Established eBay Sellers Get Higher Prices for Good Reputations

Armen Hareyan's picture
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Reputation and Success

eBay sellers with established reputations can expect about 8 percent more revenue than new sellers marketing the same goods, a new University of Michigan study shows.

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"People with good reputations are rewarded and people with no reputations are not trusted as well as people who have established reputations," said Paul Resnick, professor in the U-M School of Information and the study's principal author.

The study is the first known randomized controlled look at the value of eBay reputations in the natural setting of actual eBay auctions. The findings showed that eBay's feedback system

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