Amazon vs. eBay: Seven-Point Comparison

So who has the fixed-price advantage? In this case, the advantage lies in the buyer: Amazon's buyers are typically more affluent than eBay's and pay higher average prices for products.

Taxes

Marketplace sellers are responsible for the sales tax on any items sold on Amazon. They can add this cost into their product prices, but doing so is a hassle.

In its Sell-Your-Item form, eBay provides a mechanism enabling sellers to collect applicable taxes in addition to the sale price. This is a major advantage because it ensures that miscalculated taxes don't eat into a seller's profits.

Average Sale Price

eBay, by its nature, is competitive and draws buyers looking for the lowest possible prices. Amazon buyers tend to focus more on product condition than price, which may explain why Amazon sellers report higher average selling prices than eBay sellers for the same items.

For sellers, the clear advantage is with the buyers who are willing to spend more.

Payment Methods

To accept payment, Amazon sellers must use Amazon Payments. Amazon collects the payment and deposits it into the seller's bank account twice per month, with no fees added.

The benefit is that sellers don't have to send invoices or payment reminders, or track unpaid items. If Amazon can't collect the payment, the seller doesn't have a sale, and the item remains listed.

The downside is although Amazon buyers have multiple payment options, they're unable to use PayPal, which many buyers prefer for security and convenience.