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Can You Really Make Money with Online Auctions?

by Evette Eleese

Here's the short answer: Yes, yes and yes.

How does an existing market with millions of people from all over the world actively shopping for specific items 24 hours a day, 7 days a week, 365 days a year sound to you?

This is what you will find at online auctions sites…. which are growing at an explosive rate and show no signs of slowing down.

Online Auctions Growth is Explosive

In May 2000, U.S. Internet users spent an astonishing $223 million dollars at online auctions

By May 2001 spending doubled to $556 million dollars.

eMarketer, a leading provider of Internet statistics, predicts that revenue from online auctions will reach $16.3 billion dollars by 2004.

Online Auction Growth is Explosive

In May 2000, U.S. Internet users spent an astonishing $223 million dollars at online auctions

By May 2001 spending doubled to $556 million dollars.

eMarketer, a leading provider of Internet statistics, predicts that revenue from online auctions will reach $16.3 billion dollars by 2004.

The Top Internet Auction Sites

eBay™ was the first online auction site, and is currently the most widely known and used. It is the leading online marketplace for the sale of goods and services. It was started in 1995, to provide a central location to buy and sell unique items and to meet other people with similar interests.

Today, eBay reports a whopping 42.4 million registered users, and is the most popular shopping site on the Internet.

Currently, there are over 1,000 retail auction sites in operation, with eBay dominating the market.

According to research conducted by Odyssey, 76 percent of online shoppers used eBay over a six-month period. Yahoo's auction service attracted 12 percent, followed by Amazon with 8 percent.

According online sources, these are top auction sites:

eBay™
Yahoo! Auctions
Amazon.com Auctions
Auction Addict
Auction Port
Auction Warehouse
Auctionweiser InterShopZone
BuyIt SellIt
QXL
uBid

What Are Auction Buyers Looking For?

According to a Harris Interactive Poll conducted on 2,196 people, online auctions appeal to bidders mainly because:

They are looking for bargains (43 percent)

hard to find items (23 percent)

or things they collect (21 percent)

Auction items may be new, used, vintage collectibles, valuable antiques, or services. People collect almost anything, and will turn to online auction sites like Ebay to find "the thing" to add to their collection, or just find a good deal for a gift or something they need, or find something which may not be readily available in the area they live.

Auction Buyers Are Spending Money

Of those who have participated as bidders in online auctions, 83 percent have actually bought something.

The average value of most purchases was $100 or less (75 percent), but 21 percent of buyers said the average value of their auction purchases was between $101 and $500.

Can You Make Money with Online Auctions?

Absolutely yes! If you have what online auction buyers are looking for, priced and presented attractively, it will sell in an online auction.

And it could be just about anything!

Copyright Evette Eleese

If you have any interesting stories or tips about buying or selling at online auctions please e-mail us at CBHcontact@gmail.com.