Amazon and eBay are two of the world's largest online marketplaces, each with different characteristics and benefits. The ease with which each platform makes money depends largely on the nature of your business, the type of product you offer, your target market, and your own business strategy. Below is a summary of the main features and comparisons between the two:
Amazon
- Customer base: Amazon has a vast customer base, and many consumers are generally looking for new products.
- FBA (Fulfilled by Amazon): This program allows sellers to send their products to Amazon's warehouses, and Amazon handles shipping, customer service, and returns. This reduces the burden of logistics management.
- Trustworthiness: Amazon's brand is perceived as trustworthy and has the ability to attract new customers.
- Cost: Amazon's fees are generally higher than eBay, and using FBA costs even more.
eBay
- Auction format: eBay specializes in auction-style sales, giving you the opportunity to sell rare and collectible items at high prices.
- Used items: eBay is great for selling used and vintage items. You may be able to get a higher price for these types of items on eBay than on Amazon.
- International Selling: eBay offers tools that make international selling easy, especially for small businesses and beginners.
- Cost: eBay's fees are generally lower than Amazon's.
Therefore, if you plan to sell new products and want to outsource the logistics, Amazon may be a good choice. On the other hand, if you plan to sell used items or collectibles and want to keep sales fees low, eBay may be a good option for you.
By using the two in combination, you can reach a broader customer base and diversify
It's a good idea to try out both platforms and find the one that best suits your business. Here are some factors to consider when trying out each platform.
Creating a list of products
Amazon and eBay create listings differently. Amazon only requires product details and images, but eBay may require more specific information. Also, since eBay listings are auction-style, you need to set a starting price and ending time.
Pricing
Pricing is very important for both platforms. On Amazon, pricing is highly competitive, so setting the lowest price possible is recommended. On the other hand, when using eBay's auction format, it is common to set a low starting price to encourage bids.
postage
Setting shipping costs is also important. With Amazon, if you use FBA, you don't have to worry about shipping costs because Amazon handles the shipping for you. On eBay, on the other hand, you have to pay for shipping at your own expense, and you need to decide whether to include shipping costs in the product price or charge them separately.
Customer service
Providing good customer service is very important for both platforms. This includes handling post-purchase inquiries and handling returns. In the case of Amazon, if you use FBA, Amazon will handle these tasks for you. But with eBay, you have to take care of it yourself.
Keep these factors in mind when choosing the platform that best fits your business goals and strategy. And by using both, you can increase the reach and diversity of your business.
Considering the above factors, which platform is best depends on your business model and goals. Below we provide some questions to help you determine these factors.
A collection of questions to help you decide whether to use Amazon or eBay
- What type of product? : If you want to sell new and general products, Amazon provides a large market. However, second-hand items, specialty items, and collectibles can get better prices on eBay.
- How much control do you want over shipping and logistics? : By using Amazon's FBA, you can leave the shipping and logistics to Amazon. With eBay, you have to manage your own shipping and customer interactions.
- How much commission can I pay? : Amazon's fees are generally higher than eBay's. However, we offer a wider range of services.
- Do you want to sell internationally? : eBay offers tools to make international sales easier. Amazon also allows international sales, but you will need to create separate listings on each country's Amazon site.
- How many customer touchpoints do you want to manage? : In the case of Amazon, Amazon itself manages most of the customer touch points. On eBay, sellers themselves are responsible for customer service.
Answering these questions will help you decide more specifically which platform is best for your business. Of course, these are just some considerations; there are many other factors to consider.
Ultimately, it's important to understand the characteristics of each platform and choose the one that best suits your business needs. Another option is to try using both platforms if possible. Taking full advantage of the opportunities and customer base each platform offers can lead to business success.
