1. Advertising
    y u no do it?

    Advertising (learn more)

    Advertise virtually anything here, with CPM banner ads, CPM email ads and CPC contextual links. You can target relevant areas of the site and show ads based on geographical location of the user if you wish.

    Starts at just $1 per CPM or $0.10 per CPC.

How much comission should I ask for?

Discussion in 'General Business' started by saintdw, Sep 14, 2005.

  1. #1
    Im going to be building and supporting an online store for a local mom and pop store.

    I was wondering what would be a good % of sale be for me to ask?

    I was thinking 20%? What do you guys think?

    I will be the owner of the website, I will be doing all the work on it. They will only ship out the products and do the billing.

    :D
     
    saintdw, Sep 14, 2005 IP
  2. Roman

    Roman Buffalo Tamerâ„¢

    Messages:
    6,217
    Likes Received:
    592
    Best Answers:
    0
    Trophy Points:
    310
    #2
    Depends on the type of store and what their mark-up is.
     
    Roman, Sep 14, 2005 IP
  3. saintdw

    saintdw Peon

    Messages:
    453
    Likes Received:
    12
    Best Answers:
    0
    Trophy Points:
    0
    #3
    They are a local store, keep their own inventory. They get their products directly from manufacturers. Im not sure what the mark up is, will have to ask about it.
     
    saintdw, Sep 14, 2005 IP
  4. Blitz

    Blitz Well-Known Member

    Messages:
    1,208
    Likes Received:
    48
    Best Answers:
    0
    Trophy Points:
    155
    #4
    Check your competitors.
    Check your current conversion rate.
    The higher your conversion rate (number of visitors which are converted into sales), the lower your commission rate, generally.
    Price is also a factor, as in, the higher the price, the lower the commission you really want to offer.

    There's no real set default amount. Electronic retailers such as liksang offer 2% for some items, whereas some adult sites pay 80%+ commission. It really depends on what you're selling, and how well it sells.
     
    Blitz, Sep 14, 2005 IP
  5. Roman

    Roman Buffalo Tamerâ„¢

    Messages:
    6,217
    Likes Received:
    592
    Best Answers:
    0
    Trophy Points:
    310
    #5
    Markup usually is about 100% (being very general) so asking 20% (which is 40% of the profit) is not out of line in my opinion.
     
    Roman, Sep 14, 2005 IP
  6. wanboll

    wanboll Banned

    Messages:
    433
    Likes Received:
    29
    Best Answers:
    0
    Trophy Points:
    0
    #6
    Id be asking 30-40% for the amount of work you will have to put in
     
    wanboll, Sep 14, 2005 IP