Ebay Lowering Final Value Fees for some Sellers

Doublestriker

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JHS5120

Read the details. They're doubling the fees for any seller with an eBay store.

alifaxwa2

I love the change allowing the 50 free listings to be auctions OR fixed price!

ga5150

I just ran the numbers in the fee illustrator and I will save quite a bit of money by NOT having an Ebay store any longer. I will just list with BIN's and go that route. Previously, last year, it was less expensive for me to have the store, but not any longer. Guess I'll close it out in mid-April and go the old way.

sportscardtheory

So what is the best route for someone who has 300 to 1,000 ebay store listings?

digicat

This kinda dings small-timers like me who list only a few items every few months. Right now an auction listing has a 9% fvf. After these changes, that goes up to 10%. Not a huge deal, but leave it to Ebay to dress this up as a benefit, kinda like how they promoted the discontinuation of wild card search functionality as a "feature" to "simplify" the Ebay experience.

scotgreb

Read the details. They're doubling the fees for any seller with an eBay store.

Admittedly, I have not gone through all the info -- but it seems that my cost will increase for "selling" and go down for "listing"

Net/net maybe a slightly higher cost but I'll definitely list more and possibly even increase prices a bit as my fixed costs will decrease (I have a premium store with an avg of about 350 items)

I'm interested in why you believe fees are "doubling" -- of course, I could be missing something.

Scott

prthd

Ebay live chat today and tomarrow. They are talking about fees and everrything under the sun.

under 500 listings

Mapleleaf

Bottom line is ebay will make more money, otherwise they would not do this.

JHS5120

<< <i>I'm interested in why you believe fees are "doubling" -- of course, I could be missing something. >>



I have a basic store. Here is the impact of the new fee schedule on a $200 item that sold via auction ($3.00 shipping)

Old Fee:
$9.97

New Fee:
$18.27


If you are selling $5-10 BIN items it doesn't have too much of an effect. I usually have items closer to the $50-100 range and many of them I auction - which is why my fees now double.

scotgreb

Fair enough . . .

I do 95%+ BINs with an average sales price of about $50

My "old" cost is $5.55 -- my "new" cost is $4.50

CollectorAtWork

Your fees are definitely going up if you have a store, unless you only use BIN and your items sell for less than $50. Here is the current fee structure if you have an ebay store: Link

First, I never pay insertion fees anyway. I always wait for one of the promos with free insertion fees. The question now is whether a store is worth it since they only have 150 free insertion fees per month. I'll need to do more math later. However, to illustrate the fees going up, here were the old fees:

Auction Style:

$0-50: 7.5% of final sale (so now this is going to 9% so it's an increase)
$50.01 - $1000: $3.75 for first $50 + 4% of the remaining balance to $1000
Over $1000: $41.75 for first $1000 + 2% of remaining balance

Same examples:
You sell an item for $50.
Old fee: $3.75
New fee: $4.50

You sell an item for $1000
Old fee: 3.75 + .04 * 950 = $41.75
New fee: $90

You sell an item for $2000
Old fee: 41.75 + .02 * 1000 = $61.75
New fee: $180

Therefore, you can see for auction style, your fees can double or even triple if it's a high cost item. In addition, before, I believe the maximum FVF was $100, and now that has been increased to $250.

CollectorAtWork

Now for the examples for those with ebay stores and sell via BINs. Here were the old fee structure:

$0-50: 11% of final sale (so now this is going to 9% so this is the only decrease, which ebay can claim for marketing)
$50.01 - $1000: $5.50 for first $50 + 6% of the remaining balance to $1000
Over $1000: $62.50 for first $1000 + 2% of remaining balance

Same examples as before:

You sell an item for $50.
Old fee: $5.50
New fee: $4.50 (it goes down!)

You sell an item for $1000
Old fee: 5.50 + .06 * 950 = $62.50
New fee: $90

You sell an item for $2000
Old fee: 62.50 + .02 * 1000 = $82.50
New fee: $180

Therefore, the higher the price the item sells, the more you suffer.

CollectorAtWork

Ok, so now what if you don't have an ebay store. The old fees are here: Link

Previously, if you sold via auction style, your final value fees were 9%. Now they are going up to 10%.

Same examples:
You sell an item for $50.
Old fee: $4.50
New fee: $5.00

You sell an item for $1000
Old fee: $90
New fee: $100

You sell an item for $2000
Old fee: $180
New fee: $200

Not quite as bad as if you had an ebay store, but still an increase.

CollectorAtWork

Now, if you did not have an ebay store, but listed via BIN's, here is what you are facing:

Old fee structure:

$0-50: 11% of final sale (so now this is going to 10% so this is the only decrease, which ebay can claim for marketing)
$50.01 - $1000: $5.50 for first $50 + 6% of the remaining balance to $1000
Over $1000: $62.50 for first $1000 + 2% of remaining balance

Same examples as before:

You sell an item for $50.
Old fee: $5.50
New fee: $5.00 (it goes down!)

You sell an item for $1000
Old fee: 5.50 + .06 * 950 = $62.50
New fee: $100

You sell an item for $2000
Old fee: 62.50 + .02 * 1000 = $82.50
New fee: $200

Therefore, the higher the price the item sells, the more you suffer. Very similar to ebay stores, but a little worse.

CNote

So glad the end of my collection will be sold in 3 weeks.

I just sold a tablet computer for my buddy since he has only 2 feedback. He couldn't believe they took $31 of the $350 it sold for. Then I had to let him know that doesn't include the Paypal fees.

prthd

<< <i>I just sold a tablet computer for my buddy since he has only 2 feedback. He couldn't believe they took $31 of the $350 it sold for. Then I had to let him know that doesn't include the Paypal fees. >>

shagrotn77

<< <i>This kinda dings small-timers like me who list only a few items every few months. Right now an auction listing has a 9% fvf. After these changes, that goes up to 10%. Not a huge deal, but leave it to Ebay to dress this up as a benefit, kinda like how they promoted the discontinuation of wild card search functionality as a "feature" to "simplify" the Ebay experience. >>



Exactly.

Aric

I still think the fees are fair and better than anything out there. You can't beat 10% using any avenue of selling...consignment shops, auction houses, COMC. Ebay beats them all.

Of course you could list one of the competition sites that come and go but they don't get any traffic.

packCollector

I closed my store, boxed up my resale stuff that I had left and sold it to a dealer last December. I took a big hit at the time but it just wasn't worth the aggravation anymore. Resale on ebay had become more and more a pain and impossible as time went on. in order for it to be profitable after all your expenses, you would need to buy lots at 35-40% off which is near impossible these days and that doesn't factor in if you make a mistake or get scammed.

I am extremely happy with my decision, even more based on this latest change. if you are selling anything over 50 bucks, they just increased there cut even more.

shagrotn77

<< <i>I still think the fees are fair and better than anything out there. You can't beat 10% using any avenue of selling...consignment shops, auction houses, COMC. Ebay beats them all. >>



It's really 13% after Pay Pal gets through with you.

MiniDuff

It is an absolutely brutal increase on high dollar items.

It makes it fine for set builders etc, but they are really pushing for big ticket items to wind up at auction houses or for someone to set up a high dollar card exchange alternative. I don't think that is as nuts as it sounds as frustration has been building for long while.
If nothing else, it should provide a nice bump to the bst thread here.

CEOBIDMC

Its a shame that there isnt a sporstcard/ memorabilia site just for buying and selling cards, with reasonable fees and reputable sellers, there would be zero need to sell on Ebay.

digicat

There are a few. I use COMC a lot. Sportsbuy.com is cheaper than Ebay after fees, and I've had some success selling on their site.

I sold a $210 card on Sportsbuy recently. They only took 9% out in total fees. That translates roughly to a 6% fvf and 3% cc/paypal fee. Ebay charges 9-10% fvf and 3% paypal.

MintMoondog

I'm down with the revolution! Point me in the right direction. I only buy anyway with no intention of ever selling - so always willing to help the sellers out!

Boopotts

It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. For example, consider the new fee structure for listings (link here) . If you have an anchor store (which you should have if you have > 2600 listings), your average cost per listing is now going to increase (assuming you're listing more than 2500 items). Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense?

Maurice

<< <i>It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. For example, consider the new fee structure for listings (link here) . If you have an anchor store (which you should have if you have > 2600 listings), your average cost per listing is now going to increase (assuming you're listing more than 2500 items). Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense? >>


Anchor store, $180 per month with 2500 listings included. That's 7.2 cents per listing. Additional listings are 5 cents each.

What am I missing? In your example, where is the disincentive to list more items?

thedutymon

<< <i>It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense? >>



Evening,

Wow Boo, Usually, anytime I complain about E-Bay's latest Rape of Sellers, you are the first one to reprimand me and tell me I don't know how to sell, I'm looking a gift horse in the mouth, or tell me that I don't understand how to use E-Bay or don't know how to run a business, or .............................usually, somehow bottom line defending Fee-Bay!!!

E-Bay Doing something wrong, bad for business, underhanded, sneaky, going for every penny they can suck out of us........OMG........................................!!!!



Neil

zurbs17

<< <i>It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. For example, consider the new fee structure for listings (link here) . If you have an anchor store (which you should have if you have > 2600 listings), your average cost per listing is now going to increase (assuming you're listing more than 2500 items). Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense? >>



This is the part that gets me. I have close to 18000 listings and if I stay around this level the new fees would cost me roughly $25 more per month. Okay, I can live with that. But there is no incentive for me to increase my number of listings, in fact I am looking at cutting back in a big way. Trying to call them to discuss this is pointless.

MintMoondog

<< <i>

<< <i>It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. For example, consider the new fee structure for listings (link here) . If you have an anchor store (which you should have if you have > 2600 listings), your average cost per listing is now going to increase (assuming you're listing more than 2500 items). Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense? >>


Anchor store, $180 per month with 2500 listings included. That's 7.2 cents per listing. Additional listings are 5 cents each.

What am I missing? In your example, where is the disincentive to list more items? >>



Sorry for the novice question from a non-seller: for your store you are stating that 2500 listings cost 7.2 cents per listing per month correct? The page is not clear. For example, you insert 2500 and pay that 7.2, but then next month can you add 2500 more at the same cost - do you then have to pay for 5000 cards at 7.2? What I am asking is whether the 7.2 is recurring or a one-time fee and whether the 2500 is monthly or maximum at any given time. Thanks

vintageinvestments

I have been building my inventory aggressively for the last year or two. I am now at the middle tear store subscription at $49.99 with 10100 items roughly. Under the new fee schedule I would save $600 per month in fees by subscribing to the $200 anchor store. I think this is a creative way for eBay to push medium sellers into a higher monthly commitment. I wrote a nice letter and will be planning to liquidate to 1000 items or less by May 1. Amazon has been calling me asking me to move over, but they are even higher on fees. I am all for a quality sports collectibles selling site. Problem is that it will take a time to get built up. It would be interesting to get probstein's take and some higher volume sellers' take on this new model. I see the end of eBay as we know it.

Jason

Maurice

<< <i>

<< <i>

<< <i>It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. For example, consider the new fee structure for listings (link here) . If you have an anchor store (which you should have if you have > 2600 listings), your average cost per listing is now going to increase (assuming you're listing more than 2500 items). Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense? >>


Anchor store, $180 per month with 2500 listings included. That's 7.2 cents per listing. Additional listings are 5 cents each.

What am I missing? In your example, where is the disincentive to list more items? >>



Sorry for the novice question from a non-seller: for your store you are stating that 2500 listings cost 7.2 cents per listing per month correct? The page is not clear. For example, you insert 2500 and pay that 7.2, but then next month can you add 2500 more at the same cost - do you then have to pay for 5000 cards at 7.2? What I am asking is whether the 7.2 is recurring or a one-time fee and whether the 2500 is monthly or maximum at any given time. Thanks >>



If you have a yearly subscription to an anchor ebay store, the price is $180 per month. That includes up to 2500 "free" listings per month. If you use all 2500 per month, it works out to 7.2 cents per listing. If you want to list more than 2500, it will cost 5 cents per listing for the additional listings.

For example, if you have an anchor ebay store and you list 5000 items, the cost would be:

$180 monthly fee
$0 for the 1st 2500 listings (really 7.2 cents each)
$125 for the next 2500 listings (5 cents each)
------------------
$305 for 5000 listings (6.1 cents each)

This is what it would cost each month to list 5000 items at fixed price.

It is only a $5 increase from the current fees for 5000 items.

$50 monthly fee
$250 for 5000 listings (5 cents each)
------------------
$300 for 5000 listings (6 cents each)

Maurice

<< <i>This is the part that gets me. I have close to 18000 listings and if I stay around this level the new fees would cost me roughly $25 more per month. Okay, I can live with that. >>


Your listing fees will go up more than $25 per month. It will be an increase of $215.


Current fee structure:

$200 monthly fee for anchor ebay store
$540 for 18,000 listings (3 cents each)
----------
$740 for 18,000 listings


New fee structure:

$180 monthly fee for anchor ebay store
$0 for 1st 2,500 listings
$775 for next 15,500 listings (5 cents each)
----------
$955 for 18,000 listings

JMDVM

I will be consigning more items than ever to Sirius Sportscards. My results have been all over the map, but overall it balances out in the end. Here is an example of a card I consigned in his current auction---'65 Topps Dressen. It failed to sell on Ebay at $9.99, but it is currently at $22.
My Gretsky Rookie PSA 8 is at $418. Mike takes a straight 10 % but will do better on high value items. PLUS he does all the shipping.

gemint

<< <i>

<< <i>I still think the fees are fair and better than anything out there. You can't beat 10% using any avenue of selling...consignment shops, auction houses, COMC. Ebay beats them all. >>



It's really 13% after Pay Pal gets through with you. >>



Not to mention with eBay we have to do all the work while with AHs, they do all the work and more prominently feature it in their catalogs.

Maurice

<< <i>

<< <i>

<< <i>I still think the fees are fair and better than anything out there. You can't beat 10% using any avenue of selling...consignment shops, auction houses, COMC. Ebay beats them all. >>



It's really 13% after Pay Pal gets through with you. >>



Not to mention with eBay we have to do all the work while with AHs, they do all the work and more prominently feature it in their catalogs. >>


Yeah but with ebay you can set the price.

jlzinck

Ebay seller brentandbecca ran their 2012 numbers using the new fee structure.
In 2012 they paid $28K in Ebay fees.
The new structure equates to $40K in fees.

Add into the mix that MasterCard wants to add a new fee to E-wallets like paypal and those fees will start to rise as well.

Boopotts

<< <i>

<< <i>It just shocks me that some of these changes manage to pass through whatever vetting system Ebay has in place. For example, consider the new fee structure for listings (link here) . If you have an anchor store (which you should have if you have > 2600 listings), your average cost per listing is now going to increase (assuming you're listing more than 2500 items). Who in their right mind would provide disincentives for sellers to list more items? In what world does that make sense? >>


Anchor store, $180 per month with 2500 listings included. That's 7.2 cents per listing. Additional listings are 5 cents each.

What am I missing? In your example, where is the disincentive to list more items? >>



You're 100% correct- I should have said 'marginal' as opposed to 'average', and I should have made it clear that I was discussing listings made just after the break-even point between an anchor and a premium store. My original post was poorly worded.

Here's what I was trying to say:

At 1700 listings (or thereabouts) you're indifferent between having an anchor store and a premium store. Let's say, however, that you upgrade to an anchor at the 1701st listing. For your next 800 listings the marginal increase in your fixed costs is 0. However, at the 2501st listing your marginal costs begin to rise again. Since people tend to think at the margins there is a disincentive to make that 2501st listing, even if that listing would be profitable.