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Where does Ebay get the right to include shipping costs in their fees calculator?

Where does Ebay get the right to include shipping costs in their fees calculator?

mattf1a
Rising Star

Shipping is charged to the seller by the post office.

Why does ebay have the right to asses the seller fees based on a transaction between seller and the post office?

10% is excessive fee by anyones standard.

Example:

I sell an item for $2 and ship it via USPS Flat rate medium Box for $12.35 That makes the buyers total $14.35

Ebay charges me a fee of $1.43 and the post office charges me a fee of $12.35

So the seller pays me $14.35 and I keep .57cents?

That isnt fair to the seller.

Ebay charging 10% seems like it is mildly fair if it is limited to just 10% of the auction final value.

NOT if it includes the postage as well.

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Message 1 of 35
34 REPLIES

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 7:59:48 AM
heffley19
Rising Star

This is called legal **bleep**. Welcome to eBay where they take all your money...

460 Views
Message 2 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 8:03:13 AM
waffles202011
Thrill-Seeker

They do it because soooooo many sellers were selling items for .01 cent and charging (example) $50 or whatever number they wanted for shipping.   When it really cost (example) $5 to ship.   

 

This makes it fair for sellers who play fair and offer fair shipping or even include the cost of the shipping in the price of the item.  I hate the term free shipping because shipping really isn't free.

~~*~~*~~*~~*~~*~~*~~
never approach a bull from the front,
never approach a horse from the rear
and never approach a fool from any direction
~~*~~*~~*~~*~~*~~*~~*~~*~~*~~*~~*~~*~~*~~
I am a buyer and a seller (on sellers account since 2004) so I am here to help others when I can and learn from others when there is something that I don't know.
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Message 3 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 8:10:32 AM
Rockstar

To waffles202011:  There was a number of Sellers but eBay didn't suspend them instead they passed a large increase to the Seller Community.  It was about money and eBay just suspended 15,000 Sellers recently because as say those Sellers were underperformed because of DSR's and they can replace a Seller with 10 new ones.  The strange thing is that they didn't suspend the Sellers with large sales amounts with low DSR's, only the small sellers.  And the Sellers are brushed off if they challenge DSR's.  Put it simple, eBay did it for the MONEY!   MONEY, MONEY, MONEY, MONEY!  Meg come home, you are needed back!

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Message 4 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 8:14:35 AM
fshardy
Rockstar

mattf1a wrote:

 

Why does ebay have the right to asses the seller fees based on a transaction between seller and the post office?



 

Because the seller agreed to it by listing here.

449 Views
Message 5 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 8:57:57 AM
00ron0
Trailblazer

You don't keep 57 cents, you still have to pay paypal !

432 Views
Message 6 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 9:16:20 AM
carlmarxx
Guide

mattf1a wrote:

Shipping is charged to the seller by the post office.

Why does ebay have the right to asses the seller fees based on a transaction between seller and the post office?

10% is excessive fee by anyones standard.

Example:

I sell an item for $2 and ship it via USPS Flat rate medium Box for $12.35 That makes the buyers total $14.35

Ebay charges me a fee of $1.43 and the post office charges me a fee of $12.35

So the seller pays me $14.35 and I keep .57cents?

That isnt fair to the seller.

Ebay charging 10% seems like it is mildly fair if it is limited to just 10% of the auction final value.

NOT if it includes the postage as well.


Matt: The Shipping FVF  ebay charges sellers Had nothing to do with the Fee avoidance sellers as claimed . It was setup as a underhanded way to get ,I mean force Free shipping from the sellers !  Reason was that Ebay could not get sellers on Free shipping Bandwagen a few years  ago . When the other two big online sites, The River and Big 0 was using Free shipping gimick while they  where  working on their new Buyer's perferd card  with  big fee charged. It gave discounts and free shipping deals for one item without  spending limt to get Free shipping .   Ebay wanted to be the only free shipping site online !  It didn't work so they came up with this scam Shipping  FVF

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Message 7 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 9:20:09 AM
bookend478
Adventurer

Thank you for the information about eBay suspending 15,000 small sellers....I am just curious about where to look for this type of information.  I have considered selling some items on eBay but from posts on here it sounds like the sellers are working for eBay rather than being entrepeneurs paying a flat fee for a service to aid their business.  Wish there was another site where it would be more profitable and with less hassle for a seller.....

418 Views
Message 8 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 10:05:02 AM
wulabswutech
Trailblazer
Well they get the right to do whatever they want since it's their website!

I initially found it unfair as well but have long since gotten over it. It just requires a bit of a tweak to your prices and you're good to go.

For example I use calculated shipping and used to add $2 for handling materials for domestic and $10 for handling and customs international. After that, I added 5% of the S&H to cover PP fees. Now I still do that, but after all is done, I add a 15% premium to the total S&H price and add that into handling price (10% to cover eBay FVF and 5% to cover PP fees).

It hasn't affected my bottom line at all. Actually, "Free" shipping has increased my bottom line. Remember, nothing is actually "Free" and the buyer is already paying for shipping costs in the price of the item. If someone buys, say, 2 items, they've actually paid for shipping twice. If someone buys 10, assuming I figured flat rate small box into my costs, that's actually an extra $50 that I made that I wouldn't have before!

The point of the matter is that the landscape of eCommerce changes, you have to change with it. For example, when Amazon adjusted their commissions formula, prices adjusted accordingly. Granted it was a small increase of less than $1 per sale for my items, but for people with items that were affected more, they adjusted their prices accordingly.

While I used to not be a fan of FVF on S&H costs, I now don't really care either way. People come to eBay and they will pay slightly higher prices for the benefits (ease of use, VERY strong buyer protection policy) and if they are willing to pay for it, who am I to complain about making a sale. Money is green whether it comes from my store, my website, eBay, or another website.
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Message 9 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 10:48:50 AM
postme11
Guide
In reality - it's always the buyer that ends up paying the higher fees - and rightfully so I guess - because they're the ones given the opportunity to do their own fee increases with the ratings they leave.

Ironic.
Feedback is voluntary
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Message 10 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 10:54:37 AM
gporpc
Guide

RE:

Where does Ebay get the right to include shipping costs in their fees calculator?

 

 

They use the same premise as California does in charging sales tax on the s/h amount.

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Message 11 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 10:55:50 AM
gporpc
Guide

heffley19 wrote:

This is called legal **bleep**. Welcome to eBay where they take all your money...


Trust me, it is legal.

And agreed to by the eBay seller.

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Message 12 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 10:58:41 AM
gporpc
Guide

waffles202011 wrote:

They do it because soooooo many sellers were selling items for .01 cent and charging (example) $50 or whatever number they wanted for shipping.   When it really cost (example) $5 to ship.   

 

This makes it fair for sellers who play fair and offer fair shipping or even include the cost of the shipping in the price of the item.  I hate the term free shipping because shipping really isn't free.


RE:

They do it because soooooo many sellers were selling items for .01 cent and charging (example) $50 or whatever number they wanted for shipping. 

 

 

Does noone remember back when that was allowed if there was to be a refund it was on the selling price, 1 cent

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Message 13 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 6, 2013 11:00:14 AM
gporpc
Guide

RE:

While I used to not be a fan of FVF on S&H costs, I now don't really care either way.

 

 

 

My thoughts are it was a long time coming and happy it did.

401 Views
Message 14 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 7, 2013 3:37:53 AM
Rockstar

They did it because people were padding the s/h to the extreme and selling for a penny. Ebay is not a charity, it's a business, they want to make money. I remember the days when my listing was buried under pages and pages of penny auctions when searched by price. I sell much more now and do not mind the s/h fvf at all.

 

Ebay did try to pull listings that were reported for fee avoidance but it was a loosing battle, kinda like sticking a finger in a dam.

 

As far as you only having $.57 at the end of your listing. It's hardly ebays fault there. If I can't make a decent profit from a item I don't bother listing it. By decent profit I mean at least 30% over my costs including the item, postage and all fees.

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Message 15 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 7, 2013 9:09:14 AM
gporpc
Guide

lja440 wrote:

They did it because people were padding the s/h to the extreme and selling for a penny. Ebay is not a charity, it's a business, they want to make money. I remember the days when my listing was buried under pages and pages of penny auctions when searched by price. I sell much more now and do not mind the s/h fvf at all.

 

Ebay did try to pull listings that were reported for fee avoidance but it was a loosing battle, kinda like sticking a finger in a dam.

 

As far as you only having $.57 at the end of your listing. It's hardly ebays fault there. If I can't make a decent profit from a item I don't bother listing it. By decent profit I mean at least 30% over my costs including the item, postage and all fees.


RE:

By decent profit I mean at least 30% over my costs including the item, postage and all fees.

 

If a $1000 item is 20% enough profit?

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Message 16 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 7, 2013 10:49:15 AM

Using an example of 10% fvf and 10% shipping fee:

 

$50 + free shipping = $5 fvf + 0 shipping fee = $5

$25 + $25 shipping = 2.50 fvf + 2.50 shipping fee = $5

$40 + $10 shipping = $4 fvf + $1 shipping fee =$5

.....ad infinitum

 

In the end, what difference does it make, or am I missing something??

***************************
If you don't know me by now, you will never ever know me....
(Harold Melvin and the Blue Notes)
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Message 17 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 7, 2013 10:54:27 AM
gporpc
Guide

southern*sweet*tea wrote:

Using an example of 10% fvf and 10% shipping fee:

 

$50 + free shipping = $5 fvf + 0 shipping fee = $5

$25 + $25 shipping = 2.50 fvf + 2.50 shipping fee = $5

$40 + $10 shipping = $4 fvf + $1 shipping fee =$5

.....ad infinitum

 

In the end, what difference does it make, or am I missing something??


Do not take this as a RUDE comment...

 

But it all comes out the same in the END

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Message 18 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 7, 2013 10:57:41 AM

Woman LOL Exactly! That was my point lol

***************************
If you don't know me by now, you will never ever know me....
(Harold Melvin and the Blue Notes)
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Message 19 of 35

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

Re: Where does Ebay get the right to include shipping costs in their fees calculator?

in reply to Sep 7, 2013 11:00:55 AM
gporpc
Guide

southern*sweet*tea wrote:

Woman LOL Exactly! That was my point lol


In the olden days over 2 years ago it did make a differance,

your FVF's were on on the selling price only...

 

So 1¢ BIN or ending auction price and $100 s/h made for a very good deal for the seller.

And yes, at one time you could have a 1¢ BIN

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