Published on April 10th, 2014 | by admin
Are You Using eBay To Its Full Potential?
eBay is without doubt one of the most successful e-commerce portals to grace the web. More than 150,000 people in the UK alone use the site as a form of income and that number is growing. In fact setting up an eBay store is one of the easiest ways to start a business enabling both existing and budding entrepreneurs to maximise their income streams.
Setting up a business account with eBay requires the creation of a business account and to open an eBay shop. A PayPal account is the preferred payment system which requires at least 10 positive feedback reviews. Alternatively, without a PayPal account, a minimum feedback score of five is required to complete registration.
In essence the eBay online shop allows users to create a ‘storefront’ which can then be customised. One of the key differences between a normal consumer eBay account and a business registered on the website is that the latter can list items for much longer.
One of the fundamental elements to consider before selling products on eBay as a business is to identify one or more suppliers who will provide products to populate the ‘storefront’ on a wholesale basis. Creating an eBay shop is exactly the same as starting a business offline which means it is essential to register as self-employed with HMRC from the outset.
It is also imperative to have a business plan in place and an idea of the likely turnover. This is because any business that makes more than £68,000 per annum must register for VAT.
There are three levels of subscription fees to consider when deciding to set up an eBay shop:
Basic Shop: £19.99 per month. This option is suitable for sellers who are just embarking on their business venture and require an affordable, easy-to-use platform to sell online.
Featured Shop: £59.99 per month. This is a more comprehensive package for small-to-medium sized sellers with ambitious plans to see their business flourish online.
Anchor Shop: £349.99 per month. This is the premium eBay shop package for high-volume sellers who already have established businesses who want to maximise their exposure.
Whichever subscription option is chosen, setting up an eBay store enables sellers to use their creativity to craft a selling platform using up to 15 customisable pages.
One of the critical success factors to an eBay shop is attaining as many positive feedback ratings as possible by demonstrating excellent customer service.
Apparently when it comes to shipping, the standard is moving across the industry towards free shipping as buyers often don’t want shipping to be part of their decision making process.
But whether or not you choose to offer customers free shipping or not, it is important to have an ample supply of postal supplies including mailing pouches and mailing boxes to provide an efficient postage and packaging service combined with a clear and transparent returns policy. It also entails replying to customer queries at every stage of the transaction process.
Thankfully the Post Office offers a Drop & Go facility allowing users to quickly and efficiently drop off mail at participating branches. This fast track service enables small business users to focus on processing those all important orders instead.