ebay’s move to appeal sneakerheads
The well-known e-commerce site has opted into eradicating their fees for all North American sellers for any sneakers that are priced at least $100.
eBay announced this news on December 17th, 2019 to break away from their 10% fee that adheres to all sales, including sneakers, until now.
This large fee, along with various other motives, was why sneaker sellers avoided selling on the e-commerce platform.
The aforementioned motives that can deter sellers are scammers, who try to purchase items with no intentions of a legitimate transaction.
The other major motive is the plethora of counterfeit products throughout the site sold from both overseas and domestic areas.
Being that eBay is a behemoth of a company, they required data-intensive reasonings for a successful debut.
eBay found there were 6 million sneakers sold on their platform in 2019 and found concrete projections stating that these 6 million sales could reach 6 billion by 2025.
The OG of sneaker reselling credentials still belongs to eBay, and they’re still doing enormous sale numbers when it comes to other various styles and product exchanges between buyers and sellers.
However, eBay’s new move exposes their desire to become top-dog once again in the sneaker market, as all eyes have shifted to Stockx and GOAT in modern times.
As a result, eBay realizes by eradicating their selling fees, in particular for sneakerheads, that money will go into the pockets of the sellers who will reinvest that money for more purchases.
WHY SNEAKERHEADS AVOID EBAY
Before diving into the nightmare stories that are told about in the eBay realm, the largest reason sneakerheads turned to Stockx and GOAT is because, frankly, it’s just too hard to even start on eBay.
Most consumers want a procedure of trust or social proof to give them the confidence to purchase from someone or a company.
For instance, the online selling giant Amazon, has a review system that gives their customers confidence knowing that other people have also purchased the item.
Likewise, one can find eBay sellers with hundreds of reviews to sellers with little to no reviews.
In fact, it can take years to build quality reviews on eBay, thus taking a long time to generate confidence from buyers.
As one would assume, there’s a strong correlation between the amount of reviews with the seller versus the seller’s sales performance.
Furthermore, even an aged account could still suffer in the world of eBay. For example, an eBay seller could have years of excellent reviews, but a minimal mistake could lead to a world of trouble.
Even one negative comment could put make hundreds of buyers uneasy, and as a result, look elsewhere to purchase.
This is why Stockx and GOAT have been taking the sneaker market by storm, as they not only market authenticity front and center before anything else, the seller and buyer are trusting an entity, not just one person.
Because it’s not just sneakers that they sell, it’s limited and rare sneakers that make their way to Stockx and GOAT storage.
Naturally, sneakers like these have a stark difference from a general release shoe like a Nike Flyknit that are sold in million units in stock.
A limited stock means higher demand and higher resale value, and as a result, counterfeits are much more frowned upon—feared even.
This reason alone propels online streetwear resell giants like Stockx above their eBay counterparts.
Sellers can enjoy peace of mind knowing that their products are being authenticated by professionals who will not return the shoes or attempt a fraudulent return.
On the other side of the spectrum, the buyer can sleep at night realizing that their purchases, which can sometimes be as much as their rent bill, are authenticated thoroughly.
These are services absent to the likes of eBay, but for sneaker resellers, the service alone is why Stockx and GOAT is their go-to reselling platform.
EBAY MOVING FORWARD
Now that the marketplace adheres to zero selling fees for its North Americans seller community on any sneakers sold above $100, Stockx and GOAT are put on notice.
Unfortunately, the damage might have already been done to eBay, as a result of their long-time complacency.
In addition to the buying and selling worries, scams, counterfeits, their partnership with PayPal can also cause problems for sellers.
Albeit, PayPal provides a much-needed service, however, Stockx and GOAT have their own payout service.
Moreover, PayPal can sometimes be an obstacle in itself when problems arise.
For instance, if you’re selling goods with PayPal, the funds are not released, for new sellers, until the tracking proves the item has reached its destination.
This means if there are any refunds, you will need to speak with a different entity.
If eBay plays its cards right, they could take over again. In my own opinion, they should create their own authentication center and mimic Stockx and Goat.
Since they already have trusted sellers and buyers, it could benefit them immensely.
Stockx and GOAT may either be trembling in their boots or they’ve come so far that this move by eBay may not phase them—time will tell.
In addition, we have the most profitable shoes of December still worth a read.
If you’re going to sell on eBay, be cautious and stay alert. If it’s too good to be true, it is. More money is more money but sometimes, it’s not worth potential hassle.
Good luck everyone until next time.