Magento vs. eBay

While advanced development knowledge is required to run the open-source and paid enterprise version of Magento, the management dashboard itself is pretty intuitive. That said, Magento does have a very large feature-set, so there’s a learning curve for new users.

The small business version has a page-builder for ease-of-use and assistance is available for getting set up. Smaller retailers interested in Magento should try the free trial to see if it fits with their needs.

"Powerful e-commerce platform - if you are willing to get your hands dirty.”

“It's a great and versatile eCommerce platform, which gives plenty of flexibility and has support for a vast amount of features and products.”

“I like the security features that Magento offers. It is one of the more secure options out there. The support community is very large so if you need help or have questions, you can usually find an answer quick.”

eBay is very easy to use. Sellers without any technical knowledge or limited experience navigating an ecommerce dashboard will find it particularly appealing.

The business tools, like Selling Manager Pro and File Exchange, are intuitive and straightforward and come with extensive documentation. If you’re comfortable with the normal eBay dashboard, then you won’t have a problem adapting to the more advanced features.

"It was through eBay that we were able to realise the potential we had."

"It was so incredible getting my first sale within 24 hours. We were literally jumping with joy."

“Selling Manager Pro suits me fine with only around 130 items per month going out.”

Magento is arguably the most customizable ecommerce platform on the market. But there’s a big caveat. To make design changes to the open-source and enterprise solutions, development skills are a must.

Magento only comes with one built-in storefront theme but a range of third-party templates are available. The downside is that these can be very expensive.

Small and medium retailers that want access to a user-friendly site-builder and library of free templates will likely prefer solutions like Shopify, Squarespace, Weebly and Wix.

If, as a small retailer, you’re drawn to Magento because of its wide array of features, “implementation plans” are available.

eBay doesn’t offer much in the way of design flexibility. Shops and listings follow a standard template. In terms of the storefront, users can modify the logo, banner image, and description. It’s also possible to alter the navigation section on the left side of the store by creating various categories and subcategories.

In regards to the listings, sellers have control over the title, variation options (colour, size, model, etc.), and initial description.

The central overview area can also be used to add further product information and extra pictures.

If you’re looking for a high level of design freedom, then it’s probably fair to say that eBay isn’t the solution for you. If, on the other hand, you’re happy to work within the constraints of eBay’s storefront, then there won’t be any issues.

It’s always difficult to fault a free solution. What’s more, Magento comes with an extensive feature-set that would cost a significant amount of money on a similar plan from another provider. Open-source features include support for multiple languages, promotional tools, content management, order and shipping processing, customer service, and more.

But there are a few important points to keep in mind. For larger enterprises, the cost of maintaining secure servers and the need for an in-house development team will be high. And extensions often cost hundreds of dollars. Pricing for fully-hosted Magento plans is not published. The enterprise-level options, however, are reported to cost tens of thousands of dollars every month. Small business plans are advertised as “affordable”.

Depending on the specifics of your situation, including your volume of sales, the size of your existing market, and your return-on-investment from advertising, eBay may fall at either end of the spectrum when it comes to value from money, from absolutely excellent to jaw-droppingly terrible.

The business tools themselves aren’t particularly expensive - Selling Manager Pro will set you back by $15.99/month and a “Premium Store”, which allows for 1000 free fixed-price listings per month, will cost you $59.95/month. Compared to most ecommerce platforms, those fees are very good.

The main costs, however, lie in the “final value fee”. Whenever you make a sale, eBay will take around 10% of the sale amount (which includes the payment processing fee).

For smaller businesses, the total fee amount per month will likely be lower than what you would pay if you opted for your own store with a platform like Shopify or BigCommerce. For high-volume retailers catering to a market outside of eBay, however, final value fees will likely represent significant and unnecessary losses.

Technical support is limited on all plans on Magento. Users that have subscribed to a paid plan can submit support tickets. Additional support options - such as the “implementation package” for small businesses and “Magento Services” for enterprises - can be purchased for an additional cost.

If you decide to run Magento Open Source, you will need in-house IT support or an outsourced solution with an agency.

eBay’s help and support package varies depending on which type of plan you purchase. Higher-level subscription options come with “eBay Concierge”, in which users have access to additional support options compared to the basic package. Basic customer support is mainly provided through email and live chat.

“Concierge” includes lower wait times, access to highly-trained members of the support team, and sales and marketing training. You’ll also receive extra assistance with negative reviews and listings that don’t meet eBay criteria.

Generally speaking, we’ve found eBay response times and the quality of customer support to be very good. Sellers also have access to extensive documentation and training materials.

Magento has an exhaustive of features. Enterprise-level stores should definitely consider it as a solution. Medium-sized retailers will also find Magento to be an excellent choice that scales as their store grows. The virtually unlimited scope for customization is another big plus.

Retail companies that don’t want to take care of hosting in-house can also opt for one of Magento’s paid plans. Just keep in mind that development knowledge is a must and that the cost of extensions and additional support packages can quickly add up.

For smaller retailers, there is a plan that provides full access to Magento’s features at a lower price. A free trial is available and well worth checking out. Just remember that simpler entry-level solutions - which are easier to use for people without any coding skills or access to developers - may be more viable.

Consider using eBay as your primary ecommerce platform if you want access to the marketplace’s large customer base or if you’re looking for a streamlined, easy-to-use solution that doesn’t come with many of the hassles of running your own independent store. It has a wide selection of seller tools, solid customer support, and won’t break the bank.

Many well-known brands, like Adidas and Dell, also run eBay shops alongside their main websites to reach new customers.

If, however, you want full control of your store and plan to market directly to customers, then you will likely need a more advanced solution like Shopify, WooCommerce or BigCommerce.