I don't do much quick flipping either... 20% yields better than a final 5% off since you don't pay tax on the savings.. Many American buyers also pay tax - not quite as high, but I think a few pay 8%-9% which is high enough. The one that kills me is all those extra stacking credit cards savings and rewards points they have in the US. We have the Air Miles cash now, but I really do use those for flying!!
I just don't expect to compete with the US sellers. I managed to flip a few RIs and even a couple Mars Rovers to the US but generally, I expect slower sales to cheap-o Canadian buyers.
Toys R US and Walmart have had a virtual monopoly on the toy market in many parts of Canada (and even more so TRU). That's one reason Target was so nice... TRU had some much better deals when Target started moving in. When the writing was on the wall, the sales and clearance deals also disappeared.
I've come to learn the Canadian eBay market is fickle.. certain things they'll gladly pay extra for, others not so much. Where I've been doing OK up here is dealing in the more expensive sets. As small time businesses or whatever you operate as, people who buy from you on eBay are going to look at two things:
1) Shipping Costs
- Small parcels are cheaper to send from the US to Canada than Canada to Canada. The larger parcels can become just as expensive.
- Canada Post charges dimensional pricing very quickly so having the right size box can easily save you good money on shipping.
- By using PayPal and Expedited shipping, you can cut about 10% off the shipping costs in Canada (and have a great service) - don't believe what Canada Post says are their posted Venture One rates. That is a 5% savings but going through PayPal is another 5% or so which also helps with the fees.
2) Import Costs
- Of course the crappy exchange rate is helpful to any old stock you may have lying around... many of us got a 10-15% bump in value on some sets just by the change in exchange rate.
- GSP (as much as I hate it for buying) is great for selling within Canada. The brokerage fee charged on top of the taxes are ridiculous and the average buyer doesn't realize you pay taxes on anything being imported over $25 so when they're so front and center, it encourages them to buy in Canada.
** Edit - why this matters.. as a business that doesn't do $30k in annual sales, you don't have to charge tax. Canada Post could care less about that and they very rarely forget to collect the tax on delivery. **
We also buy a lot (too much) Lego for our own consumption... 20% is acceptable for a lot of them especially since we didn't know any better when we started buying Lego again for our kids.
Reselling in Canada isn't for the faint of heart... long term holds is my main play and I sometimes hope for just a little luck.