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eBay as a Resell Channel

Pros, Cons & Fees of ebay

eBay is one of the largest online marketplaces, and a popular selling avenue for buyers as it’s easy to list, ship and get paid. As a global marketplace known to find unique, one-of-a-kind items to hot ticket items such as Olympic tickets, the latest iPhones and more. Many buyers find great success selling on eBay.

Getting started on eBay is quick and easy with creating an account with your basic information and payment details. It’s important to note getting PayPal verified is highly recommended as this makes PayPal safe for all involved. In addition, once verified this will allow sellers to withdraw more money which certainly comes in handy when growing a business for success.

Unlike other marketplaces, eBay provides selling guides to help sellers sell their items. These guides provide information on how to sell a specific item from textbooks to phones to tablets and even musical instruments – they cover everything. In addition, they also have rules for sellers on their selling policies, which details prohibited and restricted items. Be sure to include all these reference guides as part of the planning and research phase.

Secure – site actively filters out base buyers
Strong feedback system
Detailed seller guides
Branding capabilities
Payment protection
Very large buyer base
Can sell very unique items not found elsewhere

Charges fees regardless of whether or not your item is sold
Intense price competition
High selling fees
Time consuming (listening and answering buyers’ questions)
Self-storage of merchandise until sold

Separate marketplace (insertion) and transaction (final value) fees
Marketplace fees: vary depending on product category, type of listing and starting price
Transaction fees: 9% of the value of the item(s)

While eBay is primarily known for its auction format, there are a few selling tips buyers have learned to help ensure profits are maintained while still building a solid seller rating. Listings where Buyers can submit are offer can be very appealing to sellers and should be used whenever a guaranteed minimum is needed. When an offer is submitted the seller has 48 hours to respond, so use this time wisely as other interested buyers will see that an offer is on the table creating urgency. Not wanting to miss out on getting the item, another Buyer may swoop in and purchase it for your full ask.

Provided you have many items to list, we recommend staggering the listings over the course of several days. eBay rewards a seller for consistency so if you have 10 items available, list only 1 each day to show you’re consistent on their marketplace. This may not produce a steady stream of sales, for that we recommend diversifying the merchandise being listed.

EXAMPLE: If you primarily sell phones, make sure to also include phone cases and other accessories to compliment your offerings. Having these high and low-price points in your store can bring a variety of buyers to produce a steady revenue stream.

In addition to complimentary merchandise, carrying products out of season, or trendy merchandise can yield high returns for sellers provided ample planning and research is involved. The winter season may be ending for North America, but for others around the world winter is fast approaching and buyers need coats, sleds, skis and other related gear to help get them through the season. Source this inventory from for off-peak prices in the Spring and sell on eBay for maximum returns from buyers who are purchasing for the cold winter months.

Before listing, research each marketplace to determine where you’ll get the highest return for your item, or items. At this point, research was done on the initial investment of the liquidated merchandise, now take the time to research your reselling channel to find the one able to give you the return you need to maximize profits.

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