As we further delve into the world of eBay, especially as we consider ways for kids to earn money, we learned that eBay helps develop some subtle skills. However there are some more obvious skills that eBay will also provide your child and we need to look at these as well.
One of the first things your child will need to do is setup a PayPal account. If you are unfamiliar with PayPal it is a way of making and receiving payments online for products you buy and sell. As important as it is to develop ways for kids to earn money, you also have to have a way to collect that money. PayPal is safe, secure and is free to set up. Once it is set up you can now accept all forms of payment such as checks and credit cards. By doing this your child is now exposed to the different ways people can actually pay for products. It can also be a wonderful educational tool to help them understand how credit cards work, learn about processing fees and all of the expenses that come from running a business. This will be important as you help your child set the prices at which you want to sell your products because once all of the fees are deducted they still want to be able to make a profit. Just this simple act can teach your kid about break even points and profit margins, but also critical thinking and giving customers a fair price for products purchased.
Another benefit is understanding how marketing works. The old adage “If you build it they will come” is not true in the world of internet marketing and online auctions. The good part is you already have a built in marketplace but like brick and mortar stores, location is still very important. On eBay you have different categories you can put your products in and this is critical when people are looking for certain items. Your child will have to decide what category to put their item in. Remember it can be a great product but if no one can find it, then it doesn’t matter how great that product is. In addition to finding the right category, it is necessary to give a good enticing description of the product and that is also essential in marketing. Obviously you don’t want to lie but you want to highlight the benefits and features of your product.
The final skill learned is customer service skills. It is a fact that it takes more money to get a new customer than it does to keep an existing one. The thing that keeps customers coming back is how they get treated. Learning these skills will not only help you keep your customers but in ebay world people get to rank their experience with you, so it will also help you acquire new customers.
I know most parents may have seen eBay as a way for their kids to earn money, but now that you understand some of the other benefits, it might be a good idea to set your child up with an account today.
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