TradeRunner is 'next logical step' to Trade Me

John Kirk-Anderson

Road to online auction: TradeRunner's general manager, Grant Wells, left, and Christchurch businessman Mike Pero, who has invested in the new firm.

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Two Christchurch entrepreneurs have launched a new business to help people sell goods on Trade Me.

TradeRunner will pick up items from your home, catalogue, photograph and list them on Trade Me, before managing the auction and dispatching the goods to the buyer.

Grant Wells came up with the idea and Mike Pero has invested in it, along with two other shareholders, including Chris O'Driscoll, one of Trade Me's biggest traders.

Wells said almost everyone he had talked to had items they wanted to get rid of, but had not done anything about it because it was too much hassle.

"It seems blatantly obvious. Many people just want to phone someone and have their goods taken away," Wells said.

The service was launched yesterday as a three-month trial in Christchurch, using 10 staff. Plans exist to expand to Auckland and Wellington.

Wells said TradeRunner would be sold as a franchise for $35,000, plus the cost of a van. He hoped to have about 20 franchises running in New Zealand by Christmas.

Pero said he decided to invest because he liked the idea and could relate to it immediately.

"At the time Grant approached me I was wanting to clear out my garage and this seemed absolutely perfect. I get ideas put in front of me every week from entrepreneurs and I look at the ones I think are most likely to succeed."

Pero said he believed the business was logical. It did not compete with Trade Me, but helped to increase the numbers of people who use it.

He was surprised at the overwhelming ratio of buyers to sellers on Trade Me.

"Most of us find it easier to buy on Trade Me than sell. The average user buys at least four times more often than they sell. Buying is easy and only takes a few minutes, whereas selling can take a few hours."

Pero said drop shops had been set up in the United States based around eBay, but they did not offer a fully-mobile service. "This takes it one step further, saves the hassle, they come to your home."

Items individually worth more than $50 could be sold, but TradeRunner won't accept anything they deemed to be "dodgy, difficult, dirty or dangerous". It won't take dirty lawnmowers with fuel in them.

"We're not dealing with anything living ... and we're staying away from motor vehicles, just household stuff," Wells said.

It will charge a 25 per cent commission plus the 6% Trade Me selling fee. It has a minimum fee of $25. TradeRunner uses software developed by Christchurch's based Gallagher Business Systems and hosted by Sir Gil Simpson's Jolly Good Software company.

- © Fairfax NZ News