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If you plan to sell on products on ebay then the article below is a must-read. You will learn the true facts about how Ebay auctions work and not be mislead by the low auction prices.

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Keep in mind when you are looking at the auction prices on eBay and do not be led to believe that the low prices you see in the auction are what these products are being sold for.

What eBay does not tell you is that the auction price you see is the highest bid price, not the actual selling price. This means that if the sellers "Reserve Price" is not reached at the end of the auction then the sale will not go through. A reserve price is the lowest price that the ebay auction seller is willing to accept for the item that place on auction. If the highest bid is lower then that item is not sold, buy Ebay still charges you for the item that was placed on auction.

The true fact is that more than 50% of the eBay auctions never sell a product because the buyer has a set reserve price that must be reached by a bidder. Ebay never reveals the seller's reserve price so you never know exactly what the buyer really wants for the item unless you see a BUY IT Now button there.
 

The only way to know if a certain item on auction will be sold for the price you see on the auction is to look at the bid information at the top next to the item picture; if you see the words 'No Reserve' then the seller will let this item go for whatever the top bid price will be at the end of that auction.

If you do not see the words 'No Reserve' in that area then there is a reserve price for that item in auction and if the highest bid does not match that reserve price then the that item will not be sold. Those who place items for auction with a "no reserve" price are those who sell stuff from their home or just want to get rid of something at any price that they can.

Look at the reasoning of this, if you can buy 100 iPod Nanos for $99 each on eBay then why bother to go to a wholesaler? Everyone would just buy wholesale on eBay.

The true fact is the manufacturers control the prices of the electronics so you will not find a legit electronics wholesaler that can offer dirt cheap prices on electronics. Almost all of the wholesalers prices will be about the same.

The same applies with the AF1 shoes. In order to be able to sell authentic AF1 shoes for $25 a pair you would have to buy at least 5 container loads of them at one time at a tremendous cost.

Do not believe that the eBay listed prices are what the products are actually selling for because if the product being sold is new then there will be a reserve price set forth by the seller. If the item is used then there may not be a reserve price because the seller just wants to sell it for whatever they can get.

This is the reason that on our websites I do not place any emphasis on selling these products on eBay. Because most people cannot make a profit unless you buy the goods in large quantities. People that shop eBay are looking for a deal, this means that they expect to pay less for the same item you would buy in the store.

The big powersellers guys that sell on eBay will buy the electronics or Nike shoes in very large bulk quantities then place each item on eBay, or in the eBay store. They have more control over the set prices and the shipping process because the products are shipped direct from that eBay power seller rather than a third-party dropshipper.

All are free to set up an account and to list your products for sale. This is where buyers go to find legit suppliers. When you get your product list together and start accepting Paypal and credit cards then you will get many new buyers because people are tired of sending their money by bank wire and Western Union to those overseas companies.

Keep in mind that eBay's selling environment is similar to that of a yard sale or liquidation warehouse. This is where people can sell all types of merchandise new and used in any condition. Buyers come to eBay looking to get a deal on an item that priced lower than an inline retailer and for products they cannot find in the offline stores.

The best way to sell profitably on eBay is to buy items in light bulk quantities, list your auction and ship directly to your buyers yourself. This keeps your overhead low and your profits higher. Since selling on eBay is becoming more competitive everyday you must be able to buy for less so that you can sell for less. This keeps your buyers attracted to you and generates more repeat sales.

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