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eBay vs Amazon FBA (Fulfilled By Amazon) - Comparison

Discussion in 'Ebay' started by BDDazza, Jun 17, 2015.

  1. BDDazza

    BDDazza Newbie

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    Summary:

    Amazon FBA
    1.) FBA Stands for Fulfilled by Amazon its where you send items to Amazon's central local where they can post it. It's typically cheaper to send a huge job lot of items to Amazon than it is to send individual packages to each customer.
    2.) FBA products carries the "Amazon" brand and packaging and thus increases product authority. This will increase conversion, sales and page rank etc.
    3.) FBA products are still subject to returns. So if a customer returns an item, Amazon will debit you the merchant the cost of refunding the buyer.
    4.) FBA is very hands off, because postage, packaging logistics and customer support is dealt with. You can then concentrate on other areas of your business.
    5.) You sacrifice convenience and stress free ecommerce for less profit per sale
    6.) FBA business is easier to scale than traditional Amazon merchant or Ebay merchant as less overheads for hiring staff

    Ebay
    1.) With Ebay you post directly to the customer and therefore postage per item is higher
    2.) Your responsible for the safe arrival of the parcel. It's your responsibility to track the item, chase courier and arrange your own private courier insurance. (unlike FBA)
    3.) You have more control of your pages. Hyper Text Mark Up Language or HTML can be used to customise your pages, you can embed pictures & videos and thus improve sale conversions.
    4.) Ebay can be very stressful and time consuming you are constantly dealing giving technical support to your customers, dealing with SNADs, INR, and chargeback's etc.
    5.) Difficult to scale - staff might be required later
     
    Last edited by a moderator: May 18, 2016