The average income of eBay sellers varies, and by a lot.
This is something that you probably wish to know more about especially if you’re contemplating making a living off the site. But before we start giving you that information, we feel like it’s important for you to know that numerous people have even made more than a million dollars a year just by selling on eBay!
Many part-time workers also manage to make up to $400 a month from their eBay shops while many others also reach 6-figures. Making money from your sales on eBay is not difficult if you know the right tactics and techniques to own eBay like a boss.
If you want to make more money out of your eBay sales, you have to do a lot more with your eBay account. eBay can be a tricky platform when it comes to making money. There are occasional sellers, first-time sellers, and then there are big-time sellers. A big-time seller is what you want to be if you are looking to make some real money. And by real money, we mean up to $1,000 a month.
Calculate Your eBay Profits
If you are an eBay seller, you are already part of the world’s top two eCommerce websites that buyers visit. eBay has 23 international sites and it operates in more than 100 countries worldwide. In 2018, 6.7 million sellers on eBay sold their products in 190 global markets.
The eBay profit calculator says that at first, the ideal profit margin that you should keep is 10% of your sales price. This shall cover your eBay fee, PayPal fee, and cost of goods. For example, if you sell your product at $50, you will earn a profit of $4.5;
Promoted listings is an active way on eBay used by sellers to make more money.
The top-ranked eBay sellers share their experiences and give tips on how to improve your eBay position and be able to make loads of money out of it. Let’s take a look at these tips.
1. Become a Wholesaler
Just like conventional businesses, wholesaling gives you the opportunity to reduce your cost of supplies and earn more on sales. Top sellers suggest that they look around for bargains and mark-ups, which help them earn up to 20% extra. You can upgrade your business on wholesaling for popular everyday items such as clothes, shoes, kitchen supplies, or beauty items.
Becoming a wholesaler means you are taking the next step. The wholesale business works on a bigger platform and will give you the chance of earning more profits. Market research is necessary to look for the items that can be sold on wholesale so that you can go in the right direction. In order to be able to earn more, you have to take risks.
Market research will also help you identify the items that are popular and are more likely to be sold faster than others. Go for those! To reduce the risk, you can also start wholesaling with products that enjoy a longer shelf life.
You can also keep your retail items while earning on wholesale products. The more you offer your customers, the more they will buy and boost your sales and profits.
2. Work on a Niche
Whether you are a beginner or a big-time seller, working and sticking to a niche can help you reach to the average income of eBay sellers. You don’t have to work only with a niche product. Instead, you can also have a side-business on eBay for your niche items. This will serve as added-value to your existing shop.
It is important to understand that unusual products and rare items can have much higher returns than everyday products in large quantities. These items can be highly-priced but their demand remains constant. Part-time sellers earn up to $500 a week only by selling niche products.
The basic tips to establish your niche is to be consistent with it, earn the trust of your customers, and wisely pick the items that can appeal your target audience and fulfill their needs. To market your niche products and create a mark, be active in promoting, reach forums where similar interests are discussed, and develop a personal network.
3. Longer Auction Time
It is a lesser known fact that on eBay, the items that are listed as auction have twice the chance of being sold than other methods. Originally, eBay only conducted auctions for sales. The traditional auction method still attracts buyers and they are more likely to buy through auction.
The ones who earn up to the average income of eBay sellers list their products in auction-style and set an opening bid and the auction time period. When setting the auction time, the longer it will be, the more chance of getting a higher price on it. You just have to wait for the selling price to go up to match the breakeven price and go beyond it.
You should also set a reserve limit when using auction-style selling. Reserve will give you a higher chance of increasing your sales. The reserve limit is set to ensure that your product is sold on the minimum price that you want it to go for, hence, ensuring a profit and raising the chance of a higher price at the same time.
4. Buy It Now (BIN)
This option is used on eBay as a selling feature for pros in auction sales. You can use this feature when you want to set the price of your item on your listing so that your buyer would know the price immediately and thus, buy the item immediately. The BIN option makes it easier for the buyer to go through the auctioned products and increases the likeliness of them buying it immediately instead of waiting for the auction to end.
Another feature you can add is the best offer option. This feature enables your buyers to submit their best offer of what they are willing to pay. You can go through the best offers and accept the one you are okay with such an offer of $40 on a product that was auctioning between $10-15. You can also wait till there is a better offer or if a buyer is ready to take your product at your BIN price.
Remember, if you want to stay in the game, whether you are a first-time seller or a big-seller, you need to stay updated with your prices. You need to keep a check on your eBay competitor’s prices while keeping an eye on the same products available in the conventional markets.
The average income of an eBay seller depends on the price-setting strategy that they use. You cannot aim to earn more bucks if your pricing strategy matches your competitors. Use the distinctive pricing strategy.
It is important to understand that the marketplace has still not completely shifted to online platforms. In other words, items available in the market can still be a competition for your eBay business. If you are looking to start earning more on your eBay and make a living out of it, you need to be aware of all ends.
Prices of your listed items need to be upgraded with discounts and deals included. This will attract your sellers and build your customer base.
6. PayPal Account
Since eBay owns PayPal, there are many advantages for sellers. With a PayPal account, your buyers can use their credit cards to buy items. You can increase your sales by giving your buyer the chance to pay through different means.
With the credit card option, you can expect many buyers from all over the world. With PayPal affiliation, you can sell and ship your items internationally. PayPal transfers you the cash of the amount that they receive from buyers.
Many buyers prefer paying through PayPal as they don’t want to be bothered with cash or check dealings. Adding more forms of payments helps you build a more diverse network of buyers and thus boost your sales.
Once you become a recognized seller, you can also lower your PayPal threshold to as low as $10.
7. Photography of Items
As basic as it sounds, photos of your products are the major selling point in your online business. And it is certainly not a one-time thing. If you want your business to flourish on eBay, you have to be constantly creative and think about ideas to make your products different.
All the top sellers of eBay have invested in their picture quality and used them to boost their sales and profits. You can be creative by picking a new theme for your products every month or making your pictures aesthetically attractive by adding backgrounds or using outdoor locations to shoot.
Multiple pictures of products with preferably different angles and real-life product pictures will help you earn up to the average income of eBay sellers.
8. Creative, Eye-Catching Descriptions
Along with photography, keep an eye on your SEO position. Being creative with product descriptions and titles will help you catch the eye of buyers. The average income of eBay sellers depends on being constantly active in publishing content and ensuring it is updated.
This could be through a blog or through descriptions. Your content associated with your products should be in sync with internet searches. You want your business to show up on top with your keywords. Update your blog and content every week or twice a week according to Google. You can find out the most-searched keywords in your domain and use them excessively to bring your search on top.
9. Drop Shipping at eBay
Shipping can take more of your money than you may have imagined. If you want to save on shipping and increase your income, you must take your shipping methods and costs into account. As a first-time seller, you may want to spend on shipping costs, offer free delivery, or even get costly packaging.
But now that you are an established seller, one of the techniques to use to save more from shipping is to go for drop shipping. Drop shippers will act as third-party suppliers that will deliver your products directly to your buyer and you can collect the amount. Many sellers believe this to be a costly method, when, in reality, it will only reduce your cost and hassle. So you can have the potential to earn more than the average income of eBay sellers.
There are more chances of error when carrying out the shipping yourself, including messing up the orders. Drop shippers are experts in the job and they will ship your products on time without any hassle. You can also partner with some drop shippers and get discounts on mass deliveries.
10. Allow Feedback and Interaction
Don’t just wait for your buyer’s feedback, take the initiative and ask for feedback! All sellers of eBay have good feedback and reviews on their shop. This is what determines their position among customers.
Your buyers mean everything to your business. They are the major stakeholders who determine your success on eBay. To catch their attention, it is important to start interacting with them. Good communication and positive interactions with the customers can go a long way in building your market image and spreading the word about your business.
Being active on forums and taking interest in what the buyers have to say will go a long way for your eBay business. Online marketplaces can work as social networking forums for buyers and sellers. Buyers love sellers who are available for them.
11. Pay eBay Fee Timely
When you want to boost your sales on eBay, instead of only focusing on buyers, focus on the platform as well. Having a good relationship with eBay is very important as your position and ranks for becoming top sellers will be determined by your practices on eBay. Thus, paying your eBay fee in a timely manner will serve as a great advantage to boost your eBay income.
12. Aim To Be a Power Seller
A good repo with eBay can grant you the power seller status. These are the elite sellers on eBay that are recognized as trustworthy, fair, and efficient. Since buyers have a hard time trusting people on online forums, these ranks and statuses by eBay can prove to be highly beneficial for your business.
eBay also offers you special access if you are named a power seller. This status will bring in more views and more buyers to your products. Moreover, you can save your costs on promotions and listings as you will be privileged by eBay.
13. Invest Your Time and Energy
Keeping track of your profile, constantly looking for ways to improve it, and maintaining your position in the online market surely requires a lot of time and effort. But without time and passion, nothing is possible. So, invest more time in your eBay business and you will get returns on it. Keep your goals straight and passion upright and you will be earning your living out of your eBay account and can match up the average income of eBay sellers in no time!