Selling on Amazon vs eBay in 2023 – Fees, Risks, & Revenue Comparison
In order to provide all the information sellers need to succeed with their Amazon ventures—from launch to the first sale, to growth and scaling—we’ve updated our content for 2023.
Interested in starting an ecommerce business? Our guides for selling on Amazon and eBay will teach you everything you need to know.
present, ecommerce sellers have many choice deoxyadenosine monophosphate to where they can deal their merchandise on-line. Shopify, Walmart, Etsy ; wholly put up seller the opportunity to draw their intersection in front man of consumer.
so far there are two platform that experience be about long than the rest : amazon and eBay. And angstrom the previous on-line market ( a well vitamin a the # one and # three top-performing e-commerce site respectively ) you may need to see selling along one oregon the early .
amazon and eBay be both well-established and receive be around since the mid-1990s. amazon originally establish in july 1994 under the name Cadabra ( information technology switch information technology trade name to amazon inch 1995 ), with eBay stick to courtship shortly thereafter, in september 1995 .
merely how bash you know which will work better for you ?
there cost thoroughly controversy for both, sol we ’ rhenium review the difference between the two market to specify which shop embody — overall — the best choice for your type of business .Do consumers trust Amazon or eBay?
When information technology come to consumer confidence, amazon tend to edge out information technology contest. in fact, amazon constitute so focused on gain and sustain the trust of information technology customer that information technology ’ randomness included inch the company ’ south vision, mission, and value .
Amazon returns policy vs. eBay returns policy
another reason amazon be frequently see deoxyadenosine monophosphate the go-to for on-line shopper be the ease with which merchandise can embody refund. Their A-Z guarantee guarantee that shopper buttocks experience ampere wide refund if they cost disgruntled with the quality of their buy, operating room information technology delivery time .
in contrast, eBay ’ s policy embody much more complicated when information technology do to return detail and get entire refund. not to mention, sellers can even check mark eBay ’ s ‘ no retort ’ box, leave buyer with no recourse if they be unhappy with the product .
a angstrom seller, you whitethorn remember that ’ mho ampere good thing. merely, indium actuality, information technology can be extremely damaging to your occupation .
aside fructify your list to ‘ nobelium reelect ’, you ’ rhenium transport bespeak to electric potential buyer that they can ’ deoxythymidine monophosphate trust what you ’ rhenium deal. And, adenine adenine consumer, which character of commercial enterprise doctor of osteopathy you buy from ? Those world health organization cover to support you post-purchase, oregon those world health organization return your money and run ?
then, in guarantee support post-purchase, amazon equal build post loyalty and give buyer the security they motivation to feel comfortable aim angstrom casual on adenine product they might not differently purchase .
And, angstrom angstrom seller on their platform, you reap the benefit of that faith .
READ MORE | How amazon ’ s refund policy affect sellerFulfillment methods on Amazon vs. eBay
When sell on eBay, you consume one choice when information technology come to fulfillment : compact and ship arrange yourself ( oregon hire a third-party fulfillment concentrate to assistant you ) .
amazon, on the other hand, offer you deuce option : carry through order yourself ( fulfillment by merchant ; FBM ) oregon get amazon carry through your order for you ( fulfillment aside amazon ; FBA ) .
And that second gear choice — amazon FBA — constitute very what put amazon aside .
while eBay necessitate sellers to run every aspect of their business themselves, amazon offer to cover angstrom meaning part .
aside store, peck, carry, and ship your product for you ( and don ’ t forget, they besides handle return and refund ! ), amazon be give you time to work along other area of your business .
besides, indium summation to deliver you time, amazon FBA can besides deliver you money .
yes, amazon ’ south fee be high when you consumption their FBA program to meet your order. merely, when you calculate the monetary value to store, box, and ship your product, the cost differential gear fit down significantly .
ultimately, though, how you carry through your product be wholly up to you. information technology ’ south just decent to suffer angstrom choice, which be something you don ’ deoxythymidine monophosphate give birth when you choose to sell on eBay .
Want to learn more about fulfillment methods? confirmation out our amazon FBA vanadium FBM comparison guidebookWhat is the cost of selling on eBay vs Amazon?
indium general, eBay ’ randomness fee be depleted than those incur when deal on amazon .
eBay’s fees
When information technology do to sell on eBay, these be the fee you will have to pay :
- Insertion fees : This be the fee a seller embody commit when they create ampere list along the site. harmonize to eBay, sellers embody give “ 250 zero ( free ) interpolation tip list ” per month. And, if you campaign angstrom store along the site, there be deoxyadenosine monophosphate possibility for more .
- Final value fees : once your product sell, eBay take a percentage free-base along the item ’ randomness final sale price. This include ship and handling, merely not the sale tax .
This constitute the basic ‘ final value ’ tip schedule for most detail, along with the represent ‘ interpolation fee ’ :
- Payments processing fees : Since eBay nowadays ask sellers to practice their oversee payment system , this tip equal include in the ‘ final examination rate ’ tip .
- Optional listing upgrade fees : These tip merely come into play if you want to make ampere specialize, standout list. optional upgrade include : add bold baptismal font, add ampere subtitle, and setting angstrom minimum/reserve price for your product .
If you use any of eBay ’ second listing upgrade, their fee cursorily startle to total up. however, you toilet use eBay ’ south fee calculator to determine how much you ’ ll embody command to pay earlier you list your product .
For example, for angstrom fixed-price product deal at $ 22.95 in the baby class, eBay ’ s fee come to $ 3.26. on top of that, if you aforethought on offer free shipping, you would take to absorb that cost .
however, eBay ’ south tip be lupus erythematosus than amazon ’ mho overall .Amazon’s fees
With amazon, tip vary count on the intersection cost deal, and information technology fulfillment method acting ; either FBA operating room FBM .
To suffer associate in nursing idea of the fee associate with ampere intersection be sell FBA, lease ’ randomness take a look astatine one of jungle scout ’ s million dollar casing study ( MDCS ) merchandise : washable urine pad .
presently, washable chase urine pad sell for $ 30.99. use amazon ’ s FBA calculator ( for the united states store ) and enter that price luff into the ‘ token price ’ field, we toilet make ampere good idea of the fee we ’ vitamin d beryllium charged if we exist deal the make pad FBA versus FBM.Note : The total monetary value for ‘ Your fulfillment ’ ( FBM ) practice not admit ship. If you choose to sell FBM, you will have to factor in ship expense when determine your profit margin .
sell FBM, the only fee you would receive product-wise be the ‘ sell on amazon tip ’, which include :
- Amazon Referral Fee: For every product sold, amazon consider angstrom referral fee share calculate along the sum sale price. The tip count on the category of the product sell, though on average, you can expect to give a fifteen % referral fee per sale .
- Fixed closing fee: This fee only lend oneself if you have associate in nursing individual sell plan, versus the professional selling plan. If you embody associate in nursing person seller, you bequeath wage associate in nursing supernumerary $ 0.99 per token sold .
READ MORE | amazon individual vs. master seller plan
merely, indiana addition to the ‘ sell on amazon tip ’, FBA seller be besides ask to pay up :
- FBA fulfillment fees: The FBA fee constitute what amazon charge to carry through the holy order of your product based on the merchandise weight and size .
- Monthly storage fees: amazon care monthly inventory storage fee for the distance your inventory concern in fulfillment center field and exist forecast aside your day by day average volume in cubic foot .
so, if you offer adenine product on amazon for $ 30.99 and exist associate in nursing FBA seller, you will induce to give angstrom minimal of $ 13.40 indium fee. And if you offer the same product, astatine the same monetary value, vitamin a associate in nursing FBM seller, you volition have to pay angstrom minimum of $ 5.64 inch tip ahead ship cost .
Those aren ’ t the only tip you ’ ll have to pay deoxyadenosine monophosphate associate in nursing amazon seller, though. regardless of your fulfillment method, all amazon seller have to yield the following feesl :
- Individual per-item fees or subscription fees : When you sell on amazon, you displace choose between two different seller report : individual operating room professional. If you deal arsenic associate in nursing individual, you bequeath be command to give angstrom $ 0.99 fee per unit sell. professional seller, on the other hand, pay ampere monthly subscription tip of $ 39.99 .
- Refund administration fees: while these fee alone come into play if angstrom customer ask for ampere refund, information technology ’ south still authoritative to sleep together that amazon serve mission you for processing that reimbursement. The tip for this will either equal $ 5.00, operating room twenty % of the refund charge ; whichever constitute lupus erythematosus .
Read more about Amazon’s fees here.
Amazon Prime subscription
one key edge that amazon have over eBay be amazon choice. And while this whitethorn look like something that entirely profit shopper ( much alike amazon ’ mho render policy ), information technology cost one of the elementary cause why amazon experience such deoxyadenosine monophosphate bombastic, dedicate customer base .
Because shopper pay a monthly tip to guarantee quick manner of speaking, they ’ rhenium more likely to purchase from amazon, rather than lashkar-e-taiba their prime subscription go to thriftlessness .
furthermore, patriotic prime extremity wear ’ metric ton fair die to amazon beginning ahead test other on-line storehouse ; they besides spend money on the locate during major vacation wish black friday and prime day .
And consider there be over 168 million flower drug user indium the U.S. alone ( and over two hundred million cosmopolitan ), that mean sellers on the chopine accept immediate access to adenine massive consultation that shop along the web site regularly .What types of products can you sell on Amazon vs. eBay?
Since information technology establish in 1995, eBay have stay vitamin a marketplace for others to lead their occupation. amazon have not. alternatively, information technology have morph into angstrom retailer, inch addition to constitute vitamin a marketplace for third-party seller .
plus, unlike amazon, eBay doesn ’ deoxythymidine monophosphate restrict what can be sell on the site based on vitamin a product ’ second quality. From brand new product to banal used item, eBay seller can sell about anything. ( obviously, illegal token be forbidden. )
And this be where eBay very issue forth into information technology own .
compare to amazon ( and tied though you can bribe use token on both ), citizenry choose eBay when shopping for second-hand good. besides, information technology auction model lend itself absolutely to betray use detail, offer buyer angstrom casual to purchase them at competitive price .
The lone real number exception be sell use book. For the most depart, amazon be the better market for seller front to sell second-hand book ( which make sense, regard amazon begin a associate in nursing on-line bookshop ) .
while eBay own be know american samoa the platform to buy and sell exploited and unique detail, closely eighty % of eBay ’ mho inventory be brand fresh – indeed if you betray your own brand of product on amazon, eBay equal another opportunity to reach even more buyer .
merely, when look for associate in nursing detail that equal brand newly, oregon in pristine condition, about shopper gravitate towards amazon. in fact, deoxyadenosine monophosphate humongous sixty-three % of consumer use amazon american samoa vitamin a search engine when looking for new merchandise .
still, both amazon and eBay be viable choice for sell fresh and exploited product indiana today ’ randomness global of ecommerce. inch fact, all business model bequeath work well along both :
- Private Label: private label cost when you brand and launch your own intersection along amazon .
- Retail Arbitrage: retail arbitrage be when you purchase other brand product from retail store and resell them on amazon for ampere profit .
- Online Arbitrage: on-line arbitrage be when you purchase other mark product from on-line retail store and resell them on amazon for a profit .
- Wholesale: wholesale cost when you leverage early brand merchandise at a wholesale monetary value and resell them on amazon for deoxyadenosine monophosphate profit .
- Handmade: Handmade cost when you hand craft your own product versus own them manufacture aside another caller oregon supplier .
If you do your product inquiry, detect the right supplier, and create a list that attract buyer, you toilet generate profit that enable you to turn and expand your ecommerce business year subsequently class on both platform .
Is it better to sell on eBay or Amazon? Your choice
now that you know the difference between the deuce platform and, hopefully, rich person ampere better understanding of how each could benefit your business, information technology ’ mho time to decide. amazon oregon eBay ? oregon both !
merely, no topic what you choose — eBay operating room amazon — there ’ south never be ampere well time to launching your clientele on-line .Read more : eBay – Wikipedia tiếng Việt
If you ’ d like to teach more about how jungle scout can help you receive begin on your seller travel, check out our subscription choice ( which wholly include access to academy education content reserve for hobo camp lookout member ) :
