The online auction business model is one in which participants bid for products and services over the Internet. The functionality of buying and selling in an auction format is made possible through auction software which regulates the various processes involved.
Several types of online auctions are possible. In an English auction the initial price starts low and is bid up by successive bidders. In a Dutch auction, multiple identical items are offered in one auction, with all winning bidders paying the same price -- the highest price at which all items will be sold (treasury bills, for example, are auctioned this way). Almost all online auctions use the English auction method.
eBay Inc. is an American Internet company that manages eBay.com, an online auction and shopping website in which people and businesses buy and sell a broad variety goods and services worldwide. A majority of the sales take place through a set-time auction format, but subsequent methods include a substantial segment of listings in the "Buy It Now" category. In addition to its original U.S. website, eBay has established localized websites in thirty other countries. eBay Inc. also owns PayPal, Skype, StubHub, Kijiji, and other businesses.
Discover how to make money on eBay with these 10 tips.
Find out What It’s Worth: Use the tool to find useful information about your item such as the average selling price, average starting price, and volume of recently sold items. You can also find great information on pricing, features, and key words that attract buyers by browsing .
Get Free Shipping Supplies: The United States Postal Service offers a variety of free shipping supplies, delivered directly to you within a few days. come in a variety of sizes and work with any Priority Mail® or Priority Mail Flat Rate Service.
Start Pricing Low with No Reserve: Getting that first bid is critical, as buyers are more likely to jump in if there are already bids on an auction. can cause buyers to lose interest if they assume an item is overpriced. Many successful sellers set a low opening bid with no reserve to jumpstart bidding and increase their final selling price.
Include Reasonable Shipping Costs: Specifying reasonable shipping and handling costs in your listing is essential for smart selling. eBay's free Shipping Calculator provides real-time shipping costs to buyers all over the world, so you can increase your chances of success.
Maximize Your Item Title: Be sure to include that buyers will search for, unique or descriptive attributes, and always check your spelling. Your item title is critical in helping users find your items, so use each character wisely and check your spelling.
Describe Your Item in Detail: A is concise, well organized, and easy to read. Create bold section headlines, bulleted lists, and be sure to include item style/type, brand, condition, and other attributes. Think about your listing from the buyer's perspective - the more information you provide, the more likely buyers are to place a bid.
Include Photos: A picture really is worth a thousand words! Use clear, well-lit photos from a variety of angles to accurately showcase your item. Use good lighting and an uncluttered background to get the most out of your photo. Add additional photos to showcase details and unique features of your item.
Communicate: Always respond quickly to any buyer questions. Include extras or a handwritten note in the box to really surprise and delight your customers. Make sure to leave for your buyer so they’ll do the same for you.
Save a trip to the Post Office: After the sale you can pay for shipping, print labels on your home printer, and schedule free carrier pick-up all online and at no additional charge - so you can save money, time, and a trip to the post office!
Tell your Story: Customize your profile and let others know what you buy, sell, collect - whatever you're passionate about. It's free and helps buyers get to know and trust you.