I wish you had the capital too Lighthouse24, it would certainly be a good investment for someone. What Investors should be doing is putting more money into main street rather than wall street which would help the economy grow.
Anyway this is what we have found through our research:
Competitive Comparison
A) We offer a lower transaction rate that our competitors cannot touch. Because our competitors have already set their operating cost and set their charges as standard, for them to change would mean a damaging cut into profit margins.
Competition cost example’s:
Wigix
For items $1,000.00+ Wigix charge the seller $19.50, plus 1% of the portion above $100. Their Reserve Fee, Buy It Now Fee, Listing Upgrades Fees, Additional Picture fee, Hosting Fees and Seller Tools are all included, however when you assess the $1,000.00+ and work out the fee, you see that it will cost the individual $29.50 just to list their list item! Our fee, $20.00, an impressive $9.50 lower. Not happy with just charging the seller, Wigix then hit the buyer with a $1.50 charge just for making a purchase from their website! Luxury’s Finest believe that low costs and great consumer ethics will excel our business way ahead of our competitors.
eBay
For items $1,000.00+ eBay charge the seller $36.31 plus 1.5%. Their Reserve Fees are between $2 and $50, Buy It Now Fees are $.05 - $.25, Listing Upgrade Fees and Additional Picture fees work out at $.10 - $80.00 per upgrade, Hosting Fees are $.15 - $1.00 and Seller Tools Fee - $25.00. When you add this up, just to list one item, eBay charge a massive $51.31. Our fee?.......just $20.00! A stagering $31.31 cheeper!
At Luxury's Finest - we throw away the petty charges and offer just one charge, 2%. As our website is only for merchandise that is $1,000.00+, we will be receiving $20.00 per $1,000.00. If we have 1,000 users selling the minimum $1,000.00, equaling $1,000,000.00 passing through our site, giving us a profitable $20,000.00. There are 9.5 million millionaires out there, if we get just 5,000 users (out of 9.5 million) that is only .0526% of our target demographic. We are looking to shoot our way past that with a major advertising campaign.
Our marketing has to ‘HIT HARD’ and ‘FAST’ before competition has time to adjust.
If there are any serious investors out there that would like to invest in our company please contact me kjlawrence63@yahoo.com
I look forward to hearing from you.
Kathryn
