Why 95% of All eBay Sellers Fail

eBay is now the 8th most visited site on the internet and it has just one purpose - sales. With 40 million visitors per month most eBay sellers are missing a golden opportunity. They are missing the opportunity to cultivate long term clients.

It is a proven fact in marketing that you will continue to buy over and over again from people and companies that you know, like and trust. Yet 95% of all internet marketers fail when it comes to eBay. Most are looking for the fast buck. They have completely miss the opportunity to use eBay as a lead generation tool. They miss the opportunity to create a list of people that will be willing to consume your products over and over again.

Lead generation on eBay can be accomplished in several ways. The most popular way is by using the self liquidating ad. A self liquidating ad is one that pays for itself. In other words your customer directly pays your advertising costs. They purchase from you, some form of advertising.

Let me give you an example of a self liquidating advertisement. Recently I saw in a magazine an ad for a pair of sunglasses. The ad claimed that the sunglasses were free you just had to pay the shipping and handling costs. My guess is that the advertiser probably wasn't making much if any money on the sunglasses. But they also weren't losing any money. The shipping and handling most likely covered their actual costs. What they really wanted was something far more valuable ? your contact information and your "permission" to market to you. In other words they are looking for qualified prospects - prospects that are interested in the products and services they are selling.

Once a company has your contact information and "permission" to market to you, they will begin to establish a relationship. They will do this in a variety of ways including sending you ads for other product and services you may be interested in. Over time most customers will be worth many times more than their initial purchase.

Since eBay is purely commerce site it is a perfect place to do a self liquidating ad. Let's look at an extreme example. Let's pretend that you own a car dealership that only sells high end cars. We will assume that your average car sells for $65,000. One way you could use a lead generation self liquidating ad would be by "selling" a special report. For example you could sell a report on eBay entitled "18 Ways to Drive the Car of Your Dreams for Less Than the Cost of a Yugo".

Do you think a report like that would get some attention? You bet it would. The report is really nothing more than an advertisement for you. Of course you would have to write a report that had real content and offered up ways for the consumer to really do as the title suggests. A report like this however, would cost you literally nothing to produce ? except your time ? and there would be no overhead, no inventory, and no headaches.

Since this report would be nearly all profit you could set a low "Buy It Now" price ($4.97) to attract a huge number of prospects. The revenue generated would easily offset the eBay's seller fees.

In the report you could suggest several real ways for people to drive a luxury car for little money. You could also list in the report a resource for them to research. The resource you suggest would of course be your car dealership.

The report did not cost you anything to produce or sell and it fully paid for itself with each person that ordered. The person buying the report is more likely interested in what you have to offer and are therefore partially qualified. Anybody that contacts you after reading the report is a fully qualified prospect and should be marketed to aggressively.

Once you have their name and contact information you could send them a weekly "hot sheet" of cars that you are trying to sell. Once they purchase you could then sell them accessories and branded clothing. If they were close to your shop you could sell them on servicing. And the list goes on and on.

If you study eBay there very few people using it as a lead generation tool. Yet lead generation and specifically self-liquidating advertising is a proven winner. Almost every type of business can benefit from lead generation advertising. If done correctly lead generation advertising can actually become another source of revenue for your company. Special reports are one excellent low cost lead generation tool that you can use. Look at eBay as more than just a fast buck. Look to eBay as a way to create long term clients. eBay if worked properly can be your best source of fresh leads and can really explode your sales.

Todd Reese is an information marketer, eBay seller consultant, and author of http://www.AutoDigitalDelivery.com. His specialty is turning struggling eBayers into Power Sellers.

In The News:

Sezzle auction tests $5.30 price: book message  The Australian Financial Review

How to Sell Your Crafts on eBay

Artists, craftspeople and photographers are successfully selling their wares everyday... Read More

Be Realistic When Selling on eBay

As some of you know, I spent many years buying... Read More

8 Collectible Dolls That Sell Well on eBay

From the beginning, eBay's primary growth came from the collectibles... Read More

Profitable Paper Piecing on eBay--Part 1

Why sell paper piecings on eBay?eBay is a great way... Read More

Authentic or Fake?

1. Admit It: Old business models are no longer working.... Read More

City Police Auctions of Personal Property and Autos

About City Police Departments AuctionsThe City Police Departments handle and... Read More

Better Than Sliced Bread? Drop Shipping, The New Home Business Craze

Many of you will probably remember the days when the... Read More

To eBay or NOT to eBay

FACT: eBay's Gross Merchandise Sales (GMS) 2003 - GMS, the... Read More

3 Unusual Formats For Auctions on EBay

eBay users are accustomed to only two "standard" formats for... Read More

How To Sell On Ebay: The Money Is In The Back-End

Many people who sell on Ebay completely neglect the follow-up... Read More

Effective Auction Listings - How To Create Them

Once you've created the best possible title for your item,... Read More

Mistakes to Avoid in your eBay Auctions

Online auctions continue to grow in popularity as an easy... Read More

Real Estate Auction Action - Buying A Home At Auction

Due in part to the popularity of the U. S.... Read More

Mail Order: The Original Internet Still Going Strong

While the world continues to go catatonic over the Internet... Read More

Auctions Make Money!

An untapped online business resource--outside of your basic Yahoo and... Read More

Dont Sell Grandmas Jewelry at a Yard Sale...Get More Money

Have some vintage jewelry? There are several ways you can... Read More

7 Simple Steps To Profit Without Your Own Product

Most people do not succeed on the internet because they... Read More

eBay Listing Service : Make Managing Your Auctions Easy

Do you want to have a lot of auctions going... Read More

How To Sell Internationally On eBay Without Risk

Many people just getting started on eBay have reservations when... Read More

Dropshipping on eBay, Does It Work?

eBay offers any business owner a new global market to... Read More

Five Ways To Detect Shill Bidders On eBay So That You Dont Pay Absurd Prices

There is as a lot of buzz about shill bidders... Read More

eBay - Profiting With Books By Janette Oke

Janette Oke is a Christian writer whose books about life,... Read More

The Secret Of The Ebay Money Machine And How To Get Your Share

If you have all the money you need, then this... Read More

How to Double or Even Triple Your Net Profit Selling on eBay

eBay Search tips and secretsThis is an example of how... Read More

Dropship Your Way To Ebusiness Success

Q: I would like to start my own eBay business,... Read More