Why do you use eBay and not other auction websites? Who are eBay's main competitors?

Question

Please help me on my project... i need to know what is eBay's competitive advantage.

Answer 1

I don't think ebay has any MAJOR competitiors.  It all boils down to the number of members and there isn't another auction site that remotely comes close to the number of members ebay has.

Yes, many sellers are complaining about the high cost of ebay and PayPal fees.  Before you jump ship, consider your potential market.  How many members does the new auction site have compared to tens of millions of members at ebay?  You may be saving money on fees or paying no fees at all but any new auction site will have a small fraction of the members that ebay has. You may sell an item for $10 at another auction site with far, fewer members that would likely sell for substantially more at ebay with its much, much greater membership. This is a classic example of “stepping over a dollar to pick up a penny.”  In other words, you paid no fees ‘picking up your penny’ but you stepped over a dollar in selling your item for less than it would have sold for on ebay.

These smaller auction sites are great for buyers for the same reason that they are bad for sellers: fewer bidders = less competition = lower closing prices. These bidders/buyers are smart and have been taking advantage of those sellers who have left ebay.

There isn’t another auction site on the web that can hold a candle to ebay and the millions and millions of members it has. Many have tried and many have failed and yet, many are still trying. Ebay has a virtual lock on this business. This is where you want to sell as ebay has the largest potential market.  A basic business tenet is ‘The greater the potential market, the greater the potential to maximize your profits.’

The last sentence above keeps me selling at eBay.

The competive advantages?

The number of members it has is obviously one.

It is the most well-known auction site.  Ask 100 people to name an auction site and what do you think they will say, Sell-It-here or eBay.?

As it was the 'first kid on the block' with an auction site,' it has established a sronghold that may never be relinquished.

But as it is said, "Nothing is as constant as change." It could happen. I just don't have a crystal ball.

Answer 2

eBay is more commercially well know. I use it, because it makes me feel safer knowing that its a huge company with millions of people using it with little problems. Id be really uncomfortable using a relatively small site (not knowing if it is a scam or not)

To my knowledge its the biggest of its kind meaning im more likely to find what I want. Also, they actually employ people to check the site of fakes and contraband items (weapons alcohol, pornography)

It has strict policies and procedures which help when a problem arises.

As for their competitors heres a complete list of auction sites

http://www.auctionlotwatch.co.uk/auction... UK

http://www.auctionlotwatch.com/usauction... US

Answer 3

Being the biggest site out there, it has the best variety.  Having the most items listed also means the most price competition, so prices, in theory, should be lower than on other auction sites.  I usually try to research a few sites before making a purchase, though.

Answer 4

www.ebid.com is.

The difference? Ebay is expensive, popular and eBid do not charge a penny and are becoming MORE popular than ebay soon.

Ebid have used the same concept as eBay but have done better by not charging.  Who knows... eBid may charge later in future but they have provided free space for sellers to earn not pay out more than they need to to earn.