Reselling items on the eBay marketplace can be a great way to make extra money. Sellers on eBay can make money by purchasing products in bulk and reselling them on their own eBay stores for a profit.
Reselling is one of the easiest ways to build an online e-commerce business. People from all walks of life - students, stay-at-home moms, professionals, and even freelancers - can become eBay resellers. All you need is determination and a thorough grasp of the eBay buying and selling process to get started.
With that said, I’m here to help you navigate the process of getting your eBay reselling business off the ground.
Let’s dive deep into this article.
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Steps To Set Up An eBay Store
Before you can begin reselling on eBay, you need to set up an eBay store. There are a few steps required to get your online eBay business up and running.
Step 1: Setting Up Reseller Accounts
Step 2: Finding Items To Resell
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Step 3: Product Listing & Reselling
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How Much Do eBay Resellers Make?
The annual income statistics pertaining to eBay sellers lists are genuinely astounding. 34.3% of eBay sellers make around $10,000 per year, and 3.9% of eBay sellers make more than $1 million per year. About a fifth of sellers have profit margins greater than ten percent. However, more than half of them have much higher margins than 20%, and around 6% of sellers are fortunate enough to have margins of more than 50%.
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Is Reselling On eBay Legal?
Yes, it is legal to resell products on eBay. Every product has a market, even if it's a niche one. What you can't do is determined by what you’re reselling. For example, you are not allowed to resell branded products such as the ones owned by Nike or Disney. Large corporations with powerful legal departments are more likely to forbid reselling on large marketplaces like eBay.
Reselling a product is generally legal. There are usually limitations imposed by the platform rather than a manufacturer. Reselling most brands is usually safe. But you can't make claims like "brand new" or "straight from the manufacturer. "
Can You Sell On eBay Without PayPal?
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Despite the fact that PayPal is eBay's most popular payment method, numerous other choices and alternatives are available to sellers.
Accounts For Merchant Credit Cards
The Merchant Account is the second most popular option after PayPal among buyers and sellers. This account allows you to accept credit card payments! Through eBay checkout, you can create a merchant account, which is basically a bank account. You can use this to accept credit or debit card payments from customers. When a buyer clicks 'Pay Now,' they will be taken to your payment gateway via eBay checkout.
Wire Transfer
This is considered one of the most straightforward ways to pay on eBay. The money will be directly deposited into your bank account by the buyer. eBay also recognizes this to be one of the most secure payment methods.
Cash On Delivery (COD)
If both the seller and the buyer are located in the same country, they can use the Cash on Delivery payment method. The delivery agent will pick up the payment once the product has arrived at the customer's doorstep.
How Do I Avoid eBay Fees?
For any seller, eBay serves as an excellent platform to create awareness for their products. Many amazing selling tools are available with the added assurance of secure transactions between sellers and buyers. However, as wonderful as it may be, we are all aware that it is not free. A little part of the earnings from your business will be drained in the form of eBay fees. But it is possible to turn those eBay fees into higher profits for your company. Here’s how it works:
You will pay a fee to sell on eBay, but that doesn't mean you can't turn a profit. You can make eBay your most profitable sales channel by understanding eBay seller fees and how you can reduce them.
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Why Is eBay So Expensive To Sell?
eBay has become one of the most expensive sites to sell on and here are the reasons why:
Best Tips For eBay Resellers
Listed below are a few tips and pointers for making money by reselling items on eBay.
Understand The Limitations
eBay restricts the number of items a seller can sell at any given time. Sellers can be prohibited from listing certain things, or the number of items that can be sold might be restricted. These limitations have been put in place to ensure that new sellers can do business while providing buyers with excellent customer service. eBay can increase limits if you have a proven track record of sales and good metrics. You can sell more by selling better. The limitations frequently spark the debate and comparisons of Etsy VS eBay and which one is better for both sellers and resellers.
Have A Strategy For Pricing
Selling an item on eBay is all about knowing how much it's worth and how to price it for maximum profit. New eBay sellers frequently make the blunder of selling something with a retail price tag. The idea is to offer discounts and at the same time price your product slightly lower than that of your competitors. Once you have fulfilled multiple orders successfully and have stacked up a good number of reviews, you can increase your prices as people would now see you as a high-quality seller and not move away from you because of your comparatively high price
Stock Up On The Right Items
Selling items on eBay does not require a significant outlay of cash. Some of the things needed to sell can be found right in your own home. You'll need white poster boards, scales (used to weigh items for shipping), and other things to display your products and deliver them seamlessly to the customer.
Choose A List Type
There are no restrictions on how much buyers may bid on an item during the auction period. The highest bidder is declared the winner on the set date. You can also create a list of predetermined prices. eBay allows you to list items in one of two ways: through an auction or with a fixed price. An auction price gives you a deadline, and the final purchase price may be higher than you anticipated. On the other hand, a fixed price does not ensure a sale date, but if that date comes, you will receive the sale amount from the buyer.
Put Together An Appealing And Professional Product Catalog
To be unbeatable in the marketplace, your product must be superior. eBay searches have an SEO component, so make sure your list is a good source of relevant keywords if you want to appear in the search results for a potential buyer. Buyers are more likely to notice a detailed product description. The seller should make sure that this description is as complete and precise as possible.
Boost Your Feedback Rating
A feedback rating is assigned to each eBay item. Buyers and sellers can provide feedback to one another after each transaction, including a rating and even a few remarks. Buyers can rate sellers in greater detail in addition to providing feedback. The better feedback you receive as a seller, the more credible you become in the community.
Learn The Fundamentals Of Shipping And Packaging
Packaging and shipping are also critical skills for sellers. Make sure you have adequate supplies and that the products are adequately packaged. If the product gets damaged during shipping, please notify the buyer to make the necessary changes to their order information.
Provide A Policy For Refunded Purchases
eBay wants its customers to feel confident about making purchases from their website. It's a common misconception amongst online shoppers that all sellers on eBay must adhere to the same return policy. The purchaser is entitled to a refund if the item is not as described, is misplaced in the mail, or is damaged in transit. If you have a 30-day or longer return policy, eBay will notice and reward you by boosting your listing on the search results.
Ensure Top-Notch Customer Care
Last but not least, offer dependable customer support. Here, sellers must be courteous and respectful of their customers; they must also be flexible in their dealings. While the demands of some customers may be absurd, make an effort to meet their needs and provide them with the purchasing experience they desire. Knowing the basics of reselling can always come in handy.
How To Start eBay Reselling Business - FAQ
Resellers on eBay are people who buy items from various places and then resell the items on eBay for a profit. Even though anyone can make extra money by selling old junk, eBay resellers go out of their way to buy things they intend to resell.
Businesses that resell items on eBay can be located in a physical location or be operated entirely online. Online reselling has become more profitable due to the COVID-19 pandemic and the resulting shift to online businesses. The following are some of the top reasons to resell products online:
You must first create a shipping policy before you can create a listing.
There are tariffs associated with shipping a specific item or group of things, and these tariffs are known as a shipping policy. Return policies and other details can be found in the shipping profile.
To create a shipping policy, go to the Shipping tab and click the Create Policy button on the right side of the page to create your Shipping Policy. The next step is to fill out the Shipping Policy template, giving it a name and selecting one or more tariffs from the drop-down menu. You can color-code each Shipping Policy for ease of use.
Using your Shipping Policy template, you can see for yourself if the type of shipping you require is available for various regional locations. If the requested shipping method is not available due to regional site policies, an explanation will be provided beneath the icon. There's also an exclusion list for shipping that you can check there. Once you've completed the form and verified the shipping information, click the Save button to finish.
eBaymag is a program that streamlines the process of listing items on international eBay sites and helps keep track of sales. It's a system for managing orders and optimizing logistics.
It gives you the ability to:
There is no cost to using eBaymag. However, eBay will charge listing fees when you sell an item, like an insertion fee, in case you have exceeded your monthly zero insertion fee listing allotment. It varies from country to country, as do the eBay fees and the number of zero insertion fee listings you can have in a given month.
eBaymag service guards you against unintentionally accumulating excessive fees. Suppose you've used up all of your free listings for the month. In that case, eBay will only charge you for the first listing over the allotment, and eBaymag will automatically stop any additional listings and notify you that the quota has been reached.
Conclusion
A platform like eBay is a goldmine for people who want to get into eCommerce (both selling and reselling). Also, getting started in the reselling industry comes with its learning curve, and you'll undoubtedly pick up new skills along the way. Research, hard effort, and patience are all required to reap the best out of eBay.
However, if you follow the advice provided above, you'll well be on your way to making reselling on this eCommerce platform a reliable source of revenue for yourself. Once set up, this source of income will last for many years to come, so the initial hard work will pay off.
