Amazon Vs Ebay: The Pros and Cons

2 Flares 2 Flares ×

Amazon vs Ebay

Pictures – if an item is already listed with a picture, everyone uses the same picture and you don’t have to take a new picture for that item. This can save loads of time because you can list many things without ever having to take and upload pictures.

•Fees – Amazon has no upfront fee for listing an item. If it doesn’t sell, you aren’t paying anything.

•Fixed Price – you set the price and it sells for that price, you don’t have to worry about losing money in auction.

•Customer Interaction – customer interaction is low and thus, not time consuming. Amazon buyers and sellers rarely interact.

•Feedback – you will receive feedback from buyers but even if it’s bad, the sight will not remove your listings or make them harder to find. It’s up to the customer to determine whether or not they want to buy from you.

•Average Sale Price – Amazon buyers are often willing to pay more and won’t even check the eBay bargained listings.

•Payment Methods – you have to use Amazon Payments to accept a payment, that’s the only option. This takes out all the complications of a variety of payment methods.

•Seller Security – the customer pays before your item is taken off the listings, if the customer hasn’t paid, the item isn’t sold.

•Shipping – Amazon has a “shipping credit” for sellers that covers the shipping in many cases and if it doesn’t, usually loses are minimal. The shipping credit is a fixed rate so it can be factored in before the price is set to avoid any losses.

eBay:

The Pros
•Taxes – eBay has an option in the Sell-Your-Item form that allows you to have the tax added to the sale price without any extra calculations or hassle.

•Auction – Sellers can get a surprisingly good price for unique items because of the auction format.

•Return Policy – If a customer is not satisfied with the product, they contact you and you can discuss the matter with them instead of them immediately returning it. However, fighting with the customer over the matter can result in bad feedback which will hurt your listings.

•Shipping – You can set your own shipping cost and it is very flexible.

•Listing Deals – Every month you can get 50 items listed for free so for the first 50 listings, there is no charge.

•Commission – eBay has a lower commission rate than Amazon generally speaking.

Amazon:

The Cons
•Commission – The commission after the sale is higher for Amazon than it is for eBay to make up not having a listing charge.

•Taxes – You have to factor in your own sales tax and calculate the matter yourself.

•Return Policy – When a customer wants to return something within the first 90 days, they just do it. Amazon guarantees the customer so the seller gets no say in the matter.

•Branding – Amazon does not allow sellers to link to other sites for marketing purposes.

eBay:

The Cons
•Pictures – eBay requires a photo for every item listed whether it is a unique item or if there are already hundreds of pictures of the same item already on their site. Customers pay more attention to the picture so it becomes a necessary part of the marketing.

•Fees – There is a listing fee after the first 50 sales per month, so if you are listing a lot of items, you end up paying whether they sell or not.

•Customer Interaction – eBay has a lot of customer interaction that can be time-consuming.

•Feedback – When you receive negative feedback on a sale eBay will penalize you and your listings will not show up as readily for customers to view.

•Average Sale Price – The customers on eBay are looking for bargains, so the average sale price is generally lower than on Amazon where customers are willing to pay more.

•Payment Methods – Many people find PayPal to be a horrible and imposing requirement of eBay and it has an extra fee. However, many customers really appreciate using PayPal and not giving out their personal information.

•Seller Security – Sellers have to deal with the payment process and although PayPal has a fairly straight forward system, the guarantee is not as good as with Amazon Payments.

•Branding – eBay does not allow sellers to link to other sites for marketing purposes.

The Bottom Line – Overall Amazon seems to have more benefits but for unique items, eBay can get you a much better price in auction as you see what people are willing to pay. There are benefits to both sites, so it depends on what manner of selling you are doing. Also, look at Half.com for selling options, many people prefer it although it is not as popular.

About the Author: This article is by Lela, an employee of Ready Holster.


Related Posts

About The Author

Add Comment

2 Flares Twitter 0 Facebook 0 Google+ 1 Pin It Share 1 LinkedIn 0 Reddit 0 StumbleUpon 0 Email -- 2 Flares ×