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2013 eBay fee increase: 10% flat fee. Bad news for sellers

Tike71 334 March 19, 2013 at 07:14 PM in Finance (4) More eBay Deals
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Heads up eBay will be charging a 10% flat fee across all categories coming April 16th 2013
Those with eBay stores will be charged fees that will vary with different categories starting from 4% on 05/01/13
http://pages.ebay.com/sellerinfor...ation.html

This rate calculator shows the old and new fees and how much they will be milking sellers
http://pages.ebay.com/sellerinfor...lator.html



For the consumer electronics category you're going to be paying 43%-209% more than you pay now.

Old vs new fees. Free shipping offered
$20 fvf = $1.40 vs $2 (increase of 43%)
$100 fvf = $6 vs $10 (increase of 66.7%)
$250 fvf = $13.50 vs $25 (increase of 85%)
$500 fvf = $26 vs $50 (increase of 92.3%)
$1,000 fvf = $51 vs $100 (increase of 98%)
$1,500 fvf = $61 vs $150 (increase of 146%)
$2,000 fvf = $71 vs $200 (increase of 182%)
$2,500 fvf = $81 vs $250 (increase of 209%)
$5,000 fvf = $131 vs $250 (increase of 91%)
$10,925 fvf = $250 vs $250

167 Comments

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#91
So if I sell 5 electronic items a month at $200 each then my FFV will be $100 ($20 x 5) total if no estore sub. If do the yearly sub then 5 x $200 each my total FFV would be $60 ($12 x 5). Then you add in the $16 fee per month so it would be total of $75. A savings of $25 or $5 per item. Plus you add in paypal fees of around $6 and the total fees for selling an item at $200 soars to around $26.

If I only do 1-2 transactions a month say at $200 then I would be paying $40 FFV and if estore sub it would be $24 + $16 monthly fee so $40 FFV as well.

So it seems like you need to be doing a good volume of say maybe 10 items or more to see any benefit by doing the monthly subscription deal. Otherwise if I sell the same item on Amazon for $200 my total fees would be around $17. Plus you can even get a bit more higher price on AZ than ebay. So for someone like myself who sells probably less than 10 items a month I might start just doing it full time on AZ (I started since January selling on AZ and so far so good). I get maybe $10 more for an item compared to Ebay plus a bit of the shipping fees are given to us by AZ where as in Ebay I need to do free shipping in order to stay competitive with other sellers.
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#92
Quote from mrtrance View Post :
So if I sell 5 electronic items a month at $200 each then my FFV will be $100 ($20 x 5) total if no estore sub. If do the yearly sub then 5 x $200 each my total FFV would be $60 ($12 x 5). Then you add in the $16 fee per month so it would be total of $75. A savings of $25 or $5 per item. Plus you add in paypal fees of around $6 and the total fees for selling an item at $200 soars to around $26.

If I only do 1-2 transactions a month say at $200 then I would be paying $40 FFV and if estore sub it would be $24 + $16 monthly fee so $40 FFV as well.

So it seems like you need to be doing a good volume of say maybe 10 items or more to see any benefit by doing the monthly subscription deal. Otherwise if I sell the same item on Amazon for $200 my total fees would be around $17. Plus you can even get a bit more higher price on AZ than ebay. So for someone like myself who sells probably less than 10 items a month I might start just doing it full time on AZ (I started since January selling on AZ and so far so good). I get maybe $10 more for an item compared to Ebay plus a bit of the shipping fees are given to us by AZ where as in Ebay I need to do free shipping in order to stay competitive with other sellers.
Nothing compares to the exposure you would get from eBay though.
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#93
Quote from henryondeals View Post :
Nothing compares to the exposure you would get from eBay though.
Ya that is true, but some items seem to sell better on AZ compared to Ebay. A few items I've relisted twice now and not buyers, but selling it on AZ with higher price I'm able to sell a few there already. So it can work better for some times on AZ compared to Ebay. But overall yes Ebay items gets more exposure and sell a bit faster compared to AZ.
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#94
Quote from mrtrance View Post :
Ya that is true, but some items seem to sell better on AZ compared to Ebay. A few items I've relisted twice now and not buyers, but selling it on AZ with higher price I'm able to sell a few there already. So it can work better for some times on AZ compared to Ebay. But overall yes Ebay items gets more exposure and sell a bit faster compared to AZ.
Plus amazon is the worst with letting buyers return any product they purchase with any BS reason. Although that doesn't mean you can't charge a 15% restocking fee Wink
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#95
Quote from mrtrance View Post :
Ya that is true, but some items seem to sell better on AZ compared to Ebay. A few items I've relisted twice now and not buyers, but selling it on AZ with higher price I'm able to sell a few there already. So it can work better for some times on AZ compared to Ebay. But overall yes Ebay items gets more exposure and sell a bit faster compared to AZ.
Cause people hold marketplace sellers to Amazon standards and know Amazon is behind the buyer 110% where as for their seller, they will tell you to bend over and take one for the team if you want to be a part of their cult and sell there. So, that higher price will eventually be eaten up when you deal with a scummy buyer who hides behind Amazon's protection.

Also, the Amazon standard that is used against sellers are not the same standards they uphold themselves Facepalm
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#96
I highly recommend that anyone who has questions about the changes spend some time browsing the 2013 Spring Seller Update forum [ebay.com], where many eBay reps answered users' questions back in mid-March.

Here are some official answers to two issues that have been discussed in this thread:

Quote from kmoff77 View Post :
I forgot about that.

No contract, you just have to pay for the entire year up front.
Quote from henryondeals View Post :
It's still not clear if we can do a month by month vs 1 year subscription, has anyone figured this out?
If you commit to a one-year contract, you are still charged on a monthly basis. See here [ebay.com] (where they also discuss early termination fees), here [ebay.com], and here [ebay.com].

Quote from SmokeMaxX View Post :
Does this mean we need to list by April 16th or sell by April 16th?
Quote from henryondeals View Post :
we really need an answer to this, anyone willing to call ebay?
Final Value Fees are calculated based on when an item is listed. See here [ebay.com] and here [ebay.com]. So, for regular sellers, if you want to pay the old fees, you must list by the end of the day on the 15th. Create a 30-day BIN listing so that it lasts as long as possible.
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#97
Bad news for buyer too.
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#98
That is covered by PayPal , not EBAY.

Quote from Friend of Sonic View Post :
Exactly. When I sold on Amazon, I would get people that said they didn't receive an item, even though delivery confirmation said they did. Most sellers refund before it gets to the claim state; I forced them to file an A-Z so that would go on their accounts as well. I had so many buyers claiming they didn't receive an item that Amazon banned me from selling. They do not recoginize delivery confirmation as valid proof of delivery (or at least they didn't, anyone know if that changed?) Even more laughable, I swear the language on their help page suggested to use signature confirmation on everything, and that "should" cover you as a seller-- FedEx and UPS would be the only definite ways to be covered, which is absurd for games which mostly range from the 4oz-8oz weight.

As much as eBay sucks, they're at least reasonable in that area. DC works, $250 or higher needs signature confirmation. Easy.

I'll have to check again later since I am on my phone, but FVF fared pretty well for video game listings, right?
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#99
Quote from bluetrep View Post :
That is covered by PayPal , not EBAY.
And eBay owns Paypal, so . . .
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#100
I calculated it out. For electronics, you would have to sell $600 of merchandise for the $20/month subscription to be worth it. Otherwise 10% will be cheaper.
Whatever, buyers are going to suffer the most. Prices on ebay will be more inflated than usual
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#101
Quote from gtmaster303 View Post :
I calculated it out. For electronics, you would have to sell $600 of merchandise for the $20/month subscription to be worth it. Otherwise 10% will be cheaper.
Whatever, buyers are going to suffer the most. Prices on ebay will be more inflated than usual
Ya I guess we will need to increases prices a bit to offset these higher fees. I am just hoping others will do the same and not still sell at same prices where the profit margin will be decreased by a lot if prices stay the same.

For example if before we would sell an item for $300 BIN with free shipping people should now move that price up by like $10-$15 since now FVV is going to be $30 whereas before it was like $17.
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#102
Quote from gtmaster303 View Post :
I calculated it out. For electronics, you would have to sell $600 of merchandise for the $20/month subscription to be worth it. Otherwise 10% will be cheaper.
Whatever, buyers are going to suffer the most. Prices on ebay will be more inflated than usual
Is that $600 figure per month of electronic sales or for the whole year for the $20/month subscription to be worth it? TIA.
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#103
Quote from Olafur View Post :
I highly recommend that anyone who has questions about the changes spend some time browsing the 2013 Spring Seller Update forum [ebay.com], where many eBay reps answered users' questions back in mid-March.

Here are some official answers to two issues that have been discussed in this thread:



If you commit to a one-year contract, you are still charged on a monthly basis. See here [ebay.com] (where they also discuss early termination fees), here [ebay.com], and here [ebay.com].

Final Value Fees are calculated based on when an item is listed. See here [ebay.com] and here [ebay.com]. So, for regular sellers, if you want to pay the old fees, you must list by the end of the day on the 15th. Create a 30-day BIN listing so that it lasts as long as possible.
Based on what is read there, if you have a store subscription for the month of April, then the April 16th listing doesn't apply, and that any listings within your store within the month of April is grandfathered into the current FVF structure, and you FVF structure is updated when you post listings starting May 1.
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#104
Quote from lodoss22 View Post :
Is that $600 figure per month of electronic sales or for the whole year for the $20/month subscription to be worth it? TIA.
per month.
haha yea right per year. even the most casual ebay sellers can rack $600 in sales per year.

ebay is definitely getting greedy though. they want a stable income from those that sell less than frequently.
if the overall cost was lower, i wouldnt mind paying a subscription. but moving $600 a month (thats nearly 7k a year in merchandise) is not feasible for all of us.
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#105
Quote from sd444 View Post :
Crying

The tears of flippers are delicious.
I like how they describe themselves as sellers.

Re-sellers is more accurate.

SD Leeches is most accurate.
Last edited by jnads April 12, 2013 at 12:20 PM
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