The first step I this process is to find yourself a niche market. This is a small but relatively prosperous market that is willing to spend money. For instance Golf is a main market, but Golf Shoes or Golf balls might be niche markets. Find your niche which should ideally be in an area that you already have some and interest and knowledge in.

The next stage is to find some products to sell in your niche. It should be a good quality product that you are going to be able to offer at a lower price than your competitors. As well as price look for other incentives that you can add to your offer such as a bonus and a long guarantee. What you are trying to do is make your offer as attractive and inviting as possible, The whole point of this first sale is not necessarily to make a profit but to build up a list of customers.

Once a customer makes a purchase from this your front end you can offer them a discount on their next purchase or offer them a free downloadable gift such as an eBook in exchange for their email address.

As your list grows you will be able to email offers to them on a regular basis. At this stage it is also a good idea to build a web site where you can advertise a\ll the products that you have for sale. At one time it used to be very difficult to build your own web site but now thanks to Wordpress a website blog very simply. If you go to the search engines and type in “wordpress” you will find plenty of free instruction on how to do this.

The whole purpose of the exercise is to build a rapport between yourself and your customers so that you can offer them products outside of eBay. Why pay listing and final valuation fees when you do not need to? Even when you have your web site and mailing list you should still continue offering loss leaders on the auction site because it is still one of the cheapest ways to initially advertise your goods for sale on the Internet.