How to Conduct an Effective EBay Market Research
Many starting eBay sellers think that selling on eBay is easy – you just have to find products to sell and you can start listing them straight away. However, it can’t be taken so lightly and eBay market research always has to be done prior to making decisions about product sourcing and selling.
Here you’ll find out how to do a simple and quick eBay market research and establish possible markets in which you’re going to compete with other eBay sellers.
So first of all, you have to look at what you personally interested in and what is your personal profile. If you are a merchant type of a person without a particular interest in specific products, you can just browse eBay based on a random topic or something related to your previous attempts to do business. But if you have a hobby or a passion – it’s probably a basis for your eBay business.
Go to eBay and do a search using words that might describe your passion and see what’s selling on eBay under those words. This may sound too simple to be an eBay market research, but you have to understand that there’s no point in buying expensive pieces of software before you don’t get a feel of the whole marketplace.
While doing this simple eBay market research pay attention at the following things – how many listings come up when you do a search, what’s the average price, and what are the sellers having listed these items.
But don’t despair if there are thousands upon thousands products listed on eBay under the keywords you do the search for. First of all – you’ll notice a number of categories appearing on the left hand side of the eBay window. You have to narrow down your eBay market research to each of those categories and look at the products there. Ideally you’re looking for a smaller niche within the whole market where the competition could be not as fierce as in the general eBay market.
While trying to narrow down the general eBay market to a profitable niche, you have to pay attention to sellers selling the corresponding items, too. If the majority of them are obviously poor in terms of marketing and are earning only thanks to sheer volume – it’s a good sign for you. You can even try to compete with PowerSellers if you use nice eBay listing templates and effectively optimize your listing titles and descriptions.
But if following this eBay market research you notice that there’s a big number of professional sellers having superbly designed store fronts – you should then keep on looking for a more specific niche. Where there are big players in the market, there prices will be very competitive and you won’t be able to insure the much needed profit margin.
Robert Kukurs is Project Manager at SpicyAuctionTemplates.com – an online eBayers’ community dedicated to improving listing quality and increasing auction profit margin. Whether you’re an eBay seller selling tens of products weekly or a Powerseller moving products worth thousands of dollars per month – SAT membership will give you the edge over your competitors!
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