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

Tike71 281 March 19, 2013 at 06:14 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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#106
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
This is what flippers actually believe.

LMAO

Buying on ebay is a great experience. Any problems and I, as a buyer, get my money back with little effort.
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#107
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
Actually, if you are selling consumer electronics using BIN, the break-even point is $498.55.

Without a store, the 10% FVF for a $498.55 sale is $49.86.

With a Basic store, the 6% FVF for a $498.55 sale is $29.91. Add the $19.95 store fee and your total is $49.86.

I used the Fee Calculator [ebay.com] to check.

Quote from blackblaze View Post :
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.
Yes, that's correct. When I wrote "regular sellers," I actually meant sellers without a store. For sellers who do have a store, then the new fees start May 1, according to this page [ebay.com] ("Your current subscription automatically updates with the new monthly subscription pricing on May 1").
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#108
Quote from sd444 View Post :
This is what flippers actually believe.

LMAO

Buying on ebay is a great experience. Any problems and I, as a buyer, get my money back with little effort.
actually, i almost never flip deals from this site. chances are if it's so good, by the time it hits the FP or gets my attention, ebay is already flooded with them. either that, or it's a price mistake waiting to be rectified. not really worth my time. there have been very few deals ive been able to "cash in on"
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#109
this shouldn't be news, not even to eBay
http://poll.pollcode.com/2mj7_result?v
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#110
anyone know if we can just open up a store for 1 month and then cancel?
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#111
Quote from henryondeals View Post :
anyone know if we can just open up a store for 1 month and then cancel?
The monthly subscription price is $19.95 with no commitment. If you sign up for a year term commitment, you can pay $15.95 in monthly installments (early termination fee applies.)

Based on that, I think one month is fine. I got a targeted email saying they'd pay the first month if I sign up for an eBay store before May 1st. Actually it's more like 1.5 months, if I'm reading the terms correctly... crediting you for a prorated April plus the full month of May.

I've been buying a lot of broken phones, fixing, and selling for extra cash. Even the 3% fee difference is going to be significant. So yeah, I guess eBay has me over a barrel.
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#112
Quote from Technosquid View Post :
The monthly subscription price is $19.95 with no commitment. If you sign up for a year term commitment, you can pay $15.95 in monthly installments (early termination fee applies.)

Based on that, I think one month is fine. I got a targeted email saying they'd pay the first month if I sign up for an eBay store before May 1st. Actually it's more like 1.5 months, if I'm reading the terms correctly... crediting you for a prorated April plus the full month of May.

I've been buying a lot of broken phones, fixing, and selling for extra cash. Even the 3% fee difference is going to be significant. So yeah, I guess eBay has me over a barrel.
thanks for the info! i think i'm going to be hoarding everything I want to list, and then purchase an eBay store for 1 month at a time. sometimes I go months without anything to sell so this works out fine.
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#113
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?

I think month by month is 19.95

yearly (which you end up paying month by month) is 15.95...

so you save about 50 bucks paying for yearly

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.
yep amazon is the way to go but be careful... if you start making good money they might shut you down "just in case" you are scamming people
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#114
Quote from Maschil View Post :
I think month by month is 19.95

yearly (which you end up paying month by month) is 15.95...

so you save about 50 bucks paying for yearly



yep amazon is the way to go but be careful... if you start making good money they might shut you down "just in case" you are scamming people
Amazon is NOT the way to go for longevity Nono
As you already pointed out, BE CAREFUL
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#115
Quote from blackblaze View Post :
Amazon is NOT the way to go for longevity Nono
As you already pointed out, BE CAREFUL

yep... got banned.... was making good money...
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#116
Ok, so I read this thread very quickly and I don't think I saw once the info I'm about to post. If you are a Non Ebay Store owner you are screwed. 10% on EVERYTHING you sell. BUT if you are a Ebay store owner you will actually pay less than you do right now. Yes, I will repeat that, you will save more money than you do now.

Here's the proof (check the included image in my post).

Unless I'm completely being a dunce, the new fee changes are great for people that sell all the time (hence they want you to get an ebay store). If you sell occasionally which would not warrant you to want an ebay store... you are screwed. Fixed listings are also free (up to 50) with a store subscription. If you use more than 50 in a month its only 20¢ per listing after that. Before you got ZERO fixed listings for free in a month and it cost 50¢ per listing. Believe it or not, this is the best news ever for big ebay sellers (anyone listing over 40+ items a month). This entire package will save you hundreds in a year. This is actually fantastic news.... actually the best news ever on ebay in several years.

You can check the fees by category here:
http://pics.ebaystatic.com/aw/pic...vf_rev.pdf

Jawdrop

Also, ebay is running a promotion right now (I'm not sure if everyone received it via email) where if you subscribe to a Ebay store by May 1st your first month of your subscription is free ($19.95 saved). They talk about a yearly subscription for less money but I can't for the life of me figure out how to commit to it. I'll most likely call ebay tomorrow. If you get the yearly subscription though, if you cancel it you will be hit with massive fees as seen here:
http://pages.ebay.com/sellerinfor...ndc.html#4
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#117
Quote from Genius4sho View Post :
Unless I'm completely being a dunce, the new fee changes are great for people that sell all the time (hence they want you to get an ebay store). If you sell occasionally which would not warrant you to want an ebay store... you are screwed. Fixed listings are also free (up to 50) with a store subscription. If you use more than 50 in a month its only 20¢ per listing after that. Before you got ZERO fixed listings for free in a month and it cost 50¢ per listing. Believe it or not, this is the best news ever for big ebay sellers (anyone listing over 40+ items a month). This entire package will save you hundreds in a year. This is actually fantastic news.... actually the best news ever on ebay in several years.


Also, ebay is running a promotion right now (I'm not sure if everyone received it via email) where if you subscribe to a Ebay store by May 1st your first month of your subscription is free ($19.95 saved)
Yeah it's pretty awesome, huh? Today I signed up to pay eBay an extra $15.95/mo... and for that I get the opportunity to pay about the same rates I was paying last month! I'd love to stand on principle and pull my business from eBay, but I can't.

I'm not sure about this "best news ever for big ebay sellers." The fees seem largely the same as before in most categories.
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#118
Quote from Technosquid View Post :
Yeah it's pretty awesome, huh? Today I signed up to pay eBay an extra $15.95/mo... and for that I get the opportunity to pay about the same rates I was paying last month! I'd love to stand on principle and pull my business from eBay, but I can't.

I'm not sure about this "best news ever for big ebay sellers." The fees seem largely the same as before in most categories.
It depends on what you sell and how you sold them. For instance I sell primarily in fixed listings... why? Because I hate waiting for auctions to end PLUS there are far too many deadbeat ebay bidders. So I was listing mostly in the fixed listings category. All the listing fees were 50cents per listing. So I sell OVER 40 listings in a month (40 months x 50 cents = $20) so that is more money than their yearly ($15.95 a month) subscription fee. Many categories are less money than before too. That's where you will save the big bucks. Again, it depends on which categories you sell in. Its good news. PLUS it kills the small time ebay sellers, I don't care about you, you are competition. The end. Big Grin
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#119
Quote from Genius4sho View Post :
It depends on what you sell and how you sold them. For instance I sell primarily in fixed listings... why? Because I hate waiting for auctions to end PLUS there are far too many deadbeat ebay bidders. So I was listing mostly in the fixed listings category. All the listing fees were 50cents per listing. So I sell OVER 40 listings in a month (40 months x 50 cents = $20) so that is more money than their yearly ($15.95 a month) subscription fee. Many categories are less money than before too. That's where you will save the big bucks. Again, it depends on which categories you sell in. Its good news. PLUS it kills the small time ebay sellers, I don't care about you, you are competition. The end. Big Grin
were ebay stores always fixed rate FVFs?
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#120
Quote from henryondeals View Post :
were ebay stores always fixed rate FVFs?
You get the option to list in auction style or fixed rate styles with an ebay store (same as a non-ebay store). If you had an ebay store before you didn't get any free fixed listings, they were 5cents per listing instead of 50cents like people without a store. So you payed the monthly subscription fee AND paid for each fixed listing. This time around you won't do that unless you list more than 150 items in a month. That's something I just learned. That's what it says on the fee chart, that your first 150 listings are for free. I had thought in my previous posts that with a subscription in this new fee structure that only the first 50 listings were free... this gets even better than I thought!! I'm pretty stoked for May 1st. I should save hundreds of dollars in ebay fees in a year.
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