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It's an original online marketplace allowing to list almost anything, be it a brand-new product or a vintage collectible, for sale with either an…
It's an original online marketplace allowing to list almost anything, be it a brand-new product or a vintage collectible, for sale with either an auction or "Buy It Now" fixed pricing. The platform was founded as an auction site back in 1995 and became one of the most diverse marketplaces that cover all sorts of products from basic household goods to vintage items and even an entire retail shop. One of the unique features about eBay's marketplace is that if something is legal to buy/sell, chances are it already has its place in the website's categories.
It takes no more than a few minutes to create a seller account in addition to your regular eBay account. You should provide eBay with a link to your bank account for payments, as eBay does payment processing itself instead of routing everything through PayPal. Buyers are able to pay in multiple ways, including credit card and PayPal, while the seller receives only one payment. There might be a restriction on how much you can sell in a month for your initial months as a new seller.
People usually start with listing items they already have as it's free to test the waters and doesn't involve extra expenses. Having become familiar with the process of creating a listing, shipping and payment processing, some sellers start sourcing their own inventory either from thrift shops, clearance, and liquidation. Whatever option you choose, it's better to start with something you already know and familiar with in order to write a proper description in the listing.
In an auction-style listing, buyers bid until the item closes. Such a style works best for rare or collectible items because competitive bidding can increase the price compared to fixed pricing. If you're sure about the item and its price, you can go for "Buy It Now" option, where buyers can buy an item immediately by paying the fixed price. Many sellers use "Buy It Now" style for the majority of their listings and keep auctions for something special.
To create a listing, you need to add several clear pictures of the item that are taken in good lighting. You shouldn't hide anything from a picture as it's better to have everything clear to prevent disputes later. It's important to fill item specifics such as brand, size, color, and others because it will help buyers find your item while searching. An efficient title contains all possible searchable terms instead of creative phrases.
Checking sold listings for the same or similar item is one of the ways to define its real value instead of taking into account the price other sellers ask for it. Such research allows not to underprice or overprice an item. Therefore, this piece of research that has to be made before listing is one of the easiest ways to avoid losing money.
The biggest part of the fees depends on the final value fee of roughly 13-14%. It also includes a small per-order fee, but it's deducted during payment processing. First 250 listings of the month are free for you while the other listings require insertion fee. The category that you choose plays a significant role for fee amount together with how many listings you make and your performance score.
If you get an eBay Store, it will raise your monthly allowance of free listings and decrease the fee in some categories in exchange of monthly fee for the service. If you're a seller that lists several hundred of items a month, the math works for you. However, if you're listing a couple of items a month, it's better not to waste your money for getting the store as it won't pay off.
The fee for shipping depends on your country and it is calculated by eBay depending on the item's dimensions and weight. Getting the label for your item directly from eBay is cheaper than getting it from a retail post office. Defining your handling time correctly and shipping your item in time is crucial for your seller performance metrics. The packaging of your item should be sturdy in order to protect it during shipping and your feedback rating.
Every sold listing gives buyers a chance to leave a feedback about you and your listing. The positive feedback score is important for new buyers as it's the first thing that they check before buying. Besides buyer rating, eBay calculates your seller performance metrics which include your shipping time and item condition. If you ship on time and item condition is true, then you can become a Top Rated Seller and get a reduction in final value fee.
If an item isn't received or its condition differs from the described one, the customer has a right to apply for a refund due to eBay buyer protection program. As the seller, you're responsible for it if it's decided against you. Defining a return policy is a good way to prevent disputes. Responding to buyers' requests promptly will allow you to solve a problem fast instead of receiving a negative feedback.
Some of the mistakes that new sellers do include overestimating item value, underestimating shipping costs and fees, and posting only one blurry picture. The other mistakes that you shouldn an avoid include ignoring buyers' messages, shipping item later than defined in your listing, and overstating item condition. Almost all of these mistakes can be avoided if you take the first sales just to learn your costs.
When you start selling regularly, it becomes important to calculate the real profit of each item. It should include sale price, item cost, fees, and shipping cost. It's better to spend money you've earned on buying inventory instead of trying to sell whatever you find on eBay. At some point, opening the store, registering your business, and becoming a real business becomes a necessity instead of choice.