Costs and Benefits of Setting Up an eBay Store

If you're doing well selling your items on eBay auctions, why open a store? eBay is an online marketplace that specializes in giving you a place to sell your stuff, not theirs. It doesn't stock a stick of merchandise, and it isn't in competition with you. In addition to its staggering number of visitors, eBay offers you the most reasonable store rent. You may be able to get an introductory rate for the first few months on any of these services, but the ongoing rates are static. Check out the costs of opening your own eBay store here:

Online Starter Store Monthly Costs
eBay Basic Store Yahoo! Small Business (Starter)* Amazon Pro Merchant
Basic rent $15.95 $39.95 $39.99
Setup fee 0 $50.00 0
Fixed-price listing fee $0.20 0 0
Final Value (transaction) fee See the following table 1.5% 8% to 20%

*Yahoo stores integrate with PayPal.

eBay Stores Final Transaction Fees
Final Sale Price Electronics* Clothing, Shoes and Accessories, Motors, Parts & Accessories Books, DVDs & Movies, Music, Video Games All Other Categories
Item not sold No fee No fee No fee No fee
$0.99 to $50.00 8% of the final sale price 12% of the final sale price 15% of the final sale price 12% of the final sale price
$50.01 to $1,000.00 8% of the initial $50.00, plus 5% of the remaining final sale price balance ($50.01 to $1,000.00) 12% of the initial $50.00, plus 9% of the remaining final sale price balance ($50.01 to $1,000.00) 15% of the initial $50.00, plus 5% of the remaining final sale price balance ($50.01 to $1,000.00) 12% of the initial $50.00, plus 6% of the remaining final sale price balance ($50.01 to $1,000.00)
$1,000.01 or more 8% of the initial $50.00, plus 5% of the next $50.01 to $1,000.00, plus 2% of the remaining final sale price balance ($1,000.01 to final sale price) 12% of the initial $50.00, plus 9% of the next $50.01 to $1,000.00, plus 2% of the remaining final sale price balance ($1,000.01 to final sale price) 15% of the initial $50.00, plus 5% of the next $50.01 to $1,000.00, plus 2% of the remaining final sale price balance ($1,000.01 to final sale price) 12% of the initial $50.00, plus 6% of the next $50.01 to $1,000.00, plus 2% of the remaining final sale price balance ($1,000.01 to final sale price)

*This category also includes Pro Audio Equipment, Computers & Networking, Car Electronics, Cameras & Photo, and Video Game Systems.

Even the basic ($15.95) eBay Store gives you a lot of options:

  • Selling Manager: This is the super eBay software that replaces your All Selling page in My eBay. If you have a Premium-level eBay Store, you get Selling Manager Pro for free; the $15.99 a month fee is waived. Basic stores get basic Selling Manager as part of their package.

  • Free Picture Pack: Up to 12 photos and Zoom feature per listing at no extra charge.

  • Discounted Fixed-Price insertion fee: Only $.20 per listing (Premium Store only $.05 per listing).

  • Fifteen custom pages: You can use custom pages to customize the look of your store, make different landing pages, list store policies, and make the store your own.

  • Web address: Your store has its very own Internet address (URL). This way you can drive buyers directly to your store.

  • Promotion boxes: By using the promotion boxes, you can highlight featured merchandise at the top of your store pages.

  • Three hundred store categories: You can sell (say) sporting goods in one category, women's fashion in another, fine art in one more. . . . You have up to 300 custom categories for your varied merchandise.

  • Custom store header: Get your own brand by designing a graphic store header.

  • Markdown Manager: Hold a sale in your store! Select items to discount for a period of time and offer discounted pricing! You can run sales on up to 250 listings a day.

  • Vacation hold: Ever wish you could make your listings temporarily unavailable or let your customers know you'll be out of town? This great feature allows you to do just that.

  • Off-eBay e-mail marketing: Basic eBay Store owners can send up to 5,000 e-mail newsletters per month to those who have selected you as a favorite seller (7,500 per month for a Premium Store). You can find customized e-newsletters and promotional e-mail layouts in your store's marketing area.

  • Listing feeds: eBay distributes your listings automatically to buyers, search engines, and comparison-shopping sites via online feeds.

  • Downloadable promotional flyers: If you've ever wanted collateral to go with your eBay Store and have wondered about the legalities of using the eBay logo, you're not alone. eBay offers predesigned (perfectly legal to use) downloadable templates for store owners to use. Just print them on your color printer and you're set!

  • Search engine keyword management: You may customize search engine keywords in Manage My Store to improve your store's page rankings in the search engines to which eBay feeds.

  • Traffic reports: Use the eBay Store traffic report to improve your merchandising and listing strategies.

blog comments powered by Disqus
Advertisement

Inside Dummies.com

Dummies.com Sweepstakes

Win $500. Easy.