eBay Is At It - CNBC Article (They're 'Bout to Cut FEES in the Next Week)

In business, when you cut your prices, you hope to make up the loss in profit margin by an increase of volume. I am sure eBay hopes for a surge in listings which will increase the sales made.

I don't see how that is going to help affiliate commissions very much. My BANS stores and other affiliate ads are already filled with listings and items. This price cut will not create more traffic to my niche sites because my visitors are mainly looking for my niche content, not eBay bargains. Of course, while they are visiting my sites, I certainly want them to notice the eBay offerings...

Net impact to affiliate revenue from final value commissions? We will make less money. Still, I am willing to be proven wrong.

Does anyone see how this change will create more sales for their niche sites?

 

Certainly Ebay's fees reduction won't create more affiliate sales. You'll just make less commission money.

 

^^ I beg to differ... if eBay lowers their fees to insert an item, then people will be in the state of mind of getting some kind of savings. So in short, if people find it more affordable to sell on eBay, then more people will join.

 

ACRU is a form of commission, yes. What I mean is that the % commission on sales (from not new signups) on eBay are extremely low. Hell most of the ones I get are under $1. Although I have had a few large ones (my highest so far was $31) but overall I make much more money from the new sign up commissions (ACRU) and my point was that as long as the ACRU payouts stay the same I'm not that concerned about the normal commissions going a bit lower as they are already plenty low anyway.

 

^^ Right... well it all depends on how much eBay gets out of it themselves. So you would want to promote items that have higher bids on them because that'll cut eBay a higher proportion of the funds. So yeah, but IDK whether or not you get paid the % commission if they are already a member. Maybe someone can clear this up (if somebody is already a member and clicks on an item on a BANS site and makes a winning bid, you get that cut.) Or is it just for new members who signup through your BANS...?

 

If someone is already an eBay member and clicks through to eBay through your site you get credit for every winning bid they make within the next 7 days (as long as they don't click on another affiliate's link in the mean time.) This includes bids on products that have nothing to do with your store.

In my experience only about 10% of the winning bids I get are from new eBay members (those are the ACRUs.) The other 90% are people who are already eBay members who I get just the sale % from.

 

^^ I guess you learn something new everyday... I didn't know that

 

ebay it's a "monster" and it will stay for many long good years
Affiliates are a very important part of ebay strategy, and in big volume it'll continue to be a very good business.
Of course it's not with 1,2...10 sites that someone will be "rich" with ebay, but we must remember, there're affiliates winning millions of dollars every year.