How to calculate eBay advertising fees? How to set up eBay advertising?

When opening a store on eBay, if you want more traffic for your products, merchants can conduct paid advertising promotion on the site. This will make their products more advantageous and bring more exposure and traffic. So how is eBay advertising fee calculated? Next we will explain this aspect to you.

eBay advertising fee = exposure × conversion rate × selling price × advertising rate. According to the formula, the higher the conversion rate, the system will prioritize your product; but if the conversion rate is the same, the product with the higher promotion price will be prioritized, so everyone should increase the advertising rate appropriately according to the situation of their own products. Although the product price also affects the advertising fee, in fact, the impact of raising the price is not significant, and the most important thing is to look at the two key factors of conversion rate and advertising rate.

How to set up ads on eBay?

There are two main types of ads on eBay:

1. Promoted listings

Promoted listings are a type of paid advertising on eBay that will push your products to the top of eBay search results. Promoted listings ads are affordable, easy to set up and track results.

2. Large brand advertising

Brands with large marketing budgets also use eBay’s brand solutions to optimize their listings. The solution is more in-depth and personalized. eBay provides some typical case studies for large brand advertising, so you can understand what this high-cost service entails. In particular, learn how big clothing and accessories brands work with eBay.

To promote your products through eBay ads, sellers need to meet the following two conditions:

1. Must be an eBay store seller;

2. Non-store sellers with higher ratings or above-standard status.

Therefore, you can upgrade the level of your store and obtain usage rights based on these two conditions.

After placing promoted listings ads, the products will be displayed on eBay's computer and mobile terminals, such as at the top of the search results page, throughout the search results, and next to non-promoted listings. These places can make it easier for buyers to see your products, thereby increasing exposure and conversions.

However, merchants should be reminded that it is not necessary to set up advertising promotion in stores. Merchants should control the advertising rate based on the products and their own budget, and not incur high advertising costs for the sake of more exposure.