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Are You Considering Opening an Ebay Store? Wait! Read This First
It is Wise to Stay on the Sidelines Right Now
By Randy Smythe, published May 11, 2007
Published Content: 19 Total Views: 43,371 Favorited By: 6 CPs
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I never thought I would say this about eBay Stores/Shops because I love the concept and they are the only place left on eBay to feel like an independent seller but what I am seeing coming down the pike isn't pretty. If you currently have a store and can make a reasonable profit, I would of course recommend that you stay but if you are considering opening a new store, my suggestion is to wait. Wait until eBay figures out what they want to be when they grow-up. I am seeing a disturbing trend for eBay sellers. It is the homogenization (such a big word) of eBay. It appears eBay management wants to look and feel like a big online retailer. I believe management is concerned that buyers are beginning to migrate to sites like Amazon in increasing numbers -- this is certainly the case in the Media category - so they are pulling out all of the stops to keep that from happening.
Part of this homogenization is the new Finding Experience. In order to present the best buying experience eBay needs to control the product that is presented to the buyer -- it's called merchandising. The popular product is at the front of the store and of course the less popular product is at the back. That appears to be the vision of the new eBay.
They can do this on Express because they don't charge anything to be included on the site but this new approach brings up a dilemma for CORE and Stores/Shops. How do you present the best product to your buyers when you are charging sellers to be included in that search? One seller's 35 cents is as good as another's isn't it. If I want to sell low price commodity products and I'm willing to pay a fee shouldn't my product get the same exposure as a popular product if we are paying the same fee?
We must remember, eBay doesn't sell any product. They display seller's product to buyers and facilitate the transaction and get paid very well for that service. Amazon and Overstock do not have these limitations. They all sell their own product and only charge sellers a FVF so they are free to merchandise to their hearts content.
Are You Considering Opening an Ebay Store? Wait! Read This First
Stop and read this article before you open an eBay Store.
Credit: Randy Smythe
Copyright: Randy Smythe
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Did You Know?
eBay is introducing Finding to the .com that will change the way buyers see product and the jury is still out as to what will happen to Stores/Shops.
Resources
- My Blog Utopia
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