Comparing Operating Cost Of Online Gemstone Shop To Retail Outlet

Cost comparison of Operating Online outlet compared to Retail shop so we can pass on savings to customers.

Online overhead costs 17% compared to shop overhead costs of 33%. We know as we operate a factory outlet as well as online.

Mygems operates retail outlet at 23 Surefrs Av Mermaid Waters Gold Coast.

Please view video

http://www.youtube.com/watch?v=PKtR3r-Wthk

We also sell online on Gemrockauctions

http://www.gemrockauctions.com/stores/mygems/

Our last two months sales on Gemrockauctions cost 17% of the sales price to list and sell our gemstones and ship

Comparison to our shop that has cost 33% to sell our items

ONLINE SALES

Commission costs 10% when sold and listing fee 0.20 cents per listing and monthly admin fee of $50.00 per month.

Very simple overhead factor plus part time staff to answer and ship items so total cost around 17%

.

Even comparing just these figures and it is obvious that shops cannot compete with online sales. We pass these savings onto our customers passing out the middleman! Shops WORLDWIDE will be decimated over next few years a s they cannot compete with efficient online sellers. In Australia the retail association estimates online sales at 4% but industry experts think figure is over 14% Huge 10% difference just in official 2011 figures Now take in new mobile ipads n phones n internet sales will explode to under 20% in just few short years.

Mygem shop details

Mygems, home of one of the world’s largest Amethyst Pond. The spectacular Amethyst geode originating from Brazil weighs a massive 1.04 tonnes and has 150 kilos of Drussy crystals around the edges. In addition to the MyGem collection is an impressive 20 tonnes of sparkling, glowing and jaw dropping crystals and minerals. There are thousands of gemstones and gemstone jewellery on display to marvel upon

.

Himalyan salt lamps are one of the shops best sellers as we buy direct from Himalyan salt mine as our gemstone agent only lives 5 miles from this salt mine.

So many customers give reports on how these

salt lamps have improved their lives.

Over 50% of customers come back for more salt lamps to give to their family and friends

Items include

Selenite from Morocco as castles ,tea lights ,wands,hearts ,selenite lamps,fossils

Agate stones and specimens

Amethyst geodes from Brazil and Uruguay as geode or specimen

Quartz crystals from small size to 10 kilo size as lamps

Gemstone jewelry in sterling silver

Marble table tops and coffee tops with gemstones inlaid

Over 40 tonnes to many items to mention

Mygem will keep offering our best items Online

We do have online customers visit our shop and ask why shop is more expensive than our online store

One lady spent 2 hours picking out gemstone beads in our shop than checked our online store on her mobile phone to find beads were cheaper online.

She had staff helping her choice the beads as she asked lot questions about turquoise and lapis lazuli beads.

We cannot sell these items for same price as we offer on the internet .

Many customers will spend hours in the shop and ask many questions,we actually have Information Pamphlets spread around the shop so customers can read about gemstones but it is still so time consuming

The online store is so easy to manage and buyers are more informed and know what they are buying.

In store we have Turquoise and dyed Howlite gemstone and jewelry ,and this brings so many questions as many buyers did not realise that most turquoise is just dyed Howlite .

It is amazing how efficient online sales are.

We do have some local customers buy from us online and pick up in our shop.

Mygem future plans are to expand online sales and maybe have CLOSING DOWN SALE for the Shop as operating overheads are only getting higher!

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