In 2021, the way of living of most people all around the world changed by 180 degrees. During this period of time, people learned not only to wear a mask and sanitize their hands, but also desist from visiting public places, communicating with other people, traveling, and visiting public places. All these actions triggered the rapid development of e-commerce.
As a result, online marketplaces such as Amazon and eBay became extremely popular. And millions of people rushed to set up their online businesses. But have you ever asked yourself which online marketplace is better for your online business? If you have not, then keep reading our blog, since today we are going to bring to your attention a comparison guide of these two stores, in order to understand which one is the best for building your eCommerce business.
About Buyers’ Trust
Both of these online markets have been operating on e-commerce for many years and started at almost the same period of time. Amazon dived into this field in 1994 and later, in 1995, eBay joined the ranks of eCommerce marketplaces.
Nevertheless, if we talk about customer trust, then Amazon is an undisputed leader since it is a general rule of thumb that customers’ satisfaction will always be in the first place for Amazon. It is the exact reason why Amazon becomes so strict when it comes to violating its policies. Therefore, you have to be extra careful in order to run your business in compliance with all of its policies, otherwise, you risk receiving a big fat Amazon suspension and find your Amazon account suspended for a certain reason.
This is exactly why nearly 80% of U.S buyers prefer to buy stuff from Amazon.
When you run your business on eBay, you are provided only with one fulfilment method which means that you are responsible for the entire process of packaging and fulfilling orders by yourself. At the same time, Amazon provides its sellers with two types of fulfilment methods:
- Fulfilment by Amazon ( FBA)
- Fulfilment by Merchant (FBM)
It is wise to mention that more than 90% of Amazon sellers prefer to run their business under the FBA method since in this case, Amazon takes care of lots of vital processes such as storing, packaging and shipping. Moreover, with the FBA method, you can be 100% sure that your customers will get nothing but high-quality customer service.
Price and Quality
Of course, if you are going to sell regular stuff, both platforms are considered to be perfect places for selling your goods. But, if you intend to sell used products, then, you should definitely go to eBay. This platform allows its sellers to sell both new and used products at the same time. However, on eBay, you have limited access to your products’ prices, whereas, on Amazon, you are the only person who sets the final price on products.
eBay provides its users with lower fees; however, there are several tricky points that you have to consider first. As an eBay seller, you have to pay inspection fees and the final value fees. Payment processing fees, and optional listing upgrade fees also exist on the platform.
On the other hand, Amazon comes up with completely different rules regarding fees. First of all, the amount of fee can vary depending on the product that you are going to sell. If you decide to choose the FBA as your fulfilment method, it means that you have to pay Amazon FBA fees for storing your goods in its warehouses. Additionally, you are required to pay individual per item fees, and refund administration fees.
We have brought to your attention the main concepts regarding both Amazon and eBay which can help you choose the best platform for your online business. So, it is up to you whether you decide to sell on Amazon or eBay. But, if you choose Amazon for your business try to make sure that you work solely with authorized suppliers who can provide you with high-quality products. In this case, you can be sure that you protect your business from receiving Amazon suspension.