MSE News: eBay sellers beware - its fees now eat into postage costs

RFW

thescotties wrote: »

There is no such thing as FREE POSTAGE only INCLUSIVE. It is doubtful that after 6 months it can legally be called free postage according to the ASA.

Advertising standards would only be interested in consumers being misled, the use of the word 'free' is a marketing gimmick used by sellers on and off Ebay. Only if the consumer was being duped into paying any extra would ASA be bothered.

thescotties wrote: »

There is no such thing as FREE POSTAGE only INCLUSIVE. It is doubtful that after 6 months it can legally be called free postage according to the ASA. Ebay sellers that offer free postage are already paying this extra fee.
This actually works out to over 11% if you factor in PayPal fees. It is an arbitrary & unfair fee that discriminates against sellers of large or bulky items as they are charged a disproportionate amount of final value fee. It is quite possible to end up paying more final value fee on the postage than the item sold itself.
Ebay are dressing this up as simplifying fees for sellers which is an insult. They are also saying it is good for buyers, I don't know how they work that one out as all it will do is put up prices!!
I think this is going to have a big impact on buyers & sellers as sellers will have no choice but to pass this fee on one way or another. It will also drive a lot of sellers away so less choice for buyers

They have reduced a number of listing fees and some discounts have gone up, so some sellers are better off. Inevitably prices will go up or margins drop for some sellers. Some sellers need to start looking beyond Ebay to sell it isn't the be all and end all. It is easy to use, it can be rewarding but it isn't for everyone.

thescotties

So if I sell a new DVD at £10 plus £3 postage, eBay were taking £1 which is fine.
But the Chinese (typically) sellers were selling the DVDs for 99p plus £12 postage, so eBay were being scammed out of their fees via the postage model.

Ebay should & could have dealt with this not penalised everyone. Unfortunately it does not make a level field as sellers of large & bulky items or those who post internationally are hit disproportionally with this new fee

Personally I think it is just an excuse to up fees

RFW

thescotties wrote: »

So if I sell a new DVD at £10 plus £3 postage, eBay were taking £1 which is fine.
But the Chinese (typically) sellers were selling the DVDs for 99p plus £12 postage, so eBay were being scammed out of their fees via the postage model.

Ebay should & could have dealt with this not penalised everyone.

They tried to deal with it via DSRs, this worked getting rid of some sellers with inflated postage but obviously not enough.

thescotties wrote: »

Unfortunately it does not make a level field as sellers of large & bulky items or those who post internationally are hit disproportionally with this new fee

Personally I think it is just an excuse to up fees

As far as level playing field goes that can't happen, someone will always say they are hard done to. Just look through this thread, you say that sellers of large & bulky items will be most affected, someone else who sells small items (with free additional postage) would disagree.

I don't think it's an excuse to put up fees, it's just a way of putting up fees. Companies don't need excuses to put prices up, they just do it. As it is here, Ebay have reduced some and put others up, I'm sure they'll be making a net gain with the changes but not every seller is worse off.

burnleymik

Not sure if I am right, but is it 10% final value fee, plus now the 10% of what you charge for postage.

On top you then have 6% Paypal. Do paypal also charge 6% on the cost of the postage (the total amount you recieve from the buyer) ?

martinsnest

Strapped wrote: »

Just to add - it appears that if you list an item with free UK postage, but post abroad as well (at additional cost) then that international sale does not qualify for TRS discount. :huh:

Hi What is TRS discount? Sorry to be thick here.

RFW

burnleymik wrote: »

Not sure if I am right, but is it 10% final value fee, plus now the 10% of what you charge for postage.

On top you then have 6% Paypal. Do paypal also charge 6% on the cost of the postage (the total amount you recieve from the buyer) ?

Paypal have always charged a fee on postage (they charge on all the money you have received for the transaction). It has never been 6%, it is mostly 20p plus 3.4% some pay less and there are micro accounts with a different fee structure.

The final value fee, which is mostly 10% but is different in some categories for business sellers, is now charged on the full amount paid by the buyer.

RFW

martinsnest wrote: »

Hi What is TRS discount? Sorry to be thick here.

Top rated seller discount - 15% on final value fees.

plumface

Wywth wrote: »

As I said I list by cost plus postage so if your 99p item plus say £2 postage is the cheapest, then I'll buy from you, but if somone is selling for £2.50 with 'free' postage, then they will get my custom as they will be first in the list.

And they don't get any negative DSR for postage. Think on.

So would i, but only 'cos it was 49p cheaper!
I do try to look FURTHER than the 1st listing.

martinsnest

RFW wrote: »

Top rated seller discount - 15% on final value fees.

How do you become a top rated seller?

RFW

martinsnest wrote: »

How do you become a top rated seller?

http://pages.ebay.com/help/sell/top-rated.html