EBay has once again found a new way to boost sales on their site. Whilst constantly trying to improve user experience, eBay is introducing new features into their site all the time. The latest announcement is that from late June, there will be something called “Promoted Listings” that should help generate more exposure for listings and thereby increase sales on the site.
It is somewhat different to other forms of advertising, such as CPM (Cost Per Mille), where you pay when your ad is seen, or CPC (Cost Per Click), when you pay after your ad has been clicked on. Instead, eBay’s Promoted Listings will only charge you if you actually make a sale. This is a big improvement from the previous ad programs used by eBay in which regardless of whether you sold or not sold your item, you would have paid for your ad.
The Promoted Listings works by letting you bid between 1% and 20% of your sale price and is linked to success. Therefore, if your listing isn’t doing well, it won’t be promoted, even if you bid 20% of the sale price! As it stands, this new feature will be restricted to certain buyers only. At the moment, eBay will handpick a few sellers in the UK, Germany, US and Australia and they must be eBay Shops subscribers. This means that the program will not benefit those unreliable sellers who simply want to buy visibility. They are also restricting the feature to listings of fixed priced items with multiple quantities.
It is very much in its testing stage right now, so even aspects like the positioning of listings on a page haven’t been defined yet. eBay will begin by displaying them on the bottom of the search results page, but this may change as it moves forward.
eBay has highlighted a few reasons why users might wish to use the new Promoted Listings feature. Here are some benefits:
- If you have a new line that is coming out, or one that is particularly seasonal, then you may want to put it in Best Match. However, unless you have a Recent Sales score built up in Best Match, therefore Promoted Listings might be your best way to help you boost your listing.
- If you are selling unbranded products, then it is unlikely that buyers will search for your item via the brand name. If you use Promoted Listings, then buyers can find your items when looking for similar products.
At the moment, the management of Promoted Listings will only be on-site as there is no API support. eBay have stated that it is in its development phase and that off-site promotion “could be very well something that we would consider down the line”.
For those familiar with the popular AdCommerce program, which was discontinued to the disappointment of many, there is a strong case for Promoted Listings to become an even better alternative. This means that we might expect to see previous Adcommerce users on the front line for the new eBay feature.