Joint venture is an emerging trend on eBay. As we know, eBay is one of the most popular home businesses in the USA; however, it is not a perfect business model. There are people who have tried but failed due to confusion on what products or services to sell, the huge number of competitors, and the ever present copy and picture theft of other sellers.
In order to prevent profit loss, joint venture deals can be arranged with established eBay sellers. This way, a partner will be able to build their own mailing list and effectively sell their products on eBay.
If you are not yet convinced on trying these deals, we are listing five advantages to help you decide.
Advantages of Joint Venture Deals on eBay
- eBay joint ventures are usually done with a digital product that can be instantly downloaded. This is a good thing for vendors because auto responders are inexpensive but they are effective in handling the business on autopilot. This takes away the burden of mailing thousands of boxes in order to be visible. Established sellers have a long list of customers and that involves lots of administrative details. Perfecting an efficient system of delivery will not be possible and there are times when lapses will cost you a fortune. A joint venture partner eliminates the lapses because transactions can be channeled through a hands-off system.
- They also provide protection from unwittingly breaking eBay many rules. This is because the merchants only answer to their customers, and not to eBay. Not only that, another advantage is, a joint venture seller does not directly list on eBay. This means, you can avoid paying the fees.
- They offer less to no risk except for your time. The most popular question that potential eBay sellers ask themselves is what products to sell. Vendors risk their money on untried products which result to losing their investment. Another thing to point out is, joint ventures allow sellers to be invisible. No one knows they exist so no one can steal copy or pictures from sellers.
- The life of an online seller depends on the feedback system. Negative feedback will make buyers scroll down or click another and no feedback will cause buyers to hesitate. Joint venture sellers do not have this burden because they choose to deal with established sellers.
- Last but not the least, a seller sails past through mistakes an inexperienced seller sometimes make. One example of an inexperienced mistake is panic over sales. Joint venture sellers are not susceptible to price wars because they are dealing with established power sellers.