How to Use Selling Options on EBay

You can earn some extra income on eBay. But how do you determine what the best auction method for selling your product? Making the decision between Auction, Fixed Price and Buy it Now can be confusing. Follow these simple steps to guide you as you determine the best method for your product.

Difficulty: Moderately Easy

Instructions

1. Take your time and learn what each of the selling styles and options mean. All auctions can have the duration option of 3, 5, 7 or 10 days (higher selling fee for 10 days). If you have an eBay store you have longer options. An AUCTION is when the item that you are selling, sells to the highest bidder. You may start your auction out at any price that you want. You’ll see some products starting out for one penny in an effort to peak interest and create competitive bidding. Some products might just start out at the minimum price a seller is willing to sell. You will just need to determine the risk that you are willing to take when determining your list price. If you are nervous about starting an auction at a low price in the hopes that it will sell at a higher price, you can do a RESERVE PRICED AUCTION. This feature allows you to start your auction at a ridiculously low price, but, you have the safety net of listing the amount that is the lowest amount that you are willing to sell the product for. This means that you are guaranteed that your product will not sell lower than the amount that you have specified. You can also just list the price that you want and hope to get bidders. The idea is that by listing the lowest acceptable price, you are allowing your buyers the opportunity and fun to bid. If your item is in hot demand, it is likely that the price of your item will reach your targeted price if you start the bidding low. For example, If you have an item that you want to sell for $100, perhaps set your reserve for $75 and begin bidding at $5, $15, $25, etc. It will be up to you and what you feel comfortable with.

2. Research on eBay the FIXED PRICE auction choice. A FIXED PRICE auction allows you to receive the exact amount that you want for your item. No bidding. However, with a fixed price auction you need to see what the selling amount restrictions are. Under this option, you can also add "Best Offer.” This way, you will not lose potential buyers. Under the "Best Offer" option, you also have the choice of automatically declining offers that are below a specific amount. You can also automatically accept offers.

3. Last is the BUY IT NOW choice that you should familiarize yourself with. This option allows you to have bidders on a product, however, buyers can bypass the auction and purchase it immediately for the price that you are offering it at. Otherwise, buyers can still bid. Be very cautious. In this scenario, your item can still sell to the highest bidder even though you have listed the item as "Buy it Now". Don't think that just because you are listing it at a "Buy it Now" price that it will only sell for that amount. Depending on the category, your item is listed in, the item can sell when it automatically reaches half of the "Buy it Now" amount. But in other categories as soon as someone bids, it is going to the highest bidder, which can be drastically lower than what you want to sell your item for. keep yourself apprised of the rules as they do change because eBay tests out new options/rules as they get feedback from their clients.

4. Another item that you should think about is what is the auction going to cost? There are different fees associated with different auction styles. The quantity and the dollar amount at which you start the auction, will also be a factor in determining auction fees. Remember, that you need to factor in these auction fees, as well as the cost of your inventory to determine what your profit will be. Also, remember to think about what the least amount of profit you are willing to sell your item at in case you need to relist an item multiple times.

5. Another way to decide what to selling option might be best for you is to research similar products and see how other sellers are marketing their merchandise. Pay attention to the number of visitors that have visited an auction, if the counter is available. See how many bids a product has. These are a few research steps that can give you an indication of the number of buyers that are responding to the same or similar product that you would like to sell.

Tips & Warnings

• Be patient. There is always a learning curve. It could take you several hours a week to navigate through the art of selling on eBay.
• Please research auction sites to get a full understanding of the decision you are going to make. The steps provided are helpful reminders of things to consider when making decisions. It will hopefully make your experience better by avoiding some of the pitfalls that can happen.