What is some good online auction websites alternative to eBay?

[GinoParisian]

1. There are other auction sites, yes. None of them have 150 million users. You can list your stuff there, but the odds that you will sell it are microscopic.

2. No.

3. If you have the same problem with several buyers, you need to look at your buiness processes. Are you using Delivery Confirmation on every package? If not, your buyers could be filing false INR claims because you've made yourself vulnerable to it. Are you packing your fragile items properly using high-quality packing materials? There's no excuse for an item bring broken in shipment.

Take a hard look at this drop-shipping arrangement. The drop-shipper is in control of the fulfillment, but you're the one taking the blame for their failures. I would quit that right now. I have never drop-shipped nor would I ever for this very reason.

You may have had 3 PITA buyers or they may have had a legit beef, even though they seemed happy at first. You don't know since you didn't pack and ship their items. Regardless, eBay will sanction you if you don't get your act together. eBay is actively hostile to all sellers -- even PowerSellers and TRS -- who are not national stores. eBay loves to suspend sellers' accounts without warning or explanation.

I recommend that you only sell items that you have in hand and ship yourself, and do the job from sourcing to listing to fulfillment to the absolute best of your ability.