Introducing the New eBay "Buyer's Credit" Program.

In an effort to compete with more 'traditional' shops, eBay has started to offer finance agreements though PayPal for expensive items. This means that, if the seller decides to offer it, you can now spread the cost of an item into affordable monthly payments.

This is good for buyers, good for sellers, and good for eBay. Buyers can get the kind of credit agreements they're used to in shops. Sellers can make their items more attractive to buyers who might not have all the money then and there, but eBay still pays the sellers upfront - they don't have to wait to be paid each month or anything like that. Buyers make their monthly payments to PayPal's credit provider instead.

The APR of the Buyer's Credit program is currently 12.9%. You can pay back $999 or more over 12 months, or $1,999 or more over 24 months. There are also interest-free options for purchases of $199 or more over 3, 6 or 12 months.

The reason why some of these credit offers sound better than others is that it is up to the seller to decide how good the credit offer should be and pay extra to PayPal to offer it. To give their buyer the best promotion, for example, of no interest for twelve months, the seller must pay 3.75% of the item's cost to PayPal.

Basically, this means that sellers pay less when the buyers pay interest, and sellers pay the cost of the interest on the interest-free offers. PayPal makes its interest either way, buyers are happy to get credit, and sellers are happy to sell more.

Can I Get This Credit?

On items over $199, Buyer's Credit is now being automatically offered to buyers in the USA only. Just click the link when you buy something for more than $199 and you will be taken through the application process, which includes a 30-second check on your credit history. Then you just go through the buying process as normal, and you get your item before you've paid a penny.

Why are eBay Offering This?

eBay say they want to "level the playing field", to allow eBay businesses to compete with the big chain stores, and they also want to promote PayPal as a payment method. Relatively few buyers can afford the more expensive items on eBay all at once, and so the introduction of Buyer's Credit seems likely to significantly increase prices and sales at the higher end of the market.

It is worth noting that you can use Buyer's Credit anywhere PayPal is accepted, not just on eBay. PayPal say it's "like a credit card - minus the card!" You don't get a card number - you can pay with credit with just your email address and password.

The only thing left to do now, then, is find the best deal for that really special item - the expensive thing you've been wanting for ages but could never afford. But how can you be sure you're getting the best price?

Ebay Ebook Success: 5 Factors Behind Building an Email List

Why would you want to build an email list? There are many potential reasons. In this article I discuss five top reasons why eBay ebook sellers should be building their mailing list.

To start we can look at the typical eBay ebook sale. The customer finds your auction or your eBay store. They like the look of the ebook you're selling so they make the purchase. They may even add you or your eBay store to their favourites. However, after the customer has purchased your product there is no motivation for them to return to your eBay store, look at your other products and purchase more. Sure some people will come back, some will make repeat purchases and some will keep checking for updates. However, the majority of customers will not return. They will have completed the transaction then your relationship with them is finished.

However, if you get that customer on your mailing list you have much more chance of them coming back and making a repeat purchase. Therefore, if you are not building a mailing list your are not maximising the value you can get from each customer. Below I have outlined a number of reasons why you should be building your email list:

1) REPEAT TRAFFIC:- Instead of customers visiting your eBay store just once you can now get them coming back again and again. If you've updated a product, re-designed your eBay store, created some new products etc then you can send an email out to your list and have your customers revisit your eBay store.

2) REPEAT CUSTOM:Your customers have already purchased from you. There's no reason they will not buy from you again. If you've got a new product then coming out then you can send an email out to your list notifying your customers. In this email you can send your customers directly to the auction. Even better, you can provide people on your email list with an exclusive subscriber discount. The customer gains because they're getting a great deal. You gain because you will get some repeat custom.

3) YOU CAN DIRECT CUSTOMERS TO ITEMS OF INTEREST:- Your mailing list is not just a means of selling more to your customers. It's also about building a relationship and being more interactive with them. For example, if eBay make any changes which will affect ebook sellers I can let you know through this email newsletter. Plus, I can also provide you with free ebooks - a task that would be difficult without a list.

4) YOU CAN BUILD A BRAND:- As I mentioned in the previous point your mailing list is not just a selling platform. It also allows you to build a relationship with your subscribers. If you provide customers with quality content and information that is relevant to them they will keep coming back. They will start to trust you and the strength of your brand will grow. With The Ebook Cavern Newsletter I try to provide you, the reader, with quality content that is related to selling ebooks on eBay. I hope that as a reader you trust me and keep coming back.

5) YOU CAN DIRECT CUSTOMERS TO AREAS OUTSIDE OF EBAY:What if I find something highly useful for my customers but it's not located on the eBay site? Maybe I've found a good source of resellable ebooks and I want to let you know about it. You cannot link to external websites from your eBay auctions. However, with a mailing list you can let your customers know. Again, this allows you to build a better relationship with your customers.

Hopefully, this article has helped you realise how selling ebooks on eBay and building a mailing list go hand in hand. All that you need to do now is take action and start building your list.


About the Author
Tom Parker has been selling ebooks on eBay for a number of years under the ID: EbookCavern. You can learn how he runs and automates his eBay ebook business by visiting: http://www.theebookcavern.co.uk/