Or "how", might be the better question...if you do the math: eBay at a minimum pays 50% of the seller's fee. For a $20 item, that's: $20 * 5.25% = $1.05 (seller's fee) * 50% = 52 cents (your commission) Say another advertiser offers 6% on the sale of an item...that's: $20 * 6% = $1.20 (your commission) I'm assuming that this is right and I'm not confused but I still can't see how or why ebay is the top advertiser, the payout sucks! Even if you try this equation out with a $20,000 item, it's still an awful payout.
That's true, but at this point in time, how many people don't have an ebay account? It's just what I've noticed for almost any product I look up. When you sort them out, ebay is almost always on top.
Many people complained when ebay moved to the revshare program. However most found it to be more profitable (yes I was one of the complainers) than the previous model. Yes, if you are promoting small items you will get small commissions. It's the final value fee that is important. If you target items that the seller likes to spend money on the auction listing such as making it featured, bolding, and where the item will have a final value fee worth a decent amount then you will find you can make thousands very quickly. It's not hard to find MANY categories on ebay that have higher priced items. It's also easy to figure out how much you will get paid by using an ebay fee calculator and taking 50% of that total. Keep in mind just because an auction may start at $.01 or a low starting bid doesn't mean that is what it will go for in the end. It's that ending value that is important to estimate. Of course if they have a BIN then it's even easier or if it's a store item.
$25 for every new user ?? Does the user have to buy something ? I guess it's not just "new use" right ? Thanks.