't create urgency, Second Chance Offers are not nearly as effective. As a reminder, when you give someone a Second Chance Offer, there is NO additional listing fees charged by eBay - so what's your risk? If someone doesn't take advantage of your Second Chance Offer, the listing expires and there is NO COST TO YOU!

It's simple, it's FREE, it's easy and it makes you MORE MONEY. What can be better than that? Use this strategy and increase your profits this week!

Until the next issue...

Knowing No Boundaries

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