Background
Company: South East Metals
Seller Type: Scrap Metal Dealer
Years in Operation: 3
Objective: To expand the network of trading partners and achieve the best possible prices for material.
Introduction
As a young and dynamic team eager to grow, South East Metals has been in the scrap material trading business for three years. The company continuously looks for innovative ways to enhance its trading strategies and expand its network of partners. This case study highlights their successful experience using the ScrapBays app to maximise profits on their material.
Challenge
Traditionally, South East Metals relied on a set network of usual buyers to sell their material to. While this method was reliable, the company sought a more competitive platform to ensure they were getting the best possible prices. The primary challenge was finding a solution that could potentially offer better prices without any risk of losing their usual sale.
Solution
When the idea of using ScrapBays was introduced, it immediately seemed like a promising solution. The app provided a platform to list materials and reach a broader audience of potential buyers. The seller adopted a strategic approach:
Price Benchmarking: They obtained price quotes from their usual buyers each morning to establish a benchmark.
Listing on ScrapBays: The material was listed on the app for a limited period of 3 hours. A reserve price was set based on the best price they could achieve off-platform.
Risk-Free Selling: The strategy ensured one of two outcomes:
Achieve a better price through the app.
If the reserve price was not met, they retained the option to sell to their usual buyers (off-platform) without any loss.
Results
The results exceeded expectations. By listing their material on ScrapBays, South East Metals achieved a 5% increase over their reserve price. The entire process of completing the exchange through the app was smooth and hassle-free.
Benefits
Increased Profit Margins: Achieved a higher selling price than the traditional method.
Smooth Transaction Process: The app’s user-friendly interface ensured a seamless selling experience.
Risk-Free Strategy: Listing materials on ScrapBays posed no risk, as the reserve price safeguarded their minimum acceptable offer.
Future Plans
Encouraged by the positive outcome, South East Metals plans to increase the volume of materials listed on ScrapBays. They see the platform as an integral part of their trading strategy moving forward and anticipate a long-term partnership with ScrapBays.
Conclusion
South East Metal’s experience underscores the value proposition of using ScrapBays for selling materials. The platform not only offers competitive pricing but also ensures a risk-free and efficient trading process. This success story serves as an encouraging example for other potential sellers to leverage ScrapBays for maximising their profits.
Testimonial: "We ended up gaining a 5% increase on our reserve price and were extremely happy with the outcome. The process of completing the exchange within the app was extremely smooth, and we had no issues. We intend on selling a lot more material on the app and believe it would be unwise not to at least list it. We look forward to continuing our partnership with ScrapBays and trading on the platform."
Comments