Kelli Dean EKU Dept. of Technology,

(CEN/CET)

Capstone Project Spring 2008

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OUTLINE

Project encompasses:• Hardware Implementation• Software Deployment• Network Security Maintenance• Legal, Financial, and Distribution

Licensing • Marketing• Website Design• Website Deployment.

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MOTIVATION Increase Personal

Income Increase Business

Knowledge Increase Web Design

Knowledge

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INTRODUCTION EBay's seller categories:

• Powersellers use EBay as outlets for personal stores, or use EBay as their sole income. Powersellers usually own what is referred to as an Anchor Store.

• Mid level part time sellers use EBay as a way to make extra money.

• Auction Sellers only can sell in EBay's auction format, but they don’t own any type of storefront.

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PROBLEM STATEMENT The biggest problem with online auction

sites is the fees involved with each transaction.

Transaction fees on large sites like EBay are based on percentage of final sale.

Listing fees are calculated depending on store size and products listed.

Premier Store’ s listing fees range from 3 to 12 cents depending on listing price.

The second problem is advertising costs. If you choose to open an independent site not located inside an auction, you lose all traffic the auction sites provide.

The average advertising firm charges between $2000 to $5000 a year, plus click costs, and search engine banner placement.

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Further problems occur depending on the order of the initial site setup.

There are also legal issues that may develop if precautions are not addressed, depending on the estimated store size and revenue.

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PROPOSED SOLUTION The best solution is do all the research

and paperwork up front. Setup a checklist of all things that need

to be processed, and time frames for the processing of each item before purchasing any site space.

Next address any hardware constraints, purchase hardware and software needed, and setup backup storage for the sites.

Network Screenshot

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USB Network Hub

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NAS Screenshots

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NAS Administration Panel

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NAS Administration Panel 2

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NAS Media Server

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Video of Home Network

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Once all hardware issues are installed and/or resolved the next phase contacting your distributors of choice.

State tax id permit must be obtained before any reputable distributor will ship wholesale to your business.

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Before any web design occurs, PayPal or alternative payment service documentation needs to be filled. This will prevent lack of payment services on opening day.

Once payment service has been approved then web design should begin.

Staging design at the end of the process avoids additional monthly fees for domain lease.

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Investment Budget Yearly domain name fees range from

$58 to $75 a year. EBay Premium Stores are $49.99 a

month excluding photo server, listing fees, and end selling fees.

ProStores monthly server storage, email accounts, and domain name package costs $24.99 monthly.

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Results The NAS backup provides excellent storage for

my page photos and item descriptions for my site. The main site at www.geekabytegadgets.com is

fully functional. The second site at

www.ebay.com/geekabytegadgets is a premier store design that is able to be accessed from the main site as well as additional domain page redirections at www.geekabytegadgets.org or www.geekabytegadgets.biz.

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Results Continued PayPal Pro business services for credit

card processing are $30 monthly. Distribution site listings range from

$199 yearly to $525 yearly. Trademark processing fees are $349 for

logo or name trademark, plus legal fees for filing.

Incorporating the business is $139 plus state fees.

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Results Continued

The sites were live on Sunday April 29th 2008 at 3 am, and by 10am Sunday morning my first sale occurred.

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CONCLUSIONS Designing an actual e-commerce site

was definitely more expensive and entailed more than I had planned on doing initially.

The process could get confusing without some good resources, and background business knowledge.

The traffic on auction sites outweighs the listing fees and selling fees.

Future Work

I have already purchased an additional domain at www.geekabytegadgets.net for what I hope will be a royalty free photo downloading site.

The current sites I have running will continue to be a focus for me, and as sales increase, additional funds can be allocated to increase inventory.

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