Shoppers today are driven by value, and nowhere is this more apparent than eBay. Competition is intense, especially for ecommerce companies going head-to-head with amateur sellers, who often set low benchmarks for the sale of items. So how do you optimize your prices to encourage sales without compromising profit?
For professional eBay sellers in particular, getting the price right has a major operational impact. Set the bar too high and you’ll end up with a large quantity of leftover stock, which ultimately has to be sold at a cheaper price; too low and demand could surpass the ability of your eBay order management system, leading to stock outs or disappointed customers.
To help your business get the price right, here are some of our top tips for maximizing sales opportunities when selling through eBay:
- Research is a vital first step. Before you list anything online, have a look to see how much professional competitors are selling their goods for, and compare this with some of the recent winning bids on similar items being sold through amateur members.
- Keep an eye on retail trends. Factors such as seasons, weather, catwalk styles, celebrity endorsement and economic developments can push the price of items up or down.
- If you have a limited amount of stock and are selling to the highest bidder rather than at a fixed price, make sure your auctions are timed to end at a moment when there is a large amount of user traffic on the site. For examples, eBay tends to be very busy on a Sunday evening, so items are likely to sell for more than if the auction finishes at 2am on a Wednesday morning.
Although the price is incredibly important, it’s not the only influencing factor on sales. Here are some other areas that can be optimized to drive sales:
- Delivery is a major consideration among eBay shoppers, so offering several options – next day delivery, slower but cheaper fulfillment, personal collection – will help boost the appeal of your business. Limited edition free delivery is also a great way to attract new customers, or to entice back previous customers who want to shop on a budget.
- Balance the volume of stock you’re selling through online marketplaces with sales through other channels. A good eBay inventory management system alone won’t be enough if you’re also trying to manage direct ecommerce orders; you need every channel to work together and push revenue collectively across your business.
- Invest your time in getting good quality images. The better the presentation, the more likely you are to convert sales.
- Be very detailed and thorough in your product descriptions. Not having the ability to see or try an item means in-depth information is critical to ecommerce customers. Plus, the more you tell shoppers up front, the less customer service enquiries you will need to answer.
- Ask satisfied customers to leave positive feedback. Testimonials go a long way on eBay, and can firmly establish your ecommerce company as a trusted, reliable online seller.