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eBay Promoted Listings: How to Boost Sales while Spending Less on Advertising?

eBay Promoted Listings: How to Boost Sales while Spending Less on Advertising?

ebay low advertising cost

Make the Most of eBay Promoted Listings with Lower eBay Advertising Costs!

This guide will help eBay sellers to maximize sales and profit from eBay Promoted Listings while keeping expenses in check.

Did you realize that eBay Promoted Listings cost you 2 to 3 times as much with eBay’s suggested ad rates while generating no more money? So how can you improve the success of your online product sales? Sellers may spend significantly more money than necessary on e-commerce advertising due to a lack of awareness of eBay’s Promoted Listings and bidding function. Additionally, it might not produce the necessary ROI. One crucial challenge you must comprehend is when to select safer or more aggressive bids.

How Much Does eBay Advertising Cost?

A bidding process is used for eBay Promoted Listings; you can choose to pay as much or as little for them. When you put up your promoted listing, you can choose a percentage of the final sale price as the ebay advertising cost. This can range from 1% to 20% of the price of your final transaction.

You (the seller) will choose the percentage of the final sale you will pay eBay if your item is sold through promoted listings. The percentage you chose while configuring your promoted listing ad is deducted from the total sale price when a customer clicks on your promoted listing and purchases the item within a 30-day window. eBay doesn’t take the percentage unless your item sells, as long as the buyer has clicked on your promoted listing in the last 30 days.

Based on the product you chose and the category you’re selling in, eBay will let you know what average rate (%) your competitors are setting their eBay promoted listings cost under while you’re putting up your eBay sponsored listings campaign. According to your campaign and advertising plan for your eBay sponsored listing, you can choose to match competitors, go above or below, or do both.

How Can You Determine if You're Overpaying?

If you have set your eBay Sponsored Listings rate too high, there is no easy way to detect it. Overpaying will reduce your profit margin and affect your company. eBay won’t protest receiving a more significant percentage of your sale. As a result, you must experiment. It is advisable to start low and increase gradually while adhering to the rising sales pattern. That ought to constantly determine the ideal rate.

Will eBay Promoted Listings Reduce Your Profit Margin?

Knowing your business’s constraints and being diligent with your cost- and budget-controlling is essential. Your revenues will undoubtedly decrease if you increase your eBay Sponsored Listings proportion only because other merchants outperformed you. You will always have to contend with a bigger fish with a bigger budget.

As a result, adjust your eBay Promoted Listings to fit your company’s goals and profit margins.

  • Utilize your resources
  • Play to your strengths
  • Be aggressive

Increasing your percentage may not have much of an impact on sales for some listings. For some products, a lesser ad rate or none may be appropriate.

Whether or not the listing can be optimized in other areas depends on the product, how popular it is, and how much demand it has. You should also understand your item’s sell-through rate (conversion rate) before promoting the listing so that you can assess how it performs over time.

Tips to Boost Sales with Low eBay Advertising Costs

Making the most of eBay Promoted Listings would be beneficial because they are an important component of your e-commerce marketing strategy. That will increase your sales while also assisting you in keeping expenses under control. The greatest techniques for helping you lower your eBay promoted listings cost have been compiled by us.

1. Scale Up Your Product Visibility

Our findings indicate that advertising eBay product listings increase impressions (4-5 times) and product page visits (60-70%).

It’s interesting to note that advertising has a substantially lower CTR (click-through rate) than organic results—up to 10 times lower. The good news is that sales conversion rates are equivalent to organic traffic when potential customers have clicked the advertisements and are perusing the product pages.

2. Lower Ad Rates Reflect Higher ROI

Most sellers can boost their sales even more (+80%) by bidding higher (frequently at the eBay-recommended rates). The truth is that equivalent results can be obtained at 30–40% lower prices with a sound bidding approach.

ROI-optimized marketing aims to grow sales as much as possible while cutting expenditures. Organic sales, those made without advertisements, may occasionally be somewhat destroyed by paid sales, depending on the product sold and the rate at which it is promoted.

Fortunately, dismantling organic revenues by sponsored transactions is only slightly prominent. However, the circumstances may vary depending on the vendors and the products. Therefore, it is advantageous to have an automated system for managing campaigns that would turn off ads when they are not required. This supports the use of a safer bidding strategy.

3. Research & Testing Based Strategy

Due to the fluctuating ad rates of other sellers, such as greater bids during the Holiday season, sellers should regularly alter their bids. Sellers should utilize more aggressive bidding for goods with more significant profit margins. In contrast, less money should be spent on advertising for goods with lower profit margins.

Finding the correct balance in both circumstances is essential; avoid overpaying for promotions and extreme cost-cutting. You might lose a lot of prospective transactions in the latter scenario. Finding sweet spots becomes a lot simpler when you have data and can recognize trends at scale. It is inappropriate to apply the same ad rate to all product categories. Data supports it. Often, the best bidding strategy is what matters rather than a safe or aggressive one.

4. Monitor Your Store Traffic

To see the relevant statistics you may use to track which of your promoted listings are performing effectively after launching your campaign for promoted listings, scroll to the bottom of your advertisement dashboard, pick your campaign, or select any specific promoted listing.

Additionally, you may view your traffic dashboard by choosing traffic from the performance drop-down.

So, we’ll examine all the information, including impressions, page views, and sales volume. In addition to the advertised impressions, we also have organic impressions here. The percentage for those is also visible.

You can now assess the success of your promoted listing by comparing the green portion of the graph—which represents the promoted listings—to the blue portion, which represents the organic listings. The number of items sold follows the page visits.

Is it worth using promoted listings on eBay?

The product discoverability and visibility that Promoted Listing ads on eBay provide enhances your chances of making a sale. You’re much more likely to boost sales and expand your business if you use eBay advertising tools to advertise eBay listings for more visibility.

eBay Promoted listing

Why do my eBay listings have zero views?

Promoted listings, according to eBay, had a 36% increase in views. Many additional purchases result from this, and you only pay the fees on sales generated by the advertisement. Typically, no advertising price is applied to sales you made as a result of searches where you ranked.

Final Thoughts!!!

As you can see, there are many advantages for you as an eBay seller when using eBay Promoted Listings. Start small and build your investment in eBay listing marketing as you see results if you’re still unsure whether to employ it. Reach out to HRL Infotechs to assist you with eBay Promoted Listings now.