One obvious part of the eBay process is getting the goods sold to the buyer. There are a huge number of ways to do this, but if a seller plans ahead they can save money and increase sales at the same time.
Selling on eBay with Postage
eBay users are for the most part well past the point where they only look at the basic cost of an item when deciding to buy it or not. They will look at the postage and sale price as one whole number, so the eBay postage costs are very much a part how a seller sells their items.
Some eBayers used to sell items at a relatively cheap price and then have high postage costs. The attraction is obvious in some respects; the cost of the post on eBay doesn’t vary with the success of the auction, so if the seller covers what he or she wants to make with the postage any auction price is bonus on top. However, this rarely works to their advantage.
Firstly the high postage cost reduces the number of people who will even look at a seller’s items, as it is visible next to the auction price in the listing. No matter how good a description is, if people don’t click on it they won’t bid.
Secondly, psychologically people dislike and distrust high postage costs. Unless there’s a good reason for the cost (weight, fragility, etc) buyers will see that sellers are tying to make money on the postage and distrust the seller, making them less likely to bid on items. In a marketplace fundamentally run on trust and a little faith in the sellers by buyers, creating distrust in buyers straight off the bat doesn’t increase profits.
Free eBay Post
One option is always free eBay post. Setting the postage at 0 will not only make buyers more amenable to bidding higher (as there are no semi-hidden costs on top of their bids) but also increase the number of bidders. As people are less likely to trust high eBay post costs, they are much more likely to trust low costs, especially if it’s an item that would normally cost postage elsewhere.
Free eBay postage is best on small or medium-sized items, as any postage will slightly reduce profit (a seller will have to pay out to post items that will come out of the auction’s profits). However more often than not the end profit for the item is higher thanks to the free eBay postage than it would be with the postage charged to the buyer.