Detailed explanation of eBay auction method: advantages, applicable scenarios and precautions
The eBay platform provides sellers with a variety of product listing methods, including auction (Auction), fixed price (Fixed Price), and a combination of auction and fixed price. This article aims to introduce in detail the advantages, applicable scenarios and precautions of the eBay auction method.
Advantages of the auction method
Auction means selling through bidding, and the highest bidder wins. This is a common sales method used by eBay sellers. The seller sets the starting price and online time for the product for auction. The buyer with the highest bid when the product goes offline is the winning bidder for the product, and the product can be sold at the winning bid price. To sell products in this way, you need to pay a certain percentage of listing fees based on the starting price you set. In addition, a certain percentage of transaction fees must be paid based on the final transaction price of the product.
Advantage 1: Stimulate the desire to buy
Setting a lower starting price for a product can arouse buyers’ interest in bidding, and can also bring good profits to sellers through repeated bidding.
Advantage 2: Improve search weight
The auction sales method can also increase the search weight of the product. In the product search ranking, auction products that are about to end can obtain a higher ranking in the “Ending Soonest” product search ranking.
Situations when it is appropriate to choose the auction method
Situation 1: Uncertain pricing
Sellers cannot determine the price of the goods themselves, but want to sell the goods quickly. They can use the eBay market to determine the price of the goods through auctions.
Case 2: Unique Products
The products sold are very unique and difficult to buy, and there is demand for the products in the market, which can cause competition among buyers.
Situation 3: High transaction rate
Items on sale have a high transaction rate and are usually sold after the item is posted.
Situation 4: No transactions recently
If there is a product for sale on eBay, but there has been no transaction in the recent period, you can use the auction method to improve the product search ranking when sorting the product by “Ending Products”.
Notes on auction methods
Note 1: Choose featured products
Sellers need to choose some distinctive products as auction items, and do not choose those products that can be seen everywhere. Only products that are special enough can attract more buyers to watch, and thus a transaction can be concluded.
Note 2: Set the auction duration appropriately
The shorter the auction time on the eBay platform, the higher the handling fee. Therefore, it is best for sellers to control the auction time to 5-10 days, so as to attract enough buyers.
Note 3: Set a reasonable low price
When sellers set the low price for product auctions, they can set it to 5% higher than the cost price, or slightly lower than the cost price to conduct loss-making auctions. The lower the reserve price, the more buyers will be attracted, and the auction competition will be higher. The more intense it is, the easier it is to fetch a high price.
Note 4: Take advantage of peak auction periods
Sellers must take advantage of the peak period of the auction. Before the auction is about to stop, the platform will give the product more exposure. At this time, sellers can use some traffic diversion methods to increase the number of visits. In addition, shopping peaks at noon and evening, and sellers can choose to conduct auctions during this time period.
Note 5: Combination Marketing
When a seller uses auction items to attract traffic to the store, many onlookers will be attracted during the auction. Although they will not bid, they have a certain interest in the product. At this time, the seller can click on the product details page Add links to other products for combined marketing to increase visits.
Note 6: Set up automatic listing
Sellers can set up the initiative to put products on the shelves for auction. When the auction of one product stops, the system will actively put another product on the shelves. This can ensure that the supply of goods will not be interrupted and there will be no window period, thereby obtaining more profits.
Note 7: Optimize topics and keywords
Sellers must carefully set the theme and keyword settings of the auction items. A high-quality theme can attract more buyers.
Note 8: Comply with platform rules
Sellers also need to have a good understanding of the platform’s auction rules to avoid banned products and private transactions. In addition, the eBay platform attaches great importance to intellectual property rights, so you must not sell infringing products or plagiarize other people’s copywriting. Once a complaint is filed, the store is likely to be temporarily closed.