| eBay is the world's largest online marketplace, with | | | | states that consumers have the right to return their |
| around 181 million customers. 43% of all internet users in | | | | purchases within seven days of purchase. So make |
| the UK visit the site every month, with an average | | | | this a benefit from buying from you: |
| user spending almost two hours on eBay every single | | | | Money Back Guarantee |
| month. | | | | We're absolutely confident in this product. |
| It's no wonder that a lot of small businesses look at | | | | But if you are not satisfied, return it to usin new |
| eBay as a way of getting into online sales. It's not all | | | | condition within seven daysand we'll give you your |
| plain sailing though, and many businesses have found | | | | money back. |
| that it can be time consuming and unprofitable. | | | | When I write a listing for eBay, I tend to write the first |
| There are some pointers that can make trading on | | | | paragraph as a summary of what is on offer. I make it |
| eBay profitable, interesting and fun. Have you noticed | | | | snappy, exciting and interesting. |
| how some sellers can get significantly more bids and | | | | Always include your name and telephone number at |
| higher prices, whilst other sellers offer the same items | | | | the top and bottom of your listing. Prospective |
| at lower prices and get little or no interest? | | | | customers will feel a lot more comfortable about |
| It isn't down to luck. But put in a effort and planning, and | | | | buying from you. |
| you too can become a successful and profitable eBay | | | | When you've finished writing your listing, save it, print it |
| trader. | | | | out, then go away and do something else for half an |
| I've written this article with an English audience in mind. | | | | hour. Then come back and go over it again. It can help |
| The legal implications of selling on eBay are from an | | | | to read your listing out loud and make sure it sounds |
| English perspective. However, most of the concepts | | | | right to you. |
| will be the same around the world. | | | | Setting the Price |
| Know the Law | | | | You will obviously have a minimum price that you are |
| If you sell products to consumers, you need to be | | | | prepared to accept for your item. There are two |
| aware of the Distance Selling Regulations and the | | | | ways of setting this price: |
| E-Commerce Regulations which give protection to | | | | - Either use this minimum price as the starting price, or |
| consumers who shop via the Internet. | | | | - Set a hidden reserve price |
| These regulations provide protection to consumers in | | | | I personally tend to choose the latter and start the |
| the following ways: | | | | bidding from 1p. The reason for this approach is |
| | | | two-fold: |
| 1. Consumers have the right to receive information | | | | |
| about goods and services, in writing, before deciding to | | | | 1. If people see the start price as being fairly high, you'll |
| buy; | | | | get less people bidding and your product may fail to |
| 2. A cooling off period of seven working days in which | | | | sell |
| the consumer can withdraw from the contract; | | | | 2. For some very curious reason, items with lots of |
| 3. Protection from credit card fraud. | | | | bids on them attract more bids later on in the auction. |
| Get using eBay | | | | There is also a 'Buy It Now' feature in eBay, which |
| If you haven't registered on eBay, get yourself a user | | | | allows people to buy the product straight away and |
| name and start trading. Give yourself a sensible | | | | short-cut the rest of the auction. Buy It Now is ideal for |
| sounding user name that will add credibility to whatever | | | | people who want to buy something and get it in a day |
| it is you are going to be selling. Register yourself as a | | | | or so. People who use Buy It Now aren't so interested |
| business user as this will give you easier access to | | | | in getting the best price, they just want it quickly. |
| more business functions within eBay later on, and | | | | Payment Options |
| register yourself as a Seller as well as a Buyer. | | | | Make it easy to get paid. Most eBay auctions are paid |
| Browse some of the listings, notice how different | | | | using PayPal: your customer has a choice of setting up |
| people list their items. If you see a listing that you like - | | | | a PayPal account (and millions have already done so), |
| because of the description, the detail, the photographs, | | | | or just entering their credit card details online. PayPal |
| the layout - print a copy off. You may well want to do | | | | commission rates are also very competitive when |
| something similar yourself when it is time for listing your | | | | compared to more traditional credit card facilities. |
| own items. | | | | However, it is always worth having other options |
| Get yourself a PayPal account and register yourself | | | | available. If your business offers credit card payment |
| as a seller, so that you can receive payments. | | | | already, make sure your listing tells your customer that |
| Buy a few small items on eBay. Get comfortable with | | | | they can phone you up to pay by credit card. This will |
| the process. Bid on items in auctions, and buy items | | | | encourage people who distrust online payment |
| using the 'Buy It Now' facility. | | | | systems, and help you build up rapport with your |
| When you have received your goods, promptly leave | | | | customer once they've bought. |
| good feedback for the seller. They should reciprocate | | | | Getting your auction listing live |
| and give you good feedback in return. The more | | | | Once you are happy with what you have written, it's |
| positive feedback you get the better, as this will help | | | | time to enter the information into eBay and get your |
| your credibility when you start to sell yourself. | | | | auction going. |
| Sell a few bits and bobs on eBay as well. It's a great | | | | To do this, click on the SELL button at the top of the |
| time to clear the decks of jumble that you've picked | | | | screen in eBay and follow the instructions. Type in |
| up over the years. | | | | what you are selling and eBay will suggest some |
| Research Your Product, Research Your Market Place | | | | relevant categories. Select the best fit category and |
| Do you know what you want to sell? Who else is | | | | then continue. |
| selling a similar product? What price are people paying | | | | Enter your title - and subtitle if you so wish, and then |
| for similar goods? Is your product easy to deliver? | | | | upload your photographs. |
| If you have no idea of what products you want to sell, | | | | The more photographs you upload, the more it costs, |
| get a copy of The Trader and Exchange and Mart. It | | | | but it is never worth skimping on photographs - your |
| will provide you with a whole list of suppliers and could | | | | prospects are going to want to see exactly what they |
| spawn off some other ideas of what you want to sell. | | | | are getting. |
| Consider your product. It isn't always necessary to pick | | | | Select the option to have a Gallery Picture. This |
| a product you know about, but there are a few things | | | | means that prospects get to see a thumbnail-sized |
| that you should consider. | | | | photograph on the eBay listings page - which |
| Firstly, how are you going to get it to your customer? If | | | | dramatically increases the number of people who will |
| it is a big, bulky package, or if it weighs more than | | | | click through to see your listing. |
| 25kg, it is going to cost a lot to get it delivered. It is also | | | | Cut and paste your listing description from Word into |
| going to be difficult to collect it from a customer if | | | | the description. Then use the formatting tools to tidy up |
| there is a fault with the product. Is the package fragile? | | | | your listing: I personally tend to make the first |
| If so, expect problems with deliveries - no matter how | | | | paragraph bold, and tend to change the font size to |
| well you think you can package it up. | | | | make it slightly larger than standard, which has the |
| If your item is too big or bulky to post, phone up a | | | | benefit of making the listing easier to read.eBay has a |
| couple of parcel carriers to get some quotes. Use a | | | | number of 'listing designer' options, which I tend to avoid |
| reputable parcel carrier like ByBox, Initial City Link or | | | | as most of them look tacky and cheap. Feel free to |
| Amtrak. If your item isn't so fragile, consider carriers | | | | look at them though, if you feel it would benefit your |
| such as DHL and ParcelForce. | | | | listing. One advantage that the listing designer has is |
| Consider how you will resolve warranty problems. Do | | | | that you can then put a picture at the top of your |
| you have a supplier who has the facilities and | | | | listing, which does help. |
| resources to help you, or are you on your own? | | | | Next, set your start price, reserve price and - if you |
| The next step is to research your market and find out | | | | wish - your Buy It Now price. |
| who is selling something similar on eBay. This is fairly | | | | Next comes the option to make your listing private. |
| easy as eBay itself provides some useful tools to help | | | | This means that all buyers remain anonymous to other |
| you get going, with the Advanced Search function. | | | | eBay users. Select this option. This will stop your |
| Once you click on the Advanced Search function, you | | | | competitors seeing who has been bidding for your |
| can start specifying what you are looking for in much | | | | items and how much they bid for them. |
| more detail. You can exclude words from your search, | | | | Select your payment methods and set up your |
| you can specify a minimum and a maximum price, you | | | | postage options. Offer the option to allow the |
| can specify business or private sellers, whether the | | | | customer to collect the item from you as well - this |
| items should be new or used, and you can specify a | | | | adds extra confidence in your auction, as it shows you |
| range of how many bids the item should have in order | | | | are approachable, both before and after the sale. |
| to be included in the search. | | | | Finally, set up the Returns Policy, and if you want to |
| More interestingly, from a viewpoint of someone | | | | give your buyer some further information which they'll |
| wanting to research a specific product on eBay, you | | | | see once they've completed the auction, add this to |
| can specify Completed Listings only. This means you | | | | the 'Additional Checkout Instructions' field. |
| can see how many similar products to yours have | | | | Once you've completed posting your listing, make a |
| been offered on eBay over the past month, what they | | | | note of the auction number, which will come in handy |
| sold for, if they sold and the number of people who bid | | | | later on. View your auction so you can see what |
| on them. | | | | everyone else can see and make sure you are happy |
| I recently wanted to sell a car on eBay, and wanted to | | | | with it. If you are not, edit it immediately. |
| see what similar cars had sold for over the past few | | | | Now the fun really starts! |
| weeks. Using the eBay Advanced Search option, I | | | | Running the Auction |
| requested a search for cars similar to mine, within a | | | | For the first day or so, I usually let the auction run its |
| similar price range. | | | | course. Because eBay lists all auctions in date order, |
| Very quickly, I was able to ascertain what other cars | | | | your listing will usually be near the back, so a lot of |
| had been offered, how many bids each auction got | | | | bidders won't see it in the early couple of days. You'll |
| and whether the cars sold or not. | | | | probably get one or two bids - opportunists who see |
| It's a great tool - you can identify if your particular | | | | the potential for a bargain - but that is probably about it. |
| marketplace is saturated or if you are one of only a | | | | For obvious reasons, eBay won't allow you to bid on |
| few sellers. | | | | your own items - but there is no reason for you not to |
| Now look at these auctions in more detail to find out | | | | ask a couple of your friends to put in some low bids. |
| clues as to why some sold for more than others. You'll | | | | This increases the number of bidders, and the more |
| soon notice a pattern: | | | | bids an item receives makes your auction more |
| | | | interesting to other eBayers. If you can get 10-11 low |
| 1. Lots of photographs and well written information with | | | | bids in at an early stage, it can make a big difference |
| prominent contact details do well, with lots of interest, | | | | later on. You still want your listing to appear cheap, |
| lots of bids and a good sale price. | | | | however, so make sure your friends are well briefed. |
| 2. Listings lacking one or more of the above attract | | | | If I were selling a £400 product, and I had |
| less interest. | | | | started bidding off at 1p, for instance, I'd want to cap |
| 3. Animated cartoons, musical effects, difficult to read | | | | these bids off at around £80. |
| fonts, or a poor description in two or three lines and | | | | Then you leave the auction to run its course. Answer |
| typed ENTIRELY IN CAPITAL LETTERS do worst of | | | | any questions you get on e-mail or by phone quickly, |
| all. | | | | promptly and as friendly as possible. |
| This is a big eBay secret: spend time on your listing, | | | | Most auctions really come alive in the last few hours. I |
| make yourself look professional. You'll reap the | | | | usually check the auction about twelve hours before it |
| rewards. | | | | is due to close, and if the bidding is still low, I'll get a |
| If you now know your product, your market and your | | | | friend to put in a bid to bring it very close to the |
| competition, you're a big step along the way. But can | | | | reserve price (i.e. £2 under), so that the next |
| you make money? It's time to... | | | | successful bidder will win the item. Then I leave it to |
| Forecast! | | | | see what happens. |
| Forecast your sales to ensure you can make a profit. | | | | It can be quite exciting to watch the end of the auction. |
| Take into account: | | | | If there are a few genuine bidders on there, your sale |
| - Delivery Costs - to the customer, and to you in the | | | | price can go up dramatically in the last two minutes of |
| first place | | | | the auction. |
| - Warranty Failure Costs | | | | As soon as the auction completes, use the eBay |
| - The time it takes to manage the sale and after sale | | | | facility to get in touch with the buyer and send an |
| Then you can identify your break even price. Compare | | | | invoice. Thank them for their purchase, and let them |
| this with the average price of bids on eBay for the | | | | know your telephone number, in case they want to get |
| products you are planning to sell and see what the | | | | in touch with you again. |
| difference is. | | | | At this point, you'll be able to see their full details - |
| Test, Test, Test | | | | name, address and telephone number. Make a note of |
| Before you buy a huge bulk of product, try and test | | | | this (I tend to print off a copy of the invoice, which I |
| the market with a small sample. This may mean you | | | | then attach to the item when I ship it off), as it can be |
| having to buy your product at a higher price, but it's an | | | | hard to get access to later on. |
| awful lot cheaper than importing containers of product | | | | The Next Steps |
| in from China - only to find you can't sell it! | | | | The rest is just good customer service. Telephone or |
| Get some really good quality photographs and then put | | | | e-mail your new customer and thank them for their |
| your small sample of products on eBay. | | | | business. Assure them that they have bought a great |
| How to make the most of your eBay listing | | | | product and remind them of the warranty and |
| We've already discovered a few things about what | | | | money-back guarantee, if you offer that. |
| makes a good listing and what makes a bad one. Now | | | | If they haven't paid already, ask them how they would |
| it's your turn to create your own sales pitch. | | | | like to pay. If you offer credit card payment facilities, |
| Start with an attention grabbing headline and subtitle. In | | | | now is a good time to get that sorted out. If you are |
| eBay, headlines and subtitles are important. When you | | | | getting the product delivered to them, ask them what |
| search for items on eBay, eBay searches the | | | | day would be convenient. If they are not around during |
| headlines and subtitles for matching words and | | | | the day, tell them about the ByBox parcel vending |
| phrases, so you need to make sure that all the | | | | machine service and ask if they would be interested in |
| relevant search words are included. | | | | using that. |
| Here are some examples of good and bad headlines: | | | | There is one final tool that eBay gives you, which is |
| Good: Compact, lightweight folding bike/bicycle | | | | suitable where you've got multiple items to sell: the |
| Bad: Folding Bike | | | | 'Second Chance Offer'. If you had several bidders |
| 'Folding Bike' is bad because it doesn't pick up on | | | | bidding acceptable amounts of money for your item, |
| anyone looking for 'folding bicycle'. If people are looking | | | | you can give them a second chance to buy your item |
| for a folding bike, they also want something that is | | | | at the price they bid at in the auction. It's a great tool, |
| compact and lightweight, so if your folding bike is | | | | allowing you to potentially sell a few items at the same |
| compact and lightweight, put this in the headline as well, | | | | time. |
| so that you get picked up on people looking for | | | | After the Trial |
| 'compact bike', 'lightweight folding bicycle' and so on. | | | | Now is the time to go back to your forecasts and see |
| Good: Smoothie/Smoothy Maker and Juicer with | | | | how well you performed. Have you made money |
| Recipes | | | | during the trial? If not, are you going to make money |
| Bad: Smoothie Maker | | | | when you start selling in bulk? If not, it's time to try |
| 'Smoothie Maker' doesn't say very much - there is | | | | something else. |
| nothing to differentiate your product from hundreds of | | | | If, on the other hand, you've done well with your trial |
| others. But smoothies can make juice, so add that in. | | | | auctions, it is time to move onto the next stage. Refine |
| The handbook from a smoothie maker includes | | | | your listing, start more auctions and take it from there. |
| recipes, so add that too. And as for the the alternative | | | | If you're doing really well with your current product, |
| spelling of smoothie? 'Smoothie' is an easy word to | | | | your competitors will start selling it as well. To stay one |
| mis-spell, so if you include the most likely alternative, | | | | step ahead, you need to start finding the next |
| you'll get picked up if someone searches for 'Smoothy | | | | killer-product to sell. |
| Maker'. None of your competitors will, dramatically | | | | When you've find it, get in touch with your existing |
| increasing your chances of a sale. | | | | eBay customers and let them know about it. Especially |
| Once you've worked out a headline, write your | | | | if it a related item to your first product, this could be a |
| description. Don't start writing it on the eBay web site - | | | | quick way to make some early sales. |
| use Word to start with - then cut and paste your | | | | When you're starting to sell reasonable volumes of |
| description onto eBay. | | | | products on eBay, you'll start needing to look for ways |
| There are some 'magic words' which work well on | | | | to automate your eBay listings and sales. There are a |
| eBay. If you can use Free, New, You, Yes, Discover, | | | | number of products on the market. Do a search on |
| Benefit, Money, Guarantee, Now, Secret, Proven. in | | | | Google for 'eBay automation' for more details. |
| your listing, you'll reap the rewards later. | | | | Finally, don't forget to keep checking your performance |
| Focus on the benefits of what you are trying to sell. If | | | | against your forecast. Make sure you really are |
| you do mention a feature of your product - highlight | | | | making money and most of all: have fun! eBay is a |
| what benefit that will be to your customer. | | | | great community and an enjoyable way to create an |
| Make sure you promote your Unique Selling Features | | | | additional revenue stream and get your business |
| in your auction listing. Ask yourself "why should people | | | | known by a wider community. |
| buy from me?" - and put your answer into the listing. | | | | I wish you the very best of luck on your eBay venture! |
| Incidentally, remember that the distance selling directive | | | | |