Another Top eBay Seller Bites the Dust
By Ina Steiner
Top eBay PowerSeller Sell2All Inc. has filed for Chapter 7 bankruptcy. This is the second high-profile PowerSeller to close its eBay business this year. Glacier Bay DVD was eBay's top feedback seller and closed its business abruptly in early February (http://www.auctionbytes.com/cab/abn/y06/m02/i06/s03).
Sell2All founder Brandon Dupsky began selling on eBay in 1998 while working full-time in supply-chain management and attending night school to get his MBA at the University of Nebraska. In 2000, he launched Sell2All and expanded to other marketplaces, including Half.com, Amazon.com, and Overstock.com's auction site.
In April 2004, Sell2All launched a drop-off store called DropPro, and 2 months later launched a seller tool for eBayers called AuctionRemote.com. The company was profiled in Amy Joyner's 2005 book, "The eBay Millionaire: Titanium PowerSeller Secrets for Building a Big Online Business." In it, Dupsky said he managed the risks of selling on eBay by acquiring merchandise in three distinct ways - buying directly from manufacturers and distributors; in partnership with drop shippers; and on a consignment basis.
By all accounts, Sell2All was an eBay success story. In 2003, Sell2All received the Fastest Growing Company award from the Lincoln Chamber Of Commerce, and founder Brandon Dupsky sat on the Board of Directors of PESA (Professional eBay Sellers Alliance), a group of top eBay PowerSellers. Dupsky also co-wrote "Insider Secrets of an eBay Millionaire," an ebook published by the Internet Marketing Center.
ChannelAdvisor Scot Wingo was familiar with Sell2All's business and said Tuesday he was "very sad to see this happen to a very nice guy," referring to Dupsky. Wingo, who wrote a book called "eBay Strategies," said he cautions sellers against the "eBay death spiral." He said this involves an age-old cash flow problem/cycle that typically, but not always, occurs with sellers who rely on low starting price auctions with no reserve. "If you run your business with more fixed-price options and with a multi-channel focus, you know what you're items are going to sell for."
An article published on Tuesday in Sell2All's hometown newspaper, the Journal Star, quoted Dale Galusha, an independent sales contractor for Sell2All, stating "It's an unfortunate situation. It's life with an Internet business. They can rise quickly and fall just as fast (http://digbig.com/4grxx).
Dupsky could not be reached for comment by press time.
About the author:
Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to email@example.com.
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