Amazon vs. eBay Which One is Better?

    Online marketplaces are growing in popularity year after year with many businesses choosing to sell their products on their platforms. It is estimated that the number of online shoppers on Amazon and eBay is set to double by 2020 making them two of the most favorite stores in the US. Nevertheless, it is crucial for sellers to understand how the platforms work so that they can choose the best one for their products.

    Top differences between Amazon and eBay

    Although the focus of both Amazon and eBay is to offer excellent services and products to buyers shopping online, some things stand out between the two. Below are the major variances between the two online marketplaces.


    • Selling on Amazon vs.  Selling on eBay


    Amazon is a well-known online shopping brand that is known for fast delivery and excellent customer support to both sellers and buyers. The site has managed to attract small and big sellers making it a magnet for big brands as well. Additionally, some sellers choose to display their products strictly on Amazon because of its high ranking and ability to attract top-caliber buyers.

    On the other hand, eBay has sellers from across the board and does not have a specific buyer that they target. Most sellers are trying to get rid of items they no longer use which has earned the site a reputation of being a yard sale. Buyers also consider it a great place to find second-hand items at low prices, which may work against sellers looking for higher rates for their products.  


    • Products on Amazon vs. Products on eBay


    Both platforms have a wide array of products that are available for sale to online shoppers. However, each online market has products that they are best known for by buyers online. To browse through the products sold on Amazon or eBay, consider visiting and read reviews on each of them.

    Although Amazon has a catalog with over five hundred million products in different categories, there are some categories in the marketplace that have become quite popular with buyers. Some of them are publishing, consumer electronics, kitchenware, books, household items, sports as well as outdoors accessories.

    On eBay, the product listing uploaded by active members is well over one billion. Some of the popular products bought on the site include collectibles, electronics, fashion, and video games.


    • Customers on Amazon vs. Consumers on eBay


    The customers that shop on Amazon and eBay are unique because of their product preferences and their need to find their favorite item at a good price.

    Amazon customers are considered to be generally well-off and educated when compared to average US citizens. They are also younger with a majority of the shoppers on the site being below forty-five years old. Shoppers on the site earn over fifty thousand dollars and more making the site a great place for selling high-end products. Apart from earning more, they also spend more with many of them taking up prime membership on the site.

    eBay customers that are active on the online marketplace are over one fifty million with a majority of them being over forty-five years old. The customers earn an average income making the site idea for medium class people looking for deals. Majority of the buyers that visit the site expect the cost of items to be lower than those on Amazon. However, some high-income earners still visit the site especially when they are looking for unique and vintage items.


    • Prices on Amazon vs. Prices on eBay


    Selling on both Amazon and eBay attracts charges based on a variety of factors that have been outlined by the online marketplaces. These fees are likely to be incorporated into the final cost of the product being sold.

    Amazon categorizes sellers as individual and professional sellers with the former paying a much higher cost to display on the website. Individual sellers are expected to cater for referral fees, closing fees, and the fee for the item being sold. Professional sellers are expected to cover subscription fees, referral fees, closing fees, and shipping fees. Since Amazon is a bigger online marketplace, the cost is much higher, but the rewards are worth the investment in the long run.

    eBay is set up with individual sellers in mind and often charge two primary fees, namely, final value and listing fee. Other additional costs that the online marketplace requires sellers to pay are listing upgrades and category fees for selected categories. eBay is a great place for new sellers to experience e-commerce selling without having to spend too much at first.


    • Safety on Amazon vs. Safety on eBay


    Both eBay and Amazon accept payments by debit or credit card and PayPal depending on the seller’s preference. These payment options protect buyers so that they do not lose money through unscrupulous sellers. It is also important for buyers to avoid sharing personal information that makes them susceptible to identity theft.

    On Amazon, buyers are allowed to make payment for products using credit cards and debit cards from major credit card companies. The website also accepts payments transferred from an Amazon Pay account, which is a product of the company. Pay on delivery is also available on Amazon but this is only available for selected items and categories specified by the online marketplace.

    On eBay, buyers can pay for their goods using credit cards and PayPal which are accepted payment methods worldwide. It is advisable to pay through PayPal when the enhanced protection logo is displayed to reduce chances of your information being intercepted online. Nevertheless, credit cards are the safest way to make payment on the e-commerce website.  

    Ultimately, consumers have the last word when it comes to deciding on whether Amazon or eBay is the best choice for them. Both marketplaces have their advantages and disadvantages for sellers and buyers seeking to engage with the sites. No matter your preference, it is advisable always to choose an e-commerce site that is safe, offers quality products at a price you can afford.


    • Tom La Vecchia

      Founder of New Theory & X Factor Media

      Founder and Publisher of New Theory Magazine and Podcast. Serial Entrepreneur who loves wine, cigars and anything that allows to people to connect and share experiences.

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