Craigslist Confidential: Turning Unwanted Items into Cash
by Kimberly Danger

Craigslist just may be the best-kept secret in America. Despite rave reviews from sellers all across the country and 2+ billion page views per month, surprisingly few people have heard about it. For those in declutter mode, it is a resource worth learning more about.

In 1995, Craig Newmark set out to create a Web site that would publicize events around San Francisco. As word of "Craigslist" spread, people began to use it to list items for sale, advertise job listings, and even to find a date-and before long, Craigslist became the electronic equivalent of the newspaper's classified section. Twelve years later it has staked its claim as a heavyweight contender in the cyber-malls of used goods: with portals worldwide in over 450 cities in 50 countries, it is seen by over 15 million people per month.

Craigslist, or "CL" as its members affectionately call it, is giving online auction sites some serious competition. Many former eBay sellers, disillusioned with high listing fees and the hassle of shipping their goods, are turning to Craigslist to turn their castoffs into cash. Unlike eBay, Craigslist allows its users to create listings and post pictures of the item for sale absolutely free of charge (Craigslist makes its money by charging employers in major cities like New York, Los Angeles, and San Francisco to advertise their job listings). Transactions take place on a local level and customers arrange for pickup, which eliminates the cost and hassle of shipping. Because sellers can also negotiate a cash-only sale, there are no Paypal fees to take a bite out of potential profits.

For these reasons, Craigslist is a great first line of attack in online sellers' money-making strategy. Stacia Seagroves, veteran eBayer, explains how she now uses Craigslist when selling her unwanted household items, "I list on Craigslist first since it's free, easier to list, and all local so I don't have to go to the post office. If after a few weeks and lowering my price my item still hasn't sold, then I try eBay."

Many other eBayers feel the same way, and more and more people are seeing Craigslist as a viable alternative in selling their items. Data collected by Nielsen/NetRatings in April 2005 shows what a powerhouse CL really is. Craigslist's page views increased 130 percent, while eBay's only grew by a half a percentage point for the same time period.

Don't feel too sorry for eBay, however. In 1994 it gained a 25 percent share ownership of Craigslist. The acquisition hasn't changed the integrity and down-home feel which led to Craigslist's success, because terms of the sale specified that eBay wouldn't alter Craigslist's original mission.

Getting started on Craigslist is easy. Just go to www.craigslist.org and create an account. Write and submit your ad, then upload your photo. Wait until someone responds to your request, and then you can make arrangements to complete your transaction.

When making your first foray into selling on Craigslist, it helps to be familiar with the tricks of the trade. Knowing what to sell, how to write a great listing, and how to effectively close a sale are important factors for your success.

Top Five Craigslist Tips: .................................................................... Stacia Seagroves, seasoned Craigslist seller offers her top five tips for having a great CL experience:

Make sure your items are clean and in good shape Include a detailed listing with at least one clear photo Set a fair price Protect your personal information Accept cash and local pickup only

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CL Marketing 101

• Craigslist is the ideal place to list larger items that may be too cumbersome or costly to ship after being sold on eBay. Because most sellers arrange for local pickup, they avoid the work and expense of having to mail their item. Couches, lamps, microwaves, strollers, and baby gear are all high-demand items.

• Remember that you're dealing with a much smaller customer base than that of eBay, because you are selling locally rather than nationally. Keep this in mind when deciding what to list. Smaller specialty items that could command a higher price when advertised to a larger market may not sell as well on Craigslist. For instance, brand name clothing generally commands higher prices on eBay. Also, Craigslist is very different from market to market; if you live in a largely rural area, you may not be able to draw as many potential buyers as someone in a larger city. You'll need to weigh potential profit against ease and convenience when deciding where to sell.

• One of Craigslist's advantages is that it goes well beyond the traditional "for sale" listing. You can advertise intangibles such as babysitting services, pet care, local events, garage sales, and even Tarot card readings. A look around the site will give you a great idea of how its members are using it to their advantage.

Maximize Your Listing

• Be as descriptive as possible with your listing. Try to anticipate potential questions buyers may have and include that information. It's essential to accurately describe the condition of the item. Also, proofread carefully to avoid grammatical and spelling errors.

• A picture is worth a thousand words. Clear, quality photos are a great way to generate interest, and you can include up to four pictures with your listing. Avoid shady, grainy photos if at all possible. Many browsers won't consider buying an item if they can't see it properly.

• Set your price fairly, but firmly. Browsers will try to dicker with the price unless you state "Price Firm" in your listing. Let potential customers know what type of payment you require. Many sellers recommend accepting cash only, as checks can be risky.

Avoid the Pitfalls

• Protect your e-mail address. When you sign up, be prepared for the potential of spam. Using a secondary e-mail account from a free website like Hotmail or Yahoo can help prevent your personal account from being flooded with unwanted e-mail.

• Consider your personal safety. As with any Internet site, there is the potential for attracting shady characters. Don't offer personal information to buyers. Arrange for the buyer to come to your home only when another adult is home, and only give out your address once the seller has confirmed pickup. Or, arrange for pickup in a highly visible public location such as a busy parking lot.

• You're not done until the item has left your home. Be prepared for some "interested parties" not following through with their intent to buy. Serious buyers will usually list their contact information such as e-mail address and phone number. Don't remove your listing but rather continue to field requests until the item is gone.

Kimberly Danger

Kimberly Danger is publisher of Mommysavers.com, and author of 1000 Best Baby Bargains. She lives in Southern Minnesota with her husband and two children.