Contents

  1. What is Amazon to eBay arbitrage?
  2. Is it legal?
  3. How much can you make?
  4. The fees you must account for
  5. The correct profit formula
  6. Choosing the right products
  7. Margin targets
  8. Setting up your tracking system
  9. Common mistakes to avoid
  10. FAQ

What is Amazon to eBay arbitrage?

Amazon to eBay arbitrage is the practice of purchasing products from Amazon and reselling them at a higher price on eBay. The price difference β€” after accounting for all fees and costs β€” is your profit.

It works because the same product can have meaningfully different prices on different platforms. A kitchen gadget selling for Β£18 on Amazon might command Β£29 on eBay, where buyers search for convenience rather than the lowest price. Your job is to find those gaps and exploit them consistently.

The model works. The question is whether your margin calculations are accurate enough to know which products are actually working.

Yes. You are purchasing products as a consumer and reselling them β€” a standard retail practice. Neither Amazon's consumer terms nor eBay's seller policies prohibit this for individual resellers.

The one area to watch: some brand owners have policies against resale through certain channels, and eBay's authenticity standards apply regardless. Always source from legitimate Amazon sellers.

How much can you realistically make?

Seller typeActive listingsMonthly profit (net)Time/week
Part-time beginner10–30Β£300–£8005–10 hrs
Part-time established50–100Β£800–£2,00010–15 hrs
Full-time seller150–400Β£3,000–£10,00030–40 hrs
Scale operation400+Β£10,000+Team required

These are net profit figures β€” after eBay fees, Amazon costs, shipping and exchange rate effects. Many beginners overestimate because they calculate gross margin and miss the 13–15% eBay takes on top.

The fees you must account for

This is where most beginners lose money. eBay's fee structure is more complex than it appears.

eBay final value fee (FVF)

The FVF is eBay's primary charge β€” a percentage of the total transaction value, including what the buyer pays for shipping. If your item sells for Β£30 and you charge Β£4 shipping, eBay charges its fee on Β£34.

CategoryFVF rate
Most consumer categories13.25%
Books, DVDs & Films14.95%
Jewellery & Watches15.55%
Vehicle Parts10.9%
Business & Industrial (select)3–10%

Fixed order fee

eBay charges Β£0.30 / $0.30 / €0.35 per completed transaction regardless of value. Small per sale, meaningful at volume.

Promoted listings

If you use promoted listings (most sellers do), you pay an additional percentage of the sale price on triggered sales β€” typically 2–12%.

Exchange rate spread

If you source in USD and receive GBP, the rate at payout can differ from your calculation. A 1–2% spread is typical. On high volumes, this is significant β€” and why ArbiKey uses live ECB rates.

The correct profit formula

Net profit = Sale price βˆ’ FVF (on sale + shipping) βˆ’ Fixed fee βˆ’ Promoted listing % βˆ’ Your postage βˆ’ Amazon cost βˆ’ FX adjustment
Line itemAmount
eBay sale priceΒ£34.00
FVF 13.25% of Β£38 (incl. Β£4 shipping)βˆ’ Β£5.04
Fixed order feeβˆ’ Β£0.30
Promoted listing 5%βˆ’ Β£1.70
Your postage costβˆ’ Β£3.50
Amazon source costβˆ’ Β£20.00
Real net profitΒ£3.46

A seller estimating "Β£34 βˆ’ Β£20 = Β£14 profit" would be wrong by Β£10.54. At 200 sales a month, that's Β£2,108 in phantom profit.

Choosing the right products

Profitable arbitrage depends on finding products where the eBay price consistently exceeds the Amazon price enough to cover all fees at 15–25% net margin, with consistent demand and manageable competition.

Best categories for arbitrage

  • Home and kitchen
  • Tools and DIY
  • Health and beauty
  • Pet supplies
  • Toys and games
  • Sports equipment

Categories to approach carefully

  • Branded fashion (authenticity risk)
  • Items over Β£100 (higher dispute rate)
  • Anything with seasonal demand spikes
  • Electronics (tight margins, high returns)

What margin target should you set?

Net marginAssessmentRisk level
Below 10%Skip β€” one return wipes profitVery high
10–15%Marginal β€” only viable at scaleHigh
15–25%Good β€” target rangeLow–medium
25–40%Excellent β€” source as much as possibleLow
40%+Outstanding β€” prioritiseVery low

Setting up your tracking system

Whatever system you use, it needs to: apply the correct eBay FVF rate per category, charge FVF on the total including buyer shipping, deduct your actual postage cost, include promoted listing costs, apply live exchange rates, and reverse profit correctly when returns happen.

A spreadsheet can technically do this, but requires constant maintenance. A dedicated tool like ArbiKey handles all of it automatically.

Common mistakes to avoid

  • Calculating gross margin instead of net. Sale price minus Amazon cost is not your profit. eBay takes 13–15% first.
  • Forgetting the FVF on shipping. eBay charges its percentage on the full transaction including the buyer's shipping payment.
  • Using a fixed exchange rate. Currency moves. A rate set six months ago can reduce your margin by 2–3%.
  • Ignoring return rates by category. Some categories have 15–20% return rates. Factor this into your margin target.
  • Not tracking returns in your profit figures. A profitable-looking month can be flat or negative once returns are netted out.

Frequently asked questions

Is Amazon to eBay arbitrage worth it in 2026?

Yes, but competition has increased and margins are tighter than five years ago. The sellers who succeed are those with accurate profit tracking. The model still works β€” it requires more discipline.

Do I need a business account?

Not initially, but once you're selling consistently you should register as a business seller on eBay. This unlocks higher selling limits and is legally required in most jurisdictions once you're selling for profit regularly.

What's the best eBay marketplace for arbitrage?

eBay UK is most popular for European sellers due to market size and the GBP/USD spread when sourcing from Amazon US. eBay DE is the second largest in Europe. ArbiKey supports US, UK, DE, CA and AU.

How do I handle VAT?

VAT varies by country and turnover. In the UK, registration is required above Β£90,000 annual turnover. Consult an accountant for your specific situation β€” ArbiKey focuses on profit tracking, not tax advice.

Track your eBay arbitrage profit accurately

ArbiKey applies the exact fee formula above β€” live ECB rates, correct category fee, FVF on shipping included.

βœ“ Free for 30 products βœ“ No card required βœ“ Live ECB rates
Start free β€” no card β†’