Which platform is best for you to start selling on? eBay vs Amazon is two of the most popular online marketplaces in the world. This comparison guide will provide an overview of both platforms, including the pros and cons of selling on each and how to optimize your listings and maximize your profits.
We’ll discuss Fulfillment by Amazon (FBA) and fees associated with selling on each platform. Additionally, we’ll look at how Amazon may be better suited for certain products than eBay and what eBay sellers can do to increase their chances of success.
With this information, you can decide which platform is right for you and start selling confidently!
- 1 Selling On Amazon vs eBay in 2023: Which is Better?
- 2 What’s The Difference Between eBay and Amazon?
- 2.1 Amazon vs eBay – Competitive-Driven Marketplace
- 2.2 Amazon vs eBay – Traffic Statistics
- 2.3 Amazon vs eBay – Easy to Use
- 2.4 Amazon VS eBay – Which Marketplace Charges More Fee?
- 2.5 Amazon vs eBay – Product Promotions
- 2.6 Amazon vs. eBay – Payment Methods
- 2.7 Amazon vs. eBay – Customer Support
- 2.8 Amazon vs. eBay: Advertisement Fee
- 3 Which Platform Should You Choose, Amazon Or eBay, For Online Business?
- 4 Pros And Cons Of Selling On eBay & Amazon
- 5 Which Has Less Seller Competition: eBay Or Amazon?
- 6 Who is bigger, eBay Or Amazon?
- 7 Which Is Easier To Manage: eBay Or Amazon?
- 8 Who Should Be Selling On Amazon?
- 9 Who Should Be Selling On eBay?
Selling On Amazon vs eBay in 2023: Which is Better?
Amazon is the biggest eCommerce marketplace where users can shop online and sellers can sell their products. The platform has global fame, over 200 million active prime members, and more than 18 global marketplaces in more than 200 countries.
Now, it is crossing more than 300 million customers worldwide. The community is unstoppable and expanding worldwide. For example, Amazon recently opened the FBA program that allows sellers to join the platform and sell their products directly from Amazon.
The platform has vast exposure, so if you want to start an online business, there’s nothing better than selling the right products and becoming a part of Amazon.
On the other hand, eBay is also one of the best eCommerce platforms that allow sellers to sell their products and generate good income. In terms of active buyers, eBay is no less than Amazon.
In the second quarter of the financial year 2021, it had more than 159 million active buyers. Though it is comparatively less than Amazon, it still has massive popularity amongst the audience. Also, the quarterly year 2021 net revenues of this platform are more than $ 2.67 billion.
Like Amazon, it also has vast exposure to customers and supports sellers. The platform is excellent for new sellers who want to work with the least investment.
What’s The Difference Between eBay and Amazon?
Let’s look at the key differences between Amazon and eBay. The foremost thing is that eBay only supports third-party sellers and doesn’t sell its products. But Amazon supports not only third-party sellers but also private label sellers too.
Aside from this, it also has a range of products sold under Amazon essentials. Other key comparison points are as follows:
Amazon vs eBay – Competitive-Driven Marketplace
Amazon is the biggest eCommerce marketplace where it sells its brand; even third-party sellers also sell their products. So, being the biggest marketplace, it currently faces massive competition.
On the other hand, eBay only supports third-party sellers and doesn’t have their brands to sell. So, it is comparatively less competitive than Amazon.
However, some sellers sell a high volume of products at low prices to attract buyers on eBay. But here at Amazon, the sellers get a competitive advantage which is why the success rate is high compared to eBay.
At the same time, if Amazon lets down its product in the marketplace and competes with the sellers, then the competition becomes worse for the sellers.
Amazon vs eBay – Traffic Statistics
As discussed above, Amazon receives, on average, 2.7 billion visitors in a month; there will be more traffic than on eBay. But that doesn’t mean eBay is not a good choice. On the contrary, eBay serves in more than 190 countries and has an excellent audience.
Amazon receives traffic from multiple platforms, such as Facebook, Google Search, etc. For example, 27.53% of the traffic on Amazon comes from Google searches. And 58.26% of the traffic comes from direct searches. So, Amazon has constant traffic as compared to eBay.
eBay also hit a record of traffic this year; today’s search traffic gained by this platform is around 21.2 million, and from the backlinks is 442.9 million. This means eBay, too, receives the maximum traffic throughout the year.
However, Amazon still has better traffic which improves the odds of winning maximum attention, further benefiting you in improving sales.
Amazon vs eBay – Easy to Use
When choosing the best platform to sell your products, ease is the first thing we all look for. eBay is the less complicated and quick sign-up procedure. The sellers can easily sell their products by creating a product list. The payment and selling procedure is smooth.
Within a couple of minutes, you are ready to sell your products. The best part is that the eBay buyer’s money will be routed directly to your PayPal account, which you can easily withdraw.
On the other hand, Amazon is comparatively complicated and has a long sign-up process. But the selling process is easier; once you set up your account, you can create your list and sell your products on Amazon.
It is straightforward. Unlike eBay, where your money is directly sent to your PayPal account, Amazon takes time to make payments. Usually, it holds the payment for 14 days before it initiates the transaction directly into your bank account.
Fashion, accessories, electronic gadgets, appliances, and other items are popular selling on Amazon. But eBay gives you a competitive advantage and allows you to sell used products and unusual items at cheaper rates. As a result, sellers on eBay may offer cheap deals but sell products in high volume, balancing their profitable outcomes.
Another significant difference is that Amazon has an advertisement advantage and takes all the load of packaging, storing shipping, and other things. So though they charge inventory management fees, running a smooth business on amazon would be worth it.
Amazon VS eBay – Which Marketplace Charges More Fee?
The fee plan of Amazon for the sellers is straightforward. Amazon allows individual and professional sellers to join the Amazon FBA program and earn more. The two plans are as follows:
- Individual Plan: The plan is for beginner sellers who want to start with less income. The sellers can’t sell more than 40 products and only pay $0.99 monthly for the item sold. The individual seller plan is easy and good for beginners.
- Professional Plan: The professional plan is right for you if you have more products to sell. The plan is available for $39.99/month and may charge another selling fee. The commission may vary. On the other hand, eBay also offers a fee, but the fee structure is more complex than Amazon. It covers multiple charges, which are as follows:
- It includes the insertion fee for each product list which may lower the revenues. The insertion fee will be $0.35 for each listing. Every month you get 250 free listings, but if you want to add more, you must pay the insertion fee for each list you add.
- It also charges the Final Value Fee. The fee will be applied to the item you sell through eBay. The Final Value Fee will be based on the product category. However, it charges 12.55% for most categories if you have a sale above $7500.
Amazon vs eBay – Product Promotions
Product promotions are crucial when taking a stand in this competitive marketplace. Moreover, it also gives you a boost to get more sales. Amazon again hit the top regarding product promotions because it timely organizes lightning deals.
This will help the sellers set the discount rates for the products to sell top products. Therefore, lightning deals help facilitate sales and catch customers’ attention frequently. Moreover, you can also offer a discount coupon code to promote sales.
eBay still lags in promotions, and you must rely on paid promotions to catch visitors’ attention. Unfortunately, promoting the product on eBay is not as easy as we think. This is why Amazon again wins here.
However, eBay recently launched in-site advertising that helps sellers get better customers. This helps the sellers to promote their products. But still, Amazon product promotion is better.
Amazon vs. eBay – Payment Methods
Amazon sellers can access Amazon Payments to make and accept payments. It is simple, and Amazon deposits the payment directly into the seller’s bank account, excluding the fee. The payment will be made twice a month.
Also, they accept credit card risk. Another benefit of becoming an Amazon seller is that it tracks the payment, invoices, and more.
On the other hand, eBay only accepts and makes payments through PayPal. Additionally, they accept payments through credit cards. However, the eBay payment system requires more time to manage and may cost you extra to manage the payments.
Amazon vs. eBay – Customer Support
If you opt for Amazon FBA as your eCommerce platform, it would take entire responsibility for customer services and remain answerable to the customers even on your behalf. Whether it is a return request, refund, or inquiry, Amazon always remains responsive.
eBay also offers an excellent customer support system and gives you access to the dashboard to monitor and improve customer services. Aside from this, it also works diligently to ensure buyers do not violate eBay’s policies and other practices.
Amazon vs. eBay: Advertisement Fee
Amazon-sponsored product is a program that helps your product show at the top of the search result for a particular keyword. You can easily highlight the targeted keyword you want to rank, or Amazon can do it automatically. So Amazon-sponsored product is the advanced service with many apps and extra tools that help you to control your marketing campaigns.
eBay offers you promoted listings that increase the product’s visibility on search results. For example, you can bid the amount that should be paid on top of the final fee, which is usually 5 – 10%, and your product will boost with a product of other sellers.
Which Platform Should You Choose, Amazon Or eBay, For Online Business?
If you see the overall comparison, Amazon catches all the limelight, but the answer needs to be clarified because it depends on numerous factors.
- Choose Amazon if you want to pull more traffic and achieve better income. On the other hand, eBay is an excellent choice if you want to sell unique products.
- If you have a limited budget, Amazon’s selling plan would be great for profitable outcomes. But if you want to earn more profit by selling high volume at cheaper rates, eBay is a great platform.
- For profitable business, eBay gets the thumbs up because it offers better sales volume and traffic and earns more profit by selling more products.
- Choose Amazon to leverage a vast marketplace and have higher income goals. Amazon has more traffic, and eBay still needs to catch up in traffic pulling.
- Amazon allows you to promote your products through the lightning deal and gives you an Amazon Seo advantage that helps rank your products on top of Amazon’s search engine page and lets you win maximum traffic. Unfortunately, eBay still depends on paid marketing to fetch results.
- Amazon offers actual conversion rates as compared to eBay.
- Amazon also sells its products, so sellers have to compete with Amazon to rank their products and achieve more sales. But on the other hand, eBay doesn’t sell their products, so you get fair competition only from the third-party sellers and have a better opportunity to get sales.
Pros And Cons Of Selling On eBay & Amazon
Let’s read about the pros and cons of joining as a seller on Amazon.
Amazon – Pros & Cons:
- Higher conversion rates and maximum profit margin.
- Low seller’s fee and easy to use.
- Amazon gives access to various seller tools such as feedback systems, Amazon Seo, and many others. In addition, the tools help in diverting more traffic.
- Substantial customer reach and robust customer support.
- Trustworthy reviews by the customers help you earn more buyers.
- Amazon sells its products which gives tough competition to the seller’s products.
- Slow list adding.
eBay – Pros & Cons:
- Excellent traffic and easy to access.
- eBay supports the selling of used and unusual products too. So, sellers have a better opportunity to sell their products at cheaper rates and sales maximum volume to make a profit.
- Strong customer support system and provide strict policy to protect the sellers from malicious activities.
- Highest conversion rates.
- Support only PayPal account payment mode
- Only support third-party sellers.
Which Has Less Seller Competition: eBay Or Amazon?
When deciding between eBay and Amazon regarding seller competition, it depends on the product you are selling. Generally, Amazon has a much larger selection of products than eBay, so there is usually more competition on Amazon when selling similar items.
However, eBay still offers a great platform for sellers looking to get their products into the market. So, for example, if you specialize in a niche item or have unique products that can’t be found elsewhere, eBay may be the best option, as there will likely be less competition.
Additionally, if you are selling used items or collectables, eBay could be a great choice due to its vast number of buyers and fewer competitors. Ultimately, the answer to which platform has less seller competition depends on the product type you are trying to sell and its uniqueness.
Who is bigger, eBay Or Amazon?
There is no clear winner when comparing eBay and Amazon; eBay was founded in 1995 as an online auction website, while Amazon was founded in 1994 as an online bookseller.
Both companies have since grown into retail giants, offering various products and services. For example, when comparing market capitalization, Amazon is the clear winner with a market cap of over $1 trillion compared to eBay’s $40 billion.
However, regarding user numbers, eBay has more active buyers than Amazon, with 182 million compared to Amazon’s 150 million.
Additionally, eBay has a larger total merchandise volume than Amazon, with $84 billion compared to Amazon’s $80 billion. Ultimately, both companies are incredibly successful, and it is difficult to say which one is bigger than the other.
Which Is Easier To Manage: eBay Or Amazon?
Deciding which is easier to manage between eBay and Amazon can be challenging, as both offer unique advantages. However, eBay may be a better option for those just starting when selling items on either platform. With eBay, it’s much easier to set up an account and list items for sale.
The fees associated with selling on the platform are also lower than on Amazon. Additionally, eBay’s user interface is much simpler and more intuitive than Amazon’s, making browsing and searching for products easier.
On the other hand, Amazon offers more options in terms of pricing and marketing strategies, allowing sellers to reach a larger audience. Ultimately, deciding which is easier to manage will depend on each seller’s needs and preferences.
Who Should Be Selling On Amazon?
Anyone looking to increase their sales and reach a wider audience should consider selling on Amazon. With over 300 million active customers, Amazon offers sellers access to a huge potential customer base.
Additionally, Amazon’s convenient payment system makes it easy for buyers to purchase items quickly and securely. Small businesses, entrepreneurs, and individuals can all benefit from selling on Amazon by tapping into this vast market and reaching customers who may not have found them otherwise.
Moreover, Amazon’s competitive prices make it attractive for shoppers seeking great deals. For those looking to expand their business or start one from scratch, selling on Amazon is an excellent way.
Who Should Be Selling On eBay?
eBay is a great platform for anyone who wants to start their own business, regardless of experience or expertise. eBay allows sellers to reach a global audience and make money from the comfort of their own homes.
Whether you are a professional seller looking to expand your business or a novice seller just getting started, there are benefits to selling on eBay. Experienced sellers can benefit from the convenience of online selling and the ability to reach more customers than in a physical store.
Novice sellers may find it easier to get started with eBay than other retail platforms because of the easy-to-use tools and low cost of entry. With so many advantages, anyone interested in selling products should consider using eBay’s platform.
Overall: Who Wins – eBay Or Amazon?
I hope you enjoy reading about the real debate between Amazon and eBay. Which platform are you going to choose, eBay or Amazon? With this long debate, it is clear that eBay is good for beginner sellers who want to sell products at cheap rates but want to make maximum profit.
However, Amazon FBA is the best place for long-term benefits as it supports both beginner and professional sellers. Moreover, it offers various features and tools that help rank your products, provides lightning deals, and allows you to earn more profit.
But the battle continues; statistics keep improving, and you never know who will secure the top position in the coming year. So, it’s all about which platform to choose to sell your products.
Frequently Asked Questions:
Amazon has a bigger consumer reach as compared to eBay. Recent stats show that the average traffic on Amazon is 2.7 billion, whereas eBay still lags. Moreover, Amazon still has more loyal traffic than eBay.
No, eBay does not sell its products; instead, it only supports third-party sellers who want to sell their products on an online eCommerce platform.
Amazon only charges $0.99 per item sold by the sellers. The individual seller’s plan is good for beginner sellers who want to sell less than 40 products. The sellers can easily start their work without investing.
The profit margin depends on how much margin you want to take. So, in terms of profit, both platforms are excellent.
Regarding online shopping, both Amazon and eBay offer safe payment methods for their customers. Both sites use secure encryption technology for payments and other measures, such as buyer protection programs.
Whether to buy on Amazon or eBay depends largely on the individual and the item they seek. Amazon is generally more reliable and offers a wide selection of products at competitive prices. However, eBay has many unique items unavailable elsewhere and can offer great deals. Ultimately, both platforms offer plenty of bargains for shoppers, and ultimately comes down to personal preference when deciding where to shop.
“I’m Steev, an experienced eCommerce blogger, and copywriter. With a degree in Marketing and over 5 years of experience in the eCommerce industry, I have a deep understanding of how to connect with online shoppers and drive conversions. I have written for some of the major eCommerce websites and blogs, covering topics such as product reviews, online marketing strategies, and consumer trends.