There are several things consider when pricing an auction item, we cover them below.

What's it Worth?

An item is worth ONLY as much as someone is willing to pay for it. To determine that; search for similar items, after finding a category with many items like yours (or a very similar one's) listed, go over to left hand side and click on 'Completed Listings'. The page will refresh and only items whose auctions have ended in the last couple of weeks, will show. Go down the list and look for 'Green' prices (these are the ones that have actually sold), the 'Red' prices didn't sell and so the only prices that matter are the 'Green" prices. The items like yours with Green prices are a pretty good indication of what your item is worth.

Pricing Strategy:

In an auction listing, you are selling your item to the highest bidder. You can also choose to offer a Buy It Now option, so buyers can skip the bidding process.
There are 2 things to consider when pricing your item:
Starting Price is the lowest price you're willing to sell your item for (unless you also specify a reserve price). Bidding will start at this price.
Reserve Price is a hidden minimum price that's higher than the starting price, to make sure the item sells for the amount you want.
The problem with a reserve price is that so many people who use reserve prices have an inflated idea what there item is worth and set the reserve so high that many people don't even bother to bid on auctions with a reserve. Hence the popularity of the title tag NR or No Reserve. A super low starting price like $1.00 on a $100-$300 item will get a lot of bids but runs the risk of you losing money if not enough people bid. Until you get some experience a starting bid of a little lower than or equal to the lowest price your research showed a item like yours sold for is probably the best strategy. Once you get some experience you will be able to tell which items will get huge amounts views/bids and in that case a super low starting price (99cents) will bring in more bidders and run up the price to your benefit.

TIP:

Occasionally your winning bidder won't buy. In this case if you have a problem with your winning bidder, you can make an offer to a non-winning bidder under certain conditions. When this happens, you can send a Second Chance Offer containing a Buy It Now price equal to the non-winning bidder's bid amount. Check with Ebay for details.

West Coast Trading Provides this article for free as a help for people interested in selling on eBay. We make no guarrentees or endorsements of it's content.