Can someone explain this to me...

[Kelly]

Ok, I know I should worry, but I just was looking around eBay and noticed a lot of FO sellers there are selling pretty cheap. I can't figure out how they are making any profit when they ship low and you can get 1oz for 1.00, 2oz for 3.00 and 4oz for 5.00 with about 1.45-1.75 quoted as shipping...

Do they cut these oils? Even buying in bulk they wouldn't be making much after packaging and labels (and shipping from where ever they are getting them from). Are they just getting the oils from the same places we do and repacking? I just don't get it!!!

Kelly

[MissMary]

The pros should chime in, but from what I've read in other threads, they can sometimes 'water' them down, so to speak. I don't know how personally, but I'm pretty sure I've read that here.

[dashmo37]

My sister bought some oils off Ebay that were so watered down you could not even smell them:lipsrseal

Now she buys them from me

[Crafty1]

i have brought oils from off of ebay once and the two that i got were really watered down. i ended up tossing them in the trash.

[P&V]

I would question it also. Looks like you should "be afraid, be very, very afraid".

Just my .02!

[Kelly]

I wasn't planning on buying any, I just noticed it, and that they are power sellers and couldn't figure it out!! They all also, of course, say they are "pure, uncut" fragrances.

I wonder how they water them down though... pretty much means anyone wanting to sell good pure FO's at eBay won't be able to compete because if people can get them cheaper they will. I just can't figure how they are running these business', and making so much money...! They must be cut even though they say they are not. I guess maybe they just assume no one will ever find out.

[graywritingdog]

I've bought oils from: amditributors

I've bought 3 large lots from him and they were all good quality oils! I've bought from: candlesource

Both were quick to ship!

HTH

I got 20 lbs for $150.00

I think that's a good deal!

[MissMary]

Maybe if they add just enough to increase the volume and do enough sales it becomes profitable?

I dunno, just a theory, but say you dilute 5 lbs. FO with 3 oz. of whatever they use, they still get an extra 3 oz to sell as the product, do that 100 times and you've created an extra 300 ounces?

[CraftyChris]

I sell some oils on ebay, pretty cheap. I sell a 1oz for $2.99 or 5 for $9.99 I also sell some one pounders for $12.99. I buy my oils in 25lb drums, and really it's just to offset what I use for myself. Or sometimes I buy an oil (like sex on the beach) and buy 25lbs of it, and then find it does not sell well for me. SO now I have 20lbs of oil, and truthfully, I just try to recoup cost on it. I don't sell on ebay to make any real money--that's what my candle business is for!! :rolleyes2 Maybe it's different for other sellers, but I do not, and never would cut an oil. Why would you?? Thant's how you get a bum reputation!

[Toni S.]

Hi Kelly,

I personally wouldn't ever take the chance of buying oils from anyone but a reputable company. A person could end up with an honest seller and then again maybe not?

JMHO

[Kelly]

Ok, again, I'm not buying any oils, my question (since it's in the business forum) is a business question. There are people on eBay selling oils so cheap that I can't figure out how they are making a profit! Even if they buy in bulk!

Chris: You aren't selling your "cheap" you are selling yours at a fair price and you are really going about it in the same way these folks are. Their eBay stores are FO's only, they say uncut, and selling for .99/oz. I guess it's possible they are selling overstock but they have like 300+ different scents, and unless they live in a warehouse I don't think they'd be able to store 25lb drums of FO.

Oh well, I just may have to accept that this doesn't make sense to me and I'll never figure it out. But geez, they are powersellers!! That means they are selling more than 1,000.00/mo worth of goods!! I just don't get it!

[sockmonkey]

You can very easily sell oils that cheaply if you know where to buy your oils. As an example, Lebermuth has a lot of oils on sale now. Some of them are as low as $5 per pound I think.

$5 divided by 16 oz = $.31 per oz. When you have an ebay store and can list your stuff for just a few pennies you will still be making more than twice the cost when you resell it, and that's if you don't cut your oils. When you dilute them, you're making even more money off of it.

[Kelly]

So you are going to tell me people are storing 100-300 pounds of FO in thier house? Some of them claim to have over 300 scents available. Shrug, I don't know... guess it's possible. Maybe they devote their garage to the project. But it's rare to find $5/pound on most oils and they do sell your normal FO's. Which are what 10.00-14.00/pound? Guess that's about .63 per oz. so it would be a small profit but wow that's a lot of storage space they need!!

And your calculations and mine aren't even including the shipping of the oils from their supplier to them, so that would cut big time into their profits unless they are ordering such huge amounts at a time they qualify for free shipping.

[Kelly]

And I forgot to add bottles to the cost, because they'll need to rebottle all the FO.

[eugenia]

Ebay oils or hit or miss. There are a few good sellers, but in general, I'd steer clear.

[Trish]

So you are going to tell me people are storing 100-300 pounds of FO in thier house?

*ahem*

Some of us have that much FO in our house and we don't sell FO on ebay or anywhere else... :tiptoe: :lipsrseal

[Kelly]

Trish, well you probably have a bigger place then I do! I have no where I could store them! Unless I threw all my fiance's stuff out!

Well anyway my point is the cost of reselling the oils at .99 an ounce without diluting is a joke, even buying in bulk. But hey I guess whatever makes them happy! I'd like to try it but I wouldn't feel comfortable selling diluted oils. *shrug*

[sockmonkey]

Another thing to consider is that real, legitimate suppliers also sell their stuff on ebay, so yes, it is possible for at least some of those people with 300 scents in their inventory to have a warehouse. I know of at least two well known suppliers found on the CT supplier links who sell on ebay in addition to their regular website. The Candlemakersstore has fragrance in powdered form. I haven't used it, or know anything about it, but I assume you just mix it as needed, so it doesn't take up as much room as having 300 drums sitting in a warehouse.

And, I can tell you, after spending two years researching suppliers on the web (it's a complete obsession of mine), it is possible to make money selling fo's at 99 cents on ebay without diluting them, and including the cost of the bottle. The key is knowing where to find your supplies, and yes, you can find full strength fo's for $5 and less that are not just specials. The same is true for bottles. If you know where to shop and you buy in bulk, you can find bottles for $.02 a piece.

I'm not saying the $.99 stuff on ebay is good or bad because I haven't tried it. But based on what I know, I would be willing to buy fo's off of ebay--at least once.