Since I’ve been selling on eBay I have made many mistakes and continue to do so till this day. I am talking about my mistakes to help you avoid making these same mistakes while trying to sale on eBay.
1. Not calculating eBay fees correctly. With every item I buy to sell on eBay I always make sure that it will give me a profit after shipping,Paypal, and eBay fees. The best way to do this is with the help of a fee calculator. The one I use can been found on www.newlifeauctions.com. Click the address to take a look at the calculator. This calculator will help you stay on the green side of things. You will have a good estimate of how much you will make. Most of the time, the estimate is on point.
2. Starting in a price war. When I want to sell a item that another seller is already selling, I try to set my price around the average of all of the sellers. Reason being, once you start a price war your profits slowly go down. This is bad because you want to make the most money you possibly can. I am not saying price your item the highest, I am saying don’t price your item the lowest.
3. Selling Dirt Cheap Rather Then Name Brand. Once I tried selling a dirt cheap version of a cord to keep up with competition with overseas products. This didn’t turn out very well for me. The problem came when I realized that I still couldn’t compete with dirt cheap oversea prices. I still ending up charging a dollar more then the overseas competition. More problems came when I notice that people were returning the item at a high rate. This was very annoying to deal with. In the end, I went back to selling the name brand version of the cord to earn a easier consistent profit. Cheaper is not always better. From now own I stick to selling either first or quality third party version of accessorizes.
4. Trying to sell something a thousand other people are selling. Ever searched for a product on eBay and when you get down to the bottom of the results you see about 10 more pages of results? You might not make it too far if you try to sell a product that a thousand other people are selling. Profit margin on products like these are very low. I tend to stay away from selling products like them.
These have been my biggest mistakes so far since I’ve been selling on eBay. Trust me I have made more mistakes but these are the ones worth mentioning. I hope this helps you out in your eBay business!.