Experienced eBay sellers will remember those great days when eBay offered a Featured Listing Upgrade, which basically meant that for £14.99 you could buy your way to the top of eBay’s search results (featured listings worked in a similar way to how they are on Gumtree – you were featured above normal listings if you paid the fee).
Not surprisingly it became hugely popular and demand reached such a high level that eBay had to abandon the idea. Why they didn’t just increase the price to filter out sellers is beyond me – after all that’s basic economics…
Anyway, fast forward to 2016 and it seems that eBay are trying out a new form of paid listing upgrade, called Promoted Listings.
Once again they seem to be borrowing heavily from Amazon and their Sponsored Products, which is an extremely common theme recently, with product reviews and product identifiers, particularly since eBay’s split from PayPal.
But unlike Amazon’s system, which utilises cost per click pricing akin to Google’s AdWords program, the fee for eBay’s promoted listings is based on the value of the item for sale and you only pay once it’s sold.
In some ways this commission model might be more suitable for some sellers, though on first impressions I prefer the tried and trusted pay per click pricing – simple because it’s easier to scale and grow your campaigns. [Read more…]