Why You Should Think Twice Before Using eBay as a New Seller

eBay has long been a popular marketplace for buying and selling goods, offering a platform for individuals and businesses to connect with millions of potential buyers. However, for new sellers, eBay's policies and practices can sometimes feel overly harsh, leading to account suspensions or restrictions with little warning. If you’re considering eBay as a selling platform, here are some reasons why you might want to think twice.

E-commerce
23. Jan 2025
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Why You Should Think Twice Before Using eBay as a New Seller

1. High Risk of Account Suspension for New Sellers

Many new eBay sellers have reported having their accounts suspended shortly after listing items, often without clear explanation. eBay’s automated algorithms flag accounts that might be "high risk," and unfortunately, this system tends to target new users disproportionately.

Common Reasons for Suspension:

  • Selling High-Risk Items: Items like electronics, luxury goods, or gift cards are often flagged as potential fraud risks, even if you are a legitimate seller.
  • Limited Selling History: New sellers with no track record are often viewed as less trustworthy by eBay's system.
  • Rapid Listings: Listing multiple items shortly after opening your account can trigger suspicion, even if you're following all the rules.

The Problem: eBay's suspensions are often immediate and without prior warning, leaving new sellers frustrated and confused. Reinstating your account can be a tedious process, requiring extensive documentation, and even then, success isn’t guaranteed.


2. Poor Customer Support for Suspended Accounts

One of the biggest complaints from new sellers is the lack of effective customer support when an account is suspended. eBay’s support team is notoriously difficult to contact, and appeals are often handled by automated systems rather than actual representatives.

What Happens When You're Suspended:

  • Your listings are removed.
  • Payments may be held indefinitely, delaying your access to any earnings.
  • eBay often provides generic emails that don’t explain the exact reason for the suspension, leaving sellers guessing about what went wrong.

Why This Matters: As a new seller, you may spend hours or days preparing your listings only to have your account suspended without a clear reason. This lack of transparency can be infuriating, especially when you’ve done nothing wrong.


3. eBay’s Aggressive Policies Toward Risk Management

To protect buyers, eBay enforces strict rules to prevent fraud. While this is understandable, their policies often penalize honest sellers:

  • Payment Holds: Even if your account isn’t suspended, eBay may place holds on your funds for up to 21 days if you’re a new seller. This makes it difficult to manage cash flow, especially if you need funds to ship items.
  • Verification Delays: eBay may demand additional verification documents, like your ID or bank account details, which can take days to process.
  • Unreasonable Returns Policies: As a seller, you might be forced to accept returns even if the buyer damages the item or claims it wasn’t as described, leaving you at a loss.

The Problem for New Sellers: These policies can create a hostile environment for legitimate sellers who are just trying to get started. eBay’s overzealous approach to risk management can make it feel like you’re guilty until proven innocent.


4. Hidden Fees and Unclear Policies

eBay’s fee structure can be confusing for new sellers, and unexpected charges can quickly eat into your profits:

  • Listing Fees: While eBay offers some free listings, additional ones come with fees.
  • Final Value Fees: eBay takes a percentage of the sale price, including shipping. For some categories, these fees can be as high as 12–15%.
  • Promoted Listings Fees: If you want more visibility for your items, you’ll need to pay extra to "promote" your listings.

Surprise Fees for New Sellers: Many new users don’t realize these costs until after they’ve sold items, leading to frustration when profits are lower than expected.


5. Better Alternatives Exist

In today’s digital age, there are plenty of alternatives to eBay that might be more welcoming for new sellers:

  • Facebook Marketplace: Great for local sales with no fees for most transactions.
  • Poshmark, Mercari, and Depop: Excellent for selling clothing, accessories, and other niche items, with user-friendly apps and clear policies.
  • Etsy: Perfect for handmade or vintage items, with lower risks of suspension.
  • Amazon Seller Program: While more complex to set up, Amazon offers a robust marketplace for new sellers with more predictable policies.

Final Thoughts

While eBay remains a giant in the online marketplace world, its approach to new sellers can be discouraging. From sudden account suspensions to opaque policies and poor customer support, the risks often outweigh the benefits for beginners. If you’re a new seller looking to establish yourself, it’s worth exploring alternative platforms that are more supportive and transparent.

If you still want to try eBay, proceed cautiously:

  • Start small with low-risk items.
  • Avoid listing high-value items until you’ve built up a solid selling history.
  • Be prepared for potential account verification requests and payment holds.

 

This article is my freedom of speech and opinion due to my exact experience on that platform.

 

Unlike eBay, which has strict algorithms that can flag and suspend new sellers for minor or unclear reasons, Mercari is more welcoming. New users aren’t penalized simply for listing multiple items or selling higher-value goods.

  • No Instant Suspensions: Mercari doesn’t abruptly terminate accounts without clear reasons, offering a more stable platform for beginners.
  • Focus on Building Trust: Instead of punishing new users, Mercari emphasizes buyer and seller reviews to build trust organically.

Learn More Here

 

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