Reselling on eBay vs. Reselling on Amazon: A Comparative Study

Whether you’re a seasoned reseller or just starting out, choosing the appropriate platform for reselling your inventory can significantly impact your profitability and business growth. These days there are numerous online platforms where you can sell your products, although, eBay and Amazon are undeniably still the two biggest, dominating the landscape still in 2023. However, they each offer advantages and disadvantages, making the choice between them not so straightforward. In this comparative study, we aim to simplify this decision by providing a comprehensive evaluation of eBay and Amazon across a range of different key criteria.

Seller Fees

Fees are one of the most vital considerations when choosing a platform for your reselling business. Both Amazon and eBay charge sellers a fee, but the structure and amount differ.

On eBay, sellers are typically charged a final value fee calculated as a percentage of the total amount paid by the buyer. The percentage varies depending on the product category but tends to hover around 10-12.35%. This includes shipping and handling, tax, and any other applicable fees. Additionally, eBay allows you to list up to 50 items for free each month, after which an insertion fee applies.

Amazon, conversely, operates on a referral fee system. The percentage ranges from 6% for personal computers to a whopping 45% for Amazon device accessories. There’s also a variable closing fee for media items and a $0.99 fee per item sold if you’re not a professional seller.

Of course, it all depends on what you’re selling but in general, it would appear that you will be paying more fees on Amazon than you would on eBay. That said, however, if you sell large amounts of volume, that insertion fee eBay charges after 50 listings could quickly add up.

Winner: eBay

Platform Accessibility

Ease of use may be another factor to consider when choosing a platform for your reselling venture. Both eBay and Amazon have simplified their platforms to make them as user-friendly as possible in recent years. Here, we will be specifically talking about the listing of products for sale. Listing products for sale can be both time-consuming and boring, especially if you are selling multiple different kinds of products.

eBay provides a step-by-step guide for listing items, making it particularly suitable for beginners. However, it can take time to fill in all the required details such as the shipping details and product description.

Amazon’s listing process meanwhile, can be more complex due to its strict product matching requirement. However, it is relatively easy to navigate once you’ve familiarized yourself with the platform’s rules. The process can also be quicker than on eBay, thanks to the Amazon Seller App

Winner: Amazon

If you’re looking to sell on both Amazon and eBay then you should consider downloading the Juiced app. We allow you to import all your sales, orders, listings, and more into one central hub across multiple platforms like eBay, Amazon, and Shopify. This can save you huge amounts of time and ensure you get the best of both worlds discussed in this article. You can sign up for free by clicking here.

Potential Customer Reach

The size of the customer pool is undoubtedly an important factor when choosing between eBay and Amazon. Here, Amazon’s massive size and global reach outstrip eBay. With hundreds of millions of customers worldwide, Amazon sellers can potentially yield higher sales volumes and maybe even charge higher prices.

That said, eBay’s international marketplace should not be dismissed lightly. Its audience, though smaller than Amazon’s, still provides exposure to a broad spectrum of potential buyers. Additionally, eBay’s auction format, which Amazon does not offer, may attract both buyers and sellers.

Whilst Amazon may have a much greater customer pool, it really all comes down to the type of product you’re selling, as we will discuss in the next point.

Winner: Amazon

Seller Flexibility

This point refers to the versatility of the platform and how that impacts you as a seller. eBay, without a doubt, offers a selling platform that caters to a broad spectrum of items. You can sell almost anything legal on eBay and is probably your go-to platform if you’re reselling the likes of sports cards and collectibles or even used sneakers. Meanwhile, its auction format allows sellers to set a minimum price and let buyers drive the final price up, a strategy that can be of great value for sellers with in-demand or rare items, as previously mentioned. Additionally, eBay lets sellers control their shipping methods and costs, which can be an attractive feature for many resellers.

In contrast, Amazon is more stringent with its seller policies and requirements, limiting the types of items that can be sold, setting shipping fees for products, and maintaining rigorous performance standards for sellers. In general, brand-new items such as electronics and toys are what sell best on Amazon, although they do allow used items to be listed also.

Due to the various restrictions on Amazon, one could argue that seller flexibility is an area where eBay generally has the advantage.

Winner: eBay

Fulfillment Services

When it comes to order fulfillment, Amazon steals the spotlight with its Fulfillment by Amazon (FBA) service. FBA allows sellers to send their products to Amazon’s warehouses, where Amazon takes over the storage, packaging, shipping, and customer service. This hands-off approach can be a significant advantage for those who prefer to focus on sourcing and listing products rather than on the logistical side of the business. You can read our full article on FBA here.

However, it’s worth noting that FBA comes with additional fees which can eat into your profit margins, especially for low-cost items. On the other hand, eBay doesn’t have an equivalent service to FBA, although it does have some features such as the Card Vault. which operate in a somewhat similar way. However, for the most part, sellers handle storage, packing, shipping, and customer service themselves. If you like control then this may not be a problem for you, despite the additional work it takes. Plus, avoiding additional fees can potentially lead to better profit margins, especially if you are dealing in smaller volumes.

Winner: Amazon

Conclusion

In the end, choosing between reselling on eBay vs. Amazon depends largely on your business model, the products you’re selling, and your personal preferences as a seller. Amazon may be the platform of choice for those who prefer a hands-off approach to logistics and have products that align with Amazon’s broad consumer base like electronics. eBay, on the other hand, can be a better fit for those selling collectible items such as sports cards and those who are seeking more control over shipping and keeping fees lower.