eBay Price Wars

Question from one of our subscribers:

One of my top sellers has takin a dip in sales for a few months now.
Ive always been the cheapest but not so long ago some idiot under cut my price by quite a lot when considering profit margin,
I left it a while then decided if you cant beat them join them, so i also reduced my price, sales did then pick up and i thought as time goes on we will all raise our prices again so we can all make some decent profit again.

Then this week sales plummeted again, so i investigated again and the same seller and two others have reduced again, Now i know i get a real great price from my supplier and still make ok profit but i feel now the once best seller could soon be classed as a cheap item as everyone is selling too cheap and the item is an affordable piece of kit without these ridiculous

At first i thought i wont entertain this price wars but due to lack of sales i have now bounced back with a further reduction myself, So no problem to me but i feel that sellers who start this price wars could put others out of business, Not me as i have a great customer base now,

But does anyone else share my concern with idiot sellers taking the p*** with price wars.



If the price is right, (value for money), and you decided to stick to it, you would lose customers who are all after finding the cheapest deal possible. I personally think I would not go that way. Instead, you may offer something free or a replacement part – anything that would make you “better” than your other competitors.

Hope this helps! 🙂


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