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Pros and cons for Online auction marketplace Sites

Characteristics of a Good Online Auctions Site

o Site must have prominent online privacy policy that guarantees that the site will provide secure link when a customer enter charge card details and don't sell customer information.
o Clear defined policies and operations must be enacted upon when and if any wrong transaction occurs.
o Rating of buyers and sellers facilitate the identification of sellers who do not exist towards the end of bargain.
o Fees and commissions should be mentioned on the site. The majority of the sites don't charge any fees from bidders but sellers often have to pay for small fees for listing the things and commission on selling anything. So the bidders must compare online auction sites for that fees and commission rates to get an idea of the present rates.
o A good online auction marketplace site must have escrow services option for example PayPal. These services result in the buying and selling more quick by preventing consumers from becoming intermediary. The buyer can directly send the little fees and payment to the escrew service, after receiving funds escrew gives instruction to sellers to ship the products. When buyer receives the goods in acceptable condition, funds are transferred to seller via escrew service.
o A good online auction marketplace site should have the international payment and shipping option. Commercial sites support international sales.
Advantages of Online Auction Sites
Online auction sites offer many perks:
o Online auction marketplace sites do not stop businesses to carry on sales of product through traditional sales method.
o A web-based auction site also reduces the distribution price of a product. It may be stored at one place till it's ready for shipping. It will likewise lessen the packaging price of items for distribution to intermediaries for example stores. It will likewise protect goods from damages and keep them safe.
o Online auction marketplace likewise helps small businesses to market their seasonal, discontinued or damaged goods often with profits and get rid of the inventory expense to keep them.
o Online auction sites open the doorway of international markets for small businesses and help to expand global market. That's extremely difficult to achieve via normal marketing channels.
o Online auction marketplace sites also help new business organisations that offer new products also it becomes simple to set an industry price according to supply and demand.
o These sites also assistance to find out what clients are willing to pay without having done time-consuming expensive researching the market.

Disadvantages of Online Auctions

Online auctions don't provide buyers by having an use of personally viewing and evaluating items before purchasing. This may lead to the possibility of fraud.

Another major drawback is it is also not possible for each business to take part in online auction marketplace. Companies have to host their own auction websites and for this purpose they have to hire trained technical staff.

Don't be the product, buy the product!