Questions on promoted listings

[thebestbuybaril]

I have a few questions.  I'll just number them here and hope some people can clarify for me.

1.  Scenario- Seller has a listing for a $100 purse.  Suggested rate for promo is 9% (9.00 in this case) and the seller chooses to do 9%.  The purse did not sell in month one. Seller relists. Promo automatically continues unless Seller ends it. Someone buys midway through the second month after clicking on the promoted listing a week earlier. 

• Does the seller pay A) applicable listing fees and $9.00 OR B) Applicable listing fees and $18 ($9 for each month)?

2. Scenario- Just like above except -- the suggested rate rate is 9% and the Seller only chooses to 5%. 

• Does the 9% have anything to do with the promo fees the seller must pay ? 
• Is going that far below the suggested rate even going to do anything?

I ask because I saw somewhere that another seller said that if you choose a percentage below, you are still charged the going rate or suggested rate- in this case 9%.

3.  As a general rule, is it best to avoid the promo if your margin on the item is small or is it still a good idea to use it if you are new to selling?

4.  As a general rule, do you eBay mentors stay close to the suggested rate?

Sorry for the numbering., but it helps my ADHD teacher brain. Thank you all in advance. 

[caldreamer · Accepted solution]

1) You only pay $9 "promo fee" when item sells (this is NOT a monthly fee).  

2) You only pay 5% when items sells.   You are NOT charged on "suggested rate" of 9%.

3) I never use promotions (seems like just another "money grab").    The only time it even makes sense if you are selling "same exact thing" as 100s of other sellers.

Also bear in mind...just because you "promote item" doesn't mean customer will buy it.    Customers only care about lowest price.

[stainlessenginecovers]

Promotions do 2 things

1) put your item at the top of 'best match' when people are searching for a specific item. Because you sell clothes and nothing really 'name brand' per se' that someone would be searching for; promos for you would be pretty worthless except for #2 below:

2.) Put your items in other peoples listings as well as in your own listings (click a listing, scroll down and you will see 'other sponsored items' (note: promotions are what it's called and 'sponsored' is what it's called when shown)

[jayjaspersgarage]

The one thing I remember reading was that someone can still buy a promoted item without going through the promo.  For instance if they find it directly through your store and not by clicking the promoted link.  I use promoted listings for a couple months with a few sales showing up in the reports.  The key is to only promote what 80% of the shoppers want, not the stuff I sell.

[frankienlola]

 I'll add, and could be wrong, I believe I read that if you end the promotion any watchers or anyone who previously clicked on it while under promotion you will still pay the fee and believe it is for 30 days after it's ended?  I guess a way around it is to unlist when you end the promotion and relist which I don't do unless I lower the price.  I promoted from 2 to 15 % for awhile and didn't really see any significant gains so ended them. I'll  also add a major competitor promotes a bunch and blows my sales out of the water! 

[femmefan1946]

I've been happy  to use Promoted Listings at ONE percent consistently.

When I make comparisons, eBay is usually unable to find anything identical for sale and usually little that is even comparable.

I find that PL increased my Views of everything, and while my PL sales did not really increase (I don't think that since Nov. 2019 I have paid more than $50 in total for PL sales) my sales on those accounts did increase. It looks like, and anecdote is not data, the PL brings customers to my Stores but what they actually buy is not necessarily that product.

Since PL only kicks in when the item sells, since I chose the fee, and since I choose which items I will "promote", I think the program gives me many benefits at very little cost.

[chapeau-noir]

@thebestbuybaril   I *like* your numbering system - it makes your questions very clear.

You just pay the percentage that you use in the promotion - I think someone was confused when they told you that you paid eBay's trending rates. 

As a fellow clothing seller, I use promoted listings because it's how I can kind of keep my head above water - I'm a very small seller and I need all the visibility I can get. 

IMHO, if you're new to selling, just sell for a while and get a feel for what does how.  My own view of promoted listings is that it's playing the odds, and it's better to have a feel for the game.

Whether I promote or not and how much depends upon the brand and item.  Some of my items I don't at all - there's almost nothing else on the site like it (yes, that does happen).  The rest I promote at a low rate of 2-4%, it depends on how saturated the brand is.  I rarely promote at the suggested rate but I will if I have a higher dollar item that's a popular brand and I can roll the percentage into the price. I never promote above the odds. 

[mr_lincoln]

@thebestbuybaril   Read @frankienlola 's reply, they bring up an important point about the Standard Promoted listing process and this will clarify it.  When an item gets a click (meaning someone clicked on YOUR Promoted item) during your Campaign a 30 day timer begins ... if the Promotion Campaign ends before that 30 day period and someone buys it after the Campaign but within the 30 day time from the last click then you are still charged the Ad fee (9% in your example).

I ignore eBay's trending rates, I don't want to split hairs when I run a Promotion.  I run a PL Campaign (Standard) once a quarter for about 30 days.  I put EVERY Fixed Price item I have on it at the time of the Campaign and select ONE fixed rate between 5% - 10% for EVERY listing ... then I let 'er rip.

The idea is for the PL Campaign to 1) drive traffic and 2) sell stuff.  I see more long tail items sell during these Campaigns then at other times.  Any new Inventory I get to resell after starting the PL Campaign just gets listed like normal, NOT added to the active Campaign.

My higher value items I typically sell Auction style, which as you know, can not be included with the Campaign ...

[thebestbuybaril]

Okay, that stopping and starting is a lot to keep track of!  I'm doing everything in  my power to not make this a time suck.  I get what you are saying though, and  I'll look in to that potential charge.  It would really stink for people who have cross posted on another platform and need to end the listing because it sold on the other site. I can see eBay  saying the seller still got exposure and therefore charged. I don't know. 🤔

[downunder-61]

Nothing to add to the topic, but I love your user name............

[thebestbuybaril]

Sorry, I got messages crossed. 

Forget what I said about selling on another platform. Yes I understand the the 30 day thing. Thank you so much.

[thebestbuybaril]

Perfect. Thanks! Y'all are so helpful.

[thebestbuybaril]

Thanks! Last name:)

[hipsociety2]

What you left out was even if you offer the lowest promoted price on an item that many people are selling, your item will not be listed before a seller who has a higher selling price and a higher promoted percentage than you have. 

Also...

Customers won't see the LOWEST price because a $10 item with a 3% promotion price will be listed after a $15 item with a 6% promotion percentage.  And if you have a $10 non-promoted item, it automatically gets listed after a $15 promoted item.

Check it out for yourself. While searching for an item, choose the following options: Lowest price with shipping, free shipping, and "buy it now". Scroll through the listings and you will see higher-priced items being listed before lower-priced items. There are a few reasons for this. One, the seller with the higher-priced item used promoted listing. Two, they both used promoted listings but the seller with the higher priced item offered a higher promoted percentage. Or three, one seller used promoted listing and the other didn't.