EBay has been one of the top ecommerce marketplaces since its launch back in 1995. Some online sellers simply use the platform for selling unwanted stuff. But it can also be a platform for a successful online business. If you want to make as much extra cash as possible on eBay, here’s a guide.
How Much Does the Average eBay Seller Make?
The average eBay seller earns about $35,000 per year. Some top earners make as much as $70,000, and many earn just a few thousand per year. It all depends on how much inventory you can sell, the price of your items, and any extra expenses that you incur like shipping materials. Finding more about additional eBay statistics will help navigate the site with more information.
How to Sell on eBay and Make Money | 16 Tips
If you’re ready to start your own business, the platform offers plenty of features and eBay listing tools that can help you make money online. The following tips should help you make the most of the platform.
1. Pick a Niche
You’re more likely to attract repeat customers if your shop offers predictable inventory. You may even convince some people to buy a few items at once if you sell multiple options that interest them. For example, your store could focus on video games and accessories, collectible sports memorabilia, or vintage clothing.
2. Get More Inventory at Yard Sales
Before you can start selling products on eBay, you need to purchase inventory. The less you pay for each item, the more profit you can make. So search around for yard sale items and the following discount options:
- Garage sales
- Thrift stores
- Estate sales
- Discount warehouses
- Facebook Marketplace
- Local swap groups
- Flea markets
3. Offer Free Shipping
Shipping fees can be a major factor for customers. Instead of charging extra to send items, consider rolling packaging costs and shipping costs into your product listings. They know that anyone selling stuff online must ship their items. So seeing the price all in one instead of tacking on extra fees at the end can help you close more deals.
4. Find Out the Average Selling Price
EBay users also often compare prices of similar items. So it’s important to understand the market value of what you’re selling. If you keep items at a fixed price, look at what other sellers charge for similar items. If there’s no one on eBay selling similar products, look at other sites or consider the price of your inventory and materials.
5. Have a Low Starting Price
Alternatively, many eBay sales are auction based. So you only set sale prices as a starting point. And eBay buyers bid what they’re willing to pay. This is often preferred for higher priced items like collectibles, or those with lots of interested eBay customers. Just set a low starting point to get more people bidding and watching.
6. Consider a Dropshipping eBay Business
Starting a dropshipping business may help you save money on inventory and increase your profit margins. With this model, you’d work with a dropshipping company to manage your products and logistics. And you’d simply list and market products online.
7. Choose Between a Personal eBay Store and Business Account
When you create an eBay account, you can be an individual eBay seller or a business. Business accounts let you sell larger volumes and input business information like your company name and branding.
8. Look at Your Competition from Other eBay Sellers
Market research is part of starting any business – even on eBay. Before starting, look at search results for the product categories you plan to sell. Then continue monitoring the top shops in your niche for trends. For example, certain products may increase in value, so you can make more money by listing them a bit higher.
9. Use High Quality Photos
Photos are one of the first things potential customers are likely to notice when they come across your eBay listing. A clear image with a plain background is likely to show well. Then include additional photos that show the scale and various features of each item.
10. Set a Reserve Price
If you plan to host auctions on eBay, consider the lowest price you’ll take for each item. If the reserve price is met by a bidder, it can be sold when the auction ends. If not, the product doesn’t move.
11. Avoid Negative Feedback
Like many other marketplace sites, eBay lets customers leave reviews to increase buyer confidence. Potential buyers are likely to look at your eBay history to make sure you sell quality products and deliver products quickly. Providing responsive and honest service can help you garner positive reviews.
So, it is extremely important to keep track of your customer correspondence. Make sure to learn how to communicate effectively on the platform, including how to refund a buyer on eBay. One way to avoid negative feedback is with a great refund policy.
12. Sell Profitable Items
Certain items like collectibles and vintage tend to be popular on eBay. If you can get these items for a reasonable price, you’re more likely to earn enough money to cover all expenses and turn a profit. Look at top sellers and trends in your industry to find these items.
13. Include Keywords in Headlines and Descriptions
Many buyers search for specific product categories on eBay. So think about what people may search for in your niche when listing. Include a very basic description of each item, including top keywords, in each headline. Then go into a bit more detail in descriptions to answer any questions buyers may have.
14. Remember Fees When Pricing Items
Many sellers on eBay only take their product expenses into account when listing items. But you can lose money this way, since there are other expenses like flat rate boxes, shipping, and eBay fees. Roll final value fees and other relevant details into your prices so you can be profitable selling items over time.
15. Cross Promote Items
If you have social media accounts or are active on any forums related to your niche, use those to promote your products. Include a link and photo in new posts, or send them directly to contacts you think might be interested.
16. List New Products Regularly
The more products you list, the more you can sell. And eBay also tends to show more results from shops that are active. So continue listing and bring in new products daily to build your shop and continue making money over time.
Now You Know How to Make Money Selling on eBay, Use Our Tips to Scale Your Income
EBay can be a powerful platform for earning money and creating a business. The tips above can help you capitalize on the opportunity and earn as much profit within your niche as possible.
This article, “How to Make Money on eBay” was first published on Small Business Trends