I wonder if anyone could explain how this works..

[c63]

First up, this isn't my seller account. But on that account, a couple of months ago I decided to try promoted listings standard. We sell about 100 items a month at around £30 - so not a big business. After switching on the promotion our sales did go up, by about 5%, but in the first month 99 of 106 sales were via promoted listings. I don't understand how so few people were coming to us direct when before the promotion, that's exactly what they were doing. At a rate of 10% it was actually making us less money than before so I switched promoted listings off, and last month we're back to the same level (98 sales) but better profit as there are no additional fees. So how does it work? How is it that so many customers in that promoted month only came to us through promoted listings?

[4_bathrooms · Accepted solution]

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@c63 wrote:

So how does it work? How is it that so many customers in that promoted month only came to us through promoted listings?

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When you promote a listing only the promoted version or the organic version is shown:

"If your items are well positioned in Search, Promoted Listings Standard can boost your listings to higher slots. Your promoted listing will show in Search only when the boost from your ad rate is enough to achieve a higher placement than your organic listing would have."

For example, if previously you were position 3 in a Best Match search but using promoted listings meant you now appeared in position 2 only your promoted listing at position 2 would be shown. So the above really should read "If your items are well positioned in Search, Promoted Listings Standard can boost eBay's earnings at the expense of your profit margin".    

[vintagewatchpart]

I've done some experiments with this here:

https://community.ebay.co.uk/t5/Business-Seller-Board/No-Promoted-Listings-for-1-Month-Experiment-Re...

I have had promoted turned off for nearly two months now and sales are better.

[cobwebcottage]

It would be useful to know what you sell. If you are in competition with 100's of other businesses selling the same items, then PL may ( or may not ) work for you. If not, then it will be a waste of your time and money.

It has been said before, if everyone promotes the same brand, then nothing will be promoted.

Banker wins every time.

[c63]

Thank you for that. Yes, we are always on page one and usually in the top 5 - I wrongly assumed promoted meant additional exposure and I'd only be charged if we had a visit from those ads. Knowing that the original listing disappears makes sense now. So it actually means boosted in the search rather than promoted. Bit misleading..

[c63]

We sell pretty niche bike parts. I wrongly assumed promoted meant additional exposure which would help people find us if they happened to be browsing that category and I'd only be charged if we had a visit from those ads. Knowing that the original listing disappears makes sense now. So it actually means boosted in the search rather than promoted. It also explains why repeat customers were coming in from promoted listings. Bit misleading.. Thank you for your help.

[c63]

And you are absolutely right - based on my experience anyway. Sales are not noticibly lower and profits are noticibly up. Seems to be just a ruse to increase fees by the back door..