Ahhh, the good old days of eBay. Veteran sellers will remember when auctions could be started at a penny, photos didn't have to be posted, and items would end with multiple bids. Buyers paid for their items and the whole system worked more smoothly. Those days are over now, mostly due to the millions of sellers on eBay competing for the sale of the same types of items. Auctions just don't work like they used to. To avoid losing money and basically giving products away, new sellers should be aware of why it is risky to offer 99 cent auctions.
1. eBay offers other listing types than just auctions including fixed price and best offer. In the olden days, auctions were the only choice.
2. Buyers may be impatient and not want to wait for an auction to end. The world we live in is all about speed and convenience. Auctions don't offer either.
3. Savvy sellers often buy items on 99 cent auctions to flip and resell on eBay. More experienced buyers know the price they can get for an item and how long to wait. Patience is a virtue and pays off on eBay.
4. Sellers cannot require immediate payment on auctions. Because sellers are becoming more and more frustrated with non-payers, and many sellers are earning their living on eBay, they do not want to deal with buyers who don't pay. Many sellers simply will not do auctions anymore.
99 cent auctions (without free shipping) can effectively be used to get rid of items obtained for free or to build feedback if a seller is new. Just don't expect to make any money this way. It just doesn't work anymore.