Amazon vs eBay: Difference and Comparison

We have been living in the age of the digital era since the beginning of the 21st century. The world has been on the path of becoming a global village.

The online digital platform emerged as a binding force throughout the world. We are now moving to the online digital platform.

Like, customers are looking to purchase products online, whereas sellers are also shifting online. Online shopping is now a new trend.

In the field of e-commerce, Amazon and eBay are the two famous platforms for online shopping.

Key Takeaways

  1. Amazon operates as a retailer and a marketplace, while eBay primarily functions as an online auction and marketplace platform.
  2. Amazon offers a subscription service, Amazon Prime, which provides additional benefits, unlike eBay.
  3. eBay allows users to bid on items in an auction format, while Amazon mainly uses fixed pricing.

Amazon vs eBay

The difference between Amazon and eBay is that product available on Amazon is brand new. On eBay, the available products can be sold (auctioned). Amazon follows a fixed-price strategy for products. On eBay, the price is decided through bidding. Amazon has higher customer richness as compared to eBay.

Amazon vs eBay

Amazon is an online retail shop that focuses on buyers. It provides security from online fraud. A return/exchange facility is available on Amazon.

In case of delivery of faulty products. Amazon provides goods directly to the customer. Here available products are either from their own brands or from third-party sellers.

eBay is an online platform. Here bidding for products is done. Buyers visit the platform and search for the product.

After finalizing the product, buyers bid on items through individual auctions. eBay doesn’t provide the option of return/exchange of products.  Like Amazon, it isn’t safe from fraud.

There is no role of eBay in the buying or selling of products. It is just a platform that connects buyers and sellers.

Comparison Table

Parameters of ComparisonAmazoneBay
Nature of the platform It is a type of online
retail shop.
It is a type of
online bidding house.
Pricing Strategy Fixed priceDepend on bidding
Cost of product Generally highLow cost as
available products are used one’s.
Replacement of
products
Available Not available
Customer richness HigherRelatively lower than the Amazon
Available Products Brand newOld stuffs

What is Amazon?

Amazon is an online shopping site. The founder of Amazon is Jeff Bezos.

Also Read:  Competitive Advantage vs Core Competence: Difference and Comparison

The headquarters of Amazon is in Seattle, USA. It is oriented towards the buyers.

It provides a lot of convenience to the people like you no longer need to go anywhere to buy/sell products. Amazon is like a regular store in an online mode with equivalent or discounted prices.

Warranty facilities for products are also available. Here a lot of products are available from different ranges ranging from very low cost to high cost.

It works on the satisfaction of its users. Here replacement facilities for products are available because if you are not satisfied with the goods, then you can easily replace them.

In recent days, there has been an increase in online fraud. But, Amazon ensures the safety of their users. 

It makes online shopping easier. Now, no need to be in the queue to buy products.

Now shopping is at the doorstep. It is now the need of the people.

It also provides an opportunity to grow business online as it has a larger marketplace.

Here sellers can enlist their products. It also provides a facility that allows sellers to ship their products to a local warehouse.

Now, even a small shopkeeper sells products globally. They can earn profit.

amazon marketplace

What is eBay?

It is an online shopping platform. This platform is known for its auction and consumer-to-consumer sales.

The founder of eBay is Pierre Omidyar. The headquarters of eBay is in San Jose, California, USA.

It is oriented towards the sellers.

As it sells nothing on its own. Here people go to buy and sell their products/stuff.

Unlike Amazon, it is a platform for auctioning products. Now no need to go anywhere for bidding.

Many people can’t afford new products. So, from here they can buy old stuff as per the need.

The products available here are mostly old. But the items are relatively worth it as per the price.

There are no such warranty/discount facilities available. Here, there is no interaction with websites, and two people meet online as per the need.

Also Read:  Payable vs Expense: Difference and Comparison

So in case of fraud, eBay is not responsible and is not bound to compensate you. But here, a review facility is available.

The fraud issue has plagued eBay. As scammers pretend to sell their products, but after getting payment, they disappear.

So to minimise this issue, there is a review facility available, where each party has the freedom to give feedback about their experience. It helps to find reliable and trustworthy sellers. 

Products sold here are old at low cost(half the cost of new ones). So here you can’t expect a new product. 

EBay enables sellers to display all their products in one place. However, eBay charges a small amount from sellers on every enlisted product.

ebay

Main Differences Between Amazon and eBay

  1. Amazon is like an online mall where everything is available. eBay is like an online bidding house, where you have to select products and decide prices by bidding. 
  2. Amazon focuses on buyers, but eBay focuses on sellers. 
  3. Amazon follows the fixed price mechanism, but there is no fixed price mechanism in eBay. 
  4. Amazon covers a larger marketplace, but eBay covers relatively less marketplace. 
  5. Amazon provides an option of exchange in case of delivery of faulty products. But no such facility is available on eBay. 
  6. Amazon is free from online fraud, but there is a possibility of fraud on eBay.
Difference Between Amazon and eBay
References
  1. https://www.igi-global.com/chapter/comparative-analysis-ebay-amazon/24240
  2. https://books.google.com/books?hl=en&lr=&id=NdgUDAAAQBAJ&oi=fnd&pg=PA155&dq=+Amazon+And+eBay+&ots=vdO6aJd0CI&sig=yESBk1mlDyck-SwHAeF0wXkzclo

Last Updated : 28 July, 2023

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22 thoughts on “Amazon vs eBay: Difference and Comparison”

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