How to sell on Gumtree
Top tips for getting started and making money selling on Gumtree Australia.
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Gumtree is an online marketplace where you can buy and sell just about anything. Gumtree users can post classified ads across hundreds of product categories. The platform receives more than 7 million Australian visitors each month.
If you’re looking to earn some extra cash on the side or open up another online selling channel for your business, you’ll find all the info you need to start selling on Gumtree below.
How do I decide what to sell on Gumtree?
You can sell items on Gumtree across a range of categories, including:
- Home & Garden
- Baby & Children
- Sport & Fitness
- Clothing & Jewellery
- Real Estate
- Cars & Vehicles
However, there are also several products that are prohibited from sale on Gumtree, such as:
- Counterfeit products
- Electronic surveillance equipment
- Hazardous materials
- Illegal drugs
- Lottery tickets
- Pornographic material
- Tobacco products
- Used cosmetics
How to find products to sell
If your house is full of items you never use or simply no longer need, you can turn those items into cash by selling them on Gumtree.
However, Gumtree isn’t just for unwanted possessions; you can also use the platform to sell new items. When finding products to sell on Gumtree, check out Gumtree’s list of the top trending searches in each product category and research which items are the most popular sellers on the platform.
You’ll also need to decide whether you want to sell high-demand products – those items for which there is a large market but you’ll also face a lot of competition from other sellers – or target a niche buying segment.
How much does it cost to sell on Gumtree?
It’s free to post an ad on Gumtree.
However, you can also choose from three paid options to increase your ad’s exposure to potential buyers: Plus, Featured and Premium. The cost of these ad packages varies depending on the category you’re posting your ad in. The fees below are accurate as of 9 September 2019.
- If you’re listing a BBQ in the Garden category: Fees are $9 (Plus), $19 (Featured) or $37.50 (Premium).
- If you’re listing a laptop in the Computers & Software category: Fees are $9.40 (Plus), $30 (Featured) or $50.50 (Premium).
Unfortunately, there’s no transparent pricing table that lists out the fees for different categories, so you’ll need to register for an account and start creating an ad to check the costs involved.
Paid ads are usually optional, but not always. If you have multiple ads listed at the same time in the categories listed below, your first ad is free but subsequent ads may need a paid feature package. The categories are:
- Cars & Vehicles (not including Parts & Accessories categories)
- Boats & Jetskis
- Real Estate
- Services for Hire
The promotional features offered as part of paid ad packages can also be purchased separately. For example, if you select a Free ad, you then have the option of adding the following features:
- Highlighted background: $3.99 (7 days)
- Homepage Gallery: $19.99 (7 days)
- Top Ad: $11.99 (7 days)
If you want to add an Urgent tag to your ad to show buyers you’re keen to make a quick sale, it’ll cost you $4.99 for 7 days.
If you’re a car dealer wanting to list vehicles or a business wanting to post job ads on Gumtree, paid subscription packages are available.
Finally, if the buyer pays you via PayPal, you’ll also need to pay a fee of $0.30 plus 2.6% of the sale price. This fee is charged by PayPal, not Gumtree.
Let's crunch the numbers
Let’s find out what your fees would look like with Gumtree if you sold a designer jacket for $200. While you could post your ad for free, let’s assume you paid for a Plus ad to increase the visibility of your listing.
- Plus ad package: $6.30
- PayPal transaction fee: $5.50 (2.6% of $200 + $0.30)
- Total fee: $11.80
The total fee of $11.80 represents 5.9% of the $200 sale price.
Is selling on Gumtree worth it?
Whether you’re getting rid of some unwanted possessions or looking to open up another online selling channel for your business, Gumtree is well worth considering as a sales option. However, just like any other money-making venture, there are risks associated with selling on Gumtree and there’s no guarantee that you’ll make a profit.
That said, you can take a few simple steps to increase your chances of success:
- Take time creating your listing. Instead of just throwing together an ad in a couple of minutes, provide a detailed description and several high-quality pictures of the item you’re trying to sell.
- Find the right price. Research the market to find out how much similar products are being advertised for. This should give you a good idea of what represents a fair price to buyers.
- Respond to enquiries. Make sure you’re available to quickly respond to any enquiries on your ad. If you can’t be contacted promptly, buyers will look elsewhere.
How do I start selling on Gumtree?
You can register for a Gumtree account and start selling by completing these simple steps.
How to price your items
You’ll need to consider a few factors when setting prices on Gumtree:
- Your costs. How much did it cost you to source the item you’re selling? How much profit do you want to make on each sale?
- The market. How much are other sellers asking for similar items on Gumtree? What represents a fair price for buyers?
- Negotiation. Are you willing to negotiate a fair price with the buyer, or is the price in your listing your final offer?
By taking these issues into account, you should be able to decide on a price that suits both you and your potential buyers.
Which types of payment does Gumtree accept?
The payment methods you accept on Gumtree vary depending on whether you’ll be shipping items to customers or meeting buyers in person. Options include:
How to sell to international buyers
Gumtree is for Australian users only and is not designed for selling internationally.
However, if you’d like to target international buyers, you may want to list your products on eBay. Gumtree is owned by eBay and offers the option in certain categories to share your ad on eBay after you've posted it.
How to organise shipping
Many items on Gumtree are listed for local pick-up only. However, if you want to target a larger number of buyers, you can also offer nationwide shipping on the products you advertise.
You’ll need to research the shipping options available for the products you’re selling, including the cost involved and delivery time frames. It’s up to you whether you choose Australia Post or a dedicated courier service, just make sure that delivery times and shipping costs are clearly displayed on your ad.
How do I market my Gumtree products?
As we touched on in the fees section above, Gumtree offers a range of paid options to help you promote your ad to potential buyers.
One option is to choose a paid ad package:
- Plus ads. A Plus ad package allows you to add a website link to your ad and include a highlighted background to make your ad stand out. On average, it gives you twice as many page views as a Free ad.
- Featured ads. A Featured ad can include up to 20 photos (Free ads have 10), is listed at the top of search results and gets a larger image in search results. On average, it gives you seven times as many page views as a Free ad.
- Premium ads. The most expensive option, Premium ads offer all the features of the above packages plus ad placement in the Gumtree homepage gallery and three images in search results. On average, Premium ads get 12 times as many page views as Free ads.
The features in these ad packages can also be purchased separately to run on your ad for a seven-day period. These include:
- Highlighted background. This colourful background is designed to make your ad stand out from other listings.
- Homepage Gallery. Purchasing this option will get your ad placed in the gallery on the Gumtree homepage.
- Top ad. This extra-cost option ensures that your ad is listed at the top of its category.
Finally, you also have the option to add an Urgent tag to your ad for an extra fee. This tag shows buyers that you want to sell quickly and you may be willing to negotiate a lower price.
What to watch out for with Gumtree
Watch out for these potential problems when selling on Gumtree:
- Fees. Gumtree’s fee structure appears simple at first, but the different types of paid ads available and other optional add-ons can get quite confusing. Make sure you’re fully aware of how much your ad will cost before you post.
- Scams. From fake payments to theft of items, be wary of any potential scams on Gumtree. Check out Gumtree’s guide about scams to avoid for more information.
- Hagglers. Gumtree buyers have a reputation for haggling, so you’ll need to be prepared to negotiate on price. With this in mind, it might be worth listing items at a slightly higher price than what you plan to sell them for.
- No international sales. Gumtree is for Australian users only. If you want to target a larger audience of international buyers, you’ll need to consider other online marketplaces.
Watch: How to become a successful online seller
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