Two of the main online selling and buying giants in the market today! Which one is the best? Amazon or Ebay? Well, let’s examine both and then you can decide.
Pros Ebay a multibillion dollar company that was established in 1955. Originally it was famous for it’s auction style sales model but now it also offers a ‘buy it now’ option. I choose Ebay to examine first because the memories of this company have been around forever and who doesn’t love a good old fashioned auction. I was enthralled with browsing Ebay because the categories are endless and the prices are driven by the customer. Bidding on Ebay items made me feel like I was in control. I had a strategy. I set an alarm for the last few minutes on an auction of a desired item. I would watched the item carefully to see whether anyone would bid it up past my cut off point. Then in the final last moments of the auction, I would make my move and bid. Winning a bid this way was an adrenaline rush for sure to snapped up a prized Ebay auctioned item at a great price was a tremendous thrill. Ebay not only allows the customers to have that auction experience it also, offers a super easy method of selling items on line. A person can instantly become an entrepreneur with no start up capital what-so-ever because fees were deducted after the sale, once again giving the feeling of being in control. The ability to easily sell online is a huge bonus.
So, let’s look at some facts and figures. Ebay charges a 10% fee to seller and a .30 listing fee. However, most months there are specials in which the seller can list up to a certain amount of items for free. Using Paypal to accept payments will cost you 2.9% with an additional .30 flat fee. Ebay is available in 36 countries as opposed to Amazon’s 10 countries.
Cons The biggest draw back that some have experienced with Ebay is Scammers. Scammers can use the system both ways, as a seller or a buyer. A seller could post an item and not send it or maybe the item arrives but is not as advertised. The buyer could falsely claim they have not received the item when in actuality they did receive it. Another issue that could arise is the customer could falsely claim that the item was damaged in some way that’s hard for the seller to disprove. Ebay has policies in place to protect the buyers and seller but many times the sellers may feel they get the short end of the stick.
Amazon founded in 1994 by Jeff Bezos. The strong points are that many feel that Amazon is easier to use and it offers price and product comparison options. Amazon has instituted programs to promote a loyal customer base such as free shipping. These programs appeal to people who prefer repeated shop online instead of going to a brick and mortar store. Amazon also encourages a strong loyal following. Amazon’s works to protect deliveries against thief by the installation and use of Amazon Lockers.
So, let’s look at Amazon’s fee structure. Amazon charges 15% fee to the seller which is 5% more than Ebay. A closing fee is also charged. A listing fee that is higher than Ebay’s but no transaction fee as opposed to Ebay’s Paypal fee. When you do a side by side comparsion Ebay’s fees are about 5% less than Amazon. So, you have more earning power with Ebay on sales. Amazon is available in 10 countries opposed to Ebay’s more than 30 countries.
The biggest con to using Amazon over Ebay is fee structure. It’s higher then Ebay’s. Now while that may not be a problem for the occasional seller but as sales increase that 5% overage may not be attractive to many sellers.
Comparing Ebay to Amazon
- Ebay offers the excitement of Auction sales.
- Amazon’s seller fees are slightly higher than Ebay’s seller fees.
- Ebay has a wider variety of items for sale such as vehicles and property.
Amazon offers comparison shopping options and loyalty programs with free and fast shipping options. Amazon also has a great self-publishing program that allowed the average person to be able to easily publish literature for sale with no up front Capital.
Amazon and Ebay both website can be considered awkward to work with for some depending how the site is used. Both provide Seller ratings which gives the buyer more choice control and the protection against fraud. So, Amazon vs. Ebay what’s your preference? Personally, I enjoy shopping on both sites Ebay and Amazon but for sales I chose Ebay.